Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1917-12-05
SECRETARY OF InEASURY URGES
PEOPLE TO AWAKE TO FiNAN.
GAL DEMANDS OF NATION.
FORECASTS ADDITIONAL
FEDERAL BOND ISSUES
Needed Soon Be Raised BY More
loans-Stupendous Cost Of War In
creased by Necessity Of Providing
Funds For Allied Nations.

Washington, Dec. 5.-Congress was
informed by Secretary MeAdoo in his
annual report submitted today that
$5.l2S,20S, 1913 must be provided in addi-
ton to funds from taxes and bond is
sues already authorized in order to
make estimated receipts for the fiscal
year ending June &c. 1918. equal dis
bursements. II this deficit is met by
a new issue of bonds. the total amount
of securities to be issued in the next
seven months is estimated at $685.
43s,s5O.
For the next fiscal year ending juno
80. 1919. the estimated excess-of dis
bursements over receipts is $7,S27, 3d.
$50.
Huge war expenses and loans to
Americas allies at the rate Of q half
billion dol1rs month have made
these estimates many times larger than
any ever presented in secretary Of
the treasury's annual report. OF the
sl2'3lS, 100000 estimated ordinary ex-
penditures for the year ending next
June 80, 1897 900, 900 Is for war pur-
poses. and the proportion is about the
same for the fiscal year ending in 1919.
So far the nation has borne the
financial burdens of the war well, says
Secretary McAdoo, owing to healthy
business conditions. and the valuable
aid Of the established federal reserve
system. In the future, however. in
creasingly greater habits OF economy
must be developed by individuals and
business institutions. the secretary de-
clares, and business as usual" can not
be adopted as the guiding principle of
the war. People must save and invest
in government securities to avoid post
poning victory.
Fruit Of War Times.
With this admonition, Mr.. McAdoo
proceeds ito cite the enormous figures
Of government receipts and expend;-
lures which are the fruit Of war times.
Total estimated receipts for the cur
rent FISCAL year are size $50, 1872 500,
which. with balance in the treasury
last June 80 of Sless. sss 361, makes a
total OF s1s.e47,71s161. Most of the re-
ceipts. or 1866. 900 900. are from sale
of bonds and war savings certificates;
ordinary receipts are 1886 600 600,
largely from war taxes; and the Pan
anna canal income is $4,000. 900.
Ordinary disbursements are estlnat-
ed at s12, a16! es5, 223: Loans to allies in
the year at $6.115 900. 900; public debt
disbursements at $321.000Q0O and
Panama canal expenses. $2a.5s3. 000:.
making total estimated disbursements
s1s,775, 1885.
In order to allow for a balance IN
the general fund Of about $500 O0O. 900
next June 80, congress must authorize
raising Of about s5,S40.p0o,0 900 addition
al funds. This figure, together with the
1885. 100000 Of authorized but unis-
sued liberty bonds. and s663, 900 900 iee-
timated receipts from war savings.
make the s9,96s. 100000 which Mr. Nc
Adao believes Americans must loan the
government between now and June 80.
1918.
For the next fiscal year, ending June
80. 1919. the secretary estimated re-
ceipts at s5176 600. 600, and disburse-
ments at 1884 GS4 440. exclusive of all
allied loans. This makes a s7,G27 0OO.-
600 excess of disbursements. If the
present rate OF loans to allies. is con-
tinued in the 1e1s-1s fiscal year, So
900 600, 900 additional would be required
Estimated interest on bords to be is
sued that year is 1855 900 900 and esti-
mated expense Of floating the bond is
sued $2S. o00, 900.
War Cost stupendous.
Thus If the deficit is to be met by
bonds. s14,o40, 100000 worth must be
fioated between July /, 1918. and June
80, 1919. in addition to receipts from
war savings.
while these figures represent the
situation as it appears today" the sec
rotary says. ut should be borne in MIND
that the exigencies of the future may
cause changes. particularly with re-
gard to the estimates for the war and
navy departments" The estimates on
which the secretary bases his figures
are made by the various government
departments.
The outstanding fact apparent from
these stupendous figures is that the
cost OF. the war to the American peo-
pie, including allied loans, for the two
years ending June 80, 1919, will be at
least $4,000, oco.ooo.
People Not Aroused.
To the great task facing the country,
Secretary McAdoo calls the people with
these words:
What is of superlative Importance
in the REIMBURSEMENT that must take
place is that our people shall be i'm
pressed with the necessity of economic
ing in the consumption of articles OF
clothing, food and fuel, and Of every
other thing which constitutes a drain
upon the available supplies, materials,
and resources of the country. Every
thing wasted now is little sh ort of
criminal.
$50 far as I have been able to oh
serve, the American people are not
sufficiently aroused to the necessity of
serious time, not only in the life Of
America, but Of the nations of ths:
world. Up to the present there. has
been relatively small denial of pleas
ures. comforts. and conveniepces on the
part Of the average citizen. He is draw
ing upon the general store of supplies
in the country with almost the same
freedom as before America came into
the war. This can not continue with
out serious hurt to the nation and to
the world. The great financial opera
tons Of the government can not De
carried forward successfully unless the
people Of the United States economics
In every possible direction, save their
money and lend il to the government,
Favors Bond Issues.
Secretary ,McAdoo denounced pur-
chasers of Liberty bonds who sell their
bonds when they do not imperatively
need money.
1T is by ACTUALLY lending money to
the government and not by merely