The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1917-09-15
Billions We Read and Talk
About Are on Paper.
GOOD TO A CERTAIN DEGREE
As Long as the Credit of a Nation
Stands Up" the Alleged Gold Basis
VIII Continue, but When Confidence
Falls IL VIII Be a Thing of the Past.
Total Wealth Of Nation Estimated.

tIeu-Dut lew CouAllIAeh are LeuliS vi
a gold basis.
The money we talk about today Is
not gold. There is no such amoun of
gold in the world as the billions we
write and read about. 1t is all, or. for
the most part, paper based upon the
credit of the nations.
So long as the principal nations OF
the world can make this credit stand
up" SO long as people who have to
take or take willingly the promise TO
pay of various governments, believing
that they Will at some future time be
redeemed on a gold basis, that basi
will continue. When confidence fails
the credit Of the nations will fail and
the gold basis will become a thing of
the past.
Our 4o,ooo.o oo,o o Credit.
In a thoughtful speech Senator Lodge
of Massachusetts, said that the total
wealth of the United States was esti-
mated at about S3O0,oO0,OO0,O0O. 1.-The
margin Of safety I'm loans on that
amount" he said, rs estimated to be
about $4,000 100000"
He did not know whether we would
be called upon to issue bonds for that
enormous amount, but If the war lasts
long we will get rather close TO 1t at
the rate we have started.
Might Justify the Sacrifice.
If 1t should so happen that the out
come OF the present wal should he the
realization of the dream of President
Wilson and many OF his ardent sup
p%orters, or IL the dream OF many per
sons for universal peace to be enforced
by a league OF nations of the world
should be fulfilled there might be a
compensation for the cost OF the war
and the destruction OF property. Upon
no other basis could the cost In life,
destruction of property. misery and ex-
penditure OF money be justified.
AS to the United States, starting with
81, 000,0o0,OO0 as soon as war was de-
clared and mounting TO S10,000,OO0,00 600
before a shot was fired or a ship or
regiment was in action, what is the an
swer? Our civil war cost SS,O00,000,0o0
and left us with a national debt which
has not been paid to this day. And at
this writing we have not sent men into
battle.
II 10 Called Utopia.
The idea, the plan, the conception or
whatever name 1t may bear has been
called utopian, something belonging to
the land OF dreams and fantasies.
Some way there are a lot of hard head
ed. old time thinkers who do not be-
lieve 1t Is possible to control by a sin
gle government the races of the world.
They wonder how long before this or
that people, guided by a popular SOY
ereign or president, might p~recipitate
another world war.
Gone Glimmsring.
We don't hear much about raising
our revenue by indirect taxation, but
that was what we were doing to a
large extent before the war. Taxes
raised by customs duties and imposts
on liquors and tobacco were not felt to
any great extent by those who paid
them. But indirect taxation has gone
glimmering. 1t is doubtful IL the time
ever will come again when our revenue
will be produced solely In that way.
Georgia Senators Disagreed.
When the second class mail PROPOSE
ton was considered In the senate there
was a brisk colloquy between Senator
Hardwick Of Georgia and Senator
Hitchcock of Nebraska. Hardwick had
publishers. Finally Hitchcock said he
wanted to call Hardwick's attention
TO the fact that the senator himself,
and particularly his colleague from
Georgia, have been active here In ask
ing heavy subsidies FROM the govern.
ment Of the United States through the
agricultural department for the agri
~culturists Of his region
Hardwick asserted that the state
ment was q Misrepresentation.
THE senator from Nebraska" inter
posed Hoke Smith of Georgia. rs righI
about the senior senator from Georgia
but not as to the Junior senator from
Georgla-
The junior senator from Georgia,
said Hardwick, has made no sucl
effort. He has participated In no sucf
movement"
Hardwick later added In connection
with the discussion that most Of The
agricultural appropriation bills contain
ed many things l did not approve"
III my colleague will allow me-" In
terposed Hoke Smith, II desire to say
that my colleague and / have disagreed
on that subject"
Radically" remarked Hardwick.
He has frequently, In my opinion
voted against measures I'm the Interest,"
of agriculture that he ought to hav'
supported" continued Hoke Smith.
There are many other matters upol
rbtoh tho 6onruio fore dioo Urno