The evening herald. [volume] (Albuquerque, New Mexico) 1914-1922, 1917-08-30
sour POLITICAL ECONOMY.

The argument, has been advanced
that the wealth and resources Of the
United Su,tcs are impaired TO the OK
tent OF all the money spent by the
government for var purposes. Tho
argument is very ursound. There -
a. sharp contrast between cost, TO the
government and cost to the people ~
the country.
The United states has sold two bi,-
lion dollars worth cf Liberty loan
bonds .. the people Of the United
st8tes and therefore owes two billion
collars moro Than b, did a few months
ngo. When the money for the bonds
has been collected IN fur and been
expended in fun the matter will stand
81 his shape
The people Of the rnited srsi@g wiis
have loaned ia their government tw1
billion aoilaru In return Cor which
they viii have receiv~t two billion
dollars worth Of Libsr.s loan bonds
which Is as Valuable lecurity as the.
world affords Moreover they VIII
have IN their pockets Of their banks
two billion dollars which they loaned
their gsvernment.s The government
win hsve expended part Of this money
itself and those European nations en-
gagged in war with Germany. whose
obligations our government has pur-'
chased with part OF the money realized
from the sale Of Liberty loan bonds.
Will have expended the other part.
and all 81 Il viii have ben spent in
America for American products and In
payment OF American wages.
The u OF the nation. It's
capital stock so 10 sDeal, will not have
been impaired al all. Our farms. our
mines. our factories. In faet all % our
fixed properly and Industries will re-
main intact. Our people viii simply
have sold some OF the annual products
of the country. the products Of it's
farms. the products OF Its mines and
products Of Its factories.
Thus the government will have
value received for the money !, bor-
rowed from the people and the people
will have value received for the mott
IS they loaned the government AMI
The products they sold their govern
ment a the European nations en-
gagged IN war with Germany. As Sec
rotary OF the Treasury McAdoo has
expressed lt-"All OF this financing is
largely a matter Of shifting credits.
All OF the money viii remain ( n this
mt and will not involve any ioss
81 gold o. any loss d values"
or course the United States ~ go
ing TO pay these bonds at maturity
AMI il going to pay interest on them
In the meanwhile. II II going 10 pay
part with the money 81 will later col
lect form our debtor European Rof.
ernments engaged In war with Ger
many II is going to pay part with
money raised by taxation. II Is not
roing tc pay them out Of the capital
81 United States or out Of capital OF
people Of the United states. The
money ~ TO come from the ANNA.
income sud production Of the cour.
Try which amount 10 fifty bill
lion. The yearly agricultural produc,
tinn Of the United States " more thar
ten billion dollars aud the minera.
Production three billion The profit.
81 converting raw mlttrEl INTO finish.
"a products amount annually 70 ter
billion dollars. These are JUS SOME
Of our main sources Of annual ln
come.
The raising u money by the sale
81 bonds and the expenditure ~ TINT
Tioney FOR purposes Of war are MOI
Eoinf - injure OF destroy the pr0dur.
tiYe capacity 81 our fields. factories
or mines There b. waste In war. and
d great deal Of waste, hut war o. no.
an waste. The actual waste In thii
war mae be more than made up b'
the speeding up OF our industries on.
der the stimulus Of the war.
There Is going IN be loss by reasoi
81 this war-wcalfh shot away 81
battle and wealth sunk at sea. AnS
there Is solng 10 be loss or some %
Americas bravest sons. nut the prlc'
II u that America h willing 10 pas
thai her fighting men ard her peopl'
arc wiling 10 pay. for the mainten'
atee ~ "ur rights and Of our nationa
Lenor, tlr cause 81 democracy th'
observation 81 liberty ana civilization
ANA humanity Tho ipss oaussd by wa
win be small indeed compared q