The Washington herald., 1917-11-15
HOW TO "CASH M ON
THE FIFTY-CENT DOLLAR
By BASIL M. MANLY.

For the first time since the civil
war. the purchasing power Of the
American dollar has deprecated to
the 30 per cent level-in plain every
day words, to the point where it will
buy only as much as a half dollar
in 1914.
It's the same old dollar, OF course;
II hasn't changed in any particular
since the great war began to upset
all the standards OF value in the
world. The secret OF dollar-valuc-
shrinkage is contained in the simple
fact that the governments OF the
world, by running their legislative
chambers and their printing presses
overtime, have produced bonds. paper
money and other similar tokens Of
value several times as fast as the
people of the world could increase
the output of the necessities OF war
and life.
This. however. is not an essay on
WHY the dollar has shrunk; but a
little homely advice for the average
man on WHAT TO DO FOR SELF
PROTECTION.
In the first place We must wake
up to the fact that the dollar has
not finished shrinking. and prob
ably will not until some time after
peace comes. No financial author
ity in Washington believes that the
general level OF prices will de-
crease until after the war, and
they will be very happy il they can
be held at the present level by Hoov-
er, Garfield and the other officials
who are working TO hold them down.
II is not because they are disappoint-
ed in Hoover and Garfield that they
hold this opinion, but simply be-
cause they are looking the world con-
ditions squarely in the face and con-
sidering the facts Of history. They
know that prices never did fall
during any great war, and that
they have gone steadily up IN every
country during this war.
We can therefore be practically
sure Of rough financial weather
ahead, and the advice Of authorities
to every business man and every
householder Is: REEF your sails and
throw an anchor to windward."
How are we going TO reef our sails?
First, for the Business Man: Con-
tract your credits, get rid Of all the
deadwood in your business organiza-
tion, and steer clear of investments
that are unproductive or require a
long time to mature. Don't put
money into land, for example. unless
you are going to make IL the basis
Of production either OF crops, q fac
tory, or a needed dwelling place
When you contract credits, reef them
In gradually. In a storm at sea,
you don't lower all sails when you
see the big wind is coming; you reef
in and keep enough sail set to give
your boat headway. But be sure and
reef them, for the business man who
tries to 20 through the storms ahead
with all his credit sails stretched
is sure to capsize.
How is the Householder to reef his
sails? BY cutting his expenditures
to the limit Of necessity. Don't buy
anything that is not needed for the
health and efficiency OF yourself and
your family. Luxuries will have to
go by the board until the war ends.
not only for the sake Of your per-
sonal finances, but for the greater
reason that victory. depends on con-
ceutrating all the nations labor and
available resources on the materials
of war and the necessities of life.
And the anchor to windward?''
Hold the liberty bonds you have,
the authorities say. and buy more
with all the savings that come from
the elimination Of luxuries and nom
essentials. With your fifty-cent dol
laro vofn ran ptrchasa lIharfv hondS
at par and salt them away until
peace brings with It a return OF the
old-time prices. Then you will be
able to purchase with them twice
as much Of the necessities or luxu-
ries of life as you could with the
same number OF dollars today. In
the meantime you are protected
against all the fluctuations Of the