Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-13

and that speedihy-of all OF The
American resources. into Q closelyskntt
lighting machine. ~ the crying need
of the Americans to. hastily and vteT
That is the opinion OF seward Pros
ser. president OF. the Bankers Trust
company OF New York. He. has just
returned from the battleflelds OF
Picardy and Flanders. swhers he has
seen the allies In action
The vital and immediate charge to
the American people IL to hasten the
training and enlistment OF our mar
power, to speed . production Of
food" says :Prosser in an article IN the
Trust Companies Magazine. ).
The real gravity Of The war situa.
ton must be grasped by the American
as 1t has been by the Frenchman and
Briton.
Americans must realize that the
heirloom of American. freedom for
which We have fought and labored
can never be the same-that NOR
atty and honor will. be MORALLY hurt
If Germany triunlphs, argues Prosser.
He points out that this war Is one, not
for territory, but a conflict between
two spirits that are eternally antagon-
istic. two spirits that nothing on
earth or in heaven can ever reconcile"
Banks Mobilize Funds.
THE bankers Of the country have a
most important duty to perform"
says Prosser, Sin marshalling the
credit resources Of the country so that
they may be effectively applied. Nine
billion, seven hundred millions OF
dollars were expended by the United
States for var purposes in the nrst
year. That is just nine billions moro
than the normal, peace-time expcndi-
lures.
ITO meet this expenditure the gov
eminent borrowed, or raised from
taxation. about $40. 700. o0o. oe0-and
therefore during the year the cash in
the treasury was increased about ST.
goo, o00. zoe. We thus started the
second year of the war with a strong
cash reserve. A little over IA per
cent of the receipts came from tax
alton in various forms. therefore
about SIS per cen was derived ron
borrowing. Careful estimates which
l have caused to be made show that
about SIS per cent Of the ss,1so,e sa,-
600 which the government borrowed
came from savings. and that about
So per sent or. say. $4,000, 100000
vas directly OF indireeeE advanced
by the hanks, This estimate shews
on March 81 the banks Of the
country-some 39.159 in number
held government obligations or were
leaning OF government obligations.
on h average, about $fqo.ea each
Upward OF $500. aea-099 was repre-
sented by direct investments in GOV
ernmen, securities. and about ssaa.-
600, 900 by loans made with severr-
ment securities as collateral"
Tells Need OF Self DeniaL
The figures show. according to Pres
ser. that the banks have been asked
of the burden They must continue
to carry about IS per cent and if the
war draEs out into many years more
the banks may reach the point where
they will be carrying approximately
the entire burden.
I'VE are facing a ta> Of herculean
proportions says Prosser. "And the
message I wish to bring to the Ameri-
al banker-and through him to the
American public-from the expert
ences Of England and France is the
need OF great self denial.
1T is a disgrace for anyone, rich
or poor. to be seen riding in an auto
mobile unless on a mission Of mercy
or necessity.
1T is a badge Of honor to wear
shiny clothing.
1T is a crime for anyone, rich or
poor, to be idle"
Prosser's article closes with an APP
peal to America as a nation facing a
tremendous test Of the principles of
democracy, with the eyes'of the world
on it and the liberties of the world
in its keeping, to prove worthy of its
traditions, its resources and its oppor-
tunities.
Victory is reckoning US on. but
before VI grasp her hand we must be
prepared to show ourselves worthy Of
the trust" say Prosser. for after
this war viii come a new world with
vast responsibilities which we cannot
evade