The Washington herald., 1918-09-10
new LOAN SURE
TO BE SUCCESS
Oversubscription Anticipat-
ed by Financial Leaders, /.
= Says Holland.

day the nationwide campaign for tho
sale Of at least $4,000. 900. 900 and
probably $4,000, ,OOO. 900 worth of lib
erty bonds will begin.
Already the banks IN the larger
financial centers and. to a consider
able extent. In the rural districts are
preparing for this greatest piece OF
government financing that the world
has ever known.
There appears to be no doubt about
the success of this lion and II would
not astonish some OF the leaders OF
the financial districts IL It were over
subscribed.
There are many reasons why Secre-
tary McAdoo and those who are act
ing under his leadership are con-
WINGED that the floating Of this loan
win be as conspicuous success as
has been the case with the placing of
the other liberty loans. Chief among
these reasons Is the cooperation OF
the banks Of the United States. A
beautifully perfected piece Of machin-
cry has been established whereby the
banks OF the country can. acting in
cooperation and almost as a unit.
facilitate the marketing OF this loan.
In the next place it is the belief of
the financial leaders that much the
greater part OF the funds received by
the government in payment for the
earlier liberty bonds has been paid
out Therefore. there should be no
lack of funds when the appeal Is
made to the people to buy the fourth
liberty bonds. Thus over and over
again money received by the govern
nnent by those who have subscribed
to liberty bonds is returned to the
people in the form of payment for
conInnodities. for army and navy ex-
reEses- and for the vast industrial
output which the war has made nee
essary-
In The third place there prevails a
heliefvt that the people OF the United
states now well understand what an
inveztment in a liberty bond means.
When the first liberty loan was Of
fersd to the people probably 90 per
cent OF those who were asked to sub
scribe had little or no conception Of
what iRyestment in a bond Of any
kind meant. In the far West and
especially in the Northwest that
great body OF salesman who under
took 10 market these bonds among
the Farmers. discovered that there
was almost a unanimous belief that
the purchase Of a bond meant an cut
right gift OF money to the govern
ment.-s Exactly as a subscription to the
Red. Cross fund meant a gift Of
money to that fund.
A Nation of Bond Owners.
When the Second Liberty Loan was
well under way it was discovered that
the people had learned the meaning Of
an Investment in the safest security
the world knows and that 1t also
means the giving of vital assistance
to the government in this time OF
war. All the reports that have been
received from other parts Of the coun-
try Justify the belief that this Fourth
Liberty Loan will be speedily absorb
ed.
The Loan and the New Taxes.
There may be some hesitation on the
part Of the corporations and Of those
who receive large incomes about the
anhount which.should be subscribed by
them to the Fourth Liberty Loan.
That will be due, however. entirely to
the relation Of the tax laws which Will
be passed after the liberty loan has
been absorbed, to that loan. Many Of
the corporations will not know until
the tax bill has become a law how
great a proportion Of their earnings
viii be absorbed by the new taxes.
q
fortunate enough to possess large in
comes.
A Difficult Problem.
II is. in the opinion of those quail
ificd to speak. going to be a far
moTe difficult problem to apportiSn
the thirteen million men who will
be included in the new draft law
to the various services OF which
the government will have need
than II will be to float a Liberty
loan Of $4,000, 900, 900 or even to per-
feet the greatest tax law any nation
has ever adopted and then to pre-
pare for the payment OF the taxes
The question which arises in con.
nection with the utiliza tion Of the
entire man power of the United
States between the ages OF is and
As is regarded here as perhaps tbs
most difficult which the govern
ment at Washington has been called
upon to solve. For It Is said thai
the absolute and complete with.
drawal Of this manpower for va.
rtous services. army. Industrial and
the like. will inevitably tend to
deadlock various industries and
much OF the retail and merchs +
dising business OF the country and
also to impair our gradually in
creasing commerce with Latin
American countries. We are speed
lily to have ships in plenty so that
our trade with South America can
be facilitated and also il will be
possible to utilize the stores of
wheat in Argentina and Australia
which are now lying idle for lack
OF slipping.
The new law has given much con-
Germ to the bankers OF the United
States because much the greater part
Of the clerical force OF the banks "a
made up Of men between the ages OF
Z to 4s. Some Of the banks in this
city have already taken time by the
forelock and installed women clerks
There is no doubt, however, but that
Gen. Crovder and his subordinates
will be able ultimately to adjust this
new demand upon the entire man.
power OF the country between the
ages OF IS and IS so that while the
army and the industries associated In
maintaining the army will be ade-
quately enlarged and supplied, never
theless, on the whole the industries
and business Of the United States will
not be seriously or alsrmIngly i'm
paired by reason OF the authority
given by Congress to ihe government
TO call upon every abIe-bodied man be-
tween - and Is for service OF one
kind and another.