The Press., 1918-10-17
Fighting Fourth Liberty Loan
 Facts and Figures
BOND PRICE VARIATIONS

On the basis of the relation be- tween national indebtedness and wealth at the time Of the Civil War the United States Government should be able to float loan of $25,O0O,OOO, 900 with every prospect of it's forming 8 safe, sound and thoroughly desira- ble investment for the individual, an authority on the subject, E. Kerr, sta tistical expert, said as this country was entering the great war.
 On the basis on which Great Brit ain and France were borrowing, the United States might with comparative safety borrow up to $38, 8,500,OOO. 900, this statistic an said. for "The United States has proved that it can easily and rapidly pay off a considerable debt. and it is still a country with magnl- fcent opportunities for development and the production of new wealth."
 After being at war a year and a half, with it's always excessive first cost, the war indebtedness of the coun- try as expressed in Liberty Loans and War Savings stamps is less than fifteen billion Collars The new LID erty Loan, he Fi%hting Fourth, there- fore, offers a good and safe invest ment to the loyal as well as an op- lO give pIhClICdl CAp4 CS5Aon to their patriotism.
 In the entire history of govern ment loans, and i. goes back through the centuries. there are cry few oc- casions on which the interest on the ponds of responsible governments has been defaulted, repudiated ar Funq- ed. This has happened only in the case of new and untri3d go ernments or as a result of anarchy and repud1ation of the debts then incurred by the rs- spOnsible incoming government. HVen then the repudiatiOn has usually been temporary. War is usually followed by a period of expansion and invention in the defeated as we'll ;.s In the Vio- torious country Taking past wars as a precedent, the p" ~ent war, be- ing on a larger scale than any which have preceded 1t, should have larger results.
 When the present form Of goverh- ment came into existence in this country in I790 the total indebtedness of the United States exclusive of pa per currency was $52,788,722 and state debts amounting to over IS million were assumed by the federal govern ment The foreign debt of 10 million with an interest rate of 5H6 was re- paid by l7a5. The domestic debt al- so was funded and gradually repaid. the interest rate being reduced 70 6cc, , 1-2&6, 4 1-2@6 and go In various ways.
 To the tol.l indebtedness of ap= proximately S3 million In 1900 was added $11 .25O,0O0, the purchase price of Louisiana but more than half had been paid when the country entered i into the war of 1872. In 1911 an at tempt was made 70 introduce United States bonds on the London market. The Sfh were quoted at 65 to 7O.H, the 6Go a 1O1 and 102. Interrupted by the War of 1912 a second attempt was made in 1916 The 9fh were then quoted at 51 and the 6Gd at S1 1-2 and | 82. These same bolds were quoted | in Philadelphia at the same time at 61 and 92 A 6Gh loan put out in 1913 was etld a 88 IA.
 Although the war added about 8S l million ito the public debt the floating 1 debt he'd feen reduced to such small 1 proportions by 1877 that payment into 1 the sinking fund recommended. By | 1SS6 80 much had been paid of that i 28 million surplus revep e was dis 1! tributed among the states. Although ! it added approximately 49 nil iSn1 n1atan the public debt the Mexican
 not interrupt this prosperity.
 loan which partially financed 1t was ! issued at Dar
 On the basis of all claims beino ad- 1 justed the Civil War Is stated to have cost the Government three billion 1 dollars. At it's ma ximum in 1865 the | rational debt was $2.756. .431 577 Up i to the present war the Civil war was l one of the most expensive and eX- haustdve of all history ye+ the last ! war loan bond was redeemed 42 years l later, in 1907 This was a feat re- garded bv EuroDe as astounding
 The most popular loan of t?at war was the e.. E-2Oyear of 1862 Of . which s5'5 100000 was placed at par. Refunding operations from 1870 . N0 1 1877 redu cd the interest rate 70 5To, 1 to 12Ro and then to 4G6. All 1s- ! sues were at not less than nar.
 The prices of the 6s of 1881 were l as follows during the war; 1861 from | 24 1-2 to 94; 1862. from 87 l-2 to . 1O7 l.. S63 from 91 3-4 to no 3-4; 1864, from 1O2 tn 118; 1895 from 1O9 1-2 to 112 38
 Just previous to the Spanish War the national dnh4 amounted to some thing over $986 0OO.O0u. At the end of the war this had mounted to $1,155,32O,235 A $2OO,OOO, 900 3% war loan offered at par was sub scribed seven times over and went to 106 inside Of three months, The debt was steadily reduced during the i nine years following the war and ] bonds for the Par ma Canal were is sued at or ove par, showing the high credit standing of the country During this period government secur- ltles rose to a maximum of 139 3-4 for fhe 4CC and 1O3 IA for the 3fr issued to finance the canal.
 Since then there has been no de- crease, the 1916 net indebtedness Of he United States standing at $1,l92,- :; 639 ,Q95 and having interest rates at 4T B9S, 2 1-2go and 29o. Of the gross debt 66To was non-interest bearing and 24%G was bearing interest at go.