davidaulloa/AmericanStories huggingface dataset:
New-York tribune., 1918-06-16
BY Herbert Fitch
Nara, LaMn,

Nara, Japan.
nIG tips have been tossed about In
ID Japan by the narikins-those
who have made fortunes by war
profiteering. Since the market slump
last fall. which drove one of tho great
stock market operators to suicide and
sobered the others, people have been
disposed to keep their money for the
rainy days. The Japanese are getting
back to their thrifty habits. They are
quite ready for any eventuality.
All over the world successful profit
eers. callous to public opinion, have
been inclined to display evidence Of
their sudden arrival among the upper
classes. In one Occidental country a
story was related gleefully that mari
kin. who had made millions quickly by
putting over huge, fantastic consoli-
dation and unloading his common stock
bonus quickly. was systcmati. ally
worked by the bellboys Of the ornate
hotel where he lived. Many kilograms
addressed to the great commercial
king were delivered at the hotel. They
were parcelled out by the head bell
boy. Each telegram was delivered to
the big man by a different boy. The
urbane narikin gave the equivalent Of
twenty-five cents American money to
each messenger. Each got his share;
the head boy took the balance. and
most of this went higher up. The ag-
gregate tips, In those easy days when
thrift was despised, were equal per-
haps to the other profits Of the hotel,
and may have helped to pay the big
dividends.
New-York tribune., 1918-06-16

the fact that there are irregular but
none the less certain cycles Of about
flfty years in which practically all
phases of weather recur with relentless
certainty. Furthermore. after the fash
ion Of everything in nature, there Is a
tendency of similar kinds of weather
to flock together. In Kansas, for In
stance, there are series Of wet years
and Of dry years. This fact is as old
as history. as was exemplifed In Jo-
seph's Interpretation Of the seven lean
and the seven fat kline. Again, in gem
eral. q dry spring, especially II 1t ex-
tends into May. Is almost invariably the
precursor Of poor harvests Of grain
and food products, while wet weather
In spring. especially in April, May and
June, portends abundant yields Of these
same products. In the State Of Missouri
If the June raihs cease much before the
first OF July, the outlook for the corn
crop Is serious, while II they continue
into July all IL we'll A drouth COM
mencing early In July and continuing
toward the latter part means n serious
reduction in the yield of corn. In
Kansas two or ut most three dry years
are almost sure to be followed by one
or more wet seasons, and the reverse
is equally true. In some other states,
more to the south, the rains from De-
cember to February often determine
the coming harvest, for If there be not
enough water in the subsoil by Febru-
ary to germinate seeds rapidly, the
coming crop has rocky road ahead
Of 1t.
New-York tribune., 1918-06-16

principals for the money has been
spent for the conduct of the war and
not to crente new or added earning
capacity.
Because the truth Of this statement
may not be readily conceded, let nc
see If can make II more plain Let
US suppose that we were q nation Of
a million people, each with an annual
income of ten thousand dollars.
If the government should call upon
us to subscribe to the Liberty Loan
bonds and we each subscribed the same
amount, say one thousand dollars, the
government would receive round
billion Of dollars, and we or our heirs
would receive forty million annually
as interest upon our investment. But
who would pay back the principal at
maturity? Why we, the same people
from whom the government borrowed
the money. In other words, we are the
government Lincoln expressed it in
undying words: "A government OF the
people, by the people, for the people"
We are lending the money to ourselves
and paying ourselves the interest and
eventually repaying the principal to
ourselves at maturity. But, you ask,
what IL some Lf US do not subscribe
to the bondsf Some might do twice
their share and some might do moth
| ing" In that event, what would hap
pen would be that the man who did
not subscribe would still have to con-
tribute in payment Of taxes for the
repayment Of the money. Thus. he
would be required to pay taxes to meet
the interest on his assumed share of
one thousand dollars worth of bonds,
even if he had not subscribed to the
bonds
In the case assumed. each man has
contributed 10 per cent Of his income,
'r one thousand dollars, and has to
pay In taxes each year enough to pay
himself the $40 Of interest due him,
! plus enough more to pay the bonds at
maturity. If the bonds run for twenty
five years that would be, say, $40 a
gear more as a sinking fund, or, say
$50 total. If he does not subscribe and
another man takes his share, he re-
ceives no income from government
bonds owned by him, but finds himself
taxed Tor his share of the interest and
sinking fund payments.
Loans Lead
To Imitation
. The essential difference between
raising money from the public by tax.
alton and raising it by the issuance Of
bonds is the resulting imitation. In
fiatlon Is word that is much used, bu,
not always understood. In it's simple,
and most readily comprehended mean
ing 1t is that form of imitation of the
currency which was common in on,
Clvli war, when the government, in
stead of printing its promises to pay In
the form of investment bonds. printed
them in the form of currency notes
Under that method Of imitation a gov
crnment wishing to buy million dol
lars worth of produce, or to paw ,
million dollars in wages, would simpl,
print a million dollars of its owr
promises to pay" and these promise.
to pay in the form of currency would
thereafter pass from hand to hand as
money.
The extent to which this sort Of In
hation may go without wreckine the
financial structure of nation depends
entirely upon the wealth of the nation
and the confidence which the public o,
other nations have in its ability tc
keep its promises. The usual symp.
New-York tribune., 1918-06-16
Japan's Gold Reserve Grows

The steady increase In Japan's gold
specie continues. The latest returns
issued by the Finance Department, ac-
cordine to Eastern Commerce" for
May, shows that the gold held by the
government and the Bank of Japan on
April 20 amounted to l.O76. 900 yen,
Of which 100000 yen was held at
home and 6ls,oo0.oOo yen abroad.
These figures, compared with those for
March, show an increase OF 100000
yen in the portion held At home and
ii 600, 900 yen in that held abroad. tThe
normal exchange value Of the yen Is
O.498.)
New-York tribune., 1918-06-16
Union Needed in
Planning Finances

In other words, the nation requires,
using phrase which Is already hack
neyed, goods and eervices." 1t must
obtain the services of the men and
women, those who fight and those who
serve In other capacities. But in or
der to obtain this service or these ma
terials the government must accumu-
late money, because that is the com
mon denominator to which goods and
services may be reduced or the terms
In which their value may be expressed.
Hence. it Is for this reason that the
hrst act Of a nation at war is to pass
laws authorizing its fiscal or treasury
officials to raise money by taxation
or by borrowing, or both. 1t is clear
that the greatest financial errors ever
made In attacking such problems have
usually been due to g failure on the
part OF nations leaders to appreciate
the seriousness or magnitude of the
matter. Thus at the beginning of our
Civil War President Lincoln called for
10000 volunteer soldiers for three
months service. and the financial plans
then made were based upon the theory
that the number of soldiers that would
be required would not be very large
and that the duration of the war would
be short.
Even with The limited perspective
We have Of the present contest in
Europe. which began less than four
years ago, it is apparent to us already
that all of the European nations great
ly underestimated the magnitude OF
New-York tribune., 1918-06-16
BY Archer Wall Douglas

TINE custom of crop forecasting is
largely u modern matter. because
of an economic attempt on the part
OF the business world to anticipate the
future and order its goings In accord
ance. While it is largely made use Of
BY the spectators In the grain pit and
the stock market for purely specula-
tive purposes. It has, on the other
hand. a real value to the large body
OF commercial and traffic organizations
as guide for their future activities.
Obviously. the value Of such fore
casting depends entirely upon its ap-
proximate accuracy to Anal harvest
results. The proportion Of accuracy
depends largely upon the volume of
yield Of the agricultural product in
question An error Of 10 per cent in
forecasting the yield of rye is much
less serious than the same mistake
applied to cotton. The principal
method Is an attempt to solve q mathe-
matical equation. and most endeavors
OF Improvement in accuracy are along
this line. The initial and inherent
difticulty OF this method is and al
ways will be that by It's very nature
u constantly fails to include all the
factors in the equation. especially
those Of new and passing character.
furthermore. 1t Is usually sought to
oe worked out. by means Of statistics,
oy those who have neither personal
knowledge nor observation Of the
causes which produce the statistics In
Question. Worst Of ali. 1t usually
BASES the prospective yield on the con.
saiiing at the time Of the forecast.
Futility of
The Equation
The utter futility of such 4 fore
east can be easily seen by q compari-
son OF the forecast early In the
kfewing season with the actual results
~ the harvest. II not infrequently
asppens that this difference Of results
y the wheat yield Is as great as Is
Per cent? difference SO great as to
ssndes the early forecast practically
= no value. The only thing one can
- sure Of Is that the crop conditions
pssseaiing at the time Of the forecast
fs SURF to change, and consequently
sas hypotbesis Of yield based on a
I sssas ssnditien. y Interesting only u
New-York tribune., 1918-06-16
By F. A. Delano

WeD,ber euerGt ReSeTUe Board
TINE subject Of financing the war
Is not simple one 20 deal with:
1t does not lend itself readily to
popular oratory, so because it is dry
and because It is complex it Is largely
left to the specialists. On the other
hand, the effects of bad financing are
so serious that 1t is highly desirable
that the subject be better understood;
and for that reason it will be my en-
deavor to state RS briefly as can, and
In ss simple phraseology as can com
mand, the principles involved and the
probable results of various measures
already adopted or in contemplation.
To begin with. as will be readily
conceded. war is essentially wasteful.
and therefore, TO counteract the evil
effects of the war, there must be great
economy.
When a nation goes to war the gov
ernment, as the representative of all
the citizens, must take men out of pro-
ductive employments and use them as
soldiers. It must take other men and
women from their various occupations
or svocations and employ them in max
ing munitions and equipment, or build
ing ships. docks and ali sundry things
which are required; and finally the
transportation system of the country
must be taxed to the utmost to collect,
distribute and forward the men, the
munitions and the equipment.
New-York tribune., 1918-06-16

20 "SJ w pay LUZ IiIe war Is ny
borrowing it from the citizens through
the Issuance Of government bonds.
Borrowing money from the public Is
the usual way of financing war One
obvious reason for 1t is that the mo-
chinery for borrowing is simpler and
can be put into operation more speedily
and easily than the machinery for tax
alton. Az soon as n nation determines
upon this course there is comparative
ly little room for differences of opinion,
and it is only among the experts and
the economists that Tho evil effects
OF borrowing are appreciated. How
ever. it should be obvious to any one
that the source Of supply, whether the
funds be borrowed or whether thev be
taken by taxation, is the same--to wit,
the savings of individuals. In one case
these savings are contributed by the
individual to the government once and
for all; in the other case they are
loaned to the government with the
promise OF repayment. 1t is the common
understanding that in ono case we make
the present generation pay for the
war, whereas in the other case we
think we are putting the burden upon
the future generation; but this state
ment. in the opinion Of many econo-
mists. contains fallacy which should
be carefully studied and analyzed. The
economists who believe this staten en-,
to be fallacious maintain that there is
no way in which the cost OF a war can
be deferred; that the reason the war
must be paid for at the time and not
by postcrity can perhaps be best ex-
planned by pointing out the essential
fact that what the government requires
is, as we have already said. goods and
services; that the services of the SOL
diers and the services Of the men and
women behind the lines. to make tie
munitions. clothing, etc, and to supply
transportation by land and sea, must
be paid for when supplied.
The conception that government
could make posterity pay for present
day expenditures seems to have be-
come fixed in the public mind from
the analogy Of everyday corporate
finance. Thus when q railway. or q
mining or manufacturing corporation
or a merchandise undertaking raises
capital 1t borrows from the public to.
day with the expectation of paying
the money back from the accruine
profits. In such a case, If the enter
prise Is successfully administered. the
public has contributed to it, and 50
has borne the burden as we'll as en-
5oyed whatever profits the undertak.
ing may have yielded. In that case
the fund, oricinally contributed are
not spent for goods and services
which are thereupon consumed and
wasted, but are spent in creating and
develoring an organization which
will produce goods or services for sale
to the public, and which will from the
profits from future sales repay the in.
vestors. On the other hand, when q
nation borrows money from its people
the money is at once spent for muni
tions Of war, for food, clothing. blan.
kets and multitude Of other things
which add nothing to the wealth Of the
naticn, and which are soon consumed
New-York tribune., 1918-06-16
Neither the Ability Of the People Meet Higher mpost nor the Will to Do
&c. but Only the Lack Of Popular Understanding the Necessity for Pv
You Co. Poyave Merits Taxation and Initiation War Finance
Seen by Member of the Federal Reserve Board

the struggle; and II we have been
more forehanded In this country, it
may be attributed in great part to the
fact that the immense scale of Euro
pean operations has become apparent
to us, and we have thus been saved
from making some Of Che mistakes that
were made by the nations of rIrope.
However 1t Is explained, it Is certainly
fact and an interesting one, too, that
the expenditures by our nation the
nrst year OF the war have been actually
less than estimated, because the ability
OF the country to provide goods and
services has actually Jagged behind the
appropriations made by Congress and
the estimates of the fiscal officers of
the government
There are two ways. and perhaps
only two ways, in which the govern
ment of nation can secure funds
from its people. 1t must do It either
by taxation, which may take any one
OF many forms, or 1t must do 1t by
borrowing from the people and issuing
Its bonds or promises to pay in ex-
change. Furthermore, when the ne
cessities Of government are as preat
as they are with US In the present
crisis every effort to obtain funds must
be employed. On the other hand. ir-
respective Of how funds are raised. the
ultimate source is the savings Of the
PEOPLE, existent or potential II the
existent savings Of wealthy nation
like the United States could be tapped
TO any large extent there would be
little difficulty in financing even 80
great a war as this. but the difficulty is
that peoples savings are non existent
IN the form Of currency or coin, but
are represented by investments In gov
eminent and municipal improvements;
in colleges, schools, churches, in homes.
factories railways and steamships; or,
as the phrase usually goes, in "bricks
and mortar" A large percentage Of
these investments may be termed pro-
ductive; that is, investments Of such
a nature that they yield a return in
the form of interest or profit, and even
those permanent expenditures which
90 not yield monetary returns, may be
rightly claimed to yield a compensa-
tion in the form of greater comforts
OF enduring satisfaction in somo form.
Starting with the assumption that we
can finance the war only from peoples
savings, either already existent (and
not appropriated to other uses) or
prospective. we may go on to consider
and discuss the best method Of divert
ing these savings to the Golfers of the
government. To that end let us first
consider the subject Of taxation.
New-York tribune., 1918-06-16
Nation 8 Creditors
Will Pay the Bills

The further fact which seems con-
stantly to be lost sight of is that the
same people from whom the money is
borrowed by the nation must be taxed
to pay the interest and repay the
New-York tribune., 1918-06-16
People Will Follow
President on Taxation

As already stated, taxation may take
many forms; for example, we ma,
have direct taxes against the indi-
vidual such as the income tax or the
real estate tax; or we may have an in
direct tax in the form Of taxes on
purchases or upon me rchandising, man
ufacturing or other enterprises, wheth
er corporate or not, which, while direct
New-York tribune., 1918-06-16

N0rd, Japan.
n1G tips have been tossed about In
ID Japan by the narikins-those
l.. ! -
New-York tribune., 1918-06-16

Of life are Objectionable but even fuel. meat,
bread. sugar. ETC.. should be taxed If used
in more than necessary quantities. Just how
such taxes can be applied and not be evaded
is matter worthy of some study
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01
BUILDING QUERIES
AND SUGGESTIONS

1t is only the pessimist who win en-
Edeavor to convince his hearers that
the building prospects for the coming
year are not, OF a hopeful character,
says the American Architect. The
close student Of events will have
learned from a careful consideration
Of all the many factors controlling
building operations that there is little
uncertainty as regards the future of
the building industry in 1918. He will
not have failed to note that conditions
have arisen that will make the con-
struction Of buildings Of essential
character an imperative necessity, and
that their progress cannot with safety
be longer delayed.
That the general public broadly in
terested in these matters is getting
this point of view is an encouraging
sign at this time, but what is perhaps
Of greater importance Is the fact that
the shrewd. calculating element, the
men who control the money with
which building operations are
financed, are again willing to enter
upon negotiations for the financing of
building operations. This fact, and
the fact is established by actual tran
saction. will speak to the practical
in a manner that will carry the
weight of conviction, than any mere
expression of opinion, even II it Is
based on long, practical experience.
The tendency of the ioaning or In
vestment element in the building field
has always been considered the bar
ometer by whose Indications We can
with a reasonable surety look into the
future and map out u plans. Tho
officers connected with large loaning
thu have hAen }mkarran~aA
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01
SHIP BURNS AT sEA.

San ,Francisco, April 27.-Ths bar.
kentine Koko Head, bound for Maniln,
from Cape Town. burned at seas1S0
miles southwest OF Java Heads. and
the . Of IA men landed It 0nnxA-
ira after having been at sea Ia open
boats elk days, according to advfces
received here today.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01
ADDING MACHINES.

WE. HAVE AT THIS OFFICE SEVER
roIshs lHdding Machines. These are
machines which"fhave been replaced
. with Burroughs LedgeraPostin1 and
af+Rnnk4eAninp moch3na0 and ore IN fine
condition, Il Ask for styles and: prices.
Burroughs Adding Machine Co., ~
Clifford Bldg.,t Grand Forks.IN. u.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01

1. FARM LANDs,-Continuod.

iREAT BARGAIN-1so ACRES WIRE
fenced, 100 acres cultivated and can
put In max and barley this year. One
good crop pays for land Good house
and granary::t both. painted. Fine well
OF water and fair barn. On main rond
bank. several stores, elevators and
best Of markets. Price $4,000, half
s cash. Write J.sNB. Streeter.J Devils
Lake. n. Oak, ..%f<..
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01

FOR sALE-11oo ACRE FARM FOUR
miles from good own 81. good farm
ing district: 100000 worth. OF improve
merts., Price @45 per acre.&FBoxe 1872,
.Streeter, N. D. -Y.>,
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01

YOUR CHANCE Is IN. CANApA-R1cH
lands and business opportunities otter
YOU undergraduates: farm lands,t-Sl1.to
ysoaacre; irrisatedslands. 33s to 80;
improvements. Loan Of Ays stock:
4ixes average under twenty cents an
acre; n D taSes on improvements. per.
sbhal property OF live stock Good
markets. churches. scho031.hroads, tele.
: phones. Excellent tclimste-crops and
live stock, proves a. I. Special home.
81 seekers fare certificates. Write for
free booklets. Allen CaInefon, !0ener-
dian Pacific railway. l43 Ninth Ave.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01

tivation. very good house and barn,
both painted. only IN miles to AL
market town. Bargain at 31.So0.0o.
qth s ssdjoi1ins n 1end can = b had; Write
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01

SEED OATS AND FARMS FOR SALE
per bu. Some good improved farms
for sale or exchange In Walsh and
y Peunbtna counties N. d. Address Davis
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01

nRAFTED-MUeT BELL $40 aACRE
farm. 40 lcreS nov wa
.stee.:: ~ miiss .fr!e9 yAa5kS 1t4Rtane.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01
HOUSES FOR RENT.

FUN tSENVs "a
WATCH GRAND FORKS GROW
FOR RENT
$ea.25-One of the best atf modern .dats
in the city. - ~ 49,
but heat South Fourth street. -,
heat. n:urth Ave. W.
$20.00-6, roomed house., all modern but
: heat. Cottonwood St
$12.6O-: -oomed house. city water free,
L. Cheyenne Ave. .tr
$ls.00--e roomed house. all modern but
hat, Kittson Ave. ....r-
$2o.0J-6 rcomed house. all modern but
heat, Cherry st.
$13.0o-.b roorned house. i'll modern but
sewer. lone Ave:S5
$780, roomed house. city water, cell
80 lar, North Eighth street.
$500 roomed house, city water. cell
$500. roomed house, al, modern but
hest, International Ave.
s1o.G @;o.k modern ', room. In Kelsey
FOR SALE
81 900. oo-Three roonee house, aud one
acre OF ground. close. ".
$2.ooo.eo--sis roomed house. hardwood
1oors. nne shade All modern but
$500 .o0-New house. all modern but
heat, full basement, stationary wash
tub. hardwood oor and finish. Uni.
yersity. Ave.
3125o-six roon,ed cottage, city water
~--a n cellar. ine shadeEtrees Inc cis-
tern, North Eighth st.
49,, w. III. KELSEY
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01

FOR sALE-so4 ACRES. g Mules
tory, churches. .tore; school On farm:
dark loan soil: 40 acres timber: liv.
Ing: sprinf; barr sQxl9 base
cludins s. hes sne 81 cstess, IL horses r..
4 hogs. 50 hens all crops, complete
& farming equipment: price S$13.60o;
,eASy terms. Free list. Ellis Bros,
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01
SHOE REPAIRING.

SHOES REPAIRED NEATLY; Postage
N. Kamplin. Kittson Ave. Grand Forks
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01

WE Uo DEVELOPING AND PRINTING.
lowest prices: pest service. Vold'9
|, Drug Store. 20 So. sra. :.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01

EIGHTY ACRE8sF0Rs6AIB ONE MILE
from Fisher. Mimi. Write owner for
harEain.. a.M. ..AndUfs6n. s.1la 4ltA 50.
Rock Island. III
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-05-01
FARM s~1AOHurERY.

FOR a.sALE-A HEIDER TRACTOR
with kerosine tank and TIRES bottom
pillow, Good 9s new. Inquire OF Weis
Bros. Cummings. N. D., 80.