The Knoxville independent. [volume] (Knoxville, Tenn.) 1894-current, 1918-02-09
ENORMOUS TOTAL
OF WARS COST
United States Now Is Expanding
Almost TWenty-Four Million
Dollars a Day.
LESS THAN WAS EXPECTED
Total Expenditures Are Below the Es-
Inmates Made by Experts Before
the Country Took Its Position
in Great Conflict.

w uSlluSIOll Il eD. O.-lel uOnCQS OIL
the war have cost the United States
about $7100,000,000-at the rate of
S7lo,0000OO month, nearly $24,000,-
600 day.
More than half of this huge sum, or
$4,121 100000 has been paid as loans
to the allies, and the balance, about 3d.
000,00O,000, represents Americas out
lay for it's own war purposes, exclusive
of more than $6O0,0OO,0OO for ordinary
governmental expenses.
The wars toll in money Is increas-
ing at the rate of more than 100000
600 month, and indications now are
that the two remaining months of the
nations first year as a belligerent will
run its war bill to nearly $10,000000,-
600, of which $5,0OO,O0O,OOO will be for
allied loans and about the same amount
for the army navy, shipping board, and
other war agencies.
Cost Below Official Estimate.
These figures, compiled from the lat
est available treasury figures, show
that although the country's expendi-
lures are running into totals never be-
fore dreamed Of, they are below Off
clal estimates made early in the war.
Since war was declared April 6, and
the fiscal year for which estimates
were made did not begin until July /,
it Is difficult to compare precisely the
actual war cost with the fiscal year
estimates. Most of the war expenses
81. Y. . siS 4, llsses
ever, and the total outlay since then
has been $4,000, 100000 in a little more
than seven months, as compared with
estimates Of $1S,431, 100000 for the en-
tire year.
Two factors are held mainly respon-
sible for this difference. Officials of
the war, navy and other departments
figured literally on their expenditures
originally, to allow a margin of finan-
cial safety. In addition, production Of
ships and war supplies has failed to
develop as rapidly as had been plan
ned. Officials point out also that as
big contracts for ships and army ma
terials fall due in the next few months,
the expenses may run up faster than
Is anticipated even now.
Liberty Loans Pay Four-Fifths.
Government borrowings on the two
Liberty loans have paid for four-tifths
of the wars cost, and taxation and
few minor ordinary government re-
ceipts for about one-ffth. The loan
campaigns produced $500, 100000 and
81, 250,000000 came direct from the
pockets Of the people, and will not
have to be repaid. Financial demands
| by the war in the next few months will
I be met in the same way-by another
! bond issue, and by taxes which will
! begin soon to roll in from the first war
| tax act.
\ How America gradually got into her
| stride in the war is shown graphically
| by the monthly outpourings of funds
since the day congress authorized a
| declaration Of war-ten months ago
w SSliSodttys lDClOlC ApIIly LllC
monthly operating expenses were about
| $75,000,000 and the total annual expen-
SEES, including about $300,000,O00 postal
expenditures which were paid back In
to the treasury eventually, reached
only little more than $1,000,000,0 1000.
Expenses Jump Every Month.
Then came the war. In the first
month, May, 1917, expenses jumped to
$114,000,000; in June to $134,000,000;
in July to $20S,000,000; in August to
$277000,000; in September to $349, 000,-
| 600. BY October the monthly outlay
had reached $462, 100000; November,
| $512,000,000; December, $611, 100000,
and last month they We're $715,000,000.
In the first five days of this month
the government has spent $150,000,000.
These big sums did not include the
allied loans. They have averaged $780,
100000 month from the time the Uni
ted States entered the common fight
against Germany.
The army, navy and shipping board
| alone have dipped into the financial
,, war chest for more than 95 per cent
Of the nations fighting funds.