The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1918-11-27
(BY I. S. Mullenl

ipl All' i+NA us ul0NuSo tdSll OI lutll
somewhat in detail so as to seek the
proper angle with which to view the
embarrassing financial situation in
which Germany finds herself
Cannot Issue Bonds.
First: Government, in financing
may issue bonds. This Germany lid
The bonds, for the most part, were
sold within her own borders and
the amount aggregated q sum vary
ing from thiriy-thrce to forty bill
lion dollars. The entire aggregate,
property value Of Germany IN 1914
was estimated at ciehty-thrce billion
dollars, much Of which. in the ma
tire OF things, has materially deprc-
Gated in value. Germany, at this
time, is not worth this amount, bus
assuming that she is. it can readily
be observed that nearly one-half OF
her wealth has been absorbed in
bonded Indebtedness. This does not
take into consideration debts that
are owed by provinces and cities
and other governmental subdivisions
equivalent to a bonded debt in this
country'of states, counties, town
ships and cities. Some statistcian
has placed this sum at seventeen bill
lions so as TO make the aggregate
debt OF Germany, considering ma
tionally and fractionaily, in the ag-
grcgatc Of approximately fifty billion
dollars. Therefore, the bonds Of
Germany that have already been is
sued are not worth par, and to the
outside world, it.is perfectly. con-
c6ivablc that they would not be
taken at any reasonable price. This |
method OF reinancing or additional |
financing is closed.
Second: a nation in financing,
may tax the people. property and
Industries, including incomes. Ger
many is essentially a manufactur-
ing country. Steel and coal are the
most important clements in manu-
featuring Germany loses her iron
mines in Alsace- Lorraine to France
and will lose her coal mines. The
nearest oil fields are in Rumania,
Gia1icia and Raku, Russia. There is +
not barrel Of petroleum produced /
within the limits Of the German en-
pire. II is obvious that the manuiac-
tpring industry is practically dcmor-
;,lizcd Moreover there is no raw
material with which TO deal and no ,
credit with which to buy it. and ,
hence, if the people cannot make I
money. they cannot respond to the +
government tax levics. A major |
portion of the money earned by the I
German people has gone back to the 6
nation itself in the way of the pur- +
chase Of bonds. so that the eXchcqu- \
eEs OF both individuals and corpora n
I ions are depleted. Therefore, the +
power BY taxation to raise large +
sums Of money is patiently imprac- n
teal for some years to come. a
Fiat Money Impossible +,
Third: \ nation may issue fiat n
is to say, it may issue :,
/ piece Of paper with the proper st
signature OF government officials o
hereon and seek to breathe into it ~
'alue without property or collateral W
% guarantee its future payment. r,
This was invoked by the Confeder- nj
cy during the cWlI war ana 1t IS Sc
noWn TO the older generation Nv
ng today that tins nat money dur al
1g the latter days OF the rebellion tn
ould be bought for two cents gold pr
ince the credit OF the German en- il
ire is greatly impaired, who would "a
ave any further credence IN Ger tn
lany turning out tins paper money to
y the bale, by the sheat or roll. 1t m,
very much as one would PRINT CIR
ulars announcing the arrival OF a &c
ircuS. Therefore 1t IS an 1mPos- th
ble undertaking conducive OF sub me
.antial results. Tt
Fourth \ nation in its hnanc-- be-
lg, may conscript both labor and of
roperty. This method is seldom re- alb
1rted to and Is cruel and tyran- fol
ical IN its course since, IN the very Tn
ature OF the undertaking. 1t means get
lat the state exercises, to the nj. to
oSt, the sovereign control both OF Wo
riyate and public properties Inc
leory OF economic philosophy Is
lat the sovereign power has the -
ght to take over, even HE ITSELF m
order to support liseIl and upon W