The Bennington evening banner. (Bennington, Vt.) 19??-1961, 1918-10-03
Fighting Fourth Liberty Loan
|T0S9nimVEacts andV Figures
BOND PRICE VARIATIONS

tween national Indebtedness and
wealth at the time OF the Civil War
the United States Government should
DE able TO float a lean OF $4,000, 0O0,-
900 with every prospect Of Its forming
safe. sound and thoroughly desira-
BILE investment for the individual, an
authority on the subject, +. Kerr, sta
.istical 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 $3S,50o,O00, 900.
this s.atistic.cn said. for The United
states has proved that 1t can easily
and rapidly pay off considerable debt,
and 1t Is still country with magni-
rcent opportunities for development
and the production of new wealth"
After being at war year and a
half, with its 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 dollars The new Lib
erty Loan, he Fighting Fourth, there
fore, offers a good and safe invest
ment TO the loyal as well as an OPP
portunity to give practical expression
20 their patriotism.
In the entire history of govern
ment loans, and /. 'goe5 back through
the centuries, there are very few oc-
casions on which the interest on the
bonds ofdespon ole governments has
been defaulted, repudiated or fund
ed. This has happened only in the case
OF new and untried governments or
rs q result OF anarchy and reputation
of the debts then Incurred by the re-
sponsible incoming government. Even
then the Reputation has usually been
temporary. War Is usually followed by
period OF expansion and Invention
in the defeated as we'll IS In the VIC
torious country. Taking past wars
as precedent, the prc.ent war; be-
ing on a larger scale han any which
have preceded 1t. should shave larger
results.
When the present form Of govern
ment came into existence in this
country in 1890 the total indebtedness
Of the United States exclusive OF pa
per currency was $52TSS.722 and state
debts amounting TO oyer Is smillion'
ment. The foreign debt Of 10 million
with an interest rate4of 5oo.was re-
paid by 1895. The domestic debt al
so was funded and gradually repaid
the interest rate being reduced 20
SO. 1-29o. 1-2eo and go in various
ways.
To the total Indebtedness OF APP
proximately SO million in, 1900 was
added sl1 .250,00O, the purchase price
OF Louisiana but more than half had
been paid when the country entered
into the war of 1872. In 1911 an at
tempt was made % introduce United
States bonds on the London market.
The o% were quoted at 65 TO 1911,
the so a. 1O1 and 102 Interrupted
by the War OF 1912. a second attempt
was made in 1916 The geo were then
quoted at 81 and the 6e6 at 81 IL and
SO. These same boLds were quoted
in Philadelphia at the same time at
61 and 92. A go loan put out in
1918 was scld a. SO IA.
Although the war added about 81
million TO the public debt the floating
debt had been reduced TO such small
proportions by 1917 that payment in.o
the sinking fund recommended. BY
1885 so much had been paid off that
rs million surplus reyen g was dis
tributed among the states. Although
II added approximately 40 million TO
the public debt the Mexican war did
no. interrupt this prosperity. A 6fc
Joan which partially financed 1t was
issued at par.
On the basis OF all claims being adj
1usted the Civil War Is stated TO have
cost the Government three billion
dollars. At It's maximum In 1855 the
national debt was $2.756. 431.5n. Up
10 the present war the Civil war was
one OF the most expensive and ex'
haustiye OF all history We. the last
war loan bond was redeemed ~ years
later, In 1907. This was a feat re-
garded by Europe as astounding,
The most popular loan OF that wal
was the sec. 5-90-year OF lS62 OF
which s5l5,0OO,000 was placed at par
Reflnding operations from 1870 (
1877 redu ed the interest rate 20 5Po
TO 4 1-2so and then to 80. All is
sues were at not less than par
The prices Of the 6s OF 1881 were
as follows during the war; 1861. from
"a IL to "a; 1862, from 81 1-2 &c
107 L.. 1868, from 81 "a to 10 "a;
1864. from 1902 to 11S: 1865 from
1903 IL to IL 3-S.
Just previous to the Spanish wal
the national deb. amounted to some
thing over Sss6,0O0,00O. AT the enc
OF the war this had mounted C
Sl,165. S20, eS5. A S200.O0O,00 80;
war loan offered at par was sub
scribed seven times over and wen
to LOG inside OF three months The
debt was steadily reduced during thu
mine years following the. war anS
bonds for the Panama Canal were Is
sued at or Love par. showing thu
high credit standing of the country
During this period government secur
tiles rose TO maximum OF 1873 81
for the 4es and 1903 IA for the 81
issued to finance the canal.
Since then there has been no de
crease, the 1916 net Indebtedness o
the United states standing at $l.lS2,
6Ss. 1876 and having interest rates at 4Pc
3es, 2 1875 and 2Sb. or the gros
debt 66eo was non-interest bearini
and 2Aee. weH, bearing interest at 2s6
rNrtlttftINIl.-L
GERMAN VIEW OF CHRISTIANITY