Norwich bulletin., 1920-06-26
GROWTH IN NATIONAL DEBTS OF THE WORLD


 The national debts of the world now | approximate $2s5, DOG, ,eeo, ,oeo, against | s4l, ,eaa, ,eeA, zee at the beginning of the great European war. The interest ! charges on the grand total now. exceed Ss.0b0, zoe .9oe per annuD1, as against | about si,75e,esssa06 tn the year before | the war. writes o. P. Austin. statistici- 1 An. of The National City Bank of New York, Ia The Asuerieas The per capita l of national indebtedness averages, for the | ag1resate population of ail the countries | for which debt figures are available. l about S15e per capita, against approxi- i fnateiy $27 per capita in 1913, and an- a,lAl interest charges about $s per cap ita at the present time, as against about S1 per capita in 1918. These figures are, of course in very round terms.
 In general terms, it may be stated that the debts of all countries and colonies of the world ih which national obligations are created and recorded aggregated a little over S1, ,eoO, 800 .e06 in the year 17eo, Se.50o. .eea, coo at the beginning of the Napoleonic wars In 1793. and about SI,-I 900 .0ee COG at it's close In isi6. In the Sa years of comparative peace which fol- lowed the Napoieonis wars the advance was comparatively slow, the world total standing at about $e, ,see, 100000 at the beginning of the Crimean war in 1854. In the twenty years which included the CriIninean the American Civil. and the FraDco-Pfussian wars, the period 1854 | to 1874, world national debts increased | l50 per cent. advancing from SS,5ee, ,Hee,- 900 in 1854 to $2z.0eo, 900 .ooo in 1874. Then came forty-year period, which 1 included not only the nish-Aneriean, 1 the British Boer, the Balkan and the Russo-Japanese wars, but also large ex- penditures for the creation and main tenance of big standing armies and great 1 Tlavies. as well as the construction of railways and telegraphs, many of them l by national governments or through aid 1 granted by them, and in that forty-year l period, 1874 tn s914 national debts again doubled stan'>S at the beginning of the great European war at approximately | $44.0o0, ,000, ,000
 1 Then came the great European war
 with its enormous armies aggregating l 3o.0o0.0o men; It's transportation of men, munitions and food supplies across f great oceans; it's use of new devices for destruction on land and sea, in the air. l and beneath the oceans, and the addi- tions to national debts made thereby ad- | vanced by leaps and bounds, at rate l hitherto unheard of in any of the earlier wars, which sink into nsignih- canoe when compared with the mag
 
 tions participated, and in the six years from its beginning in 1s14 to the present time world indebtedness grew from S44,- 00o00, 900 to approximately $265, ,000,- 100000, an actual increase in six years of over s2o0. 900. 900 GOO an average in crease of 35.ooo .o0e, 900, as against an average of little more than s1 oeo, ,0oo,-
 900 per anTuIn in earlier years.
 This appalling increase in world na- I eaI IaAk l..- is. as has been indicated, due in large degree to the magnitude of operations the bigness of armies and navies, the transportation of men, munitions and food supplies across great oceans. the creation and utilization of iew devices for ltstruc-
 tion on land and sea, in the air and be- heath the ocean, and also in 8 not neon : siderable degree to the fact that the paper currency in with these new obIiga r tions were created and with which theil
 proceeds were expended WAS of con. stantly decreasing value as measured by ; it's gold backing
 Still another factor in the great in 1 crease in quantity of securities issued i! found in the fact that in many instance! | the sums realized for them were mate 8 rially less than their face value. In fact | 1 the sums which the European govern naents received for their funded debts ere ] ated during the war was about $500, ] o00 900 below the face value of the SC curitieS issued.
 c The creation of national debts, whicl s began with the Republic of Venice il f 11Ti,. was then declared justifiable il - time of war upon the grounds that futur . generations should bear part of the ey . pense incurred ;n defehse of the cornnol d country, and, from that time down to tn 6 present. the bulk of national debts ha n been accumulated by wars or in prepara s ton for war. The additions to nationa e debts in the period of the Napoleoni - war was over s2n0 ,oo0, 900 per annun c dropping to an average of less than $50 F 000.o0o in the 3S years from their clos Il to the Crimean war, averaging abou
 Se5o, 100000 per annum in the 20 year !, 1S5t-74 which included the Crirnean. tn n American Civil and the Franco Prussia l. wars. In the 27 years between the clos r of the Franco-Prussian war to the grea T European war, a period which incluie 1t the Spanish American, the British-Boe J. the Balkan and the Russo-Japanese warI h the additions to national debts average r. about $500. .oo0, 900 per annun1. though i -- a few instances exceeded $1.900 .o00. .0o d tper annum, but sink into insignifcanc l. when compared with the annual averag e of S35. 900 .o0o, ,oo0 per annum in the si e years since the beginning of the Europea II war.
 gl The aggregate debts of the Europea n countries as a whole grew from sS2 600 'e 900 ,08o at the beginning of the war Id $1S4ooo, 100000 at the date of the a B. mistice, and 23,e0o, ,ooo, 900 at the Ia est available date: those of North Anne se ica,- which included the United Statt