The Birmingham age-herald., 1921-02-20
Daily Financidl Gossip
By HOLLAND


 New York, February 1s.-(Special.)- Should Congress authorize the Secretary of the Treasury to return the demand notes which represent the debt owed by the allies to the United States govern ment and give receipt in full for them, then, according to excellent opinion, ac- ton of that kind would increase by ten billions, either directly or indirectly, the war charges entailed by this governme1A during the war. For these ten billions represent money loaned by the people, and they are the real creditors. although the transaction was carried on by the these loans are cancelled the people or the United States will have contributed nearly ten billions more than are now represented by the actual cost to the United States of the war. Roughly speaking, it would bring the aggregate up to considerably over thirty billion doi- lars.
 This morning man of high authority who contributed time and money to aid the government and to give assistance to the people of Europe said: If this debt is cancelled then 1t would be entirely ap- propropriate for me to borrow i've mll- lion dollars from John D. Rockefeller When the time for payment came l could consistently say to him that he had many | POh'N,>>e' fore he should cancel the debt.'
 Comments of this kind are frequently heard ias attention becomes more ana more focused upon the proposition that the United States wipe out with stroke of the pen the debt now represented by demand notes in the federal treasury Sometimes reference is made to the argu- ment or appeal that as the United States was protected by the armies of the allies, there should be willingness on the part of the people of the United States to convert the debt into a gift
 It appears to be forgotten, however, that the loans which were made by the federal government to the allies were not the only contributions that represent ed assistance to these allies. It seems a little strange, so 1t Is said that in none of the suggestions for cancellations or the debt any reference is made to the gifts which the people of the United States made while the war was III pro gross. In fact, they are, continuing to give freely large funds so that the starv- ing children of Europe may be succored. MT. Hoover is to receive all the money he has asked for to aid in alterating the hunger of the little ones in Europe MORE THAN A BILLION 1 While 1t is not possible to obtain an ac- curate estimate of the amount of money which has been freely contributed by the people of the United States for the pur- pose of aiding Europe, nevertheless the sur mise commonly made is that It is con siderably more than billion dollars, ana possibly as much as billion and one half. The Red Cross fund and the Youns Mems Christian association fund. as also the Knights of Columbus and others amounted in the aggregate to nearly a billion dollars. That is nearly one-fourtn of the Indebtedness which Great Britain owes to the United States. This money Twas freely given, and 1t should be reck- loped with when account is taken of the services lin the aggregate which the ] United States gave while the war was m progress and also since the armistice l There come to our financiers reports that unless Germany is able to pay tne
 reparatiQn demanded of her then Grea' l Britain France and our other aines wno are In debt to the United Staten, will he
 unable to pay that debt. In other words there seems to be an impression that ou' debtor allies must rely upon Germany fol
 the means in which to pay their indebted ness.
 This is a different note from the ont
 (which has been recently sounded. For |
 has been claimed that Great Britain vii
 iiquidate her obligations through worit ltrade. and that other European countrie' will also in. that way he able to pay then 1 debts. So also 1t has been claimed tna Investment by Americans in foreign se curtiAs may become SC large as to slic' ! off considerable part of the debt. Bu
 now 1t Is asserted that unless Germany
 payn the reparation exacted of her ou
 debtors will be unable tU pay what the'