Audubon Republican. [volume] (Audubon, Iowa) 1894-1925, 1921-03-03
WHY DEBT SHOULD
NOT BE CANCELLED
UNCLE TED TELLS CHILDREN
GREAT BRITAIN GETS LARGE
RICH TERRITORY.

well, 1t doesn't look so big on
the may anyway. / do wish the
people who make Biographies would
make all the maps of countries on
the same scale. These maps give me
wrong idea of the size of some of
| the countries" 1t was Ruth talking,
and, in reply, Jack exclaimed:
1.-THE figures prove that l was
right, whatever the maps look like"
Whats the discussion about?"
| inquired Uncle Ted, looking up from
the paper he was reading as he sat
deep in the cushions of a big easy
chair.
4 Teacher was telling my class to-
| day about some of the changes in the
geography because of the war re-
| sponded Jack "and l was just now
telling Ruth about the big colonies
England got in Africa. She wouldn't
believe me when l told her that one
of these colonies alone is as big as
all our Southern states east of the
Mississippi river, and sometime will
be just about as valuable. Il proved
it to her by the figures in the encyH
clopedia."
That's fine, Jack; I'm glad you
have learned how to use the encyclo-
pedia You can't carry all kinds of
information in your head, but you
can find nearly everything in a good
encyclopedia, and it's a good thing
to form the habit of looking things
up when a question arises like you
and Ruth have been discussing. You
won't forget the facts you've learned
in this way
,Io
came up, for it will make you inter-
ested in some further facts concern
ing the treaty Of peace and the rela-
tions between the United States and
the countries that went to war with
Germany. IL you think you'd be in
terested, I'll tell you few things
that are Just now receiving good
deal of attention from the big men Of
this country"
go ahead, Uncle Ted" exclaimed
Ruth. IT don't like to have Jack
beat me out in a dispute, but I'm
glad he told me some things / done
know. What is it the big men of the
country are talking about?"
well, it's like this answered
Uncle Ted. you know the war was
originally European war growing
out of the commercial rivalries of
European nations. In the beginning
we had no direct interest in it, but
| it became our business to get into
the war when it was apparent that
Germany intended to sink our ships
in violation of international law.
After we entered the war it became
apparent that the allies were out of
money and supplies, so we loaned
the various nations different sums
amounting in all to about $4,000
900, 900. Nearly half of this we
loaned to Great Britain, and she
made loans to some of the other
countries. The United States did
not, have the money in its treasury to
loan to the allies, so it borrowed
the money from its own people by
selling them bonds. The people of
the United States supplied the mon
ey and they must eventually pay the
bonds through taxation, except to
the extent that the allies repay the
money we loaned them.
Now, Just to give you a general
idea of the situation, and without
dealing in exact figures, but figures
that are approximately correct, the
United States raised for war pur-
poses about $4,000, 900, 900, of
which about $1O,000,000,0 was
raised by taxes, and $4,000, 900, 600
by sale of bonds and other evidences
of debt. We are still in debt more
than $24, 1000, 900, 900, but the air
lies owe us about SO, 100000, 900.
Some time ago Great Britain made
suggestion to the United States that
we cancel the debt of $40, 900, 000,-
600 the allies owe us. or course, if
we cancelled the debt, that would
mean that the people of the United
States who pay taxes would have to
pay the $4,000, 200, for the
Shifted States has its bonds out for
that amount which we raised to loan
to the allies. The additional burden
would fall upon all the people of the
country, for, although lots of people
do not pay any income tax, or any
other kind of a tax, directly, yet they
pay the tax indirectly when they buy
goods, for OF course taxes are figured
in as part of the cost of doing bu6-
mess. There are about 10,00O,000
people in the United States, so you
can easily figure out that If We can
eel the debt OF the allies, 1t will mean
on an average, placing an additional
debt of $50 on every man, woman
and child in the country, or $3.50 for
every head of a family"
81 don't think that would be right
or fair" interrupted Jack. Even If
the allies pay their $4,000, 900
loan, this country will still have
debt of about $4,000, 100000 20
pay, won't it?"
Eyes, that's about right, Jack.
The war will cost us about $25,000,-
900, 900, without counting interest.
even If the allies pay their debt. The
interest will probably amount to
more than the principal, by the time
it is paid
That's interesting" Ruth inter
yened, "but what's all those big fig
ures got to do with this map Jack
was showing me?"
Gust this, Ruth: You see, when
the war was over, the allies made
treaty of peace with Germany and
took a lot of territory away from
her. Jacks teacher was telling his
class about 1t today, and Jack was
telling you. France was given big
chunk off one side of what used 10
be Germany, and is to get lot of
money in reparation, or what we
would call damages, in ordinary bus
mess. thing France is entitled to
lot more than she will get. Then
Great Britain gets the German col
onies in Africa, that Jack has been
telling you about. He is right about
the size and value of the colonies.
German east Africa is about the size
of the southeastern corner of the
United States, east of the Mississippi
river and from the Potomac river to
the Gulf. And in richness of re-
sources IL is no less Yalnahle Ger