The Rock Island Argus and daily union. (Rock Island, Ill.) 1920-1923, 1922-07-26
Frederick Haskin's Letter


washington, D. G., July 1s.-Ths
term millionaire may mean one
thing or It may mean another. To
the average person . millionaire IL
1 man who ID the fortunate posses
sor Of 81, 900 900. To some Of those
who study the statistics Of income
published BY the internal revenue
bureau Of the treasury . million1
aire 10 mot one who possesses mere
~ $1,0o0,00o but one who has an
income Of 81 .00o, 900 year or more.
Such q man must possess q fortune
Of many millions Of dollars.
Tho vicissitudes Of these super
millionaires, most Of whom were
created by the war. is an interest
ing story. There may be some fic-
ton in 1t, also. 1t is difficult to de-
termine whether the statistics re-
hect actual vicissitudes OF fortune
or jugglery Of figures, but the fg-
ures must be taken at their face
value and the assumption made
that they constitute . true report.
II that be true. the super-million-
aires q the United States came and
went in the war years as summer
insects come and go, but there are
many still busxing around.
In 1914, the first year in which
the great war in Europe changed
the face of the world and turned
the channels of business. there
were 60 persons in the United
States who reported incomes OF 81, ;
000, 900 q year or more. The inter-
nal revenue bureau has no higher
classification than this. but it lis
said that If the classifications were
carried upward, it would be found
that there are incomes Of 10000
900 a year and more.
BY 1915 the crop Of super-mil-
lionaires had doubled. There were
12O persons who returned income
Of 1000. 1000 a year and over. In
1916 the number had reached. 206
This was the peak. In 1917 the fig
ures had fallen to 141; but in 1915
1t was g.; in 1919, IS, and in 1920
there were but g Americans re-
porting incomes Of 81, 000. 900 year
and over.
When They Dwindlel.
Observers of these matters see q
coincidence in the fact that the
great incomes began to dwindle In
the same year that the United
States entered the war and laid
heavy taxes and surfaces on in
comes. The figures are supposed
to give, not the taxable income
merely, but the total net income
That is, these amounts were re.
turned whether taxable or mote The
point has been made that the grea'
incomes did not actually fall Of
when the United States entered the
war 50 sharply as has been indi
Gated, but that by some myster'
ious manipulation they were KEEP
out OF the returns. That may b.
fact and it may be that the bene
ficiaries OF these vast incomes, re-
alizing that a large proportion o.
their funds would be taken by the
income tax collector, began in 1917
to distribute their property to heirs
or to dissipate it in other ways.
II the normal definition of mil
lionaire is used, the statistics are
astounding. Assuming that mil,
| lionaife is one who has an estate
worth 100000 the numbers cal
be arrived at by assuming that eacl
receives an income Of 10 per cent OF
his fortune. This would be at tn
rate of 500, 900 year. In 1914 tn
number of persons having income
of 100000 a year was 2,2SS. Adj
the 90 super-millionaires and
grand total of 2,348 is obtained
This was the year in which the Eu
ropean war broke out.
Taking this same definition Q
millionai.11, there were in 1911
some 3,704 Of them and, with tn
super-millionaires added, gram
total Of 1924. The figures TO
1916 show 6.42z with 206 super-mil
lionaires to add. giving grand to
tai Of 6,633. In 1917 the numbe
was 6,523 and, with the super-mil
lionaires, 1864. This was the hig
tide for the combined showing. TIL
high tide for the super-millionaire
was 1916 when there were 206. L
1917 there we're but 141. But tn
classes ranging down to the norma
single millionaires reached, thei
zenith in 1917. In 1918 there wer
l4,432 normal millionaires and 6
super millionaires or a total {
,499; in 1919 there were 5,461 MOI
NAL millionaires and IS super-mi
lionaires or a total of 1926; in 1872
there were 1916 normal 1nillior
aires and 80 super-millionaires G
q total of 3,649. This is the La
year for which figures have bee
compiled, but it is expected tn;
1921 and 1922 will show still ful
Their decreases in all these classe
i For the purpose of this comp,