Evening star., 1932-07-24

Without the enactment Of any more
inf1ationary legislation than already
has been provided, the amount OF
money placed in circulation has been
steadily rising through the depression.
In Midsummer of 1929, at the height
OF the greatest boom in the history OF
this or any other nation, the total of
money of all kinds in circulation was
s4,716,S62 SAT. This amounted to $39 "a
per capita In this Midsummer OF 1882,
with unemployment amounting to per-
haps 100000, and the National Cap
ital under siege of an army of bonus
seekers, the total money in circulation
is s5479,6 ,626, $50, or $43.85 per capita.
This shows the phenomenal increase
of s762, 763.973 in the total of money
held by the people, and of S4.5l in the
amount per capita. Only once before
in our history has the circulation been
greater That was just as the price
bubble burst, precipitating the depres-
sion of 192O-21 Total money in cir
culation then was S5,698,2l4,612 and
the money in the hand of each person
amounted to S53.2l, or 1886 more than
today.
In the good old days of 1914 before
the World War, the total money in
circulation was only $3,459, 9,434,l74, or
$34S3 per capita. Today We have ST.
GO, ,192,346, or 1892 per capita more
money than in 1914. In the very good
old DAYS Of 1879, before the machine
age had commenced its ravageS on a
mass production scale We had only
$8l0, ,266,72l, or but 1882 per capita,
More people have more money now
than before the World War! The num-
bers of those pre-war people who e2cn
had s3493 were only 99,027 900, while
the numbers of those who today have
S4385 apiece amount to the tremendous
total of 124957,000 So more people
have more money! Moreover. the pur-
chasing power of the dollar is greater
today as to many things than it was
in 1914 and very much greater then
it was in 1929. when the people had
S4.51 apiece less money than today.
Where the Trouble Lies.
There is no flction about these amaz-
ing figures. They are official, carefully
checked and reohecked by the Govern
thousands of when now are being laid
of for lack Of Treasury funds 70 pay
their wages
In spite of these undeniable figures.
any sane man in the country knows
that there is a trick in it somewhere
There is. The money has been issued
from the Treasury. 1t is being issued
in ever-incre2sing amounts. 1t is be-
ing paid out through Federal Reserve
Banks. 1t is being lent to the public.
Through every possible official source
millions in money is being poured
forth
The trick is in matter of definition
For accounting purposes, The officia.
figures list as money in circulation"
money which has been issued to the
public, which has actually been put
n circulation SO far as the govern
ment authorities are abe to circulate
1t. There is nothing else the statisti-
clans can call it. The money is out.
Not even the sums held in Federal Re
serve Banks, authorized for issue. but
not actually paid cut, are included in
the item money in circulation" When
the Government puts it in circulation
! II can classify it in no other way.
In the public mind the term money
IN circulation means something else
. 1t means money changing from hand
to hand with great rapioity. 1t means
easy spending, tie constant sight Of
currency and the ccin of the realm
1t means a steady sounding of cash