The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1934-01-16
Liberal Viewpoint
by DIR. HARRY ELMER BARNES.

d UN1BLINGS continue relative to President
~ RooseveIt's proposal to spend enough to
beat the depression. Republican war horses are
doing their best to capitalize potential opposition
to adequate financing of the war on misery pow
erty and suffering. It has been reported that
the ten billion dollar budget "staggers" certain
prominent figures in Wall street.
AS some writer's already have suggested, it
is very fruitful to go back and discover just what
these same groups were doing in 1917 when we
proposed to enter war to settle European diff
ferences.
Neither Republicans nor Wall Street were
staggered" at this time The Republicans were
SO eager for war that they were willing to see it
waged by a Democratic administration which
was bound to increase in temporary prestige.
Most of the 'wilful" men who opposed Mr. Will
son were members Of his own party.
Wall Street was exuberant, even lyrical, over
the prospect Of war. 1t had been working for
war for more than a year prior to our entry.
Some of the most powerful banking houses had
been openly on the side of the allies since Au-
gust 1914. They had made vast loans to the
allied powers and the latter had about exhausted
their credit With private bankers.
Great Britain had overdrawn her account by
$450O00O0O in January, 1917 The bankers were
faced with the sheer necessity of passing the
buck to Uncle Sam They were not worried
about big federal budgets in those days.
MOT only did our dominant financial figures
warmly urge war. They were successful in
inducing the government to pay for the war
mainly through the same type of federal borrow
ing which now worries many of these bankers.
The total cost of the war to the United States
between April, 1917 and october, 1919, was
s22832,000000 No less than twenty-one billion
dollars OF this total was raised through loans,
~ +10n 10 Cr7f
pay for the war We borrowed two dollars for
every dollar raised through taxes.
In addition to this direct immediate cost of
the war there quickly Sprang up large expendi-
lures for veterans relief Of one kind or another
We already have paid some six billion dollars
on this account and. at a comparable rate of
payment in the future, these expenditures will
have exceeded the immediate cost of the war
by 1860.
We are not likely to receive any appreciate
return from our loans to our wartime allies
So Calvin Coolidge probably was characteristic
ally parsimoniouS when he estimated that the
total cost Of the World war TO the United States
would run in excess of one hundred billion
dollars.
These wartime expenditures were. of course
responsible for the vast rise in our public debt
1t was approximately $500 100000 at the out
set Of 1917 and had jumped to S26, 594 800 900 in
1919. Those who are wont to blame President
Roosevelt because he is about to push Our public
debt beyond any previous record should bear this
fact in mind. Had it not been for the lavish
wartime expenditures Mr.. RooSevelt's budget
still would leave us With an enviable small pub
lie debt
MANY will protest at this point that We were
Iva faced with necessary war and were in
grave danger in 1917, whereas We live in pro-
found peace today. The fact is that We face an
Overwhelmingly greater menace today than we
did in the spring of 1917