Jasper County Democrat, Volume 21, Number 95, Rensselaer, Jasper County, 26 February 1919 — WHY YOUR MONEY IS NEEDED—HOW IT HELPS [ARTICLE]

WHY YOUR MONEY IS NEEDED—HOW IT HELPS

This Brief Questionnaire Gives Interesting Information on the Victory Liberty Loan. The government already Is exploiting the Victory Liberty Loan, which will be floated in April, In order that the people may start saving for the purpose of Investing in bonds of the “Victory issue.” The following brief questionnaire should tend to clarify the mind of any reader regarding the Victory Loan: Q. The war being over, why is there need of another great popular war loan? A. The proceeds from the Fourth loan, according to Secretary of the Treasury Glass, were exhausted last December, and the government must have billions more with which to maintain our forces overseas, bring the victors, home and carry out its reconstruction plans. Q. If Uncle Sam’s strong-box is empty, how is he paying his after-war expenses? . / A. This is being done with money borrowed from the banks at the rate of $600,000,000 every two weeks, shortterm anticipation certificates of indebtedness being issued In return. Q. As long as the banks are advancing the money, why not let them continue to do so?

A. Because in order to continue to extend credit to the business interests big and little of the qountry the banks must get back this money—amounting to 20 per cent of their entire resources—when it falls due, as only thus can the prosperity we now enjoy be continued. Q. Will the Victory Loan be offered to the people on a commercial basis, or will their patriotism again be appealed to? A. Secretary Glass says the patriotism of the American people will be relied upon to send the loan triumphantly “over the top.” It, however, will be made particularly attractive as to rate of interest and period of maturity. Q. What are the monthly war expenditures of the government at the present time? "A?The latest- official figures show that Uncle Sam is expending money at the rate of more than $2,000,000,000 a month. Q. Suppose I bought bonds of preceding issues and feel I can’t afford to buy any more Liberty bonds? A. Uncle Sam has to pay his bttie, and you must afford it, even If you have to?* continue for a further time denying yourself luxuries and apparent necessities. Unless the Victory Liberty Loan is a success the government will be compelled to raise the money it needs by direct taxation, and there are no Interest coupon* on tax receipts.