fje Jflotmt Mf® mtop.
fOL. XXXIX
MOUJfl AIRY, NORTH CAROLINA, TBUR3DAY. JUNE if , 1917.
MO, 49
WAR-TIME SAVING.
How CrwU BriUia hu Handl
(Address of Thoauu M. Lam on t. of
New York, J. P. Morgan and company,
baton N«w York State Bankers asso
ciation, Laks Placid, N. Y., iuns 22,
1»X7.)
War Tims Saving: The rsason 1
hava chosen this subjaet is that tba
winning of tba war daponds, to sn ex
traordinary decree, upon whether the
country goes to work at once to han
dle this problem effectively.
To England's first war loan of •
billion and three-quarters dollars In
November, there were only 100,000
aubecrlbers. To her last great victory
loan of $6,000,000,000, early this year,
there wore eight million subscribers.
What was it caused this tremendous
increase in national interest, this won
derful financial support from every
part of the nation in the prosecution
of the war? It was thrift, the habit
of saving and investing; a habit form
ed by a whole people, working with
one definite end In view.
Now wa ara in tha war, and now w«
In Amarica must datarnina whathar,
«iuring tha coming month* and yaara
of tha conflict, oar govarnmant U das
tinad to hnra tba whola haartad and
anthusiaatie ■ up port of tka nation.
This qaaation I ragard aa tba moat
praaaing ana bafora a* today. And
bacauas it ia aa, 1 astaam it a ■ pacta]
(rtrOaga to spaak to yo« at tbu tima,
far yaa hara rapraaant tba thrift and
proa parity of tba grant tmpirs atata
of Haw York. Taa hara ara in a paai
tian bhbttaMMN hi a nm*a
■mat to aatabUah thrift and aaviag
upon « wlaBtilh haaia hi Haw York
atata, fast aa H baa baan aatabliabad
la Oraat Britain. And tba wbola na
tion mast fallow suit, if am ara ta ran
dar raal support to tba govarnmant in
its pioaacntlon of tba war.
Baanr Law, rhaarallar of tba a*
ohapuar, racantly annoanesd in tba
hoasa of mmmnns that tba British
govsi nmsat'i avaraga daily axpandi
tara daring April and May was ap
praximataly » t-X millions of dollars.
"This ia aa ineraaaa of Mara than thtaa
fold, as camparad with tba daily avar
aga of aboat IS million dollars in tba
first yaar of tba war.
Aa you know tba sxparidituras of
<3raat Britain and bar alliaa, for tba
purchasa of all kinds of sappUaa ia
tha Unitad Stataa. ara anomaos;
Amarica's ax ports ta tba alliad cour
triaa daring tba aina months adding
March tl. 1»17, amounting ta IMTtr
♦00,000, or aa iacraasa of 91,340.000,
ooo avar tba corraaponding pariod of
tha praviaus yaar. This ia a dnily
avaraga of orar »13,000,000 for tba
«ina months. Of couraa cradit haa
bad to ha axtandad in Inrga maasara
for thaaa purchaaaa.
nag* mwlHim to Fact.
Amarica'a financial reaourcea are
now call ad upon to provide not only
for the expenditurea of the alllaa in
thia country, but alao for funda to bo
expanded by our own government,
probably at the rate of $10,000,000 to
tl2,<M>,900 par day, In ralaing. equip
ping and maintaining our military
forcea. It ia aaaiar for ui t o appre
ciate the plain 'act that the United
Statea government ia going to require
treat auma of aoaey than it ia to^ a«
to comprehend thoee auma, expreeaed
la bUliona of dollara.
The aubecription booka of the »2,
000,000,000 liberty loan were cloaed a
week age. The flguree indicating the
total a umber of aubee libera are not
yet available, but we knew that they
have been nothing like aa numervaa fa
they moat be hi the future. We are
well aware that the liberty loan la
ealy the 6 rat of the iaauea which the
gevernnteat muet bring out In order
to meet our lnt rearing war expendi
turee And if we are to teat eeeciaa
fatty thaaa umalw tamma. all *•
people muit invest on ■ heavy scale.
Just u they Nan in Graat Britain and
Franca. Tha paopta of England sub
scribed to the victory loan laat Janu
ary about 40 par cant of thair com
bined annual income. In other words,
two-Aftha of the average earnings of
•vary family in Graat Britain ware da
votad to that lean. No such nun waa
ever before available for investment
under normal condition* in Graat
Britain or in any other country.' The
result came from the united effort of
millions of people going without
things they otherwise would have
bought. America's liberty loan, just
completed with success, has meant a
monumental effort in the way of mis
sionary work. A great number of
people who never before bought a
bond contributed to the total result.
Some of the wage earners, who patrio
tically subscribed, are probably still
uncertain about just what has hap
pened and are still a little haxjr about
what they are to receive in return for
the weakly deduction* to be mad*
from their wages in paying for the
bonds. And yet. If the American peo
ple were lending to their government
in the same proportion of the national
income that England lent this year,
the total for America would not be a
two billion loan, but a fourteen billion
dollar Liberty loan.
Bow to Beach the Wage-Earners.
The great problem, then, is How
to reach the great army of wage
earners, and with them create an array
of savers and investors? The carry
ing on of a war necessarily involves
enormous expenditures by the govern
ment. A large portion of these (esti
mated by some aa high as 80 par cant)
rto directly back iota the waps (Mi
therefore becoasaa a matter of peal
public importaace that all the people
realising at Home, and participating
in the prosperity broaght about by
public expenditures oa a large arsis,
should be broaght fully to understand
the advantage of thrift aad be induced
to practice it Only ia this way can
we create an important savings fund,
to be employed in the purchase of the
government's obligations.
The problem of conserving the earn
ings of people of every daaa and po
sition, and eepecially the problem of
.creating an army of small investors,
was flrst carefully considered by Great
Britain in the autumn ef 1916. There
had haM, as I have pointed out, only
about IN,000 subscribers to the first
mar loan of *1,750,000,000 iaaued in
November, 1*14. There were «bout
1,100,000 subscribers to the second
loan of »2^30,000,000 issued in Jul/,
1HS- The population of Great Brit
ain ia aboat 44,000,000 from which
1,000,000 men have been withdrawn
for service in the army. In January,
ltl7 8.000,000 subscriber* took the
third war loan (the victory loan) of
•4000400,000.
*cUag Up the Mm la the Treacher
Ia otter word*, after tvo and one
half years of war, for ovary Ave men
at the front there war# eight people
at home ready to back them up with
their money. To put in another way
what I hare already aaid, If la pro
portion to population, wa had aa many
aubaccibars, aa thai* ware to the last
British loan wa should have had 20,
000,000 •ubacrlbera to the liberty loan.
Our praklem today la the problem
that England faced two yean ago:
How |h*n wa teach etery van. wown
and child in the country to aave and to
become aa In rector la tha govern
ment'a obligation ?
A committee appointed by the chan
cellor of the exchequer to ttudy tha
question reported tat January, 1016,
that two Important objects ware to bo
attained by the successful solution s<
the problem: first, the reduction of
general consumption which would
tend to check the rise In pricee; and,
second, the raising of a certain sum of
money for the proaecutien of the war.
la order te accomplish these results.
certain facilities to be placed within
reach at everybody. Thaaa were:
flrat, • simple method of Invaitlai
savings; sscond. • guaranty that the
capital valua of the investment would
not depreciate; third, tha ability to
withdraw savings at ahort notice; and,
fourth, tha knowledge that aa high a
rata of intaroat would bo paid on tha
m on ay of tha aaall invaator aa on
that of tha large.
Tha eoasmittee pointed out that tha
would-bo Invaator thou Id not ba loft
to aook an invaatmant, but agencies
in cloao touch with him ahould induce
him to save, and should provida him
with facilitiaa for saving and for in
vaating tha procaoda of hi* thrift.
Effective Organisation Adopted.
Tha rocommondationa of this eom
mittea wara adopted by tha chancellor
of tha exchequer, and resulted in the
appointment of the National War Sav
inga committee to carry on education
al work; to eatabliah, on a largo scale,
voluntary War Saving* associations
for co-operative saving; and to devise,
approve and supervise various plans
to promote and to safeguard tha finan
cial soundneaa at investment agencies
and societioe.
Tm way choeen for douse thla w
the setting up of local central commit
tees throughout tho country, tack ra
aponaibla for ita own int. Local con -
tra! committooa irt appointed for
cities, town* or other municipal dis
trict*. These local commltta** arc
organising bodiee and do not receive
money. Tho local committee ia
thoroughly rtpmintatirc of all
claim and intoraata hi tho communi
ty, including in ito moahorahip mm
bora of local governing bodies, aiargy
war aavinga associations which, fat
torn, receive money and coOaci aah
War Savinga Assedatieae.
A graat part of tho worfc of thoaa
local, central committees ia tho eetab
liahment of tha War Savinga associa
tions. Than* aaaociationa arc co-oper
stivs organisations for tha promotion
of economy and thrift, and for tho
providing of meana wharaby war cer
tifies tea of on* pound denomination
can b* purchased on tha inatallment
plan. Tha** certificates ara iaauad by
th* government through tho post
offlca department at a coat of 16a M
each, and yield one pouad at tha and
of Ave year*. In other word*, th* cer
tificate ia a discount note, and ha*
th* appreciable merit of saving tha in
terest as wall as ths principle of tha
investor. Tha certificates have fixed
cash values for immediate periods be
tween data of purchase and data of
maturity (tha interest accruing being
nt a higher rata the longer the carti
flcataa are held.) and are free from
income tax. But no parson, either
individually or jointly with another,
parson, may hold mar* than 500 certi
ficates. Each member of the asso
ciation pays in fid a week (or any oth
er minima m sum that may be fixed
by the association) and when a mem
ber's installments paid in aggregate
15a fid, a war savings certificate is de
livered to him.
Up to March 1 thara had boon form
ad in England and Walaa orar 1.100
local coaimlttaaa (or aducational work
and oryan|aation. Mora than MJtOO
War «avinyl aiaociationi had baan
aita^liibad and affM>tfd with tha ean
tral body, tha National War Sarin**
commlttaa.
In tha 29 month» batwaan tha a«t
braak of tha war and tha and of Da
cambar, 1»1«, tha uaall invaator had
lant to tha Britlah covammant la ana
form or anothar, |«60,000,000. In
January and Fabruary, 1017. orar 10,
000 now aaaoeiatiooa wara formad, and
in thaaa two montha tha total rabacrip
tioni of tha amall Invaator for tha Vic
tory war loan wara at iaaat $200,000,
000.
Cawrtry-WMa Mambarahip.
Than ara now hi hglawl and
Walaa batwaan 2,000,000 aad 3,000,000
mtmbtri upon tha book* of th« War
Savins* aaaociationa. Although thia
frxt army of uu11 invaatora In fov
arnmant loan* haa baan craatad durine
tha laat yaar, unnp bank dapoaita
Incraaaad almoat t»0,000,000 In 1010.
Suck an incrcaaa, in tha faca of haavy
invaclmant In govarnmaat loana,
•kowa tha wondarfol raaulla to whkh
thia ayatam of thrift haa lad in Grant
Britain.
Amarica chould umiuaationably taka
advantaga of England'a pionaar work
and axparianca in thia flald. In an
othar way can tha paopla raalisa that
individual aonomy, thrift and aaviag
of pannia*, cotlaetad in unita of dollara
and invaatad in loana to tha govarn
mant will ahortan and halp win tha
war.
In tha foregoing paragraph I Kara
laid greataat amphaaia on tha point of
uvinff fnr inn — Imuil
No less important has boon tho cam
paign to effect saving in ovary way.
Groat Britain haa boon faced with the
same problem which wo (hall have to
(ace. Countleee men have boon taken
oat of productive work and have bean
made consumers. A man at the front
consumes more in the way of food
than ha would at home. At tho same
time, there are less men who arc pro.
ducing food. Consequently, there is
a smaller production than formerly
and a larger demand far food aad
other supplies. This haa its immedi
ate effect in an increaao in price is all
of tho things which go into daily con
sumption. For asonthe oar own coan*
try haa been complaining Utterly of
high price#.
aNmhttte the waste, Ae roooM wflj be
that mm others wPJ have to go with
out a part or all df the things abso
lutely necessary to sustain life aad
health. A bushel ot wheat haa ao
more nourishment in it at |t than at
$1, and tho man who haa a fairly fixed
income either must buy one third lees
wheat or also give up somethnig elao.
It ie therefore a trite thing to say,
but perfectly true, that what thia
country needs and must have la a con
certed effort to eliminate waste, and
to do without thoee things which la
ordinary timee we should consider
nocoesitiee, but in timee of stress can
be foregone.
HaaaeheU Saviag fsesatlal.
it once we realise what others are
giving up it is no great sacrifice to ar
range our households so that a maid
can take the place of a man and re
inh (H man ior work «IKI I wa
in cannot do; to wi mora ilapl;, se
that less wastage occur*. In Eng
land, aa you know, the number of
couraaa in a Baal to restricted by law
and heavy fines ara impoaad far vio
lating tha rula» laid down. These sac
rifices that wa can maka along theee
lines ara small compared with tha mc
riflca of thoaa who ara offering thair
live* to tha country. Yet, in thair
way, thay ara juat as aatantlal to tha
good of tha cauaa. Ta do without
should ba a mat tar of pride, a subject
for praise.
Of couraa wa shall ba char (ad with
disturbing business all dang tha Una.
Yat it is absurd to talk of businaas go
ing on as usual, whan wa bars 10,000,
000 man subjaet to draft for tha front,
subjaet to withdrawal from thair cus
tomary pursuits and turnod Into con
sumers. Already the maxim "busi
ness as usual" has become an absurdi
ty. Certain industries bare been
swollen far beyond thair customary
activities through the manufacture of
munitions and materials far aw slltea.
AU tha workers la such plants have
received and have spent mora money.
Tha country has had thia stimulus and
has reaped tha profits for nearly three
yaara.
Now wa must leak on tha other
side of tha picture as wall. Bualaas
win continue at hig» proaaura, tat II
will be bualnoaa directed toward ona
and.
That and ia war. Planta which do not
or cannot adapt themaelvee to the
manufacture of thinre which ara need
ad ara bound to auffar. Thotr work
man will hava plenty of opportunity
for am ploy men t, for tha experience of
our alliea haa ahown that it ia a abort
ara of labor, and not a aurplua of ta
bor, that haa conatantly to ba mat.
If I wara aakad to turn up tha ad
van tar* 'n our adoptinr aorae auch
plan aa haa baan found necaeaary in'
England, I ahould mantion thraal
pointa: Kirat, by roncartad aavinr,.
thoaa thinra wa hava to buy will coat
ua laaa than thay otharwiac would, in
compatition with tha rovernment,
which haa flrat call on all producta it
Mail; aecond, an anormoua raaar
voir of eollactod aavinr* will ba put at
tha diapoaal of tho rovernment,
which haa to hava tha monay and
ahould fat it from aach ona of ua ill
proportion to hia means; third, at tha
and of tho war thoaa who hava aavad
and inveated, aach accord inr to hia af
forta, will hava laid by a ahara in tha
boat aoeurity the world off an; an aa
aatbound to aarve tha holdor for many
yaara to coma.
Drawers tiling Owmkiy of ladaatrisa
Finally * most important consid*ra
tion in tha partkipaftsa by all tha pao
pia in this habit of taring and of in
mtlni thaas savings in sacuritiaa.
liaa in the fact that tha whole pupil
in thus ad oca tad to tha pnhaw aj
wmkip at socni itiaa, thereby firing J
hope that oar grant industrial in t%a|
futura may ha «tm aora taoer
>day; that tha a—bar at |
in tha saearMaa of ewr mU-|
will haaal
that an nas, woman or child in tba
country will ha without diract and vi
tal intaraat in our governmental and
bllliotM ilHittllHlfflf i
SIX DIVISIONAL GUARD
CAMP SITCS S1LICTKD.
Twa ara h AhWu. Twa ta
C*f|i» m4 Twa im Stalk
Cnralhsa N—a imt Tkia
State.
Washington, Jana 21.—Tha follow
ing six divisional camp sitae for tha
national guard in tha soutbeaitorn de
partment salactad by KaJ.^Can.
Wood, wars approved today by tha
war department:
Annlston, Ala.; Montgomery, Ala.,
Greenville, S. C.; Augusts, Ge.; and
Macon, Ge.
General Wood, it ia understood,
originally selected ali »uv« aits* far
national guard camp* in Georgia. The
war department dewed it wiser, how
ever, to distribute the croup* in m
eral states. There will be 16 division
al campe for the national fuard in all,
toe (net majority in the southeastern
and southern departments. They will
he regular tent encampments with a,
few occeesery wooden structures for
administration buildings stable*,
waek-heaaes and the like and were,
placed in the south because of the
more favorable climatic condition! for
troope under canvass.
National guard troope from the east
are to be drafted into the federal ser
vice July IS. It is regarded as prob
able that all the stele forces drafted
en July II will be sent lato the south
eastern department, to be followed
later by some divisions frees the cen
tral portion ef the country, which will
be drafted July 26.
Navy Rati— C*et increases
Washington, June It—Increase ef
the commutation price ef the navy ra
tten from HUM cents was ashed of
Cengrees today by Secretary Daniels.
He painted out that the increased cost
of living has made toe limit ef 90
AIR LINE STOCKHOLDERS*
HmmI is SteiMvilU
HtataavUle Landmark, J una 22.
Th* atockhoider* of the Stateevilie
Air Line Railroad Company ara ibout
to conclude that a koodoo await* than
at their annual meetlnga
Whan they met a year ago the State
had juat taken away the convict* en
faced in trading the road. They
ware kept away for *ix month*, being
returned January let. When the con
vict* were taken away a year ago the
company had juat eloaed a contract
for equipping the portion of the road
graded—about IS milae. The eon
tract waa baaed on the grading being
-ontinued by the convict*. Their re
moval knocked out the contract, and
nothing wat done on the road for aix
month*.
in* work of grading this year wu
in progress in Yadkin county, about
28 miles from Statesville and about
six miles from Yadkinvilla. Twenty
two milaa of grading U complete and
throe milaa under way. Three Yad
kin townahipe voted subscriptions of
100,000, none of tkie money to be paid
until five milaa of the road had been
graded in Yadkin. Soon tkie five
milaa of grading hi Yadkin would have
been complete and money to continue
the work would have been secured
from Yadkin, but the action of tha
State in taking away the convicts a
taw daya ago, without notice to tha
MMipany, and without any stataasent
aa to whether they would be returned,
all work on road for preeent.
baa so maah interest, ia a mystery.
At tha stockholders' meeting ia
Stetee*lle Wedaeaday Mr. Wm. Wal
lace was preeident and Mr. D. M. Aas
lex secretary. About all tha stock
waa repreaentad. Mr. t. Carter WU
Uasss of Yadkinvilla wm the only worn
resident of the cnuty |
Tha report of the
treaaurar showed that iadlvidaal sub
scripttoaa of stock—W.t76 aad Ira
dell township subscriptions paid ia
it to $130,47*. Theae indade
110,000 from Unien Grove.
The coavict labor by tha stale smimats
to $190,200. The unpaid subscriptions
to toe stock are 9M^00 froat three
Yadkin towaahipe and KMOt from
Dabsoa township ia Sarry. Theaa are
to ha paid as tha read is graded ia
There la aa eatstond
of near «1MM. «Uy
about 91.000 of which le urgent. The
diractora war* authortaad to make
nk tani w tWjr cnM ia MtJMMt
af tfca claims by the aala «t «rat «aart
faga boada ontha road.
Dm aid board of directors war* ra
alactad aa follows: I red* II county—
W. D. Tarnar, N. R MUla, Mm. Wal
taca. J. J. Matt, J. H. McKlwaa. D. U.
Atulay. Stetwrilla; T. U Adam*.
Bethany townahip; Dr. P. C. Jurnay,
Turnarabart; P. B. Kennedy, Eagle
MUla; J. T Janninra. Union Orora;
S. Cartar William*, D. M. Raaca, W.
T. Fletcher, P. W. Hanee, Yadkin
eauaty; R. C. Freeman, Surry. W.
D. Tarnar waa ra alactad praaidant
aad D. M. Aoaiay aacratary any traai
arar.