98  POSTAL  SAVINGS
credit  amounts  to  $1,000.  The  effect  of  the
liberalizing  legislation  was  an  immediate  and
pronounced  increase  in  postal  savings  deposits.
As  the  advantages  of  the  new  law  become  known
the  accumulated  hidden  savings  of  the  country
flow  to  the  postal  banks  and  are  there  restored
to  the  circulating  medium.” 43  In  its  annual  report ­
  dated  December  1,1916,  the  Board  of  Trustees ­
  uses  almost  the  same  language.  Both  reports ­
  strangely  ignore  the  question  of  receiving
non-interest  bearing  deposits.
Growth  of  Deposits
Since  the  inauguration  of  the  postal  savings
system  on  January  3,  1911,  the  growth  of  deposits ­
  has  been  continuous,  and  this  growth  (as
just  noted)  has  recently  been  stimulated  by  the
íaising  of  the  limitations  and  by  conditions
created  by  the  European  War.  Laborers  in  the
United  States  have  been  very  prosperous  during
the  past  two  and  a  half  years,  and  the  situation  in
Europe  has  not  been  favorable  to  the  sending  of
money  across  the  water  for  safe  keeping.  The
following  figures  show  the  balances  on  deposit  in
the  postal  savings  banks  at  the  end  of  each  fiscal
year  since  the  system  was  inaugurated.

43  Ann.  Rep.  3  Assist.  Postmast.-Gen.,  19i6,  p.  7,