58 
WAR BORROWING 
“ The man who buys Treasury certificates to the amount 
of the taxes he will have to pay, and thereby anticipates 
their payment, will do a wise and helpful thing not only 
for himself but for his country, and will contribute in a 
most definite and patriotic way to the triumph of America 
in her mortal combat with the enemies of liberty and 
democracy — the Kaiser’s legions of lust and license — 
and share in the new glory of America’s vindicated ideals 
of justice and humanity.” 
The result was gravely disappointing. Between 
August 20 and November 6 the total amount of 
such certificates sold was only $157,552,500. 
Whatever other reasons may have operated, the 
low interest rate of the series doubtless played a 
considerable part in checking sales. With the 
money market “ pegged ” at six per cent, and the 
four and a half per cent, loan anticipation cer 
tificates in direct competition there was little war 
rant for expecting a large absorption of the four 
per cent, tax series. 36 
There have thus been emitted, in conjunction 
with our war borrowing, thirty-one issues of cer 
tificates of indebtedness to an aggregate amount of 
$12,692,559,500. Of these the initial issue was 
nominally in anticipation of the proceeds of the 
1917 income tax; six subsequent issues were in 
anticipation of the proceeds of the 1918 income and 
excess profits taxes, and one in similar anticipation 
of 1919 taxes — the latter two groups however par 
taking of important characteristics of the loan an- 
38 On November 6, 1918, the Treasury discontinued the sale 
of the four per cent, tax anticipation certificates and offered in 
lieu thereof a four and a half per cent, series bearing date of 
November 7, 1918, and maturing March 15, 1919.