THE  FUTURE

21  X

financial  institutions  could  be  induced  to  participate
in  certificate  purchase  have  been  developments  far
beyond  every  estimate  based  upon  past  experience.
It  is  not  too  much  to  anticipate  a  like  favorable  result ­
  in  this  particular.  Certificate  borrowing  has
the  virtue  of  familiar  use;  installment  payment,
the  handicap  of  novelty.  But  the  issue  is,  on  the
one  hand,  between  a  manner  of  demand  borrowing ­
  effected  through  the  direct  expansion  of  bank
credit  with  mischief  making  possibilities  of  inflation ­
  and  rising  prices;  and,  on  the  other  hand,  a
mode  of  direct  funding  which  will  supply  the
Treasury’s  needs  from  the  savings  of  its  citizenry
with  the  accompaniment  of  restrained  expenditure
and  a  heritage  of  new  thrift.  If  there  be  any  risk
in  the  venture  it  would  surely  seem  worth  the
taking.

THE  END