THE PRESENT 
35 
The nominal aggregate of the four issues in an 
ticipation of the First Liberty Loan was $868,205,- 
000. This amount remained outstanding until June 
30, when the issue of April 25 matured leaving the 
nominal amount outstanding $600,000,000. Dur 
ing the succeeding two months, the Treasury’s needs 
were supplied by the unexpectedly large overpay 
ment in settlement of the early Liberty Loan sub 
scription installments. On July 30, 1917, the last 
of the outstanding certificates matured and were 
paid off, leaving the Treasury free from certificate 
indebtedness. 
(C) The interval was brief. Ten days later, 
on August 9, 1917, short-term borrowing, nominally 
in anticipation of a Second Liberty Loan, was re 
sumed. The intention of the Treasury as to the 
near future was set forth in detail: 
“ It is expected that certificates of indebtedness will be 
issued from time to time somewhat in advance of the 
immediate requirements of the United States. The pri 
mary object of this is to avoid the financial stress which 
would result from the concentration of the payments for 
a great bond issue upon a single day (which can not be 
avoided wholly by provision for payment by installments 
as a great proportion of subscribers prefer to make pay 
ment in full on one day as a matter of convenience.) ” 14 
Although the avoidance of monetary strain in 
connection with the loan flotation was thus em 
phasized as the purpose of the renewed certificate 
borrowing, it is probable that the provision of ad 
ditional funds could not in any event have been 
14 Treasury statement of August 19, 1917, in Federal Re 
serve Bulletin, September, 1917, p. 664.