CONTENTS
CHAPTER 24
Tae Unitep States, II. 1900-1914
Situation after 1900. Astounding increase in volume of inter-
national trade coincident with great increase in gold supply,
292. An extraordinary excess of exports, 293. Its explanation,
294. Comparison of balance of payments with balance of trade
reveals nothing out of accord with theoretical presumptions, 297.
But the course of net and gross barter terms of trade displays no
such trend as might be expected, 298. A possible explanation
may be found in the effects of the protective tariff, 303.
£1X
PAGES
292-306
CHAPTER 25
Tue Unttep States, III. Arrer 1914
Crisis of 1914. Recovery by 1915, 307. Great increase in
foreign demand for American products, followed by heavy
imports of gold, 308. Borrowing by belligerents from investors
in the United States as a means of paying for American exports,
309. Return of American securities to the United States, 310.
Flow of gold into the United States in accord with usual analysis,
but Ricardian reasoning as regards international trade not applic-
able; the sequence assumed in theory as to the relation of borrow-
ing to exports reversed, 311. After the United States entered
the war, loans to the Allies by the American Treasury, 313.
Direct relation between the huge loans and the huge excess of
exports, 314. The price inflation and the Federal Reserve
System, 316. Post-war changes in the international balance
of payments; in the non-merchandise elements, 318. United
States becomes a large exporter of capital ; rapidity of the transi-
tion from position of debtor to that of creditor, 325. Effect of
post-war gold movements on United States monetary system not
in accord with familiar doctrine, 329. How then explain equali-
zation of imports and exports? 331. The problems of the future,
3392
PART III
INTERNATIONAL TRADE UNDER INCONVERTIBLE
PAPER
CHAPTER 26
ram,
THE UNDERLYING PRINCIPLES
JE.
307-334
337-362
Mechanism of international readjustment thru price levels and
money incomes necessarily different when compensatory. move-
