538

APPENDIX

or in the past—it is certain that in poor states there is no spare
money for new and great undertakings, and that in most rich states
the money is too scattered, and clings too close to the hands of the
owners, to be often obtainable in large quantities for new purposes.
A place like Lombard Street, where in all but the rarest times money
can always be obtained upon good securities or upon decent prospects
of probable gain, is a luxury which no country has ever enjoyed with
even comparable equality before.” (Walter Bagehot. “Lombard
Street.” 1878.)

(Ie) If the old stock in the railroad company cited sells at 115
on the Exchange, while the subscription price to holders of a “right”
for new stock is 100, the value of the right is determined in the following
 manner: Each purchaser or holder of 10 shares of old stock at 115
can acquire another share, or 11 shares altogether, with an additional
$100. Thus his 11 shares will be worth $1,250, or $113.63 apiece.
But since the old stock is selling at $115 per share, the value of a
right would amount to the difference between these figures, or to
$1.37 per right. If such rights were listed upon the Exchange, they
would be quoted at about 138.
(Id) The issues listed upon the New York Stock Exchange on
January 1, 1930, classified according to sources of issue, were as
follows

GOVERNMENT BoNDS
U. S. GOVERNMENT
US. Federal... iii iiiiinsitesaraasnansons
U S. Territories and Possessions. .......-...
U.S. States and Counties. . ........covneunnn.
U. S. Cities

Gov't Issues

12
6
22
25
65

Total U. S....

je

FOREIGN GOVERNMENT
Africa... ee ee
ABI. ons dbnrissinansns
Australasia. ...........
Europe................
North America.........
South America. .......

National
Gov't Issues

Subdivisional
Gov't Issues

Total
Gov't Issues

MN

¥

o
A

0
9
9
92
17
76
2073

{
a

Fe

IG

36
106

xy

Total Foreign.....

ao

Total U. S. and Foreign
 Government
Bonds

nn) 124

68

144 107 268