AMERICAN WAR EXPENDITURE

New Zealand Herald, Volume LIV, Issue 16673, 18 October 1917, Page 4

AMERICAN WAR EXPENDITURE

The cabled statement that America is paying £8,000,000 daily, or a fourth of the " cost" of the war, requires qualification. It obviously includes advances to the Allies, who are leaning more and more heavily on American finance, and a large proportion of the expenditure is therefore recoverable. The extent to which America proposed to make her money available for the Entente

is indicated by the- allocation to them of up to £000,000,000 out of the proposed loan of £1,000,000,000— second instalment of which is now being floated. The United States has thus become the great treasury of the Allies, taking the place so long and nobly borne by Britain, who immediately before American financial help becamo effective was spending £7,450,000 a day, including £2,000,000 a day in the form of advances to the Allies and the Dominions. For the present, American financial strength is of greatest value in buttressing less fortunate allies, but the direct expenditure of the United States is great and growing. On aircraft alone America proposes to spend £128,000,000, on shipbuilding at least £150,000,000, while finding food, clothing and equipment for rapidlygrowing armies. Up to now America has been able to fight only with her wealth. Presently she will be fighting not only with dollars, but with ships, aircraft, and men.