THE BONDHOLDERS AND THE PEOPLE
October 7, 1917
Not many years ago one of the favorite cries of those who wished to exploit for their own advantage the often justifiable popular unrest and discontent was that “the people were oppressed in the interest of the bondholders.” The more ardent souls of this type wished to repudiate the national debt, to “wipe it out as with a sponge,” in order to remove the “oppression.” The bondholders were always held up as greedy creatures who had obtained an unfair advantage of the people as a whole.
Well, the Liberty Loan now offers the chance to make the people and the bondholders interchangeable terms. The bonds are issued in such a way that the farmer and the wage-worker have exactly the same chance as the banker to purchase and hold as many or as few as they wish. No matter how small a man’s means, he can get some part of a bond if he wishes. The Government and the big financiers are doing all they can to make the sale as widely distributed as possible. Some bankers are serving without pay in the effort to put all the facts before the people as a whole, and so make the loan in very truth a people’s loan. It rests with the people themselves to decide whether it shall be such.
The Government must have the money. It is a patriotic duty to purchase the bonds. And they offer an absolutely safe investment. The money invested is invested on the best security in the world—that of the United States; of the American Nation itself. The money cannot be lost unless the United States is destroyed, and in that case we would all of us be smashed anyhow, so that it would not make any difference. The people can, if they choose, now make themselves the bondholders. If they do not so choose, and if they force Wall Street to become the largest purchaser of the bonds, which must be bought somehow, then they will have no right in the future to grumble about the bondholders as a special class. We can now, all of us, join that class if we wish.