The Effect of the War on America's Financial Position
Bibliographic Data
| ID | 9754022 |
|---|---|
| Authors | Thomas W Lamont (Member, firm of J. P. Morgan & Company, New York, corresponding author) |
| Year | 1915 |
| Volume | 60 |
| Issue | 1 |
| Pages | 106-112 |
| Publication date | 1915-07-01 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | The Annals of the American Academy of Political and Social Science (JOURNAL) |
| Journal identifiers | ISSN: 0002-7162 • E-ISSN: 1552-3349 |
| Publisher | SAGE Publications (PUBLISHER • US) |
| DOI | 10.1177/000271621506000113 |
| OpenAlex | W2000478523 |
| Language | EN |
| Citations received | 1 |
In analyzing the financial effects of the war, our first view must be in retrospect. The first effects which we witnessed were just prior to, or contemporaneous with, the outbreak of the general war. Those effects were calamitous. We saw our high-grade securities fall with great violence; we saw the entire fabric of foreign exhange, built up over many generations, knocked completely awry; we found ourselves unable to buy sterling exchange wherewith to pay our debts in London. Our gold was being exported in great volume. Within the two weeks after the outbreak of war between Austria and Servia we sent out $55,000,000 of gold. Domestic rates for money advanced to a high figure, and even at that money was scarce and hard to obtain. Ocean transportation was violently disarranged. It was impossible to get bottoms wherein to ship; and the rates for marine and war insurance ran so high that manufacturers could no longer afford to ship. To a period of general business depression that had existed for many months was added almost complete prostration of trade in various lines particularly affected by the phenomena just enumerated. The remedies that the country took to save these serious situations just described were prompt, logical and effective. Our securities were being dumped upon us in large volume by foreign holders. Therefore, we closed our stock exchanges so as to prevent an overwhelming flood of such sales. Gold was being exported and there was danger of a money panic. Therefore our banks went upon a clearing house certificate basis, and plenty of currency was assured to us by reason that under the Aldrich-Vreeland Act $400,000 of additional currency was almost immediately issued. Our bank situation was strengthened by the efforts to put into prompt working order the new institutions established under the Federal Reserve 106
Business · Debt · Economic history · Economics · Great Depression · Political science · Position (finance · Finance · Global Financial Crisis and Policies · Law
| Unique citing works | 1 |
|---|---|
| Citations per year | 0,14 |
| Citation span | 2019 - 2019 (1) |
| Citation velocity | historical |
| Highly cited | No |
| Citation types | Neutral: 1 |