FISCAL: The First Billion

With a "meager" $566,000,000 Treasury balance disappearing at the rate of $30,000,000 a day, Secretary Morgenthau spent 45 minutes talking with President Roosevelt at the White House. Next day, to U. S. investors the Government offered $1,000,000,000 in short term securities: $500,000,000 of 2½%. Treasury Notes maturing in 13½ months, $500,000,000 of 1½% Certificates maturing in 7½ months. It was the biggest piece of new financing ever attempted by the Treasury in time of peace, but it represented only one sixth of the new money which the Treasury expects to borrow before June 30.

Mindful of last autumn's fiasco...

Want the full story?

Subscribe Now


Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!