Soon after war was declared by the United States, American warships took over from British and French vessels the patrol of American coasts, while Brazil added her navy to that of the United States for the protection of South American waters against the common enemy.

THE FIRST “LIBERTY LOAN”

On May 2, a few weeks after the United States entered the war, subscriptions were opened for the first block of $2,000,000,000 of the “Liberty loan” of $7,000,000,000 authorized by Congress in April.  Great popular interest was evinced and all classes of the American people hastened to subscribe for the 3-1/2 per cent bonds, so that when the books were closed on June 15 it was found that the loan had been oversubscribed by $1,035,226,850 and the list of subscribers contained no fewer than 4,000,000 names.  Most of the amount raised was used for loans to the Allies, to be expended in the United States for war munitions and supplies.

A war budget appropriating $3,340,000,000 for current expenses of the war was passed by Congress and signed by the President June 15; also an Espionage bill which among other important provisions gave the President power to place an embargo on all exports.  On July 14 the House of Representatives passed an Aviation bill appropriating the sum of $640,000,000 for the construction and maintenance of an aerial fleet for home and foreign service.

FOOD CONTROL BILL PASSED

On August 10 President Wilson signed the Food Control bill adopted by Congress after prolonged debate, and he at once announced the formal appointment of Mr. Herbert C. Hoover as United States food administrator.  Mr. Hoover, whose work as chief of the Belgian Relief Commission had made him world famous, stated the threefold objects of the food administration under the bill as follows: 

“First, to so guide the trade in the fundamental food commodities as to eliminate vicious speculation, extortion, and wasteful practices, and to stabilize prices in the essential staples.  Second, to guard our exports so that against the world’s shortage we retain sufficient supplies for our own people, and to cooeperate with the Allies to prevent inflation of prices; and, third, that we stimulate in every manner within our power the saving of our food in order that we may increase exports to our Allies to a point which will enable them to properly provision their armies and to feed their peoples during the coming winter.”

INTERNAL HANDICAPS IN AMERICA