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Show HIGHER RATE8 OF INTEREST An unusual Incident In tho financial finan-cial wor.d happened tho past week, when a largo block of Now York City G per cent bonds wero offered at par, It wus but u very fow years 'tigo that K bond ot this class sold to bring oul) . 1-2 per cent. Tho llnnuclnl wiseacres of that recent date predicted pre-dicted that interest rates would bo steadily falling. As they saw it, there was such a surplus of loanable capital that soon Interest would bo nbout down to the Kiigllsh level of 2 per cent for u government security. secur-ity. Tho rapid nscent of tho interest rato falsified these predictions. Even a year ago, tho manager of a large and sound land proposition In Colorado Color-ado was offering 8 per cent for money. mon-ey. A few years ngo Eastern Investors In-vestors wero glad to get sound real estate mortgages in tho West for flvo hnd six per cent. It Is doubtful if; this company could borrow money lor 10 per cent today. The low bond prices now prevailing prevail-ing aro of course duo In large measure meas-ure to tho war. Yet, oven It tho war were to closo qulto soon interest ' intes might not fall very much. Half j of the business men ot Europe could not pay their debts without rcallz-lug rcallz-lug on their securities. Our peoplo must take up tho stocks nnd bonds, that at tho close ot tho war will Hood our market. The effect of this chango will bo far reaching. Municipalities will havo to phy much higher rutes for money. Making public Improvements and paying pay-ing for them in long torm bonds will bo n terrible costly proposition. The pay as you go policy will bo better than ever. Itallroads and public service ser-vice corporations will havo to offer hlmost prohibitive Interest rates on enlargements. Either tho public will have to pay higher charges, or it will bavo to content itself without the improvements im-provements It desires. Ilut It Is a great day for tho man with n dollar to invest. |