  CAPITAL AND ITS REWARD Finance the machinery of money-dealing—Lenders and borrowers—Capital and its claim to reward—Stored-up work—Inherited wealth—The reward of services—Questionable services—Charles the Second's dukedoms—Modern equivalents—Workers and Savers BANKING MACHINERY Money at a bank—Bills of exchange—Finance and industry—Supremacy of bill on London—London's freedom—The Bank of England—The great joint stock banks—The discount market—Bills and trade INVESTMENTS AND SECURITIES Stock Exchange securities—Government and municipal loans—Machinery of loan issue—Underwriting—The Prospectus—Sinking fund—Bonds and coupons—Registered stocks—Companies' securities—Stock Exchange dealings FINANCE AND TRADE Why money goes abroad—Trade before finance—Prejudice in favour of home investments—Prejudice against them—The reaction—Mexico and Brazil—Neutral moneylenders and the war—Goods and services lent and borrowed—The trade balance THE BENEFITS OF INTERNATIONAL FINANCE International finance and trade—Opening up the world—Exchange of products—Finance as peacemaker—Popular delusions concerning financiers—Financiers and the present war—The cases of Egypt and the Transvaal—Diplomacy and finance THE EVILS OF INTERNATIONAL FINANCE Anti-Semitic prejudice—The story of the Honduras loans—The problem to be faced by issuing houses—Their moral obligations, responsibilities, and difficulties—Bad finance and big profits—The public's responsibility NATIONALISM AND FINANCE Dangers of over-specialization—Analogy between State and individual—Versatility of the savage—Specialization and peace—Specialization and war—Should the export of capital be regulated? REMEDIES AND REGULATIONS Regulation of issues by Stock Exchange Committee—Danger arising therefrom—Difficulty of controlling capital—Best remedy is keener appreciation by issuing houses, borrowers, and investors of evils of bad finance—Candour in prospectuses—War as financial schoolmaster—War as destroyer of capital—War as stimulator of productive activity |
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