CONTENTS
Reading edition
PREFACE
CONTENTS
CHAPTER I
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
CHAPTER II
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
CHAPTER III
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
CHAPTER IV
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
CHAPTER V
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
CHAPTER VI
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
CHAPTER VII
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?
CHAPTER VIII
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
INDEX