%471. The National Banking System.%--Yet another financial measure to aid the government was the creation of national banks. In 1863 Congress established the office of "Comptroller of the Currency," and authorized him to permit the establishment of banking associations. Each must consist of not less than five persons, must have a certain capital, and must deposit with the Treasury Department at Washington government bonds equal to at least one third of its capital. The Comptroller was then to issue to each association bank notes not exceeding in value ninety per cent of the face value of the bonds. It was supposed that the state banks, which then issued $150,000,000 in 7000 kinds of bank notes, would take advantage of the law, become national banks, and use this national money, which would pass all over the country. This would enable the government to sell the banks $150,000,000 and more of bonds. But the state banks did not do so till 1865, when a tax of ten per cent was laid on the amount of paper money each state bank issued. Then, to get rid of the tax, hundreds of them bought bonds and became national banks. %472. The National Debt and State Expenditures.%--On the 31st of August, 1865, the national debt thus created reached its highest figure, and was in round numbers $2,845,000,000. Besides the debt incurred by the national government, there were heavy expenditures by the states, and we might say by almost every city and town, amounting to $468,000,000. But even when the war ended, the outlay on account of the war did not cease. Each year there was interest to pay on the bonded debt, and pensions to be given to disabled soldiers and sailors, and to the widows and orphans of men killed, and claims for damages of all sorts to be allowed. Between July 1, 1861, and June 30, 1879, the expenditure of the government growing out of the war amounted to $6,190,000,000. Many men who served in the army made great personal sacrifices. They were taken away from some useful employment, from their farms, their trades, their business, or their professions. What they might have earned or accomplished during the time of service was so much loss.