Without entering into the technicalities of Japan's methods of financing the China Incident, Japanese financial circles declare that the note circulation is like a lake the level of which depends on two rivers, one pouring "water," that is, bank notes, into it, and the other taking it out.
The incoming stream, which causes the financial market to be inundated with bank notes, is swelled by the enormous State expenditures necessitated by prosecution of the China Incident, expansion of home production and replenishment of the nation's armaments.
All these sums have to be found somewhere and this is where the outgoing stream enters the picture.
Text read from the printed page and cleaned; old type leaves the occasional error.