1922 Encyclopædia Britannica/McAdoo, William Gibbs

McADOO, WILLIAM GIBBS (1863-⁠), American public official, was born near Marietta, Ga., Oct. 31 1863. He entered the university of Tennessee but did not finish his course. In 1882 he became a clerk in the U.S. Circuit Court of Chattanooga, read law, and three years later was admitted to the bar. He at once began practice in Chattanooga but in 1892 removed to New York City. There he became interested in the problem of passenger transportation. As early as 1874 a tunnel under the Hudson river from Hoboken to New York had been started but abandoned because of seemingly insuperable difficulties of construction. In 1902 he formed a company which took over the abandoned tunnel and in March 1904 this tunnel was completed. Later the system was extended to connect with the Erie and Pennsylvania terminals in Jersey City, and in 1909 the tunnel under the Hudson river to downtown New York was finished. In 1912 he was vice-chairman of the Democratic National Committee and during most of the campaign was acting chairman because of the illness of Chairman McCombs. He was a strong supporter of Woodrow Wilson for president; and on the latter's election he was appointed, in 1913, Secretary of the Treasury. In this position he contributed largely to the working-out of the new Federal Reserve Banks system. He was chairman of the committee which divided the country into 12 Federal Reserve districts and selected the centres for the 12 banks; and was likewise chairman of the Federal Reserve Board which had supervision over the system inaugurated in Nov. 1914. He was also chairman ex officio of the Federal Farm Loan Board. In 1915 he brought about the meeting of the Pan-American Financial Congress in Washington and the organization of the International High Commission, of which he was chairman, for improving trade relations of the United States with Central and S. America. At the outbreak of the World War in Europe he favoured strict neutrality. After America's entrance into the war he was called upon to raise unprecedented sums of money. He was successful in floating four Liberty Loans between May 1917 and Oct. 1918, amounting in all to more than $16,000,000,000. He also secured the creation of a Bureau of War Risk Insurance for shipping, later extended to include life insurance for soldiers and sailors in the World War. He was the first Secretary of the Treasury to require national banks to pay interest on all Government deposits. When the railways were taken over by the Federal Government in 1917 he was appointed director-general. He favoured the League of Nations and woman suffrage, and likewise the prohibition amendment. He resigned the secretaryship of the Treasury in Dec. 1918 and the directorship of railways the following January. He then resumed the practice of law in New York City. In 1885 he was married to Miss Sarah Fleming of Chattanooga, who died in 1912. In 1914 he married Miss Eleanor Wilson, a daughter of the President.