Logansport Pharos-Tribune from Logansport, Indiana on September 17, 1896 · Page 10
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Logansport Pharos-Tribune from Logansport, Indiana · Page 10

Logansport, Indiana
Issue Date:
Thursday, September 17, 1896
Page 10
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pose it should uot Increase; suppose in '.-,.. obedience to natural law and in ncord auee wit-h all historical precedent, the • - value of rhi' silver dollar iu c-onse- qucnco of rhe boundless tide, of them • that will l»e coined, should decline; then they would surely bo appalled at the ruin they had wrought; no prudent, no sane n»an will encounter such tremendous risk on so uncertain a contingency. What then is the cause of hard times in this country; why are prices so low and why are men idle? Not because ' ' silver wns demonetized, for it was not demonetized; not because there Is less legal tender money in the United States now than in 1ST?., for .there Is more of it now than then. It is because caplml is frightened and stays inluiding. It is because industrial conditions have been revolutionized in the last twenty-five years. Why is capital frightened? Because it has suffered.enormous losses and is threatened vr it'll losses sHII greater. When I speak of capital, I refer to money and credit, the means by which business is carried ou nud men are em- 'ployt-d; and we shall not sou better times nutill capital is assured it can come forth in safety. There is a blind and senseless prejudice against capital aud demagogues live by creating it. Capital and labor are set up as two imaginary enemies, opined to each other, each trying to annihilate Tlio other. TQiC: truth is that each is worthless without the other. They are vitally bound to each other like the-Siamese twins. Capital Is «c.'id until .labor wants to use it; labor is idle, helpless and famished until capital wants to employ it. The laborer would never pass from his door unless capital met him at the' threshold and offered him wages for his work. You cannot injure one without injuring it he oilier. The moment you strike down one, the other becomes a corpse. Who owns capital and where does it stay? It Is kept In banks, savings societies and trust companies; these Institutions lend it to merchants, manufacturers, builders, contractors, and these "men pass it along to laborers as wages. Rich men do not hoard money; they keep it in bank, where other men can use it, until they want to use it in buying and building, I once heard a very rich man who did little but loan money, say. "I claim to be a benefactor of my race. I cannot dig a cellar, lay stone or brick, build a house, bridge i or railway, but'I have saved money ! which 1 can pay'to others to do this work." He was right; every man who can save money and have it available for men who Tj'auit work, is a public benefactor. If i-idi men ate and drank so much that,the food-and drink supply were diminished, and other men's portions were reduced, the poor man might compliiiln; or if tie rich man sat down on his money, kept it out of circulation, whereby labor coiild not get it os wages then the laborer might complain; but' the rich man never docs this; he always keeps his money in bank. Banks come in for t.hoir share of abuse, too? Because they have money. Business men do not abuse them but the demagogue docs, and the laborer who does not think believes the demagogue. Let us see what part a bank plays' to a community. Its stocWiolders are . a .numerous body of persons, male and feinale, old and young, who have saved some money, many of them too old or too weak to work, nnd need income from their savings to keep them alive. Its depositors are often people of the same kind as its stockholders, but more frequently -men Iu business who do not need money today but will need It tomorrow, as the merchant, the contractor, Mie manufacturer. Here, then are the accumulated savings of a great many people, concentrated in one place where they can be reached by men who are carrying on business and have not money enough of their own. They borrow money as they need it, pay for materials and give wages to laboring men. Suppose there were no banks nnd each person hid 'his savings. Could merchants and manufacturers get at them as at the bank? Would the laborer who depends on dally work.for daijy bread be ns steadily employed and as regularly paid If there were no banks? Business could not be conducted without the aid of accumulated earnings, circulated In banks; every employer of labor will tell you so. Therefore the laborer who denounces banks and people who have money, is like a child that strikes .'its'mother; It. •abuses the best friend it has in the world. . AV'hy then are laboring men .idle? Because people who have money are afraid to,spend it, and because employers are afraid to risk manufacturing, not knowing what kind of money they will get for what they produce, or Whether they.will be able,to sell at any price what they make. Confidence. Is. what 'Is wanted, ability to get, at-.- the money -€iow In existence rather than Bflfactured cexsnutly that the fall'in prices of land and commodities hns been caused by demonetization of silver. I have never seen a particle'of truth given in support of this assertion nor do I know'of an article that lias fallen iu price whose fail cannot tie accounted for otherwise than iu'consequence of de- monetization of silver. If demonetiza- tion of .silver has caused a fall of prices it must be on account of a diminished volume of money, or a higher rate of interest for the use of money; for tjhoro is no other natural or logical eomii'ction between the two. But we have seen that we have now in circulation more money thau iu 1S73, both In volume and per capita, nnd rates of iu- •n.'i'est are lower now than-at that time. In 1S7H rates were from six per cent, upward; now .they are from six per cent. downwn.rO, Large loans, such as are needed ' to make public Improvements, -are negotiated, according to the security and terms of payment, at from live .to four per cent. State and National government, cities and towns, can borrow money readily at from live to three and a half, and even throe per cent. Jf ilemou-Gtizatiou of silver has caused a. decline in prices, that decline should affect all commodities within its roach and affect them nil alike. It has done neither. In the staple articles prices have been up one year and down •another; and if tihe general tendency has 'been downward, the cause can bo directly traced to increased production, difflisued cost of production or transportation, or diuviiiished consumption. In 1S73 we were ou a paper money basis and gold was at a premium. Prices were then calculated on the basis of a depreciated currency and wore high. Part of the decline is attributed to the increased value ef our money ami the disappearance af the premium ou gold. If demonetization of silver causes a decline in prices, prices siiould maintain their level where there has been no demonetiza- tion of silver. England has suffered from decline In prices, :ix]ually with America, yet their standard'is gold and has been so for eighty years, Farm lauds in England and France'are said to be less valuable now than two hundred years'ngo." The causes that h-.ive produced this'decline are precisely the same that, have brought prices down in America; new wheat fields in the western States and territories in South America, India; Egypt, and Russia; gang plows, grain drills, self-binders, steam threshers, railroads penetrating from the seaboard of every country to its Innermost gra'in fields, grain rates reduced from three cents to a half u cent per ton per mile, and on the oceau are steam ships .that 1 cany at Infinitesimal low rates, the products of every land to the dense markets of Europe. Twenty-five- years- ago American wheat, beef amd mutton' -hwd an unrivaled market ait Liverpool and con- ttoeLUitall ports. Aiislbrailia, Argentina, India and 'Russia' are now competitors of tihe American Itaner. Be:ef and mutton are killed and frozen In Aus- tmlia n.n'd Soultli Ainjertoo, «nd carried' Iu • refrigerator vessels to ' Europe. When tih'e Suez Canal was opened one- UUlrd of the uiereanifcile marine 'of .Europe was destroyed. Railroads supplanted river Mid canal .transponliation. Electricity Is destroying .the market for horses amd coal. Civilized, Ingenious mam has progressed faitCher and faster in the nitaeteenith century than in the nineteenth p'recededng centuries, wild in ithls imperial procession changes inquire condition of .the Iranian race are inevitable. The' people iin the United States ore not suffering.'low'prices because of .the demonetization of silver, but because 'of radical changes in tlw Industrial condition of the human pace. Why '.are prices low? There are .scv.-' eral reasons. Three years ago apples were'worth a dollar, a busliel. Why ? Because iihere was not a bueliel .of apples to 'the farm in the apple growing Sbi.tes; This year some apples will bo wontlh about wliat is costs'to pick •hud thousands of 'bushels will not •tunings and as much of every thing as lie can. Whon -titoe fanner comes to town, t buy groceries, *hjardwrire, clothing tools, implements, ihc is hnppy if finds cverytaiitmg low; bun when comes to to'win to sell something, h goes from place to place and wants b tl.nd prices as WgJi as "possible. living 'in town generally 'have but ou •article- to -sell—shocsjliaits, meat, eoa cloth-tug, labor, lumber, hardware, am they'hia.ve to buy everything wliHc •they need and do not produce. I'll farmer dii-ffers from tJie town maa li tills, iflKiit'lw? has a greater number o a:W.k*<,- to soil—apples, potatoes, corn emits, sihoep, cattle, liorscs; 'lue also has a. greater variety of artilcles to buj •1ilHi;u illi« town man—plows, iMir ciiMviitars, 'Iroes, rokcs, etc. And somothnws 'Wtai this crop or ''tfhait croi faiUs on life form, and Tie 1ra-s to buj whwilt, oaits or provisions,' he alway; waiulis to 'buy llhose ardalos as Cheap a: •ho can. And iu viiow of Hhe groaitei number of nrtiicfcs 'he ims -to buy, an* &K greaser nuiiibcn- of ai-ticles he has to sell, I cannot but tfljtok lie is in tin. coudllSon of all .'his fellow cLtizans namely; itiliat lie, as woll as they, an. interestetl, in Jia^iing iwicos 'both high amd low; 'b;i£rh for what -they have to sell, low for \vtait they 'hnv<>. to buy. iln (/Ms iwpoti^nl amdvifi-onism be- twoon buyer fl.nd seller, * is clearly iuv possible to leRilislaite so tlluit one should liave a,u adva-niflage over the other E.it<k must taJvD hiis cha-nccs as he can and sell vis Mgh ns lie can. Suppose Couga'oss should be impressed wfitli tiie idea flliait 'it sdiouJd do somothljig foi the farmer and actually legislate on t'lio subject. It is Immaterial what po-riicular «itei>s they ftifce, provided only iWne.v pass a 'lam' wlilcti sflinll be in effect: "Be 'iit enioioted thait the farmei sluiil get .$2.00 a. 'bushel for whea.t." He could tlMoi be. toppy, jtrovided he coul'd got $2.00 a Imsliel for wlitat, and keep all other articles down which he Has 'to 'buy, at itlheir former prices. But Jute Waippfiaoss would 'be sh'ort lived. Jftisous, caaTpjamtCA-s, tailors, shoemakers, lawyers, banikers, idoctors, mer- cihtunitis, moarafiaiciturers, seeing wba:t good luck >0hc farmer IMA received out of legi:»laitlkm, T\-ould go peH mell to Congress n;nd ask itlhnt good hjgh prices be" Used ifor ttieiu, ea/cfli equivalent to $2 n biMJhtel wihealt for the fiarmer. : Con : press could not refuse to tier, because iflie law mwkiiig power must be exercised for oU a'llik-e, amd when everybody else butfth'erarmer'iwd got prices up tx>' su'llt Mmself, the- ftirmer luaving to buy everything i-e needs' at-tire ad- vsinieed prices, Js oio bettef off than Ire was wilien lie and Ws felid.w. citizens wore dealing on a low plamo of .prices. .So -lit 'Js 'apparent itlmt unless one man enjoys a privilege or moaiopoly which li« Ims^.mo iflglut'to enjoy,.legislation' alone, of 'any sort, cannot, 'help Mtn. 'It wEl 1-iift 0,11 aneta up alike, or it' will lift none of them. " ;. "We Wad apaTkic.ln 1S03. I shall talk of -its cause and effect; a Ulfle kter.cui, but suddenly depositors drew',their bunks are hi local kitcrests.' Xhijy control the savings of people at home and •abroad, and ilt is ' couconiti-aited ' from wider ureas and o'-n Isnrger aiiiouat than to country banks; this is all the dif- feronce. Wliwi local business ineu need a few'thousand dollars, they can' get It to country, or iintand city banks. TOicu a vast building, a bridge, an olcflteiic, or a steam railroad is to be built, the a'moimt of mouey needed is fur beyond Me canjaelty of banks or people in. the vicinity, and the promoters of'tliese works of internal Improve- mciint go to Wall st.reeit, Loudouj Frauk- fort, OT- Amsterdam, where money Is hold in vast amounts; thflit' money Is not forced on us. We need not take 'It if we do uot want it, and tihe question is, sli-ill we do wltliowt the Improvc- menits, or stall w« eondCscemd to borrow money of a foreigner. Tihe for- olpnor Is neither cruel nor proud; all he wants, Is to be certiain tlisit he will got his mouey back, in as good money as 'he lewis, .and Hion lie Is satisfied with a low 1 rate of interest His money lias furnished horses, coittle, implements amd fences for farms, all over tlic western country; Ms money has built bridges across rivers, Tast build- •ings in cities, elec'tii'ic and steam railways all over 'the' country. Witliout bis money we should not. have liad these Improvements, amd if he receives Ills interest and principal as promised. Ire never complati-iis. ; Why he sliould be a. mark of vituperation and hate can be explained nowhere but iii a. lunatic asylum. Why is capital timid!? W U afraid of being loat. Tto'e owner of capital loses control of it when ho lends it. Whether he receives it ogaiu, depends on the good Jndgniejit and good faith of the man to wbom he lends i't, -.ind upon a thousand conditions wliicdi; ncMicr the ownor Tior tbe bon-ower can control. If it is loomed 011 a, mortgage, die sccur- ty may become worthless. If to a railroad company, bad management or competition, may consume it. If to build a bridge, other bridges may io'o ;t of its value, or a change In the cur- •ents of business may deprive it of all : ncouie. If it is loaned to -merchant's or manufacturers, it is beset wil.li • n housand perils. When money is thus ost, observe who loses it ond who gets t. The laborers wuo f build a house, a bridge, or a raSroad invariably re- •ecelve their wages. The la-ws secure t to them in every conceiviable way and public opinion supplies any dc- icieu-cy ithat -miay esisit in the law. If a momuffacttirer borrowiS money to .use u" his business lie pays Ills employes regularly; 'sometimes lie buys mater- a.ls' for whi'dh he conoit pay. Jif.mis- dtt judgment, or '(lie negligence of )ther men, or development of other iustaess, or chamge to politics, liually mba,rraisses wnd 'ruins 'him, the result that the laborer lias-got his wages, he employers owes liis credilitors, and lie. captailst who loamed h-is money is fhe.fi'nai'Ioiser. ' " : . , • . Statistics were •given some years ago, to show thalt more tluan -ninety-five per money out of banks, to suc'h an extent••]I dent ol men wlio «onOimue long enough tfliat baink«:tad no money to land. What jn '-business,. faiH.'amd cannot'pay tnelr •debits. .Busimoss.men never stop when Ithey lose their own money; they bor- ,WBB : 'itih«' result? W|hy It'-\vas••' then proved wh'alt, a vital element in tie conmtry's business, Hue banks are; for row as long ias th«y'cam, aod they fail iflie momenit 'liliey had to say to employ- wttat or how? Why to pay their debts. ors of labor, our money Is nil drawn out-and we have none rtx> lend, that mo-. rnent the '•employers had to say to their laborers, we cannot get 'any money ,in bank with which to pay you, and that' that momenit' the laborer had to. lay down their tools and'go mito.'idleness. Stralg'hitnvay, Shops; raiffls, furnaces all over the I country were closed'.and stayed closed. uniiil banks regained their mtoney and Tvere Jible to supply njooey for -rvaiges 'to the laborer. In June, 1803, t'he'-owner of a targe furu'aice who employed : a. great number of men, .mnd indlrecitly. gave, work to mineafi of ore and coal, came to a railroad company and' said, I have orders for uiotal enough to keep my 'business for mwnitb's, but flic bjinks cannot dilscooriit my paper and give me money -wiiffli wWdh r to pay my rnjen. If picked at nil. .Why? Kot because sil-l you will take my commerciial paper for ver dollars <ire pleiuty or scarce/but be- .freight money I <we you, I can get a cause every apple .tree' in tihe land is «He money for my men 'and they win full o£ apples ond doing Ms.mightiest to convince titie people .thait the price of apples docs not depend on the number of silver dollars afloat. Does anybody suppose 'tli.nlt apples would go up this year If a billion silver dollars stoould be coined tomorrow. The subject of prices 'has rnomy sides to 'it. Wlien a carpenter, masoni plasterer, -painter, shop man, «ny man who works by the day, monfch or year, buys niiyitihlng, he wants to buy it as cheap ns lie can. When he sells Irls.own labor, -he wants to sell tit ns Wgli as he etiiri. The tailor wants to sell clothes asThlgVas ho can, but lie wants to buy' everything' 'he needs.'', as", cheap, 'ate 1 he.cam Tih'e ttutcher wants to sell meat high',' but he,'wants to,, buy eveiyithlmg else cheap, so with the mel chant, the manufacturer, the law ( ver and Hhie banket, each JB Interested to getting (high prices for himself and low prices for evearybody else When a man who live* to town, bu walit until I can got more. .The railroad officers had to say to .him, the s cainnoit d'iiscount fhat paper for us, any more than for you. We have to pay oiit condiietors, eDglneers, fire : man, brakemen.and other employes in money,, we cannot keep the raib^oad going, so .Uh« furniaee was closed and f urnncc men', coal and ore miners and a pant of the railroad forces, were suspended 'from' work, all' becauise the banks coiild ho longer give money to business men. "Bear these facts in mind the. next time you ihear a .demagogue shouting; , lnyeetivea.,agaiQ9t banks. . The Pop'n- .Jlsts'an'a v free silyer t . D.empcrats : hre filled with eavnge fnry n«adns,t Wall street bankers and foreign syndicates They call them opprobrious names, as coupon cultters gold bugs, money sharks, bank oligarcblBts and non-producing 'eirones. Thte WoM European capitalists who They could not toil in au.y other way, and lit is the capitalist ttijit is the final loser. . . i" .' . • The'hlstory of our.counfcry in the last •twenty-five years proves the trutu of wli'at I liave said, aind accounts largely for tiie pre'vaffltoff depression. The speculative period wliifcbi followed it'he alose of our civii war, culminated •In a crisis- in 1872;. mcrdiantis, manufacturers and speculnitors wcre^-ulne'd, Individuals and banks' w"ho had'.'loaned them money lost that money. During the sfs or seven years .that, followed tJiia!t collapse, business was "stagnant, enterprise chocked,, laborers were idle. Dining the summer of 1878 or '79, It beenime apparent, that two causes were ait work wliilch would restore', prosperity to this country. Am unprecedented crop of wlheat in'this country and ah iinprDcedcmted •". failure of harvest abroad. There were hardly ships enough on the ocean to carry our snp- to Europe n/nd a season of pros- whicli was .called treasury notes and inaile a legail tender, dms in jet-King into tiie. circula'tiuig inetliium' of the couratry, .•i.nd wit'liont any regard to its mokiey needs, about iifty million dolbi-s a year. To Icissem ns much as' possible the otihenvJse cerbiiin disaster HUI.T was stire to come as a consequence of such financiering, Congress pledged the government to maintain the parity of gold and silver.' The market vsilue of silver from, 1S7S to the .present year, with oc- casJi'o-ual speculative valuations, has been steadily down/ward. At the same time. tihe gold income of tiie government derived from cus'tom duties and in consequence of treasury notes being receivable for 'those duties instead of gold, dwindled down, to less than ono- fountlh of wliat it held fonnerly been. The causes combined namely, the con- Sdnint dec-'liirae iii value of silver; the loss of gold income by the government and the obligation of the. government to maintain itbe parity of gol<l and silver, t'he volume of silver increasing at the rate of fifty millions A year, cswised foreign capital to fear 'that our govern- laemt would not be able to fulfill its pledge and matotaiin parity between goM amd silver dollars. This fear of foreign capital was manifested in 1S91 ;i.nd '92 by tiie sale in New York of large amounts of American bonds and stocks wliieh had been held abroad as an investmeoit. The dinilnmtlon , of gold income began ii> the Harrison ad- mi'nistraDlon, an'd was flic subject of •a'nxjiouis considei-ation by Secretary Foster. JE tlw <si)rimg of ] S93, large ox- ports 'of gold continued to be made from this country to Em-ope and the fact was W'Mcly circulate<l in t-h.s newspapers. Alt -tiie same time the -\%ahic of Uhe" silver dollar was decKning and ccrbian daily newspapers declared tihat value each day at tlic head of the editorial column; one day it was seventy- one cents; another day it was sixty- nine cents and another sixty-eight cent*;. A third factor wbi'Ch helped to lalarin capital was the reports of large •excess of dniports over exports, the umounlt stated for the four mouths ending April 30th, 1S93 bcsing about ninety millions of dollars. This was after- wards.learned to be an. error; but for the time it helped to spread the alarm, and Jn-May the panic was upon us. It was purely a money scare, but money was thoroughly scared. It was suddenly observed that a larger number of persons were drawing deposits from national banks and savings banks, than usual, aud within ten days from the dnite the movement began, banks were drained of their cash to such an extent- that further discounts became impossible,'and nothing saved the country from overwhelming disaster, but the action of associated.- banks in the principal cities, in making use of clearing Jiouse certificates -in settlement of their exchanges and extending relief to each other ray means of those certi : caites. We all remember what a shock was given to business the moment banks were disabled from landing money to business men. Self preservation forced them .to save- every dollar they could command, in order to meet ,the demands of "their depositors. But the strain was severe; manufacturing of every kind TVHS diminished or .wholly stopped; thousands of workmen, were thrown out.of employment, and the momenit. they ceased- to work, their consumption-, of provisions, clothing • and necessities of -Hfe.was curtailed. ' There was no cause wliaterer for this stupendous crash, except that owners of .'money -had 'become frightened and ti-lied to save themselves by dro-wing their money 'from, banks and .liiding it tin secret places;.they lost confidence iu banks anid in savings- societies; they dldnot k-no-w.wliat was going to happen and; .they thought.'the best-thing they could .do, was to get their money when they could, and silt down, on it- The lesson taught.us by that crisis should las* this generation while it lives; that; lesson was, that banks .as •collectors of money for Mie use of business men aire as vital to business- as aiir. is to life. Next, that money-will get scared and run into hiding unless it IMS confidence in the good faith and ability of banks and business men to 'in November, 1S03, the.obnoxious law was repealed. It took two years to * satisfy capital to.it it was safe to come forth again; mcaawhUe business was dull, men were idle, nnd silver advo- cait-es were busy preachlug the value of their patent medicine. There was plenty of money in the country, but it wa.s hiding because it was afraid. Finally iu the summer of 1S95, confidence w«s in 31 measure restored; money bega'n' to think it could again lind safe employment ami it began to come out of stockings, chimneys, bed ticks and (>afe deposit vaults and flow again into bamks and from banks into business. Again furnaces lighted their lires, coke ovens.began TO blaze, shops - were opened, dinner buckets came down from their pegs, workmen wore employed- and happy, and silver men were dumbfounded and silent. Suddenly an December, 1S95, and out of a clear sky, came a thunder bolt that shook the- nation .President Cleveland's Venezuelan, message gave the business of the country n, staggering blow, and we are still reeling under its dire effects. That ill-starred message suggested the possibility of war with .1 nation which buys nearly half of a'.l we export emd whose naval power is such that slie could blockade every important American port v/ithiin 'nine:y days. The possibility of such tremendous consequences, drove capital again into hiding, and what was equally disastrous, -it brought back to life tiie free silver quacks with all their follies, and the possibility of their forcing us'to take theft.medicine is the cause of our •present paralysis. The- astounding mistake they make is, that they do not know I'he part which confidence plays in business. They persist in saying there is not money enough when there is more money in existence than ever before. In spile of the fact that 'interest on money 'is lower than ever known, provided only it can be .assured it can 'be loaned with safety, they keep on preaching that what we want is more money, and Hike quack doctors in medicine, who are ignorant of the disease of their patient, they prescribe a "bushel of pills because one.piU is .sometimes effective. If the world's stock of mouey were doubled or ire-bled in a day, the owners would not lend it, unless tliey were sure of getting iit back. Lox:k c-f confidence, not lack of money is the cause of our present distress. Let ft be clearly understood that there never was and never will be money enough to meet the wamts of some men; men who cannot conduct business successfully, men who speculate and lose and have debts which they -cannot pay: men who have neither property nor credit which w.Ul induce lueii W lend them money; no matter bow many silver dollars might be coined, these men cannot get any of That money until they Jmve something'to exchange for It Nothing but silver falling like manna from heaven will give then) relief; any kind of legislation- will be totally inadequate. The present.generation 1ms been corrupted on the money 1 question, since 3SC2, when the national' government began to issue paper mpncy. It plunged deeper into the bog when it undertook-' to-buy silver bullion and coined it inito dollars,' and pushed those • dollars and their paper representatives No amount of money, though counted by billions, could have stayed that panic. .Somebody would have owned it would have- •perity followed for -two or tlhrce -years, .repay it. su<ih as has mover been, surpassed. Everybody liad money *o spend, and einplbail again became courageous and . _ .hopeful." The assinaition of President that money .and everybody who owned G-arfldd,;-in-1881,^as.fpllmvedbynn-|^ """"" >-*•>• """riBd-. It- Business other depression, . wJntch -lasted about tlirpe years, not so bad however, as between 1872 and' 1878, and from ISSG .until 1893i the Conakry" enjoyed a fair decree of prosperity. But in 1891 .and •'92, influences were, at work, to alarm caplitnJ,:wihtelL culminated In the money panic of May, 189.3. . What were, those Influences? Our government under the ndviee of Quack doctors, 'had been en- ; - gaglng in, two novel and wholly unprecedented experiments to finance Under the Stand act of 1878, the government had coined and pushed into circulation, regardless of" the needs of business, In doites amd silver certificates, over three hundred million dollars. Iu would have been prostrated in any 'event. -. - ' The wise men of the nation, with great, unanimity, saw that the cause of •the trouble .was a- money scare, and that the. main cause of that scare was what I have .already stated, viz: silver dally declining in value; the- government dally putting out large quantities of it, . calling; sixty; or, se venty-fi ve cents 'worth of ita, dollar and agreeing to make it worth a dollar. Congress was convened in special 'session in order that the Sherman law- ol 1890 which was the cause of the .trouble; might be repealed We all remember how that Congress con- re inito circulation, regardless of what the business needs of -'. the country required. It taught t.he people to look to the government as u manufacturer of money and the source of relief in all times of financial trouble. We shall never be assured of prosperity, until • tliis heresy Js" rooted out of our minds, It is paternalism in the worst possible form. Populists -like It; the- Chicago Democrats renouncing all Democratic •• principles nave. adopted it, and tee strange spectacle is presented • in this country, of 'the extreme paternalist and the extreme anti-paiternaliist, marching under •the sam|e flag-. Congressman Bland has taken the trouble to proclaim openly to the world, that tbe • Democratic parly has taken a new departure, I deny the rigM of the Chicago Democrats to com-mtt the Demo- • cratic party to. that departure. The only -reliable- test of tie sufficiency of money is this; can men who have credit and property get what they need in their business? ,-K they cannot, or if rates of .interest arc too high, It is a sure s'rgn that -there is not enough cir- ' culating medium. And If laws are enacted which will permit Individuals, , acting as a -bonk, to issue money under • proper safe' guards as to its Issue' and redemption, the business world • will- always 'have money enough. N'o dan- . ger .that banks can monopolize the • ma-rket and make themselves rich on •high.- rates, of interest. Two • causes ' ' will always -prevent them- from doing - ; that: First, . the .unllmiited supply of :money in tne old -wordd wWch 'will', • •' .-come, at our call, at-low raJes otlnter-, 'est, 1 if we give good assurance -that we .-.-. -wjtt repay 3t Second, our own cltl-| K zeas wLo wU create new boobs out end, If they see that banks aJi^adj existence are.maW

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