The Jeffersonian Democrat. [volume] (Chardon, Ohio) 1854-1865, 1859-02-18

in their operations, ono borrows money at
ton per cent. while tho other secures what
no needs at six. Suppose the advance to
only nine per cent. Tho ono borrowing at
six makes profit, whlo tho other paying
ten loses, and must If no continue, inevitably
fail. While all agree that six por cent is
probably fully as high as the average of bus.
iness will afford, and that this is as good q
return upon money loaned as the same
amount of capital invested in agriculture,
manufacturing and mechanical arts will on.
sure, aud that this should be the legoi ratio
whero no contract is made; yet il Is con-
tended that mon should be allowed to con-
tract for higher interest to any cxtont they
please.
The great argument used in favor of this
theory is, that money is like any other arti.
clio of merchandise, or product of industry
and should DO subject to like ruIcs--a man
having 1t should DO allowed to sell and traffic
in it as no plcases--a very plausible theory,
and very good, il you carry tho thing out
Lot each and ovory man as you do in other
things, produce IT, Make II the same as
other products of labor, no more, no loss.
Let mon make or produce money. Lot
thom traffic in it--let it DO lawful tondor
for tho paymont of dobts--lot cvery other
all upon the same footing, and how long
think you, would money retain its present
position. Being of moor of small roal value,
it soon becomes of no account. Money is
not properly product of industry, and an
article OF merchandise, but is an index to
such articles. and exponent of their value
Money isa standard or representative of
value mado such by government. What
then docs government do: 1t takes that
which is OF little real yaluc, that which can
DO Mother eaten, drank or worn, and makes
1t tho representative of valuo, and rs such,
constitutes ii tho only legal tender in pay
ment of debts. Thus we SEQ that money is
tho creature of government, and as such,
that government should exercise free con.
troll over It, prescribing tho rules by which
it, and its transfer shall be governed. This
being tho case, and money being thus made
tho solo representative standard of value, IL
is both tho right, and the duty of govern.
mcnt to fix the rate to DO paid for the loan
of this representative of vaiuo otherwise it
becomes not trne standard, for if the prico
OF money, or tho rate of interest depends
upon supply and demand, then all reliance
upon itas u standard is destroyed. Docs
tho principle that tho Government have tho
right, and docs tho exercise of that right, tG
regulate money Interfere with tho rights Of
individuals Not at all. Being tho crca
ture of Government,it is tho right, and duty
of that Government, so to control and regu-
lato it, as to mako it bost answer tho pur.
poses for which it is intended Tho gentle
man from Hamilton, (Mr. Collns} spuko of
horse and a wheelbarrow, seemingly car
ryng tho idoa that q. man should have tho
Same right to loan or hire out money as he
,,ln 20 call 10 I,n
would that useful animal. or implement. ]
grant him tho same natural right, und go
farther, granting him tho same natural right
to make or produce money, as we'll us traffic
in it. But We must rccollcct that money is
not property, it is hut the representative of
property, and rs such VIZ arc now consider.
ing it,
There aro certain things, among which
may be classcd, our natural right to unres-
trained liberty and freedom of action, which
wo surrender to law for tho good of the
whole. So do We surrender to Government
our natural right to mako money for tho
oamn good With tho right to produce, do
VIC also surrender tho right to Uuntrol and
regulate il. How then can tho rights of in.
drviduals be intcrfercd with, il tho law does
fix tho rate of interest, and prescribe tho
rulo by which the transfer and exchange of
money shall be made. The government has
established law. Tho individual produces
by labor, and exchanges the products of his
industry for that which is made the standard
of value. 1t is not his property, but simply
the representative of his property. He takes
his choice, either to roinvest this standard
of valuo in other property, and by labor
adding to this property, or no becomes the
money lender, hiring to others tho represen-
| tativo of his property, and lots thom invest
in, and in connection with labor add to tho
valuo of property. Now when no makes
the election to become money lender, he
docs it with full knowledge of tho and
his rights are in no way iEtertercd with.
| Those opposed to the repeal of this law
tell us that Legislation will make no differ.
oncc, that lot what law may be passed, money
loanors will take such interest as they please
Tho law will be disrogardod. Then why
such objection to its passage; Undoubtcd'
ly, the rate of interest being fixed ut six
por cent, tho law will in some instances be
transgrcssed as is now tho ton per cent. law.
But it will have its effect. Tho great mass
of business will bo dono at tho prescribed
rate. Even were it not so.what is our duty
as Legislators Admitting, as all parties
have done, that eight and ten por cent. are
too high, and yet no ono seriously proposes
to dispense with fixing some ratio of interest
Shall wo legalize rate of interest that al
acknowledge too high Or shall wo no.
rather, so far as our action here is concern
ed, ,logalze and establish such uniform rate
OF interest as experience shows business pur
poses will afford
To one other point would briefly direc
attention: Tho evil effect OF high rates o
interest upon the great industrial pursuit
of the State, and especially upon agricul
ture. Tho resources of Ohio are almos
iimitable. With her large and rapidly in
crcasing population, hor timber within he
borders, and her case of access to extensiv
fields for the supply of that which she la
not, her iron from which to manufacture
and her coal with which to drive her machln
ery,togother with the ability to furnish from
her rich and productive soil sustenance fo
tho millions who may, within her borders
engage in industrial pursuits, she has th,
elements of empire within herself Thi
being so, what may not capital invested .anC
labor employed. accomplish for the fulfil
ment of hor destiny.
With all her other advSntages-her com
mercial. manufacturing aud mechanica
interests, large and daily increasing in i'm
portance-agricuture not to the exclusion
of. but in connection with these, is the great
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