The workingman's advocate. [volume] (Chicago [Ill.]) 1864-1877, 1869-07-31
THE REAL QUESTION.

THE REAL QUESTION.
In speaking Of capital IL Is well to consider
there are two kinds Of capitalize one real,
the accumulatiOns of industry and labor,
and the other fictitious, made on the neces-
stiles and credit Of the peOple-to the notes
Of banks who assume to make and call their
notes money.
The real capital recommends itself to the
consideration Of every workingman, as it is his
interest to accumulate the results Of his in-
dustry and labor and it is for the interest
Of society that these Accommodations for the
old age Of families and the minority of min
ors, should have protection in the laws and
in the opinions Of the people but it be-
comes aggression to the people when it
unites with fictitious capital, and gives that
the power to influence and control the prices
and the development Of labor.
Banks are useful and necessary to de-
gree but real capital, in surrendering to
banks aud the management and employment
Of its wealth, surrenders also that sympathy
with the people, which would follow if it
directly united its wealth with the labor Of
the people. And it is desirable that owners
Of real capital should observation-disclosures de-
vote their wealth to the development, and
not aggresslvely to the labor Of the people,
Real capital, in providing the mea ms for
factories, mines, and other uses Of labor, and
IN carrying labor over the reverses and de-
lays, which unavoidably occur in the muta-
tons Of business, and in transferring the
products OF labor, is q necessity and advan-
taGe to labor which the workman fully ap-
preciates. But when il refuses to act itself
and further lends itself to operators to con-
troll and change, for their individual inter-
ests, or on their restricted reasoning and
discretion, the workingman revolts ut this
"nnatnral Influence and may speak thus
against capita, bur II rs zgzlusv the WORK
ings Of hctitions capital that his feelings
apply.
The ecessity Of a means Of exchange be-
tween individuals for their produce and labor
has finally settled, in the absence of sufficient
gold and silver, for such q circulating ex.
change, and also for general convenience, to
. paper circulation, representing assured
value to tie holder, and it is obvious the
value Of this circulation to every holder is
the assurance be feels that this paper will
command for him labor or produce, land or
tenement, whenever he presents it. This
circulation, therefore, assumes its value from
the agreed valuation put on it by the people.
and the advantages Of this valuation belong
generally to the people who give its value by
its credit and use and not to banks, who
assume aod use II az fictitious capital and
at this very point hangs the welI-founded
objection Of the working man to the National
Bank circulation. The banks are allowed
bonus on fictitious capital, the whole Of
which is derived from the circulation the
people give credit and foundation to and use,
and they rightfu.ly claim that the Govern
ment should fully resume it's charge of the
circulation, which should never be delegated
by il to any bbdy or party.
But the banks object to this national or
greenbAck circulation, as not having the ne
cessary element Of money, or q gold basis !;
and their meaning in this is, that they
should hold . reserve OF coin in their vaults,
and en- this reserve issue a paper circulation
dependant in amount on their discretion as
TO the real interests Of the community.
| II . circulation identical in amount with
the gold in vault was intended, it is evident
no advantage would follow to the bank, as
it would gain no interest on circulation
which it did not lose in keeping gold to
meet it nor any advantage to the people,
Who only want gold or paper for exchange
bet ween themselves, and do not want gold TO
hoard and keep from use, while paper well
assured is much more convenient to them for
their purposes of exchange. And if the pa
per circulation is increased beyond the
amount Of gold in deposit to meet 1t, it is
evident and has been proved by frequent ex-
perienct that the gold basis can be with
drawn by foreign influences and adverse
crops, and the paper circulation left among
the people, deprived Of its basis Of value,
and the people obliged to meet the whole loss
by the consequent change Of values.
The gold basis circulation has, therefore,
these disadvantages, that i IS subject to in
Hation at the discretion and for the interests
Of its managers and that It is subject to
| foreign influence, which can withdraw its
gold basis from the country, ard have the
actual paper circulation deprived Of its basis
of value but an actual necessity for the
people, who are compelled to use 1t with oil
its deprecated value. 1t is far from having
the real foundations Of circulation Is our
present greenback circulation, TO which
every citizen individ ually and collectively is
bound to respond TOR its value and use but
the real question under this matter OF cireu-
lation lies deeper, and it Ia this : whether
the valuation Of labor, merchandise snd pro-
perty shall be delegated by the control Of
the circulation to any separate body of men
or associations or individuals.
This is the real question for it is . mat
ter Of experience that on the fictitious capital
of circulation, banks have inflated and de-
pressed prices Of merchandise, property and
labor, and haEs perpetpsted rates Of interest,
which real capital never pretended 70 claim