The workingman's advocate. [volume] (Chicago [Ill.]) 1864-1877, 1869-10-23
(CoNTINUED.)

tTteS nOC caused Oy mstf 100 TdteS 81
Interest.
(CONTINTED.)
The fluctuations of the rate Of interest, in
all countries, render it difficult 10 offer any
very clear illustrations Cf their bearing
upon labor, except upon general princip les.
In England, the rates Of interest vary &C.
cOrdiDg to the necessity Of the borrower,
from one, two, OF three per cent. per an
mum, to four, five, six, seven, eight, nine,
ten, eleven, and twelve per cent and SINH
lar variations Of interest, though at 10 uch
higher rates, occur in our own large cities,
and to a considerable extent in our towns
and villages. But let twelve nations fix
twelve different rates Of interest, maintain
ing the rates uniform, the first AT one per
cent, the second at two per cent, and so on
to twelve per cent, and the concentration Of
wealth in few hands, 10 the different nations,
would increase ia nearly the same ratio With
the rates of interest The ratio would BE-
almost exact, except for the rIofigacy and
extravaganza Of many of the rich, and the
beuevolence of others. This general prin-
ciple will hold good, whether the country he
new, rich and fertile, or whether il be old
or poor, because the accumulation il accord
ing to the rate per cent, copper cent,
loaned at six per cent. interest per annum,
will double its principal in precisely the
same time that gold eagle, at the same rate
Of interest, would double its principal. Il
IS a mistaken idea, that il is right 80 Iay a
higher rate Of interest in q new and fertile
country, because production is more easily
made. 1t labor will produce a greater
quantity Of products, capital has no right,
through an unjust standard Of accumulaI ion,
o take them without rendering a fair cqui.
valent but If the rate of interest be TOO
high, IL will inevitably do So There is no
more justice IN increasing the rate Of inter
est, on account of facility ia production,
tdan there would be in increasing the size of
the bCshel, because labor would produce
more bushels If grain.
la all ages and nations, the rates of in
teTest maintained have been 50 high as con-
tlnuslly 10 concentrate the wealth in a few
bands. When the wealth Of a nation be-
comes thus centralized, the producers and
distributors who are destitute u property,
are compelled 10 borrow money, and rent
property from it's holders. Suppose The
whole property Of a nation to be accumu
lated IN the possession Of one man (for this
shows the principle more strongly, then all
other individuals would be compelled eithe 4
u huy the property On credit, Or to rent I'll
Ii he should charge three per cent. per AMI
nun on the money or property, il could
hardly fail TO keep nineteen tw entieths of thd
people in perpetual poverty. For fev
years they might appear to be prosperousI
but their prosperity could not possibly ID
permanent, because tbe rent, or Interest,"
would certainly absorb more than the peel
pie could carr. A rate Of interest Of eve !
Two per cent. would produce the same rel
suits, but in less degree, because sther
would be many more owners of property
and the general Indebtedness Of the peoplI
would not be nearly so great, as il is az th 4
higher rates Of interest. Ii cannot then 81
Tue, that the low rates OF interest maln tainN
"a Ia the Old cOuntnes, are The cause Of To
low prices Of labor, and the poverty Of th
producers, but on the contrary, the formed
high rates OF interest accumulated the proc
petty IN few bands, and the pre- sent ate
u interest are sufficiently high to continu
The accumulation and prevent the rewar
n labor. High rates Of interest have b,e3
aud are, the cause Of the poverty Of prd
ducers IN al nations
In England, where the average rate Il
interest j. three Per cent. per aDnum, Ill
labor is compelled to double the entiH
capital Of the nation, in the hands Of il
holders, IN twenty three aAd half yearA
besides which, the lsborers must furnieI
their own support. But this is not I'D
only cause Of the depression Of labor 10 Brt
tain. An epOrmous sum of money was bot
rOwed by the government Of its wealthy
cItrz-us, and expended in wars. That nj
tlonal Debt amounts to about S. 600, 0ON
200, the annual interest on which, at ~
average IF three per cent, is 1920, 000,00l,
which the people must pay by an annu
taxation of their products. Labor receiV Is
no benefit from il. The money is not
vested in land, nor in anything else Of whidb
the labor has the use by the annual pay
ment OF the interest. This interest on tte
National Debt is additional to the too hi b
rate Of interest already charged on all ne
capital actually employed.
1t is commonly supposed that the larsi
owners Of England are the oppEessors of tIhe
iOiling multitude. The power 20 lease land,
at the present rates, is given By the law
liking the rate Of interest on money, TAe
oppression by lending money, however, Is
greater than that BY leasing land, becaue
the rates Of interest on money are continual
ly huctuating, AID the oppression of tie
producing classes by its power, being ind
rect, osn be made greater. The income NJ
the holder of English government secuI-
ties is earned by the operatives IN tie
mines and factories, and by the seamstIessks
and various woTkwomen in the cities. BIT
the bOndholder comes in direct contact with
none Of these. His income is paid by TIE
government, which gathers It from ev4y
branch of the industry in the country By
grievous taxations. Does it not beggar the
producing classes to pay the interest to to-
money owner, as much as to pay the rentfo
the land owners? Are the operatives b
the manufactures and mines any betfr
provided for than the laborers on the SOP
OvergroWn landed estates have generaky
been acquired through exorbitant inter t
IN money. The only way TO eradicate tte
oppression caused by holding them at high
rents, Is to reduce the interest upon monty
10 such n rate that the products Of lat br
VII legally 70 TO those who perform o.
IaOor' instead Of going to the owners bf
I"P'sHi' livery dollar that passes into DE
nauus OIL me receiver VI interest, is repk-
sentative OF products, and ell the exceks,
apO'e Just rate OF interest, is taken frdm
the rlghtlul earnings Of the laborer. WIh-
OUT ne Intervention Of the government.
winch collects the interests by various taxa
tIcnsy 80 that the means of oppression Ire
somewhat concealed, the people would fe.
fuse to submit to the injustice, and revctu-
tIOn in this system would naturally follfw.
II the national rate of interest, IN Chat
Britain, on all BANK and private loans, Ind
% the National Debt, were reduced to tne