Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1869-11-30
THE USURY LAWS.

ability l possess) considered the question
of conventional rate of interest, in all of |
its surroundings, | am satisfied the policy /
of giving TO the people of Tennessee at
this time, a conventional rate of interest, /
either upon money or property contracts
VIII be unwise and oppressive. In my /
humble opinion, the passage of such a |
law would be i'm advance of the times, |
and not demanded by the people.
Therefore, | shall vote against the |
passage of the bill, introduced in lieu of |
the original bill by the gentlemen from |
Montgomery, limiting the conventional |
rate of interest at twelve per cent.
MIR. Speaker, l admit the arguments in |
favor of a conventional rate of interest |
are specious and pretentiOus in theory;
but when reduced to practice, like rope |
of sand, falltO pieces Of their own weight.
The experience of the past proves
high rate of interest has been ruinous to
o. every people who have been subjected by
legislation to its practical workings. All
governments have been made TO feel and
acknowledge that money is power, and |
when concentrated in the hands of non
producers, it has always been used as an
engine of oppression upon the producing
classes. Such, sir, has been the power
of money, in the hands of spectators and
of the rich. The gentlemen who favor
the, passage of this bill, cannot point to a
civilized government on earth to-day, that
has not throttled the giant by restricting
the rate of interest, by law, for the pur-
pose of protecting the unfortunate and the
poor from the avaTicious designs of the
rich aud INSCRIPTIONS spectators of the
country. Not, sir, because il is a crime
10 be rich, that governments restrict the
sale of money, but on account of princi
pie of human nature, possessed alike by
the rich and the poor, 70 take advantage
of everything, whether it be money or
properly, by which they can be benefit
ted. Money in the hands of the rich
always gives lhem power over their less
fortunate and wealthy neighbOTs, in all
the ordinary transactions of business, in
spite of the strong arm of the law Gov
cTnmonts, like individuals, have learned
10y experience that money is not purely a
cOmmodity-that its price is not entirely
regulated by supply and demand. 1t is
but the representative of value, intrinsi-
cally worth no more than the labor re-
quired 10 manufacture il, and merely used,
for convenience sake, by all civilized ma
lions as a power, as a medium to carry on
trade and commerce in the different de
partmcnts of human life.
Sir, money IS power Governments are
afraid to unbridle it, Then let US not
arouse the sleeping lion by giving to the
monied men of the country a rate of in
terest that will fill their already full cOf
fers to overlooking from the hard earnings
of the producing classes.
Why, sir, do l say that this rate of in
terest, as proposed by this bin, is paid by
the hard earnings of the working classes
Because, sir, it is only the producers, the
manufacturers, who make a nation rich
and powerful. The money lender, the
Spectator, add nothing to the wealth of a
country. They live, they move, they
grow fat upon the productions of labor.
The man who raises hogshead of to-
bacco and sells it to a Spectator for 500,
has alone added that much wealth TO the
country. The Spectator who buys this
hogshcad of tobacco for 300, paying for
the same interest at the rate of twelve
per cent. per annum, ships it to New
York, realizing 1928. The Spectator has
by this operation made profit of twenty
five dollars. out of which cost of trans
portation and interest has to be deducted.
This much his money power enables him
10 make off of the honest industry of the
country: but he adds not one mill TO the
productive wealth of the State. Now,
Mr.. Speaker, | have come to the point Il
which wish to call the attention OF thu
House. Who pays this twelve per cent
INTEREST," Is it the Spectator or pro
duccr2 Reason and common sense say
that the producer pays il.
Then, sir, if a high rate of interes
will bring capital into the State, thereby
making it easily accessible TO the specu
lators, it really adds nothing to the wealtl
of the country Ii viii cngender a spiri
Of speculation among the people. Thou
sands of men, who are now producers
adding wealth to the country 10y the mum
Der and quantity of their productions
would become consumers and mer
droncs in our social hive, eating up tn
labors of the working classes.
Speculation always begets habits o
idlcncss, and dissipation among any pee
ole: bankruptcy and a dropping of agr
culture is the result of all spcculatiu
when based upon a redundant and tici
tious capital.
Mr. Speaker, | am opposed to buyin
capital at the rate this bill proposes. II
remedy will not suit the times, and in m
Judgment is mischievous and inefiectua
Sir if YOU have a tree diseased wou
moi common sense and good judgmel
ten You that the cutting of the de'
limbs would he worse than useless wh'
The disease was located in the roots.
rive new life and yigor 10 your tree "
eradicate the disease from the root
Then. sir. the remedy to have capital
our Slalg-rral, substantial capitals
remove ihe disease from the roots of O
State government
Let us reduce our State debt, which
nearly one ihird Of iHC value of ala OF o
taxable values, reduce the eXpenC
tunes of ow State government thcl
hv li"hlcnjug the burdens of tan
ton. and enact a few good and wh0lesOI
laws 20 secure peace and harmony in o
midst, al the same time inviting capt.
into our State in the pockets of sober a
Industrious immigrants, letting them lnC
that they will not have their capiti
whether invested in bonds OF manuf,
turing, taxed at the present rate, VIII
amounts to a prohibition.
They viii come with capital in TIA
pockets, and assist us in developing {
agricultural and mechanical interests
she State, and again our State will
placed on the high road to peace q
prosperity.
This is the remedy. Can capital, bou.
nj high rate of interest, enable the p
pIe to pay the $loo0O,OOo, that
now fastened upon the body pohti
VIII it fill our empty Treasury If
gentleman can prove the fact, ! viii V
for this bill, and not before.
Sir. the argument that high rate
interest has made money cheap in n
York. Missouri, and New England is
true in the abstract. The reason W
money is cheap in those sections of
country. is because they are manui
turing people, and do threcfourths of
commercial business of the South. Asa
suit Of This manufacturing and CONNER
ACTIVITY, there is a continual drain
money from the agricultural districts
the South, which makes money redu
ant with them, and Is a result, money
seeking investment there, while here,
O. the agricultural districts of the Uni