The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1872-12-11
Aiclsn1ond lispatrlt
WEDNESDAY. =. DECEMBER II. 1s'
The " Interest

Tho editor of the Fredericksburg Herald
writes to his paper something on the inter
*, question:. lie proposes to settle It by bS-
Ing the rate at ssx per cent. upoh all bonas
aud al, napcr "says that of q strictly coih'
,,crc;., character" and to permit borrowers
u,.,u this strictly commercial paper TO pay
* high As ten per cent. "thc State charging
one ner cont. on al such paper. u. C., men
who raw heaviest for foans must nc punished
for doing SO by submitting to gouge oil one
per cent. by the State!
This is paying for a prfctlese with a-ven"
eeanc,. aud vet our friend the editor repre-
sents the commercial community OF Frede-
ricksburs. What will they think Of his
compromise?
Now. all this middle about Interest comes
of an everlasting propensity to incddfe IN the
nriyate Affairs Of the citizen. He asks tue
state to let him alone. He IS struggling 10
..t sbc,,d and increase his wealth, which Il
hit n increase the wealth Of the State, and
his PRAYER will not be beard.
The pretcxt now offered for interfering
with commerce by an attempt of this State
TO regulate tbs value Of money Is that
farmers can't afford to pay more than six per
cent. Very we'll. If man succeeds IN
borrowing money at eight, can it be salo
that if be bad been out OF the way The
farmer would have gotten that money at six
There could be no greater error. II the
borrower had not paid eight be could not
have gotten it at all. When money Is sut1.
GENTLY plentiful to bring down the interest
to six Der cent. 1t Will be loaned at elk;
and when il cannot be absorbed by loans on
city property 1t will flow out amongst the
rural districts. But until then the Leglsls-
fure will endeavor in vain to irrfgate the
Ian with pecuniary streams at six per cent.
Do gentlemen imagine that Virginia Is the
only State in North Americai Their theories
would indicate that they do. And yet we
arc surrounded by States with which we are
in the most intimate social and commercial
intercourse facilitated by the wonderful
agencies of these times. Much of the CAPT.
ia. on loan in the State belongs to capitalists
living beyond our borders. The telegraph
may order it home to-day, and the express
will take all not loaned out away from the
State before breakfast tomorrow morning,
and that loaned out may follow 1t with like
facility as the bonds given for it mature.
How absurd, then. the idea that If interest IS
restrained within the limit Of six per cent.
this money will flow out to the country !!
Equally fallacious Is the expectation that
capital will flow into Virginia as long as it
can find better employment out of it.
There are d good many schemes enter
tanned by different Legislators, but we hope
that no measure like that of our friend
of the Herald will be successful. 1t is
bad to have to luy high price for
money in this period Of tightness Of the
market, but worse to be punished ny
the State with fine for doing so. Nor 10
we think it would be wise in Virginia just
now to enact any law which is based upon
the assumption that there Is q hostility be-
tween farmers on the one hand and mer-
chants and manufacturers on the other-a
hostility which is represented to be mani
f.,,cd in the paying of higher interest by
fhe merchant, &c, than It Is alleged The
farmer can pay. If the merchant cannot get
money to carry on his trade without paying
more than six per cent, shall he stop bust
messy Who will suffer if be should be
thus forced to the wally Will not the farmer
he the sufferer If there is no one to make
him advances. to buy and forward his pro-
duce, how Is he to get along: to purchase
fertilizers, pay his hands, and gather in his
cropsS . .....-.--.....
Any measure that recognizes the existence
Of hostility between these classes must re.
dound to the lasting injury of this State.
This false idea has been cherished too long
for her good. She can never flourish until it
il abandoned aS an error.