The workingman's advocate. [volume] (Chicago [Ill.]) 1864-1877, 1873-08-09

and wound up the powerful mAlnspr1ng OF
monopoly, the motive power of specula-
ton, the agent Of unequal distribution,
which gives capitalists such . despotic
power over ell producers, and in fact makes
money . synonym of tyranny. Usury il .
system Of lsgaliEed theft which seeks to
apotheosiEe robbery IS Q justified and con-
secrated principle, and enforce its practice
upon the people.
High rates of interest mean high prices
for every article Of consumption. Money
il the exponent of property, and the rate
Of interest, which is the price Of money,
determines the value of all things bought
and sold, 20 that high rates of interest not
only rob the producer by unequAlly dis
tributing production, but they also rob him
by forcing him to pay out almost two
prices for everything he is compelled TO
purchase /; and yet some of our wise states
men would give money loaners the power,
by collision with each other, Of establish
ing q rate of interest that would devour
and bankrupt the state in half dorm
year What compels one man to borrow
of another J Is it not poverty Certainly
it is, and the price of bonus he pays for the
use Of the money is what we call interest.
hence interest on money, primarily, means
poverty, and the higher the rate charged
the greater the degree Of poverty it repre-
sents
1t is claimed by those who have made
this question q study, and with much JUS
tice too, that it is high rates of interest,
operating indirectly, and the enormous
profits made directly upon the labor Of the
working classes, that keep them in hope
less poverty, ard, strange AZ it may seem,
furnishes the money which is loaned back
to them again.
Now it is said that this is an age Of
ideas, an age Of progress, and that the
tendency of the expanding thought Of our
time is toward the elevation and general
well-being of humanity. II that is the
case, i am inclined to think that some Of
the ideas and predictions of by-gone
age have crept into this body Ii cannot
be denied that there already exists gulf
between labor and capital. The gentleman
from Erie (Mr. Root alluded to it few
days ago. That this gulf exists none
can deny. That it is constantly growing
wider and deeper is equally true and
there exists a well-grounded fear that it
vii be impossible to bridge it, except by
revolution But | claim there is yet viz
tue and intelligence enough in the people
to devise peaceable remedy, such an one
as will prevent us from being swept over
this yswning abyss.
The great question Of our day is how to
reconcile the differences and inequalities of
the condition existing between the indus
trial classes and the holders Of wealth, and
to do it equitably and without injustice to
any individual, and without plunging the
State or nation into anarchy or revolution.
But | submit, the evil will be intensified
and aggravated if this amendment prevails
The gentleman from Hamilton Mr. Fret
burg has travelled up and down the Scrip
lures, through Leviticus and Deu5ero-
nomy, in giving us the history of usury
He has dwelt somewhat upon the Mosaic
law, and as the gentleman is belisyer in
that law, and not in the new dispensation,
all | ask is that he practices what that
law inculcates According to the Mosaic
law, the Hebrews were enjoined not to
take interest Of fellow countryman They
might take interest Of a stranger | agree
with the gentleman that usury comes down
to us from the barbaric past, but the same
is true of the obsolete idea of metal basis
for our money, the same is true of the idea
of caste. Now, if the gentleman will &C
cept the true idea Of civilization, that we
are all children Of one Father, and that
every man in America is his countryman
by birth or adoption, and agree not to take
interest from him on that account, | will
not be captious as to whether he shall take
excessive interest from men in England.
France or other countries, though doing 80
would not be strictly Just.
The gentleman says that European ma
tions are all advocates of usury laws, but
he evidently forgot that England abolished
all usury laws in 1889, and I for one cannot
see wherein he has been benefited by SO
doing. In giving his history of usury, the
gentleman from Hamilton forgot several
historical facts, which | shall take the
trouble to state. In ancient Greece there
was no law against usury, and the conse
quence was that interest ranged as high as
eighteen per cent. During the existence
Of the Roman Republic there was no law
against usury, and the rates averaged from
thirty to forty per cent. And. coming
down to our time, find that in Moham-
medan countries there is no civil law against
usury. 1t is prohibited by the Koran, but
not by the government, and the result is
that the rates of interest are three times
as high as they are in European countries
where usury laws do exist How is the
gentleman from Hamilton, or any other
gentleman going to explain away this fact
The gentleman from Hamilton (Mr. Frei-
berg) called our attention to the high rates
demanded when the packing season began.
The trouble is, there is not sufficient cur
rency in circulation to meet the demands
of business If there was sufficient cur
rehcy, money would always be low, and
usury laws would be unnecessary. only
advocate these laws because of the glaring
defects in our monetary system. But
after all, the citing of Massachusetts, by the
gentlemen from Hamilton (Mr. Freiberg).
seems to be the cap sheaf Of his argument
The old Bay State abolished usury laws.
and interest ranges low, while in other
states where these laws exist, it ranges
high. The argument seems to be against
me /; but, Mr.. Chairman, have NV doubts
the adjustment of these laws re-
duced the rates of interest in that state.
In fact, l am strongly inclined to disbe-
lieve it. When the national banking law |
was passed, Massachusetts received more
than her share. She has, to-day. more
national bank currency in proportion to |
her population than any western state.
Money is plenty there, and hence it is
cheap. If Ohio had as much money in
to her population as Massachu-
sets, interest would be lower here than it
is But in citing Massachusetts,, my friend
from Hamilton forgot to cite Connecticut,
\ state which borders on Massachusetts.
and furnishes a very good parallel case.
One year ago this State established what
my friend would term free trade in money.
and what was the result ? Why, Sir, as
'oon a. that free trade law was passed.
banks, bankers, brokers and money lenders
generally raised their rates of interest. and
not only that, but those who had borrowed