The workingman's advocate. [volume] (Chicago [Ill.]) 1864-1877, 1876-01-15

WAsHISGroS, d. O., Dec, 187

WASHINGTON, d. O., Dec, 1878.
To the Editor Of the woRKNoxASs ADVOCATE
DEAR SIR The question is sometimes
asked by those who desire to inform them
selves on the subject of the proposed sys-
TEN of national currency and national
bonds. mutually interconvertible, how,
should the system be adopted, woLld the
people procure the money
An extended answer was given by you
in your paper Of November 27, 1875, in
an article headed "An Important Cues
ton Answered" to which some additional
views might appropriately be given.
As preliminary observation, it may be
said that if it could be proved that the in
terconvertible currency would be obtained
only in the same manner and under the
same difficulties that the existing currency
is obtained, no valid objection would
thereby be found TO the new system, for
even then the people. in regard to the
mode of procuring mOuey, would be no
worse of than now. The truth Is, how
ever, that the new system, by Afording a
means of constantly absorbing any excess
of currency over the wants Of the nation,
any greater supply than corresponded to
the demand, and by furnishing a currency
which would be subject to no fluctuations,
and free from the possibility Of being mo
nopoliEed by the bankers, would necessa-
rily render its acquisition more easy to
the producers Of wealth
The question, however, admits Of q
wider discussion, for it obviously suggests
the existence Of a desire for some more
certain and rapid mode of making money
than il afforded under existing relations.
Two great impediments to money making
now exist
l. The producer canrot always find
work to do, and sometimes, as in this
country since September 1873, and now,
hundreds Of thousands Of producers are in
a state of forced idleness.
2. When the producer has created
product he can not exchange it at once for
the money he needs in order to obtain
other products, but must part with it to
merchants and traders who stand between
him and the consumer, adverse to both.
II must be clear that if these two i'm
pediments could be removed immense ben
e6ts would accrue to the people. If every
worker could always have work. and the
produce of his work could always COM
mand an immediate price in money, it is
certain the amount of wealth produced
would be immeasurably increased, and the
comfort and happiness of the people aug
mented in corresponding degree. To
effect these desirable results we must add
supplemental machinery to the intercon-
vertible bond and currency system. Let
there be bureau of the Treasury Depart
ment organized as a bank Of issue, whose
duty it shall be, among other things, to
issue money to all producers who offer
sufficient guarantees of repayment.
These guarantees may be made perfect,
50 that no loss can possibly occur; and il
can be accomplished in this way. The
producers M ust organize themselves as the
capitalists do.
Anumber of ca pitslists who now unite
to form bank are declared by law to be a
corporation, and are at once brought into
relation with the National Treasury, and
become q part of the financial system of
the country; SC it should be with the pro-
ducers. Any number previously deter
mined by law, forming themselves into an
association, should become a corporation,
and be brought thereby into relation with
| the National Treasury. A certain number
Of such corporations should be allowed TO
have bank Of their own, Of which there
should be no stockholders, but simply an
| Office. as q branch Of the Banking Bureau
Of the Treasury, with q suitable body Of
officers, properly chosen, to carry on the
business. and acting under the control Of
q committee chosen by the corporations.
| This bank should receive no deposits Of
money. but only deposits Of the products
Of labor, previously determined upon by
the industrial corporations which called
for the bank, a. proper objects Of deposit.
Whoever created such product should be
allowed to deposit it with the bank, and
receive at once its full value in money,
provided the industrial corporations to
which he belonged should have previously
guaranteed the bank against any Ioas in the
sale Of the object deposited.
Advances should also be made on pro-
ducts not deposited, but certified to be
under the control of the corporations, and
by them guaranteed, though remaining on
the shops Of the producers.
The more widely the system should be
extended, the more safe and beneficial il
would become. Al soon as proposed to
the people. by an act Of Congress, 1t would,
by the voluntary action of the producers,
be put into operation in every direction.
! This is the way in which everybody
who knows no to work may get the green
backs. am, yours truly,
THos. DURANT.