The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1878-08-21

many mlllO0S annually Out VI Tic pOCACOo
The general rule Is that a person pays inter
est upon what he owes; but In the case OF
debt due by the bank, but instead of paying
interest upon Ii, the bank is authorized TO loan
it as money, and take interest upon the loan.
1t thus enjoys privilege no one else enjoys.
1t draws interest upon its own indebtedness,
and this privilege OF the national banks brings
them an annual income OF probably twenty
millions of dollar. Their aggregate circula,
ton is, in round numbers, three hundred and
twenty-five millions. / think it may be rea-
sonably assumed that three hundred millions
OF these notes are loaned at an average rate OF
interest of at least seven per cent. II so, the
annual interest they receive from the loan,
not OF money, not OF capital, but OF their own
Indebtedness, is twenty-o million dollars.
Duct OF the country, before that product is d.
vided between labor and capital. The general
rule is, that the product Of human industry Is
but when a bank note circulation is used the
banks first step in, and, by virtue OF their
special privilege, take large slice In the shape
OF interest upon their own indebtedness. In
the case of our national banks this slice, as we
have seen, amounts to twenty-one millions
every year. Now, If there can be no souno
there is nothing left for us but to bear
this burthen or try to reduce the amount
of the exaction. But If the greenback
is good the bank note, and nobody
denies that it is, why should it not be sub
situated for the bank note, and an end put to
the eXaction?i
And, consider further, that for every green
back it has issued, the government has re-
ceiVed value. That greenDack has PAID Tor
services rendered, or materials furnished. or II
has discharged portion of the interest-bear-
ing public debt. There is thus a saving to the
government, or to the people, of an amount
equal to interest upon the outstanding green
back circulation; for had the greenback not
to raise the money, by loan taxation, to
meet its expenditures. If it raised IL by loan
1t would, Of course, have to pay interest upon
the loan. If it raised il by taxation, the tax
payers lose the interest their money would
have earned had they not been compelled to
give IL TO the government
The greenbaeks now outstanding amount
to s346,6Sl ,0l6. Computing the interest upon
eminent can borrow money, per cent, and
we have an annual saving to the people, re-
sulttng from the use of greenback. OF sl3,S6l,-
the 80, co., 900 of national bank notes now out
standing. there would be a further saving TO
the people of per cent. annually on that
nual saving Dy the use of the greenback of S26,
747,24l. From this, however, deduct the taxes
on this circulation paid byltheibanks, amount
t TIVE ' and f6Tee!quarter @il-
d1ction for taxes ought not to be made, for it
is probable that the banks throw the burthen
of the taxation upon their customers, who IN
turn shift it to the shoulders OF those with
whom they deal, until, like all other taxation,
1t finally falls upon the great body of consul
have thus given you, fellow citizens, some
reasons in favor of substituting gresnbacks for
bank notes. L now proceed to consider the
to have much weight. 1t Is said that II green
backs were to constitute our only paper cur
rency, its volume would depend upon the &C
ton of congress, and not upon the natural
laws of trade; and that as congress is liable to
be Influenced by popular feeling on the one
hand, or the arts and appliances or special in
terests on the other, the currency wOnld be
subject to initiation or contraction, as either
influence might prevail, TO degree that would
be ruInouS to business and prosperity.
In answer to this objection, and admitting
that it is not without force, have to say In
the first place, that Is equally potent whether
our paper currency be greenbacks exclusively
or bank notes exclusively for, let 1t be the one
or the other congress would have the power
to expand it or contract 1t at will For in
stance, were congress to repeal tn tax on state
bank circulation, multitude of banks would
spring up under state laws, and great intia-
ton of the currency would take ace. On the
other hand, should congress retain the tax and
retire the greenbacks, as the republican finan-
ciers demand, a frightful contraction would
result. In brief, Il congress should have
neither sense nor honesty, 1t might, for the
time being, ruin the country; but TO assume
that IL would do so would be to condemn our
form of government.
But our platform squarely meets this diff
Guilty. 1t condemns contraction on the one
hand or Exiting" on the other. 1t demands
that ''the amount Of such issues (greenbacks)
be so regulated by legislation or organic law
as 70 g1ye tne people an d 0t
ity of value" and, in unmiStakable terms, 1t
opposes the decentralization, or disuse, of the
precious metals. Could anything, I appeal to
YOU be more conservative than TINS, If con-
servatism means TO conserve the interests OF
the people at large and not those of particu-
lar class? Can any intelligent man reasonably
object to policy that preserves gold and sill
yer from destruction and demands q stability
in the volume and value OF the currency
greater than has ever yet been attained?
Fellow citizens, our platform has been de-
nounced by men who never read il, and by
others whose interests or prejudices incline
miSrRnrnSanf II the
l make to them is to ask you to read and study
it. 1t Is in vain for its enemies to say that ii
means what II does not express. Its language
is too plain to be misunderstood by a candid
man, and the character of the committee that
reported and the convention that adopted 1t
of deception. IL is an honest plat
form, and meant just what 1t says.
position to special privileges, opposition to
contraction of the currency, opposition to the
decentralization of abe metals opposition to
ending public debt. Aud il means equal rig hts
and privileges, an honest and stable currency,
a strict economy and lighter taxes and faith
full payment OF the pub lc debt. 1t gives no
sanction to irreligion and communism: but it
fu ly recognizes the dignity of labor and sin
cerely sympathizes with the laboTing man in
his toll and priYatiOn. 1t asserts the princi-
Piles upon which the government was founded
and which are essential TO its usefulness and
perpetuity. It promotes fraternal feeling
throughout the length and breadth Of the re-
public and condemns sectionalism as the
worst foe of the union. In a word, II Is an
honest platform of honest men, patriotic
platform for patriots to stand upon.
Fellow citizens, If 4 am not in error i'm what
/ have said, have given you sufficient
reason why there should be a change in our
federal administration. If our financial policy
is correct, that of the republican party, or at
least of those who shape its legislation, is
wrong II this be so, then, as soon as the
forms of the constitution will permit, that
party should cease to rule.
But there are other reasons why there should
be a change, and to some OF them wish briefly
TO call your attention.
The claim of party in power to a prolong-
alton of its rule necessarily involves an in
quiry INTO its policy and government in the
past. If its past rule has been vicious wise,
prudence obviously dictates that an end, for
the time being at least, should be put TO its do
Eainion.
Now has the rule of the republican party
since the close of the civil war, thirteen years
ago. been wise and benefcent? 1 think
that this question must be answered In the
negative. 1t Is not necessary TO go into a de-
tailed examination OF all its measures, nor
could that be done in the limit of a speech, or
indeed of many speeches.. Nor is IL necessary
10 assert that all its measures have been bad
and injurious. 1t is sufficient to look at the
general result. and whether that is good