Spirit of Jefferson. [volume] (Charles Town, Va. [W. Va.]) 1844-1948, 1878-11-05
THE EFFECT OF UsURY.

"Money is a legal representative, and
serves to fc an income, but not to produce
wealth Loan it twenty or thirty times when
interest is high, and every time it is lent it
makes an income Tor the lender for longer
or shorter period, which impovertshes the
borrowers because they must sell their pro-
ducts to puy the interest. The principal
borrowed must soon be returned to the lenders
in interest, and the interest is reloane1 to the
people. These high rates ofinterest serve to
make the people paying them, tributary to
few money holders among themselves and
in other States. Fer Few years previous
to 1851, the State of Wisconsin made all
rates of interest legal that is, the rate of in.
tercst was matter of agreement between the
borrower and the lender. The consequence
was, that the rate of interest varied from IL
to 100 per cent, per annum. We arc credl-
bly, informed that the highest rate was, in
many instances, cxacted and good landed SCI
curity obtained for its payment. Let US see
what effect certain rates of interest on money
borrowed abroad must have on the crcula-
ting medium of the State. If the rate of
interest were at one per cent. and T., living
in New York, should lend $4,000 in Wis
consin at that rate, the borrower, at the end
of the year, must send 7. 500. The people
of Wisconsin would have 50, 900 of the money
borrowed remaining among them as a circula-
ting medium. But, If 7. lend his money OF
twelve per cent the borrower must send t.,
at the close of the year. ST 200, and but
S. 800 would be left circulating in Wiscon>
sin. If he lend at fifty per cent the bor-
rover must duly send T. So, 600 to pay the
interest, so that one half of the borrowed
money is returned TO T. in New York, and
only S5, 600 is left in Wisconsin. But il T.
lend tho $4,000 a, hundred per cent,
per annum, the borrower must send T., at
tho end of the year, $4,000, and not one
dollar of it is left in Wisconsin. Still the
borrower would be indebted to t. for the
principal of $4,000. and, in another year.
would owo T. $1,000 more in interest. 1t
would not take very large amount of money
lent at this and approximate rates by the
citizens of New York to those of Wisconsin,
to throw the balance Of trade against Wis
consin and in favor of New York row, in
such case, would it be strange that money
should be scarce in Wisconsin whilo 1t was
plentiful in New York
In the United States, if interest wero re-
duccd to one, to ono and one>tenth per
cent, useful productions would probably in>
crease from twenty-five to fifty per cent
The wealth, instead of being accumulated in
few hands, could be distributed among its
producers large proportion of the labor
employed, IN b"i1di"g up cities, would be
expended in cuHi0nti"g AMI bedutjtyin1 the
country Internal improvements would be
made to extent and in a perfection un>
exampled in the history of nations. Agri-
culture, manufactures, and the arts would
flourish in every part of tho country. Those
who are now non producers would naturally
become producers. The production n0nl1
be o,oncd by those who performed the labor,
because the Standard of distribution (Which
is money! would nearly conform to the natu>
raj rights of man. kellogg page 1873 to 1885,
Will not the producing classes of the peo>
pie of the United States, under such facts
and reasoniDgs ns the above, open their eyes
and see the magnitude Of their 'Sovercign
money powcr!' And, that it should never.
no never be transferred and farmed out to
corporations N"r''a corner kept in it for
the fornications and vile ''uscs" of usurers,
brokers, and shavers! No! this "Sover-
eign money powcr"-tho power of all-tho
pewer of the nation-should be instituted,
controlled and managed by the nation alone,
and for the equal benefit of all, as was do
signed by our common, National Consttu
ton; under that constitution, Congress
should do what it is injoined to debut
has never done-to wit: Elk the value" OF
money for the use of all in exchanges, but
for the investments, or usuIy, or merchan>
disc of none JNo. A THOMSON.
Summit Point, Oct. 18th, 1873.
WINCHESTER AND VICINITY.-From the
News we clip the following:
Ground for the foundation of the monu-
mcnt to the Unkn own Dead has been broken
at Stoncwall Cemetery.
The Union Bank building is gradually
nearing completion. 1t will be a stylish
house when finished.
Mrs. Col. j. S. Hammond nee Belle Boyd
will give an entertainment in the Court
House Hall, next Thursday night, November
It'll
Mr. Tsaac H. Faulkner, Sr., has purchased
for 1000 the Sidwcll property on Market
street. This property consists OF the brick
house on Market street lately occupied by
Mrs. Hugh Sidwell, with the vacant lot lying
south Of it, and also brick house on Bill
lDgs' alley.
From the Times:
Mr.. Elliott retircs from the management
of the Taylor Hotel Tomorrow he goes to
Carlisle, Pa, his former home. Mr.. John
Robbins succeeds him in the management of
the hotel.
Tho war cloud in Europe is ominous of
rupture yet between Russia, Turkey, En-
gland aud other powers. The Berlin treaty,
AZ L