Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1878-08-26
Rate of intcreSt.-Redu IN Since
1868.

the greenbackers tel US that contrac
ton ct the currency has caused greaD
| scarcity of money aud high rates OF in
leresl 1t has made good times Tor thu
Money Lender, the Sbyiock and the
bpHddDlder, they say.
Now let us take their own assertions thai
Che currency has been largely contracted
since 1850 and then see about interest
then and now.
In 1865 The government authorized the
sue OF 5000 900 900 ia bonds or lreasur,
notes, the rate OF interest to be per cent
in coin. The government was then pay
ny pr cent. in coin upon nearly ali liz
bonds, and a dollar IN coin was worth
about . 80 III greenbacks, SO that q pei
cent. in cola was worth . per cent. in
greenbacks.
To-day government bonds are selling
rapidly at PER cent. The reduction of Tie
rate cf interest which the gocerament pays
IS : per cent i'll coin. kcckoned IN green
backs The reduction is almost ) per cent,
since greenbacks now are only one-half OF
one per cent. below gold.
Ii we look at he money market reports
oil the great cities in 1865, we shall fiud ia
them exactly what rate OF interest money
commanded in commercial circles. In
the money article Of the Boston Aiver
User OF Aug. u, 1863, we find The fellow
ing:
The money market to-day shows no
features worthy OF special comment it,
condition being unaltered. The rate tor
call loans l. b per cent, aud time l,an~
Z 3-lJ per cent. Ia The Discount matket
continued quletness prevails, the rate lor
he best mercantile p per remaining at Z
per cent
Turning t. the money article Of the
Boston Advertiser of August y, 1873, last
Thursday, We quote from it
The banks continue to supply the or
binary calls OF their customers freely, and
pick up more or less from the hote dealers,
oul there is still considerable difficulty Ia
keeping their funds employed. Rates re-
4
20 3 IL per cent on PRIME not : aud at
erptaucgs, 70 4a4 IL on other good paper.
Cali loans RUE a. about 3 per &C. II, ON
satisfactory coil ,terals.n
The reduction of the rate OF interest ia
commercial circles 1t will be seen 10y COM
pairing the two extracts above Is from to
/ per cent.
Contraction of the currency then has
been 10 lowed ty contraction OF the rate
ot il t.re-t. The Shylock- aud Bondholl-
crs have been phtched a@ well as the
Warkiusmcn. This is Il tact that Solon
Chase and Leo NJ II find it convenient
not to mention when they are denouncing
Usurers, b Jndbolders and b luk ,rs. The
government is exchanging 9 per cent
bonds tor per cents, To the amount ui
one and half million dollars day, thus
reducing by every DAVIS sale OF the 4 per
cents, The annual interest OF the govern
meut $50 600
senator Bayard is net especially COM
( p imenlary to hi- rival residential aspir-
ant, Mr.. Thurman. According TO The
Times OF Su yrna, Delaware, he. thinks
the demand Tor The abolition of the ma
tional banks. like the war against the
railroads and 'bor-sasiug machines, has
It's origin In Communism, the tendency of
which Is dc ,truction, sure and inevitable.
This is the most unkind thing that has
/ been said OF Thurman lie has been
called a "straddleln and "ctow cater
by his opponents. but it has been reserved