, 1879-05-16
1nrable S1tH1tion Of asstts

Total ~. ..........+ 60, 80, 4a0 ST., ,uD4, ,B3s
Tho Sun Francisco Prios Current aun,s
up, automatically, tho increase 1nado by tho
new inv. It saya:
"Tho assessment Of WELLS. FAuoo d Cas-
Bank would be Increased ton fold, TINT OF tho
Grangass' Iank twenty.s,x fold, that Of tie der.
mam Savings 3 Loan eociety 0vCr sixty tincs: tha
Of tho 1tlborna Savings d Loan Society over ninety
fold, whtlo TINT Of tno Savings = Loan Society
would receive All increase Of moro than OTIS hhn-
dred unl twenty fo1d and that Of the Security ay.
ings wuuia appronch one hundred anu afty ful1.
No one need. therefore, stop to 1uruiro why the
banks fought tho new Constitution 10 desperately.
Hero, AZ before, It IL tn bo understood that wa
make no account Of the amount Of United States
bon,1s held. as tho amount Is not positively known
though it cannot exceed s0 00o 900. To thia nl,st
be added tho rral estate uBsoAsud to city bunks
about 81, 600. 600. Deduct this, and tho nav tux.
atiou Of San Francisco banks would add nbuut
$780, bO0 coo to tho general assessment roll Tint
OF tho country banks would add about $13, 60O 900
to it,"
Never was thoro fairer Illustration Of the
faltacy That to impose saxaa upon credits Is
to reduco taxes upon dobtors than IL afforded
by this tabls. which was published for tho
purpose Of showing how capital escaped tax
atIon at tho expouso Of tho borrowers. OF
pcrsons Of email moans. Tho torln "poor
worktng,aan hns hoen worn Ia. death III
tho California discussions Of this Consttu-
ton. It appears from tho foregoing figures
TINT In 1878 tho savings banks Of San Fran
ois.o wore taxod upon properly valued at
$459,79o, on which tho tux, as 2 por cent,
was $0,195. Under tho new syatom thesa
savings banks will DO assessed to the sum of
$4O,08o, ,8o4. Assuming that tho tax will b.
reduced to II per cent the aggregate tux to
be paid by them will DO $o1+.7i2. The
money in these banks iB tho property OF tho
"poor workingmon OF Sun Francisco, who
draw therefrom an annual interest averaging
probably por cont, Tho hanka loan tho
lnouey to merchants on short loans at a
highor rate Of interest; their profit consists
In tho difference between tho rats Of interest
they pay to depositors and tho ratio Of Inter,
est they roooiye from borrowers. The
money in the Transaction is tho property OF
tho depositora. Now the savings banks will
not of aourss pay this tar themselves. Thoy
have two courses open to them to adopt for
lhoir protection. The frat ia to advance the
rato OF iatsrost to all persons borrowing
money Of thom. and tho second IL to reduce
the rate Of intorest paid to all persous de-
poslting money with them. Tho tax, there
fore, OF u por cent will he paid by the
savings dopoaitora and by tho small
traders, merchants, aid manufacturers,
who, to carry on business, pay wages,
and purchase raw material, havo to
borrow money from those bauks. The
manufacturers OF San Francisco, as wel! %
the builders, must have money with which
to pay tho wagos Of their laborors aud me'
ohauEcs. aud they oan only obtain this money
from the banks. Largo corporations and
wealthy men lsyo no OCCASION to borrow
money at tho banks. Merchants who san
goods On credit, especially thoso dea1ers who
furnish goods GU credit 70 The operatives In
factorioa, to mechanics, aud generally to
those who live by thoir wagos, 'whilo supply.
Iug these families from week to week aud
month to month, have to borrow money
from tue banks with which to meet their
own purchases. An ADVANCE Of Interest," on
loans 10 these psopls is indirectly aud neces.
kasi]y m advance Of prices 70 thu customers