The patron of husbandry. (Columbus, Miss.) 1875-1883, 1879-11-29

bank deposits. From '63 to rs the com.
bined bank capital and deposits averaged
in round numbers $94o,ooo,ooo, $500, 1000,
900 being the average bank capital, and
$54o,ooo.ooo the average bank deposits
As the gross receipts of interest in years,
on capital and deposits equaled the sum
of these two, it follows that the banks re-
ceived for the use of their capital by the
public 500, 100000, and for the use of
their deposits $54O,Ooo,oOo, in IS years; or,
in other words, the banks, by means of
| UsURY, doubled the sum of their average
capital and deposits within period one
tenth less than it takes to double capital
at 6 per cent simple interest
| We thus perceive that, besides these
earnings derived from Government bonds
and deposits, the banks earned in I : years
on their capital $500, 900, ,ooo-from which
it is evident that if the National banks
were compelled to do business like firms
and individuals, solely on their own capi-
| tai, they would be obliged to shut up shop
| This is supposing that in the latter case
| their expenses continued upon the same
scale as during the Is years here under
| consideration, for the expenses of the Ma
| tional banks exceeded what the banks OBJ
tanned for the use of their capital by S234,-
OoOo 900. The following statement shows
what would have been the condition of
the National banks if obliged to do bust
ness solely on their own capital, and how
much they are indebted to the earnings of
| Labor and Enterprise for the net profits
reaped by them up to October, rs:
National Bank expenses from 1863
| to 1873 $634ooo,ooo
National Bank loss, had they traded
only on their capital, $234oOo,OOo
| National Bank receipts from Gov
ernment bonds up to IS $36o,OOO,OOO
, Natona! Bank receipts from deposits
up to rs. $54oooo,ooo
| National Bank receipts from the
| earnings and Pr0ftS of tile people, 5000 100000
| Deduct difference between expenses
and earnings on their own capital $234 100000
| Balance, net profits of National
| Banks up to October, rs, equal to
an average yearly net profit of
per cent, $666,OOO,O 900
think it will be generally conceded that
we are a very generous people and ex-
tremely patient under long suffering, to
contribute, as we have done, 5000, ,oOo,o
out of our earnings and possessions, for
the purpose of supporting and perpetual
ting baneful power, that is fast arraying
itself against those rights all treemen hold
most precious, in order that an unscrupul-
Gus political party, that has long outlived
it, usefulness, may WELD authority in de
fance of the popular will, and once again
inaugurate at Washington the reign of
Belknaps, Babcocks, and "Sylphs."
1t does not alter the significance of the
above exhibit that, had the banks done
business solely on their own capital, their
expenses would not have been so great as
those here given-and hence their loss
would have been proportionately less;
for what Immediately concerns us is, that
of the ST. ,3co, 10000 ofgross receipts, only
$500, 600 were secured to the banks by
means of their own capital, and that the
remaining Sooo, 900, 900 came to them as a
free gift from the people. The inevitable
deduction to be drawn from this condition
of affairs is, That the success of the Ma
tional Banking System, as now organized,
depends upon the existence of an In. 9rest-
bearing National Debt, and the gratu..ous
use, at UsURY, of other peoples money.
1t is a singular commentary on the pro
verbal shrewdness and good sense of the
American mind that the people should
gratuitously lend their own property to
the banks for the purpose of enabling these
to reap enormous profits by charging the
people for the use of their property. Here
is an immense deposit, amounting to hun
dreds of millions of dollars, belonging to
the people who pay the banks for the use
of it price which in IS years equals the
huge sum itself! If the enormous price
the people pay for the use of their own
property came back to them in some USE
full shape or form, there might be discov-
cred some wisdom in a proceeding which
bears all the marks of gross faulty. The
gravity of this crime against common
sense is not lessened because those to
whom the banks lend these. deposits are
not those to whom they Immediately be-
long; the deposits, considered in their en-
trety, are the property of the community,
and, as such, the community are alone en-
titled to the benefits derived therefrom;
instead of that, the community pay to a
banking association that have not a shad-
ow of claim to it large annual tax for the
privilege of using their own property.
Nor is this all the money thus gratuitous-
| ly paid ay the community for the use of
their own property goes towards bribery
and corruption fund to sustain a political
faction who are pledged to support an cx-
tension of an association which depends
for its existence on the collection of a tax