Shepherdstown register. [volume] (Shepherdstown, Va. [W. Va.]) 1849-1955, 1879-06-21
COM1iUNICATED.

Mr. Herdic, prominent and infuen-
tial citizen of Williamsport, Pa, writes
from Georgia, in which State he has
been visiting, giving an account of the
financial relief Of the State Of Georgia,
in the issue OF per cent bonds, and
suggested that Pennsylvania, his native
State, should adopt the same plan. 1t
will apply TO all States, as well as the
general government, for financial relief.
He says
Within two. or three years Southern
States and cities have been forced into
temporary or partial repudiation. Who'll
" unable TO collect annual revenues
sufficient to maintain their organization
and meet their liabilities, Memphis and
Mobile have surrendered their charters,
and two hitherto prosperous cities OF
New Jersey are said to be in fair way
10 follow their example The taxable
property of the country is not increas-
ing This is a startling assertion, but
nevertheless it states fact OF general
notouetv Not only does the labor OF
the American people go for naught TO
themselves and families, but the assess
ed value of the whole country is less at
the end of each year than it was at the
beginning thereof The taxable value
Of Philadelphia was found to be in 1878
naarly thirteen millions less than it was
in 1873, although the increase Of build
ings and population in the interval
equalled the entire city of Providence,
Rhode Island
The result of this depreciation Of
property is that the burden OF State,
municipal and county debt and taxes is
increased, until in many sections of the
country, certainly, in several portions OF
our own State, it is dangerous to our
own property, which should produce
not only the amount necessary to pay
its taxes, but give its owner an income
as it formerly did.
This deplorable condition Of things
can, | am persuaded by observation and
reflection, be averted The taxes we
now pay are applied, not TO the i'm
proyement of borough, city, county or
State, Out to .he payment OF interest to
bankers, bond-holders, and syndicates.
The people labor not for themselves,
but for the owners OF realized wealth /;
and / am confident that they can vlndi-
cate the credit of municipalities and
States, can avoid the dishonor of repu-
diation, and, PROSTATE as they now are,
can, themselves, 10 the extent OF the
volume of outstanding loans which
promise high rates of interest, become
the creditors OF their own municipalities
or States. and so change the character
of the debt as to greatly reduce the bur
den of interest, and provide that the re-
duced rate shall be paid to taxpayers
themselves. Ii ! am not gravely mis-.
taken, the annual burden of our State
and municipal debts can be reduced
from 50 to Is per cent.
This proposition will doubtless be re
eeived as the impracticabe suggestion
ot dreamer but it is sustained by eX-
perience In submitting the PROPOSE
tons ! am about TO bring TO your atten-
ton, set up no claim TO originality. !
have seen the experiment tried, and
challenge any man to successfully deny
the allegations ! am about TO make.
What one embarrassed State has done,
others may do.
a series of Georgia bonds had ma
turcd. Sne was unable TO eXtort from
her people revenue sufficient to meet
her current expenses and interest ac-
count The people of the State were
without 4 medium of exchange, and
consequently without the ability TO ope-
rate their lands, and pay wages to labor,
because there was not in the State, at
any one time, q sufficient volume Of
money, including bank-notes, TO enable
them to pay one years taxes on a given
day. Yet Georgia is now prepared TO
meet her material obligations. More
than this: the means by which she OBJ
tanned fands for this purpose have slim
ulated her industries, ard, 70 large
utoICc, dbOiiSH'b tUC y SlCul VI bhi NNi
to which her citizens have been driven,
by furnishing them volume of currcn.
cy which every one of them gladly ac-
cepts as a medium Of exchange.
The process Of Georgias redemption
was simple one. 1t was to issue bonds
not of the denominations of $50, 500,
$500 or $1,000, promising a high rate
of interest in gold, and to thus appeal
to the cupidity Of Wall street OF Lon
don for means for the further enslave-
ment OF ber people--no; it was to issue
bonds for five dollars with coupons at
tached promising the payment Of four
per cent interest annually, and, instead
of spreading the bonds over the face of
n sheet OF paper, she printed them OF
the size aud in the form and general
appearance Of the legal tender paper
money of the United States. The pro-
ceeds of these small bonds are to be ap-
piled solely 10 the redemption of out
standing bonds which bear a higher
rate of interest, and are chiefly held by
foreigners Each bond is evidence Of
the States Indebtedness 10 the holder
thereof for its face value, and that of
the coupons at their maturity. But they
are OF convenient size and form for
circulating medium; and, as every citi-