Grant County herald. [volume] (Lancaster, Wis.) 1850-1968, 1880-12-16

railroad camp, but it is light that
may clear away the clouds lowering
over the liberties Of the people. The
railroads are not the source of all
our political ills, and light may break
in through other clouds. As we have
reasoned before, there are openings
in ~these times for legislators and
others to distinguish themselves.
Judge Black may have made be.
ginning.
National Banks and Double Interest.
Some persons appear to think that
criticisms made by the HERALD on
the National Banks were un.Repub-
lican. We shall not undertake to
prop our Republicanism. There is
no man has been longer Republi.
can than we--uone will be longer.
But we will criticise the acts of Re-
publicans whenever we think them
wrong. The National Bank act we
think was good act. AT the time
of ITS ado otion the country was in a
very bad financial condition. The
only banks we had were State banks
whose issue of currency was author
lied only by the States, and that was
no authority at all, for the national
constitution expressly says, "No
State shall emit bills of credit" &c.
In doing away with those banks all
the evils of the old banking systems
could not be wiped out at once. One
of the evils incorporated into the new
was the privilege to National bankers
of obtaining double interest on their
money. The National banker has
$4,000 in bonds. bearing as hereto.
fore, 5 and 8 per cent. interest, not
taxed. He deposits those with the
United States and receives $4,000 in
currency. He can and generally
does loan out this currency at 8 to 10
per cent, or more if he is located
where more can be had. On this he
has to pay tax, small tax. IF his
bonds were specie, lying away idle,
he would have to pay tax or that,
tooi He gets now interest on his
bonds, from the government, and in
terest from the men he lends his cur
rency to. This is double interest for
nlne-tenths of the money. We know
of no other way that man can get
double interest for his money. The
National bankers therefore become a
privileged class. There is no good
reason why banker should have
this privilege any more than any
bondbolder. If a banker can take
bonds to the Secretary of the Treas.
ury and get currency Tor them and
still draw his or 8 per cent. on the
bonds, and have the use or interest
on the currency obtained besides,
then any other person holding bond
should have the same privilege. The
one per cent. tax paid on the curren-
cy cuts no figure at all. The bonds
are good hypothecation. If the
holder wants currency he ought to
be satisfied to leave the bonds with
out drawing interest while the gov
nrnnpant ia halaine. thor, rTha NJ.
the greenback currency. This fact
is standing refutation'of the asser.
tiou that "legal tender" is what
keeps dollars at par. Wherever the
greenback is st par the bank ourren.
cy is at par. We do not contend for
the abolition of these banks and the
substitution of legal tender notes in
place of their currency but there is a
radical wrong in the double interest
privilege. That we would have abel
ished, and then it don't matter how
the currency comes.
And the banks are not satisfied
with what they. have. A member of
Congress last week introduced a bill
that if passed will direct the Treas.
ury to return to the National Banks
the pittance of tax that they have
paid on their currency. We are Re-
publican. We would not give our
Republicanism for any mans that
lives, but this sort of work will not
help the Republican party. The Ma
tional bankers are the only business
men that have lived unscathed thro'
war and panic. All trades, profes.
sions and enterprises suffered, and a
large per cent. went completely down
into ruin during the panic. The far.
mers, proverbially the most indie.
pendent men in the world, suffered
most of all. But every National
banker came out whole. Some closed,
1t IS true, for want of business, but
positive loss or ruin of the men as
bankers could not happen. Their
bonds were safely locked in Uncle
Sans hands, and he was paying
their interest. Now for them to come
and ask that little tax back is cheeky.
The Rattle Nuisance.
A long suffering people VIII no
doubt be pleased to hear that there
is stringent state law against all