Lexington weekly intelligencer. (Lexington, Mo.) 1871-1887, 1884-10-25

3S4.
Missouri. l hold that the credit OF
state is like virtue to a woman, or
like honor to man. There must be no
stain upon it. The credit of the state
of Missouri is higher than it has ever
been. 1t is not surpassed by any state
in the Union, when you take into con-
sideratiou the per centage and the
character of the bonds issued, and the
length of time the bonds have to run.
| believe those are the standards by
which a bond has to be measured, by
the per centage it bears, the length
OF time it has to run and the series OF
the bond. There were some bonds is
sued by Texas. They bore 10 per cent.
interest and ran forty years before they
matured, leaving it discretionary with
the state whether they should be paid
before that time or not. Those bonds,
| believe, were valued as high as 81 40
to 81 SO per hundred, but they were
long time bonds and bore per centage
at ten per cent. Missouri has no option
bonds out. Missouri bonds all bear
six per cent. interest, and to-day they
are pleasing to contemplate in one re-
spect, and in another respect they arc
somewhat alarming to consider; for it
won't do for this democratic "pOor old
Missouri to get too far ahead of some
of the republican states of this country
Nv friends, our longest Missouri
bonds are worth 81 80. Look at it
nothing can more eloquently and con-
vincingly test the faith of the people in
the financial world as to the competen-
CIV and honesty of democratic admin
istration than these figures which l give
you. On January l, 1873, when Gov
ernor Woodson came i'll, the highest
selling price of Missouri state bonds
was 90 cents. On July l, 1865, wher
Mr.. Hardin was governor, they sold al
95 cents. They have gradually increas
ed i'm value from the time the state pass
ed under the control of the democratic
party up to the present day. On July
/, 1884, the bonds due in 1887 sold q
81 OS. Ten year bonds due in 1894
sold at 81 253. Bonds due in thirteeI
years from this time sold at 432 l. !o
These bonds reached their lowest pric'
in 1865 when the republican party hat
control of the state. Bonds OF slmlla
character sold then at 55 cents on tn
dollar and then went up to II cents OF
the dollar. Look at the difference
From that time to this they have gradu
ally enhanced in value until they ar
worth 81 80 on the dollar. That is $3
as premium on every 800 bond. / ga
that they are as good to-d day, if not bet
ter, than the bonds of the United State
themselves. Loud cheers. That
: broad statement. Now let me prov
J. it to YOU. A United States 4 per cent
bond is now sold at the stock exchang
of New York at 81 20. A Missouri
, per cent. eleven years bond will readll
, command ST. 32, showing differenc
in the value OF the two securities
= nearly one fourth of one per cent. pc
annum, which is practical test, show
y the high standard of the credit OF tt
+. state of Missouri as compared with tt
Il government of the United States.
other words, the government OF tt
! United States can go into the Marke
J of the world and borrow money on
= credit at 2a per cent. per annum, Il
y state of Missouri can command none
~ at 3 per cent. per annum. NOW
u friends there is a difference of only ol
n y quarter of one per cent. between Il
j value of a state bond of Missouri al
le one of the United States. Why is tina
y The Missouri bond bears per Gel
le interest it is true, but they are taxat
u and the United States bonds are n
~ taxable. That always makes diffe
le II ence in the price of the bond of al
- state or of the government. Now
!, will give you another evidence of tn
u. On the 10th day OF January, 1881,
~ ~ was inaugurated governor OF the sta
oi of Missouri. There was in the treas
- - nv then $30O,000 dollars only. The
- were $25O,OOO due upon bonds issu
~ under Governor Phelps administrati
~ which had to be paid. The admin
a a tration was then left in its incipie
p 10 existence with only $5O,OOO i'll
70 70 treasury and legislature on hand, a
u. ~ at that season of the year when
~ revenues of the state were not comi
y in as rapidly as later. Under an .
III of the legislature we advertised for
81 loan of $l5O,OOO. The advertisem
~ was published in the st. Lonis pap
IN and we borrowed $150,000 upon {
a own individual notes-General Wa
III at er, General Mcintyre and myselfco
la' "a posing the fund commission OF the sts
~. We borrowed this for six months
"a. a. the rate Of 3 per cent. per amt
as als Never before in the history of .
-. no state had money been borrowed NJ
M that basis. 1t was so astounding I
Mr., Speaker Randall of the Uni
States house of representatives wrol
inf letter to me making inquiries if it W
Phc true, having seen statement to
.ad effect in one of the papers. He wan
'oS to know if that could be true in a d.
nor @ ocratic state. answered immediat
ion that it was true. 1t was about
arv time that Congressman Morrison,
~. Illinois, introduced bill in the he
al, providing for the issue of bonds bt
not ing 81 per cent. interest. Sen;
t.d Sherman arose in his seat-1 think
mid was in the senate at that time-at
nj rate he took the position that the {
ara ernment could not float its debt up'
can 4 per cent. basis, while the democl
;cs. party cOmtended that it could be flo
non upon 81 per cent. basis. The g
nv of Missouri was at that very time
= Of rowing money OH q 3 per cent. b
tare MISSOURI DEBTS.
are In 1886 and 1887, $4,000, 900 of
tors state debt will mature which mus
)rce paid and the bonds retired or a
bli- of it paid and the balance refunde'
ut [ the whole refunded. The mem
die ofthe general assembly elected thi
was will have to deal with this impo
fore question. 1t is an important o
ence the people because it involves the
The it and character of the state and p
was, bly, Il revolution in its financial his
rds, From present estimates there wi
state between 81 100000 and $4,000
ulat- the state treasury at the close of
.nce, administration. AT least half a
Oh of lion of this sum can be used in rel
uuri, bonds, and the balance of the ma
Dnu- bonds falling due III lSS6-s7 car
stin- should be refunded on basis of
Just 4 per cent if 500 bond is issu
n his saving of at least = or q per cen
was annum on that protion of the
sinia funded. The bonds of the state
:ould mand such high prices OH the
A the boards of this country that the
. was tors will readily seek such secu
svs- placing them side by side with tho
heer- the government.
ment Now in the face of all these fac
that you think it is honest, do you I'll
and is lust, do you think it is right til!
o-day body in the state Of Missouri s