The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1888-09-19
Harrison's Bond-Buvine scheme

The net surplus in the U. S. treasury,
Aug. 81, was S1O7, 673, $1,000. This is in
addition to the reserve fund of 100000
600 held for the redemption of the legal
tender notes.
BEN HARRISON says, in his letter of &C
ceptance: "The surplus now in the treas
ury should be used in the purchase of
bonds"
In other words, Ben HARRIsoN'proposes
that the government shall go into the open
market and buy bonds, paying whatever
fancy premium the bondholders choose to
demand, until the Sl07 100000 sur
plus is exhausted. 1t is very
nice scheme for the bondhold-
ers, who bought their bonds at a
big discount, and who, if HARRIsoN's
plan were carried out, would be in posi-
eminent. But it is not in the interest of
the people-of the taxpayers OF the coun-
try who have already been made to con-
tribute, by sundry schemes of republican
devising, far more than was right or just
to the enrichment OF the nations favored
creditors.
The government has no power to-day to
call in a single outstanding bond. JoHN
SHEkMAN's laundering funding operations,
when secretary of the treasury, have left
the government without this option.
There are no bonds redeemable until
1891, three years hence. There are
S220,000,000 of AZ per cents outstanding
which will be subject TO call at that time.
II the present rate of taxation is main
tanned there will be available for the pur-
chase of bonds in 1891 at least 500, 000, 900
provided, of course, the money is not
squandered in the meantime in jobbery
and proAigacy. Ben HARRisoS and his
party cay that the high taxes must be
kept up; that the surplus on hand must
be divided among the bondholders; and
the presumption is that the accruing sur
plus-if they have their way about it,
will also be handed over to the bond
holders.
There Is no business sense or equity in
this proposition. II is devised in the in
terest OF two classes: the bondholders and
the tariff-protectcd monopolists. These
two classes are expected to contribute
literally to the republican corruption
fund in consideration OF the adoption Of a
policy so acceptable 10 them should HAIR
RIsoN be elected.
The proper way 10 solve the surplus
problem is to reduce taxes on raw mater
ials and the necessaries OF life. That is
the democratic program, and ID is n
program that must commend itself to the
farmers, the workingmen, and the great
masses OF the people. They would be the
sufferers ii the policy proposed by HARRI-
SON were carried out the money-lenders Of
Europe and America would be the
gamers.
The secretary of the treasury, Mr.. FAIR
CHILD, in his last annual report, discussed
this question very fully, stating in detail
the fatal objections that exist 70 the HAIR
RIsox plan Of buying bonds. We quote:
The use in business Of the money which Is
devoted 70 the purchase Of the bonds is worth
something 10 the people from whom Il is taken
by taxation, and ii the value Of this use Of
money in business Is greater than the amount
OF money which is saved by the cancellation OF
the government bonds, then the people have
lost by the transaction, the measure OF
the loss being the difference between
the worth of the use % the money