Fort Worth weekly gazette. [volume] (Fort Worth, Tex.) 1882-1891, 1890-09-04

of the people living in the rich aud pro-
duct.ve counties ut the expense of the
people living in the poor aud less pro-
ductive ones.
WILL AID THE SPECTATORS.
"Moreover, il is a plan TO enable I'M
scrupulous Epeculators to take advantage
of the farmers pecuniary necessities aud
extort exhorbitaut prices for food from
people who reside in cities and towns aud
villages, and from people who reside in
the country, but do not own these par
ticular agricultural products. 1t is evil
dent that no farmer will subject himself
to the labor aud expense of transporting
his products to the pubic warehouses
and 10 all other charges which must
pay for storage, for handling and for
taking care OF them while there, when he
hns barns and granaries at home, unless
he is in debt aud absolutely needs the
money, which ths government is to adj
vance, and If he is in that unfortunate
condition, from what source is he after
ward TO acquire the means to redeem the
products by returning the money and ill.,
terest and paying the warehouse charges
In great majority of cases he will never
be able 10 redeem them, but will be
T..
OF The value of his products, or sell his
warehouse receipt for whatever he can
get for it, which will be very little, for it
must be remembered that after he gets
his warehouse receipt he has q remaining
interest of only 20 per cent. in the prod
uct, less charges for interest, storage,
etc, aud this Is all he can dispose of. He
will find the time rapidly approaching
W hnTN In 60 Ia
products or sell his small remaining inter-
est III them, or allow them TO be sold at
publicauction by the governments and this
will be the golden opportunity OF the spec
ulators, whose agents will swarm all over
the country ready TO take the warehouse
receipts from the embarrassed owners for
a mere nominal sum.
1.-THE receipt is simply a privilege of
redemption like pawubroker ticket,
and the farmer, being himself unable to
redeem, will be forced ultimately TO dis
pose of 1t any a. price offered. / do not
think that any considerable number OF
intelligent people in this country will
unite in asking the government 10 estab-
lish system which will compel them. IN
large uumber of cases, to sacrifice the
product of their labOrs.
''But suppose the farmers are able TO
redeem the products in order to offer
them for sale III the market, what would
be the necessary effect of the proceeding?
When they deposit their products in the
warehouses the volume OF the currency is
Immediately expanded and prices rise,
because the government has Issued new
treasury notes TO the amount of so per
cent. upon the products: but when they
withdraw the products for sale In the
market the volume OF the currency is i'm
mediAtely contracted and prices fall, be-
Cnuse when the withdrawal Is made all
the treasury notes or ginally loaned must
be returned and Cancelled. The very mo-
ment the deposits are made, and as long
N they remain in the warehouses, and
beyond the control of the farmer, there
lie an enormous and dangerous intistio
of the currency and prices are high, but
the very moment the farmers withdraw
their products for sale there Is an enor-
nous aud dangerous contraction of the
currency and prices are low.
EFFECT ON THE CURRENCY.
According to the latest official report
upon the subject the total amount of
currency in the country is 81 ,060. 1884,
OIL, but the sum of S622 ,7G4 ,27S is held
in the treasury of the United States,
leaving about 81 800, 200. 900 in active
circulation among the people. 1t was
SAID by one OF the leading advocates of
this scheme, who appeared before the
senate committee, that in order to carry
it out It would be necessary TO double the
present volume of currency in circulation
once every year, and as the products can
remain In the warehouses only twelve
months, of course about 81 500 200 900
would have TO be retired and cancelled
every year, two changes in the volume of
currency, either of which would be abso-
lutelY ruinous TO all the commercial aud
industrial interests of the people. No
business of any kind could be transacted
in any country in the world under such a
financial system as this, and the farmers
and laboring people would be the first TO
feel its effects. The fluctuations in the
wages of labor and prices of commodities
would be so sudden and so great that no
man could afford to enter into a contract
of any kind. All credit would be utterly
destroyed. The laborer would find thut
the wages which he had agreed to receive
when the currency was contracted would
be insufficient to buy bread for his chill
drtn when the currency was Inflated;
and the furmer would find, when he I'M
dertOOk 10 purchase MS supplies with the
treasury notes received on his products,
that on account of the temporary iutla-
ton it would require twice as many dol
lara to procure the same articles us were
required before the deposits were =. ade.
THE LOGICAL RESULT.
The entire business of the country
would be thrown into the most profound
confusion twice II year. Some would
find themselves suddenly bankrupted by
the contraction of the currency and u de-
cline in prices, while others would find
themselves suddenly enriched or ap-
parently enriched by the imitation of the
currency aud Il rise in prices. but ali
would share substantially IL common fate
i'll the end, for the growth and prosperity
of the country as whole would be de-
stroyed rs long as such q system existed.
But, during the time when these great
food products are looked up III the ware
houses or IN the sub-treasuries us they
are miscalled, what Is to become of the
of people who reside in the
cities, towns aud villages, and the other
millions who reside in the country, but
own no wheat, corn or oats? They are
TO be starved into submission 10 the de-
mnuds of spectators; they are to be de-
prived of bread until such time as they