The Kinsley graphic. [volume] (Kinsley, Kan.) 1890-1940, 1890-12-26
sIAnEoaus soheME

The California senator Gives Bls View IN
q Measure FOR Financial RelieF-A Lean
Hased Upon Land Taises-
WAsuIxoroS, Doc 20. Mr.. Stanford
addressed the Senate tbe first thing
Yesterday in explanation Of the advisa-
biIity OF the bill introduced by him
Decemb Der to provide the Government
" IN means sufficient 20 supply the
national want OF sound circulating
medium It WAS substantially, he said,
the same bill as he had introduced last
sess: on and he had not much TO add 70
what he had said on the subject on that
occasion. But the bill was very i'm
perfectly understood and as the subject
was n very important one he desired 10
explain il still further. The Il
am now consider ng." he said, proposes
to put the Governments in n condition to
Issue a supply OF money equal
substantially TO the general demand
and to erect \ standard by which the
Government may determine up to 4 use
ful value OF per cont What is the
amount needed. THIS hiss never been
attempted by any Cove -nmeut The
money GegaI tender notes. will be is
sued under tho provisions OF this bill
upon unimpcachab c and practically In
CShaustible secur- ty and !ts SUPPLY is as
certain and determined by the rate
which the borrower can ano7d to pay
Two per cent. is the amount to be paid
d
money. and SO long as money is worth
more than ? per cent, the security being
practically iuexhaustibte, money viii
always be borrowed from the Govern
ment AMI thus the Government viii
be able to discharge its duty and
supply the general want As Dor
rowed money is not expected to lie Idle
but to be used, it goes into general cir
culation TO supply tho needs OF busi-
ness and its abundance stimu ates not
only the larger but the smaller enter
pr Sos and industries on which SO large
ly depend the steady employment Of
labor with its natural consequence,
general prosperity. The matter OF inn
mediate and Overshadowing Importance
TO us is to supply our own industrial
wants For this purpose VIC must have
more money-money based upon per-
feet and uni mited security. No Gov
eFnment can afford to issue money eX-
cept upon q valuable cons deratiOn-
The value OF Government paper is its
quality as legal tender and the proposed
bill would strengthen this paper az
the credit of Government OF o., 0OO
600 OF people with all OF our vast re-
sources is not pcrfectl by the partial So
curity VIII en- the Government would hold
for Its return at the eX pirat on of the time
fixed by the loan. The principle OF our
Government lOaning money S fullyestab-
shed by the advance itnOw makes upon
is own bonds, VIII ch. while entirely good,
as between the banker and the Govern
ment, docs not streng then the security
of the bill holder, which rests at lass
upon tho auth GRITTY OF the Government
The scheme of this bill is to sup
ply an ample amount OF money for
ali purposes have mentioned the
lands as security because they appear
to be the best and most certain o! all
security and are suffic ent to FUR
nish all the money that IS needed
The people, ! think, viii have
more confidence in a financial measure
that is new and radical il IL has At pres
! emit land only for a basis The rate of
interest on these loans on real estate IS
fixed al per cont in the bill. but in
time may be reduced as experience shall
teach. Tho rate OF interest charged by
the Government under the prov ssOns OF
/ this bill will not necessarily fix the
/ general ratio of interest for business
purposes That will always be deter
mined by its va.uo in use The farmer
| having tn $ security will be proud OF its
use or the use of others who may be
l wiling to pay him a satisfactory inter.
est. The banker borrOws money from ia o
| Government free OF interest and loans it
/ at such rate as its use commands in the
market This measure has boon COM
/ pared to a plan adopted in the! Argentine
/ Republic for loans on land. but there is
no analogy between the two and TO COM
/ pare the workings OF a measure OF that
] Republ c of say 1000 900 of people to
| that OF our country with its enlightened
g., 600, 600 would be like comparing the
methods of some irresponsible banker
I to those of the Rothschilds This bill
! fixes standard for the amount SO long
! as money can be prof ably used at more
than , per cent per annum. The ability
OF the Government to make money being
: unlimited, the real wants and neces-
sites OF the people can be ascertaiued
and met The foundation OF the whole
matter and the real question TO be con-
/ sidered is that inasmuch as the Govern
ment reserves the right TO issue money
/ IT is its duty, the means being provided,
to furnish what is necessary to the pros
perity OF the people"