The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1890-04-08
THE sUB-TREAsURY PLAN.

~ S' SASO 0AO III L10 I1OuS0 DIV
Mr.. Picker for the relief of agricui.
tural distress is worthy of some at.
tentiOn from the general public as be-
ing an expression of the convictions
Of the Farmers Alliance, an organlza.
ton that has recently attained large
proportions in the West and South
The feature of the bill is 1.-THE sub
treasury plan" This "plan," which,
according to the Washington National
Economist, is the creation of the ALI.
ance, embodies princi pies with which
the silver kings have made the
country tolerably familiar. The silver
men have long been asking Congress
to take their silver, store it, and issue
therefor certificates of deposit, which
shall circulate as money. The cirtif-
Gates were to be to the full value of
the silver. Indeed, they were to be
for 100 cents for pieces of silver called
dollars, worth intrinsicalIy not over
73 cents. Tue Alliances "sub-treasury
plan is more modest. 1t proposes, in
brief, that the federal government
shall build fire proof warehouses in
the various agricultural counties
throughout the Union in which farm
products may be stored. Upon the
storage of any given quantity of
produce in such warehouses tull
legal tender money is to be advanced
upon it by the government to the ex-
tent Of 80 per cent. of its value. The
rate of interest to be received by the
government for these advances is to
be l per cent. The remaining 20
per cent. of the estimated value of the
farmers crop is to be represented by
a certificate showing the date of stor,
ing, cost of service, amount, value,
etc. The advantages of such an ar
rangement, from the point of view of
the Alliance, are numerous and solid.
1t would enable the farmers to estab.
lish prices instead of Spectators,
Consumers and manufacturers would
buy certificates as they needed com.
mOdities. The market would ACQUIRE
equilibrium, and the vast fluctuations
in tie value of farm products would
cease. In any case the farmer would
pay less heavily than at present for
financial accommodations. HIS market
would be near at hand. If the valuer
of produce should be an ambitious
person, appointed from the locality he
IS to serve, it IS hardly open to doubt
that the government question of
wheat would be an improvement upon
that of the New York or Chicago
market. The question in each case
would be not what the pauper HIndoo
can afford to sell for at Liv srpOoI,
but what L" ought !" to be the value of
the product Of the free American
citizen who has political duties to
perform and a family to support in a
decent manner If the employees of
the government at Washington and
elsewhere get full wages for eight
hours work, much more, it is held,
should the farmer, the most useful
element of our population, be assured
a proper return for his protracted
term of toll. Sach are some Of the
considerations That may be urged in
behalf of "the -suO-treasury plan" and
they may be conceded to be fully as
weighty as those upon which the
,armer has been compelled for years
by the tariff to contribute to maintain
high profits for manufactul ing CAPT.
taltsts. Undoubtedly the capital in
land is as much entitled to protection
as capital in iron-making, weaving,
spinning, etc. The farmers best
| frioOI no1C+ on+or+oiD Ocroo doubt
however, as to the practical efficiency
of the "plan." The valuation of crops
would open the door to fraud very
wide. When the crops were deposited,
as proposed, and certificates issued,
what if a syndicate or syn dictates
should buy them all up? Would not
the arrangement supply new facilities
for the creation of dangerous monopO,
lies on a gigantic scale? The farmer
sells his crops low now, not for love
of the middleman, but for want of
cash. Would he not, for like reason,
be compelled to sell his certificates for
a song and be content with 80 per
cent. of the value of his crop? These
are some Of the practical questions the
scheme suggests. AS respects the
constitutional and other principles in
volved, the defenders of the plan can
say this much, at least-that it is fully
as Legitimate as the protective tariff,
subsidies and other like ~iniquities
now favored by a great party.
We clip the above editorial from
the Baltimore Sun. We admire the
spirit of frankness and candor which
| characterizes the article. The Sun
finds many substantial and solid
reasons for the adoption of such a
plan, and offers some strong and
practical arguments in its favor. But
the writer seems to have allowed his
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