Barbour County index. [volume] (Medicine Lodge, Kan.) 1880-current, 1890-10-29
THE MILESTONE OF DEBT.

The Payment OF Interest to Individuals
VIII Inevitably Pauperize the Masses.
That the American people are being
not only crushed, but crushed with the
burden of private debt, is plain to every
well-informed person.
That not only the American Republic.
but civilization tself is jeopardized by
this curse of debt is just as plain.
Relief must come and that speedily,
or the bottom of the hill will be reached
and death, ruin and decay will begin its
work.
From this impending danger we be-
lieve there is but one means of escape
and that is by and through Government
loans direct to the people.
1t is the only proclamation of freedom
that will set free thrice three millions
of debt-ensiaved farmers, workingmen,
merchants and manufacturers.
But objections are made to the scheme
of Government loans The objections
come principally from two classes, the
croakers who would find fault with the
ten commandments and declare thew
would do no good, and the usurious
Shylocks who live on interest money.
A correspondent asks us to state how
these loans could be so managed that
sharpers could not get the benefit of it
to the exclusion of the poorer classes.
Let us suppose that there are 800
mOrtgage-cursed farmers in some GER
tain county, and that their mortgages
average 81, 900 each.
Let the Government loan sums not
exceeding $1,000 to any person in the
county, giving preference to applicants
for the smaller sums, and preference to
those who are already mortgaged.
In this manner the ''sharpers" would
be cut off.
If it happens that rich man has
$40, 900 farm, with 50, 600 mortgage on
it, he of course would get the benefit"
of a 81, 900 loan. At the same time,
''poor man" having $4,000 farm, with
a 81, 600 mortgage on it. would get the
same benefit that the rich man" had
Let it be understood that this idea OF
Government loans is for the benefit of
the people, and especially for those who
are cursed with mortgage debts; and
with that thought in view, base the law
which is to carry the idea into effect
and there is little or no danger of the
rich" getting any undue ''benefit"
of it.
But, some one suggests, there are 2, 400
counties in the United States, and If the
Government loaned on an average $780,
600 to each county, it would take 81, 21O,-
600, 900. and that would be too much
Imitation. (Of course the Shylocks
would shout imitation" as imitation is
as hateful to old Shylock as holy water
is to the devil.)
But let us see.
The debts of the 500 mortgage-cursed
farmers in this certain county are all
due at present. They have from one to
perhaps five years to run. Suppose that
only one-f1fth of them are due this year
1t would take only 500, 900 to relieve
them for this year. Next year it would
take as much moro. In two years two
ffths only of 81, 21O, OOO, 600 would be re-
quired, so that instead of an Imitation"
of 1,21O, 000 600, it would be an Sin
fiation" of only $3.50, 600, 000-or less than
$40 per capita.
At the end of the first year, the inter
est on the first years loan would be
turned into the treasury, causing that
much of contraction which would Off
set part of the imitation"
Right here another important feature
of the question is presented. What
would the present money loaners, who
would be compelled to accept their
money, do with it9
They could not loan it out unless
they did so at the same rate that the
Government did.
They would notkeep their money idle.
for then it would bring them no income.
They would do one of two things
loan at Government rates. or invest
their money in some productive enter
prise
In either event their money would go
into circulation.
And if it went into circulation it
would partially relieve the demand upon
the Government for loans
In short in all probability, an 'infla-
ton" of not more than $500, 600, 900 to
5000, 900, 600 would be all that would be
required to place every mortgage in the
United States upon the level of two
or three per cent basis
And thus released from the curse of the
exhausting, killing, high rate of inter-
est which exists at the present time
men could accumulate something to pay
Of the principal and get out Of the mer-
ciless jaws of an accursed debt.
Debt, from the petty mortgage upon
the humble home up to the Government
bonded debt is the milestone which is
tied to the necks of the American people
to-day.
Government loans direct to the peo-
pie Is the passage way through the Red
Sea of Debt which will enable Gods be-
loved men, women and children to es-
cape from the Shylock Pharaohs who are
in ~ 4