The Florida agriculturist. [volume] (DeLand, Fla.) 1878-1911, 1890-07-23


In reading the article in your issue of June 18th
by Mr. Geo. w Hastings entitled "Where the
Shoe Pinches, see so many statements having
a tendency to misIead the no doubt ''intelligent
readers of agricultural journals, but who have
not the time nor opportunities to hunt.up statis-
tics and facts in regard to a matter of such vital
Importance to them the finance question, that
l feel constrained to point out some OF the errors
contained in the said article.
He states ''we have larger circulation than
any European nation" giving present circu-
lation at $22 Sc per capita. AS a matter of fact
England has $344 per capita, and France has
$4S, more than double the figures he gives for the
United States Further if we had the $2236 he
claims, the amount of money in circulation would
be for 60 600 900 inhabitants 81 341 800 000 in
stead of the 1898 SOB 900 he states have accord
ing to the report OF the Secretary of the Treasury
AS he does not allow for the millions locked up,
circulation is much less hence it is nearer $6
than $223 SO as he claims
He further claims that we have had an increase
OF circulating medium instead OF contraction.
Well, let us look at the facts On the 3lst day of
August 1865, with population of say 40,000,000
people, had atotal circulation of 49, 1872, 1895 627
(See Congressional Record. March 81, 1874 Thus
we see since that time ST, ,S53 S92, ,627 has been
withdrawn from circulation.
If this is not contraction, what is it?
Now when it is remembered that this immense
sum of 81 1858, ,S92, ,627 converted to inter-
est bearing debt and added to our national debt,
in violation of every principle OF right, and made
payable in gold, in violation of honor it is not
difficult to see where and why the 'shoe pinches."
The industrial population have already paid over
$4,000, ,0O0,0 900 in taxes to pay interest and dis
counts on about 5000 900, 900 they actually bor-
rowed, and have the refreshing fact before them
that they and their children have the of
about $4,000, 100000 to pay yet. Long before this
is done (if there is no change) every small farmer
and property holder will be wiped out and there
will be nothing but masters and slaves. This is
not too strong language, as the pages of history
through all time prove.
Now, as to national banks, will admit their
superiority to the old "wild cat banks in some
respects, but deny tn at they and finance sys-
tenn is the best could have; that is, for the
good of the many. AS machine to benefit the
few, they cannot be exceed. AS they have the
power to raise depress all values at will by
contracting or expanding the volume of money
a dangerous power to place in the hands of a
few men being greater than that of any king and
entirely foreign to a republic.
AS to their being taxed, the following explains
itself The bank deposits 100 900 in bonds in the
United States Treasury and receives 100000 in
bank notes, on which it agrees to pay the United
States one per cent. per annum. intact, the bank
borrows the credit of the people for one per cent
per annum giving security. on which security the
people pay the bank per cent. besides
standing a shave OF from to u per cent for the
use OF their credit in their business relations.
With a capital of $35O,OOOOOO, their loans
amount to about $1,OOO,OOO,O0O (if this is not in
fiation what is it?), and can prove that in
year at least they averaged 2519 per cent their
$3.50, ,OOOO 600 of capital.
Having thus shown the immense contraction of