Abilene weekly reflector. [volume] (Abilene, Kan.) 1888-1935, 1891-02-05

ments in such numbers as to make in
tense competition in farming and all
the various avocations. Not having
profit enough to make ends meet, yet
hoping to save themselves, men borrow,
and, finally, lose all through being
eaten up by interest.
The institution that serves our purpose
in banking should be thoroughly
impartial, and be so completely
responsible as to guard the customer
against any possible loss Nothing
short of government can fill this posi-
ton. The only serious question is: Are
we sufficiently civilized? Are we wise
enough to introduce a Governmental
system that will do justice to all and
absolutely protect the people? I think
we are and propose the following:
That the Government borrow and add
to its liabilities 81, $50, 900, 900. The
amount thus borrowed, added to the
present Government Indebtedness, will
make the Government debt 81, 900, 900, 900
very light debt compared with other
nations; and considering the assets Of
the Government, consisting of 100000
900 acres of Government land yet un-
sold, together with custom-houses, forts
and other property worth billions Of
dollars.
The exact amount of money in circu-
lation November 1, 1890, was 81, ,499,-
004, ,121, which made, reckoning our pop
ulation at 63,OOO, 900 people, $3.50 for
each person; ample with which to do
the business of the country when conf
dence is restored and money circulates.
Continue this circulation with steady in
/ crease, as may be found necessary with
out initiating or depressing values, in
bank notes of various denominations,
including goodly supply of postal cur
rency, so popular and convenient in the
days gone by.
Establish 5000 banks in various parts
| of the United States. AS the Govern
ment can borrow every dollar it wants
at per cent and less, it can loan at
per cent. As there are estimated to be
S55, 200, 900, GOO worth of property in the
United States, the Government can
| safely loan up to $4,000, 900, 900, which
may be its limit of loan.
Whatever money is put into circula-
ton will come almost Immediately back
| into the banks again, through the con-
fidence of depositors in the Government
bank as a safe place for money; and,
costing the Government nothing, can be
loaned over and over again, up to the
amount of S., ZOO, ,OOO, 900.
A careful appraisement should be
made of all property in every part OF
the United States. The 5000 banks are
so many Government repositories, dis
| tributed throughout the Union, for the
| purpose of furnishing money at per
cent. or less, on good security. If branch
banks are needed they may be estab-
lished as required.
| Loan money on land at one-ffth OF its
appraised value and on chattels, prop
erly insured, at one-tenth their value.
Pursue so careful policy that, should
interest or principal not be paid, the
United States will not be the loser, but
the gamer if the property comes into
Government possession.
Abolish all private banking, but al
low individuals, who may be willing
to advance more money than the Gov
ernment is allowed to loan, to loan
from their own funds, or under the
head of guarantee companies, to the
borrower, at a small stipulated ad
vance over the Government interest
For the expense of managing the 3,O0(
banks allow each $4,000 per year tC
pay officers, appraisers, inspectors, etc
| The expense to the Government o.
this system of banking will be interes
on 81, 900, 900, 900 at per cent, amount
ing to $50, 600, 900 per annum. The cos
of managing 5000 banks at an averag
| of $50, 900 each, will be $50, 900, 900; tota
cost, S12O, 900, 600 per year; receipts from
interest on 5000, 900, 900 at 4 per cent.
500, 900, 900; giving a net gain to tn,
Government by doing its own banking
of $50, 900, ,O00 The advantage to tn
| people by Government banking thus
| on a strictly conservative basis, will b.
| a large source of revenue; no NOR
| panics from bank failures; no NOR
property sold at a third or quartz
| value because of money panic; no NOR
boarding of money at home to b
burned, lost or stolen; no more nev
settlers eaten up by exorbitant inter
farmers. because their securities are IL
real estate; no more millions los
through speculating bankers or bank
| rupt banks
To guard against political dishonest!
there should be elected annually ;
board of five bank commissioners il
each Congressional district, who shal
have the control Of employment o
bank officers; these officers to be con
tinued in place so long as they accept
ably serve the people. AS the privileg'
will always rest with the people o
completely changing the membership
of Congress, and the management o
banks shall rest with commissioners
annually chosen by the people, the rea
sons can not be seen wherein the bank
ing system can be corrupted. On the
contrary, instead of banking being con
Quoted to the injury of the people, com
missioners thus chosen will call to th'
management of the monied institution
the best banking talent of the country
Men of high moral character who ar
now successfully conducting banks
will be chosen to these positions o
trust, where, given full opportunity TO
the accomplishment of good, they vii
conduct banking not alone for the sue
cessful few, but in the interest and TO
the benefit of the entire people
in SchooL-Teacher - "How ar,
worms a prophecy % vertebrates?'
Pupil-"Because they crawl round"
Only Partially Explained.