Barbour County index. [volume] (Medicine Lodge, Kan.) 1880-current, 1891-10-14
eovERNMENT LOANS.


direct to the people, Is one of the most
vital presented for the consideration Of
American citizens and statesmen to-
day. 1t is a question which must be
fairly met and discussed upon its mer-
self-interest No great public problem
has ever been solved by the prejudiced.
| ignorant and selfish We will be very
fortunate indeed if we can secure for
this great issue, fair, candid and pa
triotic consideration
The State has no pet theories to
promulgate, no prejudices to sustain.
We are earnestly desirous that sys-
tenn of finance, consonant with the de-
mands of popular government and
equal rights may be adopted Such a
system must contain two distinct prop
ositions or departments In presenting
these, we will reverse the natural or
| der.
| The government must perform its
| orderly functions in protecting the un-
fortunate and the needy. 1t must Sc
cure for all, so far as lies within its
power, equal access to the opportuni-
ties and privileges of life. It has no
right to delegate its powers, or relegate
any of its functions to private individ-
uals, or associations of men.
In creating the national banking sys-
tenn. it did this, and established a pre-
cedent in class legislation. inaugural
ing system of favoritism which is in
defensible. 1t would be very unwise
for the government to repeat the error
and exchange one variety of favoritism
| for another, or one system of class
legislation for any substitute of the
same character.
| We do not propose to discuss the kind
of money that the government shall
issue, or whether we shall have mono
metalism or bi-metalism. Whether
our currency be of one or many kinds,
it should be issued direct to the people,
| As the government cannot distribute
| currency on per capita basis, there
must be some method by which the
| currency shall be made accessible to
| the people. What this method shall be
is very important question.
We are acquainted with the various
| plans for loaning on land or real estate
security and on non-perishable prod
ucts. In considering both of these
| plans they have generally been restrict
ed to agricultural land and products
alone No argument has yet been pre-
sented, indeed, no argument could be
presented which would justify such
limitation. We have had too much
class legislation already.
Tariff, corporate and banking legisla-
tion, iniquitous and unjustifable, rem
ders any suggestion of any extension
of class legislation obnoxious in the ex-
treme. Whatever system the govern
ment may adopt. 1t must include In its
| scope all legitimate industry and all
classes of citizens. If we are to have a
national loan system, it's benefits must
be accessible to all citizens engaged in
honorable callings. We cannot 90 into
the details of it's application, at this
stage of our discussion, but simply af-
firm that patiotism and a regard for
human rights will not permit us to
sanction any legislation which partakes
of the favoritism that distinguishes our
tariff laws.
The question of what Is and what is
not proper security, and of limitations
and regulations, can be deferred until
the principle is established.
The second proposition, which must
necessarily be part of any system In
cluding the first is provision for the Sc
curity and utilization of the surplus
earnings Of the people. All the capital
of this country is not owned by the
class generally included in the term
capitalists. Hundreds of millions of
dollars represent the surplus earnings
of Industrious workers in town and
city, as well as in the agricultural dis
tricts- If the government is to be a
loan agent it must necessarily utilize
these accumulated savings Legisla-
ton for government loans which does
not include this idea will have a ten
dency to legislate all the earning
power out of these savings.
The government cannot properly en-
ter into competition with it's citizens
1t has functions of its own, but in their
proper exercise it will never be a COM
petitor with its own citizens Thus,
if the government is to become a loaner
of money, it must necessarily become
the only loaner of money, and in that
case must utilize the accumulated cap
ital now distributed throughout the
various agencies operating under the
present organization of finance Take,
for instance, the loans upon real es-
tate. A large part of the capital now
represented by these loans is owned by
people in moderate circumstances
thrifty, prosperous farmers, mechanics
and others, whose money has been
placed in the hands of the mortgage
loan and trust companies for invest
ment.
If the government manufactures
money, and issues it upon land security
at the rate of two per cent, the money
now invested will be released, and its
earning power destroyed, for the ex-
pense attendant upon placing it will
not permit the capital of private per-
sons to enter into successful competi-
ton with government loans at two per
cent
Extending this system, as would be
necessary if it was adopted at all.
would result in the government absorb
ing all reliable forms of investment.
Now, any measure which proposes to
lnaugurate system with such ultimate
effects is impracticable.
The farmers in the longer settled and
more prosperous agricultural districts.
who have few hundred dollars to
loan; the mechanics who have a nest
egg in the savings bank; the hundreds
of thousands who hold policies in life
insurance companies which are large
investors; in fact, all who have funds
invested where they draw interest viii
array themselves against measure
which utterly destroys the earning
power OF their savings OF course. the
extremist may say that all usury is
wrong, that the exaction of interest is
unjustifiable. but anyone who is not
ready to adopt some form of socialism
cannot consistently cry out against In
terest.
Under the present organization Of So
c1ety. it is acknowledged that what .
man earns is his own, and what he
owns, he may, within reasonable limi-
tatlon, charge others for using, whether
IL be dollars or aer.aa o.. hr,,,aan