The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1891-10-08

pay his debts, OF if he
thought that the prices would
advance would hold them or use
them as collateral to obtain loans
While they were not legal tender
they would prevent the expansion
and contraction of the currency Il
there were many products to be NOV.
ed, there would be more certificates
if few there would be few certificates.
If prices fell they would be boarded
and brought forth when prices rose.
The government would incur no ex-
pense and very little risk in issuing
such certificates. The legislation
would be based on the laws now eX-
listing for the bonded warehouses for
imports and liquors. Whoever wish
ed to keep public warehouse would
give bonds and secure to government
a first lien on the building used for
this purpose and its contents. A store
keeper would be appointed by the
government in accordance with the
civil service rules; but he would
be paid fixed salary by the owner of
the warehouse. He would report
daily to his superior officers the
entries and Withdrawals and as often
as necessary an inventory. The sal
airy of the superior officers, who
would supervise the bonded ware
houses and visit them, might be pro-
vided for by the sale of the blank GER
tificates, the counterfeiting of which
would be punished.
The system would almost work
itself. For example: 1t would not
be necessary to impose any restric-
tions as to the articles that could be
deposited in the public warehouses.
AS the charges would necessarily be
higher than in private ware
houses only staple articles, the
prices of which is daily quot
ed, would be deposited; for only GER
titicates of such article would have
any commercial circulation. The in
spector who graded the articles might
be appointed by the owner of the
warehouse or his patrons, as he and
they would be the first to suffer if
any improper grading was done.
We hold that the sole function of
government is to do justice, and we
think it eminently just that small
producers should have the facilities
for doing business which such ware
houses would afford them. If congress
has the constitutional right to estab-
fish bonded warehouses for the ben
eft of importers and distillers, we
presume that it also has the power to
establish public warehouses for the
advantage of interstate and foreign
commerce.
The chief objection to this proposal
will be that it resembles the sub
treasury scheme of the Farmers ALI
ance. But while it would secure to
farmers many of the advantages which
they expect from the "sub-treasuries, -
it is not open to the objections which
will prevent the adoption of that
scheme. 1t is not for one class but for
all. All producers could deposit their
products and obtain certificates of
deposit. Only those who make staple |
that will keep would find it |
profitable to use the public ware
house; but these will be more
than are anticipated. /
No legal tenders will be issued
there will be no expansion Of the
if the certificates are not
found to be convenient they will not
be used. There will be no expense to
the government. Where there is a
demand for public warehouses they
will be established by private capital;
where there is no demand they will
either not be established or discontin-
ued. If, as we anticipate, govern
ment certificates Of deposit are gener-
ally accepted, the public warehouses
will enable the producers of all sorts
Of staple articles to dispose of their
products at current rates and at once
and without any commission charge
-"Christian Patr lot" of Morristow.
Tenn.