The Black Hills union. [volume] (Rapid City, Pennington County, Dakota [S.D.]) 1889-1904, 1891-11-20
HOW IS IT NOW.

When the enemies OF the alliance de-
mands are denouncng the sub-tleasuiy
plan as class legislation and p~atelnaiiem
and as Il wild visionary scheme, they ig-
more the fact that they at the same time
are more forcibly condcmning the present
system OF finance, and would be COM
pletely non-pluSsed were they to try to
answer CHE question, GLOW is it Row"
The fact is that the s~ub-treasury
plan is ilore conservative than the pres
eIt system. and that il is less class leg
islation or paternaiism. Note weil the
following points OF comparison between
the proposed ~sub-treusury plan and the
national banking system: both involve
the deposit OF, collateral with the GOV
crnment to secure the redemption oI Che
bills issued by tht government 10 circu-
late as moray. Both involve u paper
promise 70 pay printed by the govern
ment at 81 nominal expense to circulate
as money. Both involve the payment
OF interest 70 the government at thelate
OF oneJper cent per nnum Tor the use OF
chfnoney. III both systems the gov
eE4Nflent, in consideration Oi the cOilitt-
eral it holds, guarantees the ultimate
redemption OF the bills. SO far they are
similar, but no further. In the national
banking system the government receives
It's own prommlssory (bonds) as collat-
eral, and there by does not increase Its
ocSa1S m tho wa Inn rf nnrthipG ,1r On
creases It's liability to the amount OF ten
per cent, which is the difference between
the amount OF new promises to pay
issued and the noun Of Old ones de-
posted in the place OF same In thesub-
treasury system the new issue is added
to the liabilities OF the government and
at the same time a like amount and
twenty-five per cent more is added to
the available assets in the shape OF the
most potential form OF wcalth-mer-
chandlse, Hence the security being so
much better and safer, the sub-treasury
plan is more conservative and safer than
the national banking system. Again the
national banking system restricts the
loan OF these government notes on the
prescribed collateral to a certain class,
that is to those who shall associate
themselves together as a corporation
with a certain amount Of money, ETC.,
while the sub-treasury plan proposes to
extend the privilege to all classes hay
ing the collateral, and thereby prevents
y monopoly. Hence the sub-treasury is
without the class legislation feature OF
the national banking system. Again,
the bills under the national banking
system are circulated and known as the
bills OF the bank, and are not a legal ten
der; they are a form OF individual orcor-
porate promises to pay that has thefos
teriIlg paternalistic discrimination ofthe
government guaranteeing them and a
ing all other forms OF private money
out OF ex%istance, and illustrates pater-
nalisln in its worst and most obnoxious
form, because the whole power OF the
government is used to make a private
enterprise a monopoly. Under the sub
treasury plan all the paternalism is
omitted, because the government, in
stead OF guaranteeing and manipulating
a private business, would simply per-
form its own legitimate function by issu-
ing its own full legal tender notes to the
extent OF eighty per cent OF the addition
made to Its available assets. Noprivate
business to be controlled or interfered
with by the government.
When men complain OF the expense OF
the elevators and ware houses, it would
be we'll to consider GLOW is it now?"
with two or three times the warehouse
and elevator capacity necessary, and all
OF IL pas55ii ,,,s its aM,oess big interest or
the investment, all OF which comes out
OF the product; and when they pratc Of
the numberofemploges aHow IS itnow?"
with " Or three times as many all get
ting rich handling the same products.
When they howl about classifications
and weights by a government Official,
fellow is it poWl!'' when it is classed by
an interested purchaser and weighed on
his scales by d lireling who too often
thinks it SIN ut to- steal an weights to
pleaee his employer When with holy
horror they hold Up their hands and
watn the farmer against borrowing
money payable at any time within
II. fxnna ,,sa ho ,,,iUht 1ap sold