The Hazel Green herald. [volume] (Hazel Green, Wolfe County, Ky.) 1885-19??, 1891-09-18
SUB-TREASURY PLAN.


/. Opponents.
Col S. +. Norton is out in his paper
the Chicago Sentinel, in quite lengthy
article in opposition TO the sub-trcasurv
plan, from which article it is the pur-
pose of the writer to quote quite freely,
in order TO show the weakness and fall
lacy of the arguments advanced therein,
and the case with which these argu-
ments may be utterly demolished 1t
may, however, be just TO Mr.. Norton,
to state that his arguments are based
upon an entire misconception of what
the sub-treasury plan really is. Mr..
Norton takes as his text the following
editorial from President Folks paper,
The Progressive Farmer, of Raleigh,
n. c.:
We have noticed with great pain that the
discussion of the subtreasury bill. now be.
fore congress, is being 1nade the occasion
and means of division among alliancemen.
The wurmest friends of the pending bill do
not hesitate to admit that It is not perfect
bill, and we know of no one in the alliance
who will contend for this specific bill for
one moment If Il better bill can be brought
forward. The end sought In the sub. treas.
ury bill is more money. And to secure that
| end every alianceman Is pledged; and for
| its sccurcmCnt every allianccman, no matter
what his opinion of the present bill may be,
will fight and strive
Mr.. Norton then proceeds as follows;
| The above from the Raleigh On. @ Pro.
grcSsivc Farmer (Col. L. l. Folks paper 10
worth more than passing notice II il means
| exactly what it says-and will stand BY it
| there can be no difference between the SEN
! tnel and advocates of the sub. treasury bill.
| II the end sought by the sub. treasury hill IL
| al nf ~
| any better method of accomplishing the
| purpose can be shown, the advocates of the
! bill will not persist in its support
Right here, it may not be out of place
to say, that those advocates of the sub
treasury plan who say that the end
sought in such plan is simply more
money" do not themselves comprehend
the true scope and aims of the plan.
They have no conception of the height
and depth, the power or vast possibili-
ties Of the sub-treasury plan. The end
sought is not simply more money"
The plan aims at nothing short of the
rescue of the American farmer from
the clutches of specializing gamblers
bulls and bears-and the restoration to
him of his prerogative Of himself atiiX-
ing a price upon the product Of his la
bors. 1t also contemplates the issu-
ance 10y the government of sufficient
volume of legal tender money to 90 the
business of the country upon a cash
basis, and the keeping such volume OF
money at all times at the service of the
people at low rate of interest thus
robbing money of its power to op'
press" which is its unrestricted power
to draw interest.
Some there are (Col. w. A. Harris, OF
Leavenworth county, is quoted as one
of their number who say that the sub
treasury plan is a scheme to tax the
many for the benefit of a few" Those
who advance this absurd argument are
in bondage to superstition and blinded
by the sophistry of the money power
They forget that the people, through
their congress, possess the sole prcroga
tive "of coming (stamping) and issuing
fmoney, and regulating the value there
of" and that no money was ever ye
taken from the people by taxation thai
was not first issued to them by the gov
eminent
This, however, is by the way.
Mr.. Norton then comedies the consti
nationality and righteousness of the
plan in the following language:
That the government has right to loai
money on the sub.trcasury plan there cai
| not be the slightest doubt, For twenty .eigh
wears it has been loaning money to natiOna
banks--on the sub. treasury plan.
Continuing, he says:
The sub treasury plan is olicctionabl
ch ely for its impracticability. IL IL no
| nv single sound business
principle-from the standpoint of the loanc
or from the standpoint OF the borrower
Nor is it good, sound public policy
In the first place It Is a make shift loan.
Is simply IA method of "shnnlng" over
| prescnt pinch. 1t gives temporary aid
only To leave tho borrower IN a niue
worse condition when his temporary loa
expires.
3 Let us suppose for instance. that the farm
: ers of the northwest borrow money o
I | their wheat crop They Will all borro'
. | nj about the same time and for the sam
time. Their temporary indebtedness to IN
/. government will fall due at about the sam
i time
Z When is this wheat going to be dispose
, | Of? Most assuredly the J1yor-tor In the en-
= IL must be sold, which means that there mus
y be n buycr-is not going to buy till he ca
. buy cheapest when will that bey VIII!
y lust about that time that the temporar
i loan falls due-and all fall due about th
same time. The government can sell an
/" will sell-else must Itself become the pa
t chaser-the security (whcnt at what II Wi
: bring. at whatever figure the buyer wi
2 payl Tho buyer has been watching his OF
MOI tunity His opportunity IL when the GOV
: ernu,sut must sell The government has aC
> vanceC eighty per cent. OF the value of II
wheat
IfitnoM sells at just enough 10 "get OF
whole" the tarmpr has lost-fOr he has sol
his wheat at twenty per cent discount III
\ temporary loan has cost hlm twenty p'
cent Tho buyei.-nine times In ten "A specl
, lator-is the man who mrkes the money, ia
the same as now. And the chances are
hundred TO one thar either the govrrnmel
or the farmer loses in ave transaction. III