The great West. [volume] (St. Paul, Minn.) 1889-18??, 1891-02-06
StanfOrd'S Land Loan.

Clevela nd Leader: If Senator Stan
ford, with all the various interests
that occupy his mind, has one thing
more than another to which he gives
attention at the present time it is his
land loan bill. | had the pleasure OF
meeting him at his residence on Farra-
gut square a day or two ago. On a
table in his library were a number OF
documents and papers which he was
studying when l entered. II was Just
reading" said he, after greeting me-
something about the productions OF
this and other countries, and | was
much impressed by the fact that the
hay and wheat product Of this coun-
try is equal in value to all the gold in
Great Britain. That is rather re
markable. isn't it? Our wealth is
measured by the amount of our produc-
tions. Moneys only valuable as it rep
resents our products. Cattle served as
money in ancient Greece and Rome. The
Romans used wood, leather and tin
for the same purpose, and the Greeks
used iron. At the present time shells
are used for money in India, and
in Africa cocoanuts, beads and cotton
cloth pass as money. Money is there
fore entirely the creature OF law and
custom, and is valuable according as
the government may declare it within
it's own jurisdiction"
Senator Stanford then began a
discussion OF his bill. Money" said
he, ''is the most important factor in
the business relations OF the country
and the exchange Of commodities
except production itself, to which it is
essential. Don't you know that 81
per cent of the business OF this country
is done on credit because we have not
money enough to supply the demand;
yet, owing to the want OF money,
| whenever there is Il slight disturbance
of credit, no matter how much wealth
we as a people have accumulate
ed. there is distress all over
| the land Business is affected, and
SO general is the ,measiness
and apprehension that money which
ought to be in circulation is boarded.
Even on the best securities money can
only be obtained upon call My bill
would put the government in a condi-
ton to issue a supply OF money equal
substantially to the general demand,
| and to erect a standard by which the
government may determine up to a
useful value of 2 per cent what
amount may be needed. | propose
that the government shall issue notes
| that are legal tender loan to the
farmers or any other persons owning
land, taking the land itself as security
| for the repayment OF the money.
| There is no better security than land.
which can never be lost or it's value
destroyed
care you not afraid that we should
have too much money!
"Not at all. 1t is not too much
money that causes trouble in a coun-
try. Panics always follow when the
currency is contracted"
"Your plan differs from that which
ended so disastrously for the people
OF the Argentine Republic?'
| Eyes, it is totally different. The
Argentine government conceived the
plan of raising real estate values. and
to bring about this result it authoriz-
| ed two banks to issue Il species OF
land bonds which were given for land
mortgages Of so per cent on the APP
praised value OF the land. The farm
er or land owner who gave the mort
gage received no cash or ready money,
but simply bond of one Of the two
banks, which he had to negotiate on
the street for what it would bring.
The bonds bore 8 per cent. interest In
paper and the mortgage was redeem
liable at the bank OH presentation OF