Los Angeles herald., 1891-09-14

people more directly than the sub
treasury scheme, | can safely promise
him the support of many who now en-
dorse the latter plan.
In comparing the two plans it may be
stated that both increase the amount OF
currency, both make the nation sponsor
for circulating medium, and both are
efforts to give the public the benefits OF
the increase; but a close examination
will demonstrate many essential points
OF contrast. In the Widney plan the
government entrusts the money to bank
ing associations; in the sub-treasury
scheme the money is loaned directly to
the people.
In the Widney plan the number OF
banks of issue would be increased; in
the other such banks would be abol-
ished. In the Widney plan real estate
is the only security required for cur
rency; in the other, land and non-per-
ishable products are alike received.
In the Widney plan the interest for
the use OF money is paid to individuals
in the other the interest is paid to the
government--i. e., the people them
selves. In the Widney plan the amount
Of interest paid by the people for the
use of money is controlled by individ-
ual banks (as it is today, and undoubt-
edly local influence would render the
interest paid much greater in one part
of the country than another; in the
other plan the rate of interest is fixed
by national law, and therefore would be
the same in all parts OF the country.
But probably the greatest contrast in
the two plans is as follows: In the
Widney plan one officer (the comptroller
of finance) would not only manage the
creation of the currency, but would de-
eide upon the value of all securities
offered and practically this one indi-
vidual could control the amount of
money issued to the country. He would
be the financial autocrat and the money
king OF the age, and upon the integrity
and capacity of one individual would de-
pend the credit of the nation and the
commercial stability of the country. No
matter how many safeguards we could
legally throw around his person, his
power would be enormous and his author
ity unprecedented; is repugnant to the
institutions of republicanism and the
spirit of modern civilization. In the
sub-treasury plan, local inspectors are
appointed in each county, and it, here
and there, individuals should then, as
now, betray their trust, the dishonest
acts of one man could not imperil the
financial safety of the nation, any more
than the defalcation of county treas
urer could affect the executive Of the
state or nation.
This article is not written to guide or
advise the public-the writer does not
claim to be an authority on financial
problems; along with thousands
OF fellow-citizens he asserts that
the present banking and financial
system is unjust, vicious and oppressive.
He hopes to open discussion, not to
close debate, and the comparisons be-
tween the leading points in these two
financial schemes are given in the hope
that ADLER and more experienced writers
will convince the people as to the pro-
per path to financial security.
One claim may with safety be made
the climax is approaching, the people
are aroused, something must be done,
some change be effected, some improve
ment must come. The present plan
must give way for some future expert
ment, and only a thorough discussion
by the people and for the people will
enable them to act promptly and in
telligently. III. p. PEBBLES, MD.
Los Angeles, Cal, Sept. II.