The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1892-08-19

something should he done. 1t was
almost impossible 10 get loan on
any security He did not claim 70 be
a financier but could not help feeling
the absurdity Of what some had
claimed, that capitalists were holding
their money back IN order 10 tide
over a crisis. BY following such
course they precipitated the very
crisis which they were supposed 10
avert. The hon. member had stated
as he understood him few days ago,
that the value of money did not con
sist IN the intrinsic value of ii, but IN
the stamp OF the government. II he
did not say that his memory was very
much at fault. Noble Ihurston:
Certainly il isl This bill would re-
duce the value of the gold which rich
men boarded and prevent them from
sweating the people in their sale of
commodities as much as they would
like 10 do. The thing was an innova-
ton of course. People might hon
estly differ. The poor would be able
TO get commodities more reasonably
Noble Macfarlane: How lOng?) As
long as the law and the government
lasted. Noble Marsden: That would
not be very long,. The speaker went
on TO state that it was mistake to sup
pose there would be nothing behind
this paper. Behind each dollar there
would be two dollars worth OF real
estate, the most solid kind of value.
Money was as necessary for the life of
business, as air was to organic life.
The money lenders wished to have
monopoly of the currency and limit
its quantity TO that which they have
in hand. The paper would be worth
more than these silver dollars which
were arbitrarily fixed at dollar, but
were only worth IS cents, whereas
each dollar of this paper would have
two dollars of real estate behind 1t.
The hon. Noble had said the rich man
would not be obliged to take it but
the poor man would. How could the
rich man help taking it. The law
would be the same fer poor and rich.
The rich would have to take it in
payment of debts, if it were legal
tender. Suppose poor man owes
rich man on mortgage, and is saw
ing his earnings for years to pay it.
What is to hinder him paying in this
paper?
Noble Thurston said every note and
mortgage in the kingdom was pay
able in gold coin which payment
could be enforced by law.
Rep. Ashford continuing, said he
admitted that contract made speci-
fically payable in gold coin must be
paid in that coin. But all mortgages
were not made so payable. If people
signed contracts in gold coin, and had
to pay in it, so much the worse for
them. The moral was-don't sign
that kind of contract Noble Thurs
ton Then you won't get your money. |
He can get his money from the Gov
eminent and buy anything he wanted
with the money, which would be legal
tender. Noble Thurston asked if,
with the paper money, he could COM
pei E. o. Hall & Son to sell him a
stove, or could they decline to sell
unless he gave them gold p E. o.
Hall IL Son were q corporation, and it
might be different with a corporation.
But with regard to private individuals
licensed to sell goods he very seriously
doubted whether there could be a re-
fusal to sell for paper. The fact that
one could buy dollars worth of fish
with silver dollar worth only IS
cents showed that the Government
stamp gave the money its value.
The country had got along very we'll
with its silver currency. Each one
of the ten-dOllar certificates only re-
| presented Sc worth of silver, yet it
passed for so. The silver could be
melted up at any time. Each dollar
of the paper would have two dollars
worth of real estate behind it which
could not be melted up-unless Pele
broke loose. The object of this money
| was not to pay debts abroad, but for
local needs and to pay local debts. 1t
was for poor people. The country
| had legislated for the benefit of
! foreign countries and foreign mer-
| chants long enough. The Opposi-
ton to the bill would come from
bankers and merchants who had debts
to pay abroad. But why should the
interests of the whole community be
| sacrificed to those of a class ? Rich
| people could take care Of themselves,
and would; and they took a great
deal more care of the property of other
! people than was good for them. This
| scheme was not original with the in
! PRODUCER of the bill. Senator Stanford
had proposed in the United States to
have the United States loan money at
2 per cent. on real estate. The advo-
Gates of the bill were not lonely.
There were plenty of the same kind of
so-called cranks across the water. He
had stated earlier in the day that
there were faults in the bill. They
were still there, and he favored re-
reference to a committee for amend
ments, one of which should be to
| divorce it from the post-office. He
moved the committee recommend the
following resolution to the House for
| passage
Resolved, that this House approves
the principle of a National Bank of
Loan and Issue, with authority to issue
paper money by way of loan upon real
estate and other tangible and sufficient
security, and upon moderate interest !;
and that such currency, so issued,
should be made legal tender in pay
ment of all debts, public and private.
Resolved, that Bill 78, so far as it
carries out the above principle, by the
incorporation therein, of sufficient
and appropriate matter of detail is
acceptable to the House.
Resolved, that said bill be re-referred
to the Select Committee, to whom it
was previously referred, with instruc-
5tiOn to report such amendments there
10 as will provide for the establish
ment of such bank apart from and in
dependent of the Post Office.
Rep. Smith offered, as an amend
ment, that the committee recommend
to the House that Bill rs be indefin-
itely postponed. The bill was mani
testify fraught with danger to every
part of the community, every class
and every interest-tO the HaWaiians