The great West. [volume] (St. Paul, Minn.) 1889-18??, 1892-02-05
OVER CAPITALIZATION.

uring Our Aggregate Wealth.
The old party papers the subsidized
organs of the calamity producers are
continually shrieking prosperity! pros
perity! They boast of the unprece-
dented increase of our national wealth
and shout the praises of our mis-rep-
resentatives in the congress of the
United States. who have enabled a
moneyed plutocracy to absorb the
lions share. So persistent have been
these minions of the money power in
this Boosting of our rapid increase of
wealth that many have been deceived.
even among intelligent reformers.
We are told that the aggregate
wealth of the United States to-day ex-
ceeds the total wealth of the world at
any time prior to the 18th century,
says the Topeka Advocate. In GER
tain sense, this may be true but the
figures given in our census reports are
certainly calculated to mislead The
values given, are to large extent only
legal fictlons. That actual values have
increased beyond precedent we are
not disposed to dispute but under our
present system of over capitalization.
we have no accurate measure by which
our aggregate wealth can be deter
mined. ALI values are given in dol
lars, and under our present system of
finance. based upon our Indebtedness.
instead of our wealth, the dollar can
not be regarded as true measure.
ALI actual values are created by
productive labor and take the form of
taxable property. The labor invested
in the creation of this property is the
only true measure of its actual value,
and under any. kind of monetary
system, we could only approximate
its value in dollars. But accepting
the dollar as true measure. our CEN
sus reports are still calculated to mis-
lead, as the various forms of produc-
tive securities, on which the people
pay interest are accounted as part
of our aggregate wealth. The vol
ume Of this so called wealth. exceeds
that of the taxable property of the
country. while instead of being wealth
in any true sense, it represents only
the legal power to exact usury from
the wealth producers.
Without doubt our actual wealth is
rapidly increasing, but fictitious cap
ital drawing interest is increasing
much more rapidly. We must learn
ues and real values. A railroad is an
actual value. but the stocks repre-.
senting that value add nothing to the
value of the road They merely rep
resent its power to collect dividends,
in addition to an equitable compensa-
ton for the service that it renders to
the people by transporting persons
and products. This principle applies
to the water, as we'll as the genuine
stocks In its nature it is debt
and. so far as the wealth producing
masses are concerned. it represents
Their poverty. All other capitalistic
enterprises are established on the
same principles. and are designed to
become, in effect permanent interest
bearing debts upon which the people
must pay interest and dividends.
In order to arrive at a correct state
ment of the aggregate wealth OF the
nation, all inflated valuations which
represent only the power to exact
usury ought to be eliminated. In their
nature they come under the head of
over capitalization, and hence consti-
tute no part of our actual wealth. To
include them in any statement of our
resources is calculated to mislead.
Our actual wealth, is the measure of
our ability to pay, while interest bear
ing securities, of every name and char
acter. represent only our incum-
brances. Why should they be in
cluded in any statement of our aggre-
gate national wealth?