The Ketchum keystone. [volume] (Ketchum, Idaho) 1885-1899, 1892-03-26

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Would not the enactment of strict
usury laws by the states and the
issuing of, say several hundred
million dollars, legal tender notes
by the government be safer and
better plan for the farmers than the
proposed government loan on lands,
ETC.? How would the issuing oil
notes by the government to large
amount endanger our monetary
system?'
To the first Of these questions the
Examiner replies: Money laws
(usury laws do not benefit Dor
rowers who have to pay high rates
of interest. for a capitalist cannot
be compelled to lend money if he
does not wish to. If he was for
hidden to collect more than six per
cent, the loans that are now worth
ten on account of risk, distance or
other reasons, would not be made
at all. or the borrower would have
to make it an object to the lender
by paying him a premium in ad-
vance," All of which is true, but
applies to present conditions, only.
Usury laws could have no place nor
perform any Office under a more
enlightened monetary system, such
as the effort and thought Of the
times are tending to. Interest is
high because money is scarce; and
it is the policy of our financiers and
of our legislators to keep money
scarce in order that interest may be
high. To speak plainly, it is the
policy and legislation Of the monied
classes, and its purpose to place
productive laborers-especially the
farmer-at a disadvantage in the
struggle for existence, which it does
by compelling him to pay exorbi-
tant interest for the money he must
borrow, and to sell his products at
depressed prices. Given an ade-
quate monetary circulation and the
number of borrowers and the rate
of interest would be diminished,
and the number of money lenders
increased in proportion to the in
creased circulation, a fact well
known to the upholders, who are
also the bencfciaries of our pres
ent system. And all men having
idle money would be forced to lend
it at the going rates of interest or
keep j. idle; and in the latter event
they alone would be the losers, be-
cause society could then get along
without their money, and as the
average earnings Of invested capital
in this country is less than four per
cent-we have forgotten the exact
tigure-interest could not, under a
rule based on intelligent justice, ex-
coed the earning capacity of the
money borrowed. But the safety
and relief of the laboring classes
must come through legal tender
money.
To the next question the Exam
liner answers The notes could
not have any value in themselves. |
They would have value only as rep
resentatives of something that had
intrinsic value. If they represented
only the promise of the government
to pay gold or silver for them on
demand their value would depend
on the ability Of the government to
carry out its promise. If they rep.
resented anything else besides gold
and silver-say mortgages, for in
people would care to
give up their goods or services for
them. If an attempt were made to
force them into circulation or to
make them payable for debts, there
would be serious financial trouble. /"
This answer exposes an entire
lack of comprehension of and
thought on the subject matter Of
the question answered. The notes"
should be issued as dollars -
should bear the imprint of the gov
eminent and its promise to receive,
not to pay them. The verify of the
people of the United States as a
nation, it's promise of perpetuity,
its resources and wealth, the pro-
ducts Of its soil, its forests, its pas
lures and its mines, coupled with
our promise to receive our dollars
i'll exchange for these things, would
fully counter balance the fiction Of
intrinsic value which would be lack
ing, as was demonstrated by the
issue of COOOO,OOO of gle.nb OK
dollars at the breaking out Of our
late civil war. This money was
made receivable by the government,
and the avidity with which it was
taken by the people of all classes
so alarmed the shylock contingent
that they hurriedly set about de-
vising some method for the destruc-
ton Of its monetary character. They
succeeded. They adopted the plan
Of compelling the government to
purchase their gold and silver by
placing an exception on the green.
back. But the subject is too long
for discussion in one newspaper ar.
ticle. Suffice it that money based
upon all Of the wealth of our great
country, and made receivable for
all 1ohtc 1roo ~ Io,~,o~xlc ,..n.,i~l