The Kinsley graphic. [volume] (Kinsley, Kan.) 1890-1940, 1893-06-02
SITIONIL CONTRACIION AND
% ? LOCAL IMITATION.

| An esteemed correspondent writes
! to ris from San Antonio, Tex, on tile
letter head az the san Antonio and
Aransas Pass railway company, to ask
us If the .'peoPle acting Though State
legislatures would not legislate as
wisely in regard to State banks Of is
sue as they have done in regard to
National banks And lie would like
| to know also whether We are not de-
nying the capacity of The people for
local self-governnent in opposing Il
State Bank Note currency.
We deny in the first place that the
people hare acted wisely in allowing,
or that they are responsible for allow
ing. Il National Bank Note currency.
| That currency costs them 4 double in
terest, as, before it can be Issued, in
terest- bearing bonds must be deposited
to secure it. Aud after it has got into
circulation by the payment to the is
suers Of seco:d interest, it is out
standing as demand against ve'y
epce in circulation tends to increase
| the artificial pressure which forces up
| the price of gold and forces down the
price of labor. And assuming other
things equal between the State bank
note and the National bank note, this
is as true of the one us of the other.
Neither is-neither can Ee-hOnest
money, because neither CAN circulate
except by IA discrimination against the
whole people in favor Of the very few
who issue such notes.
The only honest money is currency
of gold and silver freely coined, with
Treasury paper based OF gold and sill
yer and redeemable in gold and silver
OIL demand. The sovereign power of
issuing money belongs to the sovereign
people and must not be delegated to
corporations.
Over and above all this, or rather in
spite of it, the Boston NapoleOns of
Finance who are behind this move
ment for state bank currency are in
favor of it because we will not be able
to pay our debts to them in it. We
might issue wagon load after wagon
load of the stuff, but we could not lit
II single mortgage with 1t nor bring
down the interest rate Il single per
cent. They think, moreover, that
through their agents they might help
us to issue all the soft money we
want and might make Il very handsome
thing out of it.
Under no circumstances will State
bank notes pay debts owed Ivy Texas,
10y Arkansas, by Tennessee, by Kansas,
by Missouri, by Illiuois to Massachu-
sets.
Please remember that. 1t is the
main point of tins whole business.
State bank notes will not pay debts.
These Napoleons of Finance wish
to give us local intlation-all we wait
of thunder National contractIon-all
they want Of it.
If We are fools enough to accept any
such Trojan horse OF compromise AS
that, we deserve to be ruined. And
we surely would be.
| lIn nj tor j.. f,, NO, do 70
cumyent us with single gold stand
ard with gold Us the basis of all money
III National circulation, with all debts
payable in gold, or in notes for which
gold must lie given on demand, with
the taxing power over the people rs
security; and with this d policy of local
initiation, resulting in putting in local
circulation large numbers of notes, all
constituting a debt against very
small visible supply Of gold. With
this the gold premium would continue
to go higher and higher, which means
that labor and the products Of labor
would continue to 80 lower and lower.
And that means ruin.
1t seems to us that these things are
so PLAIN that il will he impossible to
deceive the people with policy repre-
senting the theories of John Sherman
and the practices of Zimri DwiggIns.
Give us honest mOney-honest gold,
honest silver, and honest paper-from
the Treasury of the United States, that
We may pay. our debts to Massachu-
sets and escape the domination OF
usurers and NapOleOns ut Finance.
There could be no greater or more
ruinOus frauC than National contrac-
ton accompanied by local in;lation.-
st. L0u,s Republican,.
KANSAS SUGAR.