The representative. [volume] (St. Paul, Minn.) 1893-1901, 1893-10-25
THE STATE BANK ISSUE.


These Banking Bandits Want 70 Duplicate
It.
The Economist is q weekly financial,
commercial and real estate newspaper
published in Chicago, in the interest Of
bankers and capitalists It is of course
q gold-bug, anti-silver sheet, but it il
edited with ability, and our readers
will be interested to learn what this
organ OF the money power has to say
to the democratic demand that the
10 per cent tax on state banks be re-
repealed, and its views on the connect
ed subject of a state bank currency.
This demand for state bank note cur
rency did not originate with the people.
It did originate with the money-loan-
ing fraternity. The Economist takes
for granted that the prohibitory tax
will be repealed-President Cleveland
having publicly Endorsed this bankers
scheme months ago-and in reply to q
correspondent says:
"It would be great advantage to
have q system under which banks in
any one locality could immediately is
sue bills whenever there is demand
for them to move the crops, to meet
pay rolls, to promote new enterprises
or to answer any requirement, those
banks toretire that circulation when
ever it is not needed by the public"
This is the ub-treasury idea of 10.
cally-issued elastic medium of ex-
change, but with the benefits all given
over into the hands of the Shylocks,
and whole train of evils, bank-burst-
ing risks and counterfeit losses, added.
The state bank scheme of the money
mongers is, briefly, this: Have congress
repeal the ten per cent tax against
state bank currency, and then meet
the universal demand for more money
with bank paper notes, based on the
peoples paper which they hold, bonds,
mortgages, ETC., which are secured and
rest upon the land and its improve
ments. The more the people borrow
the more assets, paper promises, will
the banks have upon which to issue
more notes, to also lend and draw in
terest on, and so the drain of interest
will grow larger and larger and the
obligations to the Shylocks extend, un-
til confidence in the ability of borrow
ers to pay is shaken, and q vast finan-
cial crash results
The gall of the Shylock brood is mar
velous. If the peoples bonds and
mortgages based on land are good Sc
curity for credit currency for private
bankers to double interest with. then
the land and labor products of the peo-
pie must also be good security for an
issue of United States treasury notes
issued directly to the people on non-in-
terest bearing obligations.
What we need is postal savings banks
through which the people can borrow
from the government, depositing ap-
proved securities, and where they can
deposit with perfect safety all accumu-
lating earnings. Then when the peo-
pies money demands exceed deposits
credit money can be printed, and when
deposits exceed demands the surplus
will be kept out Of circulation. In this
way the dollar cannot fuctuate in value,
money cannot be privately sold or lent
at premium, the whole money loan
ing, capital-furnishing class will be
driven into some useful, wealth-creat-
ing business, and the iberty-destroy-
ing. usury-built, towering fortunes,
which now force tribute from us, will
gradually melt away. Then, when a
man ceases working he will of neces-
sity begin to consume what he has
previously produced and accumulated.
-A11ion oo.In6nnon6nnf