Barton County democrat. [volume] (Great Bend, Kan.) 1885-1915, 1894-12-13
A DISMAL FAILURE.

u0 AGiduBd NOu5G1buttOn ody0 bdat
our financial system is failure, a
fact which should not be disputed, and
it gives the following reasons therefor:
'tMany of our readers find it difficult
drifting to Europe and they wonder
why 100000 people should allow
England to control their finances. The
fact IS our financial system is misrea
bile failure. England alone holds 81
500, 600, 900 of United States securities
bearing interest, including exchange, of
per cent, payable in gold. That is
what London statisticians say and
they also say that France and Germany
hold $4,000, 900 900 of American secu
rites. So we owe Europe So ,000,0 600,
600, imposing an interest charge, in
GLIDING exchange, of $4,000, 600 per
annum IN gold. These facts fully &C
count for the steady flow of gold from
this country. About 10 per cent of the
principal of our foreign Indebtedness
natures every year. The principal is
generally renewed, but when Europe
has made bad investments elsewhere
she throws American securities on the
market to meet her losses. This was
the course pursued after the Argentine
collapse.
Foreign capital seeks our market be-
cause we have not enough capital, and
the reason why we lack capital is be-
cause we cut off our own money supply.
We produce more precious metals than
any other country in the world, and
yet we decline to coin the money
metals, which we have in abundance.
A recent writer says:
I'VE decline to coin the American
silver product, by the use of which the
entire cotton crop or the south and the
great substances of the west could be
produced. Silver is the equivalent of
gold in every country OF the world
where the law SO declares. 1t was so
in the United States when the law so
declared. All money is the creature of
law; there cannot be Inequalities in
law between things that the law makes
equal. Ii the United States would
freely coin her own silver product at a
ratio to gold fixed by law, and endOW it
with the same money function as gold,
the parity of the two would be perma-
nent in this country. A larger supply
of capital would be furnished to carry
our own securities at home and we
would cease to De enslaved by foreign
power. The secretary of the treasury
declares that the cause of the invest
ment Of SO much foreign money in this
1fru io oV1r 70
from lack of native money. We have
the means to supply ourselves with the
additional amount if we would.
England, Germany and France pur-
sue a different policy. They hold their
own securities and do not stint their
money supply to make field for the
Investment of foreign money.
AT present we pay Europe $3.50 ,000,-
900 per annum in gold for interest, and
if the annual maturing of 10 per cent
of the principal of our Indebtedness
is not renewed we must pay an acdi
tional $500 100000 a year in gold
This makes an additional gold drain OF
$480,00O, 900, and to this we must add
the $4,000, 900 in gold spent in Europe
every year by American tourists.
IF this is to go on it will bankrupt
US. Our government banks and people
hold only $3.50, 200, 900 in gold and still
we are foolish enough to make colo
our single monetary standard. So long
as we stick to it Europe can disturb
and convulse our money markets a
will.
The remedy is to remonetize silver
and re-establish state banks under
proper safeguards. Free silver coinage
cannot hurt our European creditor.
who have gold contracts with us. Th,
silver would give us domestic cur
rency that would develop the country
and with state banks of issue we would
be able to carry our own securities by
our own means. like all other grea
countries. This would stop the outgt
of gold and free US from outside finan
cial domination,
This is only a brief outline of tbs
financial system suited to our need.
and our resources, but it is full enough
to suggest something of the independ
ence and prosperity that would follow
its adoption. Every great and wealthy