The herald., 1894-09-17
j. V. Webster Talks on the FL
nancial Question.
Does Not Approve All the Doctrines
of His Party.
He Tells of What He Considers the Bet
ter Plan to Put Cheap Money In
to CirculAtlon-He Favors
:. Free Silver.

Unless the torrent is directed int
proper channels and the debris held il
check. much damage can result from its
onward rush."
J. V. Webster, the Populist candidate
for governor of this state, was the
speaker. He mad been led to make the
illustration quoted by an inquiry from 9
HERALD representative at the Naticl
house yesterday as TO his personal views
regarding some of the doctrines ad'
vanced by his followers ON the finsncia
and other questions. He said that, at
in the case of all reform movements,
there must. of necessity, be very large
number who were extremely visionary
those. in fact. who had no proper con-
ception OF the manner of bringing about
condition of affairs, such as the busi-
ness OF the country demanded. Many
theories not at all practical were ad
ysnced. but all such visionary schemes
were like the debris on the stream. The
principles underlying the party were
right in the main; all it needed was for
some one to take the lead and direct the
stream in the proper channel.
what are my personal views on the
financial question Well. they are
these: The party platform sets forth a
demand for currency safe, sound and
flexible, of an increased amount issued
direct to the people, or some better
plan.' Or some better plan, you will
observe. Now, think there is a better
plan. OF course, il is my own personal
view. One of the objections which you
people have always raised to our party
was its position on fiat money, AS a
matter of fact fat money cannot be
sound, or no issue of money, above q
certain amount, can be sound without it
has some substantial backing.
my plan, in brief, is that instead of
keeping 500, 100000 in gold on hand
with which to redeem its bonds, would
bs to strike out the word gold and sub
stitute the words to be redeemed in coin
or in 2.40 bonds at the pleasure of the
holder. Coin would mean either gold or
silver. Those who wanted a continue
ton OF bonds at an interest of 2.40 could
have them. This would allow at least
100000. 900 OF idle money, which is held
for no real purpose, to be used in the
regular channels. Then it should be the
aim to make an alliance with South
America. Mexico. Central America and
the Latin union to unite upon q silver
basic at the rate of 1511s to 1. This gov
In MAINTAINING s--~--lh~--a diffinrltu
and bring it into greater demand.
"The currency should be issued with
q coin backing and by opening the mints
for the free use OF silver We would
have money which is needed for the
business Of the country. At present the
banks control the business of the coun-
try, 1t is to their interest to keep the
strings upon their customers as close as
possible. Cheaper rates and more mon
ey would not be as much to their advant-
age as higher rates and leas money, for
the reason that with cheaper interest
the borrower would sooner arrive at a
state of independence and consequently
free themselves from these necessities.
'Now you will say that as there ap-
pears to be plenty of money in the
vaults OF the banks and in the nations
stronghold that it will be simply adding
to this store to increase the volume.
But have plan for the government,
which by the way is the people. to step
in and regulate this interest; not, how
ever, by the wild eyed theory of having
a county bank with thousands of sala-
ried commissioners and no end to
red tape to loan it direct to the people,
| but on the contrary under such methods
as would appeal to any sensible busi-
ness man. For instance we will sup
| pose that Los Angeles wishes to borrow
monsy-say $lO,OOO,00O. Then they
will hold an election and vote to issue
bonds for tie amount. When the form
alities are all carried out
the bonds are submitted TO
United States treasury officials. and, II
found correct, the money is paid over.
The bonds will run for 80 years and draw
2 per cent interest, with sinking fund
of an amount equal to pay off the bonds
at maturity. After the money has ar
rived, the people who pay the taxes, and
who are assessed, will be entitled to draw
the proportion for which their sssess
ment shows they are entitled to.
"The people get their money without
putting up any other obligation than
the bond which they have jointly beer
responsible for. They get the money al
2 per cent. Millions 60 into circulation
and by the natural result Of supply ant
demand the banks-the men who MAKE
a business of loaning money-will OF ne
cessity have to reduce their rates. Thi
will give money into the hands OF tn
people at nominal rates of interest. ant
furnish those who run industries will
what they need to operate their lac
tories and employ the unemployed.
"Speaking about the unemployed
there is an impression that the stat
should furnish employment to every
one at reasonably high wages. This Is
wrong conception OF the duty OF the gov
ernment according to my ideas. L be
lieve however, that we should provid
! employment for the people who are !
! need. l believe that each county shoul
, be emLowered TO issue ecrip with whic
. to take care of those who are by necet
, sity unable to find work. They shoui
be paid only just enough to subsit
upon, 80 that as coon as other employ
ment could bs found they would tax
! il. The tramp element should b
| handled in the came way. a ma
should either be compelled to WORK
7 be put in workhouse or chain gang.
.fNo, am not in favor of the abse
: lutte ownership of the railroads by tn
government. I believe that the govern
, ment should take hold of the Union an
Central Pacific railroads. This woul
mean an investment, already made.
$50. .OOO, 900. Another $4,000, 600 woui
build a line to New York. With
: through transcontinental line across u
contin ent the government would be aD
!, to control the traffic and effect savlr
= to the people of 25 to 30 per cent. In