The representative. [volume] (St. Paul, Minn.) 1893-1901, 1895-03-20
LENDING STATE FUNDS.

To P. " Collins, Editor Northwestern
AgriculturiSt:
Dear Sir-I notice your editorial in the
Agriculturist of March 1, headed Dem
agogic Paternalism." in which you say
''some reckless theorist in the Minnesota
legislature proposes to lend the $12,0OO,0O0
of the state school fund to farmers at
per cent and give the county commission
the handling of the loans. This is in
line with Populistic demagoguery. The
state has no business to seek to lend
or not farmers. County commissioners,
who have had. as a rule, no experience
money lenders, and are very unreliable
judges of the value of securities. There
is trouble now in obtaining money
from banks or other money lenders, pro-
viding adequate security can be given.
There are millions of dollars idle in Min
nesota today drawing no interest, simply
because of the inability to find safe
banks and the banks give bonded security
for it and pay interest on it. The bankers
do not hoard it and pay interest on it
for fun; they lend it, 1t is simply too
palpable case of an attempt of irrespOnsi-
bles to loot the public treasury. 1t is not
more money but more financial sense that
is needed in the nation. 1t is not more
success for Missionaries who are too lazy
or too ignorant to direct their energies
properly for the making of wealth than
the honest toilers require, but is is pro-
lection to home industry from unfair for
eign competition" etc.
Now, Mr.. Collins, don't you know that
in the above quota atoms Won diSDlaV rank
partisan ''demagogusm?' Don't you
know that before the last state election
Treasurer Bobletter made the assertion in
public print that he had loaned millions
of dollars of state funds to bankers and
on Tennessee bonds at only per cent in
terest because he was not allowed to loan
it on real estate security, but at the next
session Of the legislature effort would
be made to pass law allowing the state
treasurer to loan the public surplus money
to responsible borrowers in Minnesota on
real estate security, and thus keep the
money in the state? Don't you know that
the whole policy Of handling the
surplus public funds for years in
this state has been wholly in
the interest of politicians and bank
ers?" Don't you know that that is class
legislation? Don't you know that the old
theory of protective tariff is a robber
scheme. a pet bastard of the Republican
party. and rope of sand so far
1t has any tendency towards benefiting
the laboring classes? Don't you know that
the bankers borrow the state funds at
per cent and loan it to the farmers at
"a per cent a year e per cent a month";
and that such business" is fun" for the
bankers but "hell' for the farmers? Don't
you know that borrowing public funds at
per cent interest on ample real estate
security is not ''lootng,' but that loan
ing such funds to wildcat banks is down.
right stealing? Don't you know that you
have not only insulted every Populist in
the state of Minnesota but that you have
demonstrated your willingness to fasten
the iron heel of want, poverty and degree
dalton upon the neck of every borrower
who has good security to offer by compel
ling him to pay tribute to the bankers al
the rate of -eight-fold? Don't you know
that the farmers pay more taxes (perhaps
10 times) in proportion to what they
actually CWn than do the bankers there
fore are more entitled to borrow the sur
plus? Don't you know that financial
sense" means such reforms in our none
tary system as will benefit the masses, not
the classes? Don't you know that it is
crime to wiring money by exorbitant
taxes from our farmers and loan it at
per cent on Tennessee bonds or to bank
ers at per cent, to be reloaned by them to
the farmers at "a per cent? If you are
ignorant of these things, then it is now
time you were enlightened or else that
you resigned from the editorial manage
ment of an agricultural journal which
presumably circulates throughout this
great state If you are right, then the
people should know it, so that the Populists
may be Stunned as dangerous leaders.
To test your knowledge and faith in what
you preach, 1, secretary of the Peoples
Party Lincoln League, hereby challenge
you to a public discussion of the above
questions, debates to take place before the
Lincoln League at such time as mutually
agreed upon, and both to have the privilege
of choosing such assistants as he pleaseS.
An early reply to this challenge will be
looked for
c. B. MABEN.