The representative. [volume] (St. Paul, Minn.) 1893-1901, 1895-11-06
MERRIAM'S BANKING PLAN.
is READY TO HELP IF NECESSARY Y
BROTHER BALL GOES FOR HIM.

IS READY TO HELP IF NECESSARY
BROTHER BALL GOES FOR HIM.
KIND WORDS.
Editor Representatives:
The papers are booming the Mer-
riam banking plan, as the thing to save
the United States treasury from bank
ruptcy. A currency plan is good or bad
to a government in just the ratio that it
enriches or impovershes the government,
That Merriams plan is the worst for the
government and people AMI the best for
the bankers that has yet been devised,
and hence most likely to be adopted by
the present congress; l will now proceed
to show.
Outside Of gold certificates and nation
al bank notes the government has is
sued the vast sum Of 1896, 1853, 72S, and
if to this we add $1,000. 900 of ola fraction-
al currency which ever and anon bobs up
serenely as a part of our circulating me-
dunn we have over 5000 900 900 of which
40 per cent of the capital stock is to just
cover, we have 81, $50 900 900 of banking
capital OF this sum per cent is depOs-
tied with the comptroller of the cur
rency, $112.500. 900. On this sum the
bankers want per cent interest paid to
them. $4,000. which must be deducted,
leaving under government control
set off for $2,250. 900. 900 of bank stock.
81, O09. 100000 leaving the small margin Of
unsecured money for merely wild cat
purposes 1,241 0OO.0 900 with nothing to
cover but the Individual responsibility
of the stockholders in double liability,
which is just nothing at all, for Mer-
ram, rich as he is, if he saw crash in
the immediate future, could transfer his
stock toirresponsible parties before he
closed his doors.
Gov. Merriam would be magnanimous
like Mr.. Guppy. On the average crcu-
lation of unsecured bank notes guaran-
teed by the government from loss to the
l,~1l lNxr
which would yield the government a pos
sible revenue of s22 $40 600 Is not that
cheeky? Ask the government to guaran-
tee 81 $50 900. 900 of notes. secure only As
per cent of them. on which they may reap
an annual interest of $3.50 100000. and re-
turn for all this only one-seventh. Why.
they don't offer the government a decent
owl i'm exchange for the fat turkey they
are getting.
Now. contrast this with the Town bank
bill, introduced by eX-Congressman Dun
nell in 1890, which proposed to issue bills
to 95 per cent of bonds not exceeding the
assessed valuation of any town. village.
city or other corporation organized for
municipal purposes. Now, as the as
sessed valuation of all property in the
United States is not over so, 500 600, 900, it
would be impossible to get out more
than 81 $500 600 900 of currency less than
Merriams plan might utter, These
bonds at 8 per cent interest would yield
to the government an annual revenue OF
S67 800 900. A town or a village assessed
authorities. In supplying towns with cur
rency to put into good roads bridges,
water works. ETC.. or to loan to indi-
vi1uals on security approved by town
authorities. In supplying town with cur
rency the government might use any
form of paper it now has. or supply new
(Which would be prefera ble) the kind be-
ing immaterial so long as it was sound
money. The towns being authorized to
do general banking business. they
would manipulate monety SO as to yield
the biggest revenue to the town. instead
of themselves. and would no longer have
the power or disposition to harm hod-
carrier financially. 1t is the right Of
means to do ill deeds that often causes