The representative. [volume] (St. Paul, Minn.) 1893-1901, 1895-08-07
,redits, and it might be supposed that

creulUS, ana IL mlgnJ De supposed tnat
the banks would therefore not follow
the lead of the purely creditor classes,
but advocate as justice demands, and
their true interests dictate, the main
tenance of a stab BILE standard of value.
Yet the bankers are almost unani-
nous in their support OF an appreci-
ating gold standard, and we naturally
look for common incentive.
This incentive lies deeper than the
simple desire of the money-lenders to
enhance the value of the money due
them by their debtors. The sheme of
the banks is to control the currency
of the country,to have all legal tender
notes, as we'll as silver notes, Destroy
ed or driven from circulation and to
replace them by their own issues of
unsecured notes made by law legal
tender. Thus. in the Baltimore plan,
they proposed the funding Of the legal
tenders and the issue Of bank notes to
ill their place based on the capital of
the banks.
Should they succeed in monopOliz-
ing the power to issue legal tender
money and in having the control of
the currency placed in their own
hands, they can then expand and con-
tract the money OF the country, cauS-
ing ruinous fluctuations in prices with
entire impunity. Producers would be
destroyed that the banks might profit
without fear Of loss. Their own evil
dences Of Indebtedness being declared
legal tender, no storm occasioned by
contraction could shake the banks,
but all producers would be placed at
their mercy. The banks would pay
their depositors with their own evil
dences of Indebtedness (this they have
already done in times of panic with
out legal authority refusing to pay
their depOSitOrS except in their own
due bills, Clearing House certifcates)
and having entire control of the mon
ey of the country, they could charge
their customers what they would for
it's use and be enabled to fix the price
of all the products Of labor.
But if this is their aim, why should
they support the gold standard? And
why should they desire to enhance the
value Of gold in which they must re-
deem their notes? This is a mere
subterfuge. BY driving silver from
circulation and increasing the value
of gold they know that the tension
will become intense and they hope
that the people will then be tempted
by the offer of relief held out by the
banks and place the control of the
currency in their hands. Any at
tempt to expand credit money based
on the narrow supply of gold would
necessarily result in driving gold out
of the country, and, as a result, no ex-
panSiOn would result and no relief be
afforded. AS paper money was issued
prices would rise. encouraging imports
and checking exports, the balance of
trade and interest charges would ac-
cumulate against us and gold would
be exported to settle this adverse bal
ance. AS long as any gold remained
no expansion could result, for as fast
as the banks issued paper gold would
be exported.
At last we would be reduced to an
irredeemable paper basis, the banks
would no longer be required to redeem
their notes and all check to their is
sues would be removed. This is what
the banks desire, what they work for.
Money, the great instrument of asso-
citation, passing into their hands, they
would be enabled to stimulate and
curtail prod duction at will and the
greatest Of all monopoles would be
placed in their hands, to be used for
their own benefit.
The only safe path lies in broaden
ing the basis Of our money by reStOr-
ing silver to its place as money, in en-
couraging the organization of banks
that will constitute independent
financial centerS in themselves and
freeing them from the power and in
f1uence of the banks centralized in the
great cities.