The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1895-07-24
THEY ANTNOMONE
A SOCIETY WHICH CLAIMS TO HAVE
SOlveD.THE FINANCIAL PROBLEM.

Stores For Bartee AID Exchange-Outlines
Of . System by Which . Band of Re-
formers Believe They VIII Improve the
w~orkingman.
There is a quiet organization in San
Francisco whose leaders say they have
solved the financial problem by invent.
ing q fractional system of exchanges
which does away with both gold and
silver as money.
The new society is known as the La
Dor Exchange and is based ON the idea
that the peolle seldom want what they
themselves produce. Therefore they say
that the way to solve the labor problem
is to put the products Of industry in the
market for exchange for other commodi-
ties.
Carl Glesser is one Of the leaders of
the new society, but the Labor Exchange
also conducts a general store which is
managed by Henry Warfeld. To his
store the idle shoemaker or other man
ual worker brings the products he has
manufactured ut home or in his shop
during a lull in business. He is paid
nothing in money for the goods he de-
posits, but is given a certificate which
entities him to any goods in the store as
pay for his wares. Mr.. Glesser says that
by the aid of this system during the past
year goods valued at many thousands of
dollars have been exchanged among the
members of the society.
NJ rorfifcata roaIr fbat - 10 not Va
deemable in legal tender, but is receiv-
able by the association as payment for
merchandise for all services. The GER
tificate is secured by the real and per-
sonal property of the association.
The officers of the local branch of the
organization have lately received reports
which indicate that its plans are being
adopted throughout the state and nation,
and that stores are in successful opera
ton in many cities and towns. There
are $50 members in San Francisco and
about 800 in the state. Plans are under
consideration by the San Francisco
branch by which shoemakers, glove
makers, knitters and other artisans
will be kept employed to keep up the
stock Of the various stores in the state.
They will be paid wholly by cheeks or
certificates, which entitle them to draw
out goods to the value of their earnings.
The Labor Exchange is based largely
on the idea expressed by various polit-
ical economists that goods are often ex-
changed practically without the use of
money. The founders believe that in a
more advanced civilization their ex-
change checks will take the place of
money, which will then be abandoned
as a useless medium of commerce.
The founder of the system is q. r.
de Bernardo of Independence, Mo-, an
old organizer Of Oranges and other
farmers societies. His plans are said to
have been recently Endorsed by the en-
inent Michael Flurscheim Of Switzer-
land, and by prominent political econo-
mists of Germany, who have organized
exchanges ON the same basis that finds
practical illustration in the little store
ON Valencia street. In one Of his articles
on the principle Of the exchange the
founder says that he plainly saw, in
studying the question of wealth and
poverty, THAT if a person was not per-
mitted to pay his debts with the prod
ucts Of his craft, but must procure an
article he did not produce-gold or sill
ver-he would be at the mercy Of the
owner of the legal tender commodity
and thus would be ruined or enslaved. "
The reformer next sought to set in
motion al interchange of services be-
tween men and women out of employ
ment and therefore helpless for lack Of
money. The employment Of idle labor
is thus the prime object of the a~ssocia-
ton.
The following sentences from the
prospectus Of the organizer Of the ex-
change show the general purposes of the
reform. He says:
Behold the fundamental principle
and aim of the true Labor Exchange
which is not visible in any other sim
liar movement Of our day. True, most
Of them use the labor check as a substi-
tute for legal tender money, but ready
to return TO legal tender money as soon
as able to do SO; some are even basing
the check on legal tender money, while
we use the labor check first to keep la
Dor employed and the industries in mo-
zion, and, second, to demonstrate by OBJ
ject lessons that legal tender money is
useless-nay, a robber, and therefore
should be abolished altogether.
"Our modus operandi in this greatest
Of all reforms is to set in. motion at
first an interchange Of services between
men and women out Of employment
and paralyzed for lack Of money. To do
this requires NJ capital, and there is nc
possibility Of a failure. Pass from this
mutual aid department to the produc-
tion and interchange of articles Of com
mon use among the associates, and grad.
ually rise from these simple operations
to larger enterprises, and finally bring
our cooperative forces to the construc.
ton OF understandable or permanent
wealth, which lessons toll and increases
the comforts Of man.
by such progressive methods we ex
pect to be able not only to iberate tn.
industries from the distractions and ex
actions Of the money power, but also t.
clear the mind Of man Of money hypno