The Breckenridge news. (Cloverport, Ky.) 1876-1955, 1895-03-27

Still Suffering From an Excess OF
Gall Experiences no Relief
From a Dose of Common
Sense

Makes lame attempt TO answer two o.
those burning questions in an evasivt
and foxy manner. Here for instance we
asked II national banking pays 40 or 81
per cent. why will men invest theil
money in government bonds bearing
only 3 per cent. He answers those fool
ish fellows are all bankers. Now, look
at this statement taking the statistics oil
the treasury of the United States, begin
ningwith the year OF 1861, the number
OF national banks Of that year was 1874,
with an authorized capital Of SIG, 100000.
From that year to the year Of 1891 the
number OF banks increased to 464S with
an authorized capital $685., 463, lS2 of this
number of banks 79l passed into volun-
tary liquidation and 1874 were insolvent,
leaving 1894 going banks. The bonded
debt OF the government at that time was
something over billion and half dol
lars. One-third OF this bonded indebted
ness being in the hands Of the bankers.
Yet j. II. A. says all Of those foolish
fellows that invest in bonds are bankers.
The other two-thiids in the hands Of any
and all persons who wished to so invest.
You told one.third OF the truth that
time. Again, If national bankers make
40 or 80 per cent. on their capital, why
in the name Of the great horned spoon is
it that nearly % per cent of the number
OF banks organized either fail or go into
to voluntary liquidation Could any
business possibly fail that was making
even half the money that j. II. A. says
national banks make. Again let us
make few figures on this Populist lie,
and now be it remembered that this is
their main stay and most fetching lie, it
is in the mouth of every stump orator
they have, by Johnson when on jag)
not excepted. Only the stumper in the
heat of his enthusiasm puts the figures
up to Is and so per cent, He, however,
is not to be blamed, he knows no better.
The National Waterman and j. ii. A.
has told these things, hence they are
bound to be true, figures may lie but
P,pulists never do. They leave all the
lying for the leaders OF the old partieF.
The PopuIists all being little Geo. WASH
ingtons Now just see how the figures
will lie. They ought to be ashamed to
stand up and lie like they do when they
know j. ii. A. is looking at them. Now
watch them.
The present authorized capital of tie
national banks is 500, 100000, putting
that at 80 per cent. per annum it would
Of course double itself every two years.
Hence in ten years it would reach the
enormous sum of $700,OO 900 multiplied
by six which equals the neat little sum
'of $4,200,OOO,0O0 or about double the
amount of money ever in the United
States at any one time. Now, j. III. A.
and his Populist friends being the stand
ard Of truth, those figures are bound to
be liars, arn't they. Yet having said the
horse was 400 feet high they bare-facedly
stick TO it.
know ]. III. A. and his friend up at
Lodiburg are ashamed OF them and we
also know the readers OF the News will
believe J. ii. A. in preference to few
Icing figures, especially as those figures
were made by S P. j., while he and
Sirocco were taking spin through space
booted and spurred gaily bestirring the
CONNECTS tail, hobnobbing with the man
in the moon and getting on speaking
terms with such disreputable characters
as Jupiter, Saturn and that fighting little
Mars. We more than suspect that we
were the party that scared those bull
frogs and caused them to leap into those
canals of Mars, spoken of by Mr.. Waiter
son. Had high old time didn't we 81 ?
We will now examine some OF the
mathematical methods OF our brother,
J. II. A. He says company wishing to
engage in national banking will first pur-
chase 5 per cent. 800, 000-bond paying
for it $ll7, 900, depositing it with the Con-
troller OF Currency receiving in exchange
SOC, 900 in national bank notes. Now,
he says the company has exchanged
$4,000 of taxable property for $4,000
non-taxable property, thereby making
net profit OF s7J, 900. Now as he stops
here and goes no farther with the state
ment 1t would appear to the uniformed
reader that the banking company had
actually made $4,000 in the deal and so
he intends the reader TO believe. Which
however, he does not believe himself for
he certainly knows better. Because,
why?
First. He knows that the government
assesses and collects semi annually a
duty OF 43 per cent on. the circulation
and the deposits and capital stock Of all
national banks. Yet he blandly states
that their property snon-taxable. DOES
he not know that all national banks have
10 deposit with the Controller OF the
Currency a sufficient amount OF lawful
money for the retirement OF their circu-
lating notes, failing in this the bank so
failing is at once declared insolyent and
closed. Does he not know that the $780,
600 capital stock upon which the bank |
was organized Is merely loan for which
the banker must give the best OF secui
by and must make restitution OF the very
- H.. A. a IA -. 49, ~ III