The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1896-10-20

The banks and the banking system Of
the country are the particular objects OF
f1puiistic attack No Populistic speech
IL considered complete without at least
fifteen minutes being taken up with In
coherent abuse OF banks, as though such
institutions were Of the greatest injury 10
the farming and laboring portions OF the
population. Yet were IL not for the per-
lection OF banking methods and the mod
ern systems OF doing business, the farm
ers OF Eastern Washington would be left
with their crops on their hands because
OF the enormous volume OF money which
II would require 10 move II. In this state
alone 1; would require at least 100000 to
handle the wheat crop. and II would re-
quire many months 10 transfer that
amount from the hands OF the final pur-
chaser TO the hands OF the producer.
Today tenth OF the amount will suface
In the manner IN which II IS handled. not
only to buy and pay for all the wheat
but eoineidently to extlnguish an amount
OF Indebtedness substantially as great as
the value OF the crop. The local banks in
wheat growing regions necessarily have to
Increase the amount OF money on hand
just previous 10 harvest. and this amount
Is largely made UP OF deposits in cash or
exchange by the wheat buyers
When a farmer sells his crop for say
s2.oo. which VIII approximately represent
the value Of this years crop OF wheat on
ka &rsfra-s- gt.rfa~ sn.-ss., ~n.af,-a=
the check OF the buyer on the local bank.
This cheek the farmer cashes and forth
with proceeds to settle his bills at the
store. tho machinery depot. the blacksmith
shop. etc He may also. and probably Will.
In year Ike the present. make a sub
stantial payment on his outstanding mort
gage, II he has one. 70 the local agent OF
those who have loaned him money. The
surplus after paying these debts he prob
ably banks again. Zach Of the persons
20 whcm he has made payments does tho
same The money which paid him is
t'aes Immediately available FOR buying an
either mans crops. The buyer 10 secure
the advances from tho bank VIII give the
bank drafts on his own spondents in
liverpool 10 which ne will conslgn his
purchases % wheat. The bank Sorw ards
those dEaf;s 70 Us correspondents in New
York or some other money center. and Is
given credit tor the amount
The merchant OF machinery man. who
has been paid by the farmer. desires in
tlme 10 pay she wholesaler IN one Of the
commercial eenters with whom he has
been trading ana 70 onset the money he
has paid lnio thu bank rtocures from THAI
institution draft On New York o. some
o.Asr money ccntcr. a. Nhi,h the local
tank hss cha,ne' cretl, ~ means % the
t,syeg's drafts cn liverpool.
wh1s ,he relatively email amour; os A.
'usl money vita whlch ths bank starts
CO Is psl8 10 and oat over 10 counters in
ore continual stream the farmers are
raid tsr their wheat. their locai creditors
sra gaiA the debts o. ne community are
ras3 - sare.sn creditors. and TIE same
money naa,y rests vhers It started. In
re vaalts ~ tho hank
In season i1>e tse present. when ~.
proc - Sscs; sas been - high that the
srsia crop w;I rot oniy sxt.nruish COM
r1ese,y tse ass-esase eats.ee Indebtedness
CT tAa community ln which Il = raised.
- }-ate haaascfas margin. the hank
:; tne close of t4s season Nil sna l;sslg
Mr. heavy credit az ;e- ronsy ceagers.
wht-a u ear AAve shipgea ia any form GO
money g; desires. Tee esae-al balance @.
trs3e IS % favor CO tbs community. ana 4
Ests thas aS,aa-e n neary. 90 the .rte--
mediate steas n!re-isnths sreressn; e-etl;
ocerst.oas aa4 one-teniA the sc;gA pay
ment - TIE ,ans.e,s mcney.
% coarse r. eaeh of these varsoss oper~
seons The bank roa,l2cs = pFos;. bsgt a.
a raeney eeouousszing piece % machinery
is ass seeu vorsa - tae community -rA0y
times tse sm2aa1 pkt3 for SIS services,
Ias,ssa of 8 ss ssa having g Re ;rans-
gogse. 'rsn 1Avsrreoo, n ore Temp 20 sge-
seeasnfly ar3 SIS nay nacS through ua-
re.lse's eAsnasss 70 tae ere&. raonev
sertess. n5shtnr eat ths amount repre-
seas4As sas aa~. .srSas = agea &sesaes %