The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1896-10-08

SohSullel uuu W pay he might
stand that, but this is not all. This
passing of merchandise on credit through
several hands from the factory to the
consumer creates necessity for an in
creased percentage to meet the exigen-
cies of risks and losses of each one of
these parties and the consumer pays for
1t all. Where you find local merchant
running his business on credit you may
trace the lines of goods he is handling
back to the jobber and you will find it
IS all credit. Now, if anyone desires to
find out the increased price to be paid
for merchandise, that is handled on a
credit over the necessary cost for han
ding the same on the cash plan let him
ascertain the cost at the factory and
then the. per cent discount each dealer
may make for cash and put them to-
gether and the result will inform him.
Ihey will in this way learn that it is
to their interest to buy less until they
can pay as they go. 1t will, however,
be long time before this mania for
credit will be overcome. The truth is,
that the credit men, dealer and consumer
have arrived at the conclusion that there
is not sufficient amount of money to
carry on the mercantile business on a
cash basis. Just how they have arrived
at this l am unable to understand. 1t
does appear to me that If man can pay
$3.50 at the end of the year for merchan-
disc that he could have purchased it for
500 by the payment of cash at the time
he made the purchase, that it would be
to his interest to purchase less until he
could catch up and have cash to pay.
There is very much in the will to do it..
1t seems that consumers have got behind
about one year and fail to catch up, es-
pecially is this apt to be the case when
thp mprchnnt has n lnt of onole h, 4
for which he would rather have the con-
sumer's note or account than the goods
Now, if it is a fact that merchandise
cost him 90 per cent more to be handled
on credit from the factory to the con-
sumner than the same could be handled
on the cash plan, then it surely would
be much better and more satisfactory
to act on the cash principle altogether.
1t is true that if this plan was adopted,
those who never pay at all would have
to come up with the cash or do without
the desired goods. The credit system
coupled with the mortgage system Qor
this is what the credit system means),
has done more to get the poorer classes
of citizens in debt and keep them there
than any other one thing. In my opin-
ion no one thing has done so much to
encourage deception and dishonesty and
to greatly increase the work of the
courts of the country at the expense of
the honest people by taking up their time
as jurors and witnesses and in multiply
ing taxes. Credit extended encourages
its increase. 1t is admitted by many
that where we run our purchasing on
time we buy much more than if we paid
cash. This applies to the merchant as
well as to the consumer. No doubt
many merchants on the prospect of good
crops, make much larger orders to be
paid for in the future than they would
if the cash had to accompany the order.
Now, if the crop yield is less than he
anticipated, he finds more goods ON his
shelf than he can dispose Of for ready
cash. These goods, however, must be
sold, even if on credit, with not as good
security as would be required under diff
duced to buy beyond his ability to pay
because of the encouragements offered.
A general credit business is curse to
any country or people. The abandon
ment of such a system would be imme-
diately and most effectively beneficial to
all. There is no business profession that
would not be improved by adopting and
consistently adhering to the cash system.
There is not family or an individual
who would not ultimately reap rich re-
suits by the adoption of the pay-as-.you-
81 DuSllltSS InctuOu. dlully udDDlDeSS
and individual liberty are always and
without regard to circumstances, para
mount considerations. Their relations
are reciprocal. The one is dependent on
the other. There can be no abiding fam
lily happiness where solicitudes are ever
present and pressing. Individual liberty
in its most commendable form is not
exemplifed in the life and bearings of
one who is oppressed with debt and
whose property is pledged to it's liquida-
ton. Such pledging is the pawning of
ones labor in advance. The inducement
to deal on credit is insinuating and de-
ceptive, and only watchful prudence can
avail to defeat its attacks. Its bane
full effects may not be Immediately ap-
parent, but nevertheless the deadly
germ is there. Its growth may be slow,
but is none the less sure. | believe that
in business matters no greater calamity
is possible to the individual than that
which has its birth in the credit system
and ultimately finds it's result in disap-
pointed hopes and broken spirits. The
wear and care of constant mental de-
preston, and the merciless burden of
busy thought all the time laboring to
devise ways and means to satisfy the
obligations that credit has imposed and
to meet those that family necessities
lOE luc ihpSiu'iNSiy iNdutNt 10,
indeed, to my mind, veritable hidden
dry rot that cankers and kills. Is it too
much to say that habitual credit deal
ing debascs manhood? l think not.
While there may be no question of moral
turpitude involved, it occurs to me that
the farmer, and / speak with special ref
erence to the interest of the farmer
class, whose crops are pledged in ad-
vance, subject to the harsh conditions
implied by mortgages, deeds of trust
and judgments, does not measure up to
the standard of that kind of American
manhood that has its best expressions
in his self-posed and self-reliant indie
pendent neighbor who buys with cash,
or who. when that is not feasible, buys
not at ALL but is content to respect the
admonitions of patient wisdom and wait
until the cash has been accumulated.
| believe and insist upon it as correct
proposition that no man who is OPP
pressed and harrassed with debt is, in
the highest hottest sense, in the broad
est, best significance of the term, free
man. Freedom is something more than
the mere right to independent opinions
and unrestricted locomotion. Such may
be and is laws guaranty to American
citizenship, but it seems to me that in
the fullness of its comprehensive mean
ing freedom embraces something more,
such as minds at rest, happy hearts and
peaceful homes. with no dread of debts
and no fear of courts. Debt. | know,
10 n hard thing to avoid. The farmer,