Iowa County democrat. [volume] (Mineral Point, Wis.) 1877-1938, 1896-01-23
DEI.UDED FARMERS.
THEY DON'T UNDERSTAND WHAT IN.
TEREST is PAID FOR.

BY AgitatinS For l6 to They Are Sink
ing Deeper Into the Mirc-Incressins
Their Risk-No Benefit Can Como rrom
o Change In the Medium of Exchange.
The Silver league of Nebraska is one
Of the latest schemes Of Bryan and his
friends. Its object is to spread free sill
yer literature and TO support no candi-
date for the presidency in 1896 who is
not free silver man. Tho league is
noupartiSan. its control being i'll the
hands Of four trustees, enc from each Of
the four great parties.
1t is a pity that the honest farmers
and laboregS who Will he drawn into this
league-aud the bulk Of thom are sin
cere--could not devote their energies 20
something likely to improve rather than
to n cause that Will surely make worse
their present condition, They are howl
ing against high rates Of interest hut
are unnecessarily increasing those rates
by threatening to repudiato half of their
debts. thereby increasing tho risk IF
leaning mCucvln their state. They haNo
but to look across into MEXICO or to
glance at amy cf the other free silver
countries Of the world to make certain
that free coinage is not Vanacea aud
that farmers and lahorCrS are usually
worse of i'll these countries than in gold
standard countries.
Our farmers and workingmen arc
barking UP the wrong tree When they
are looking for their oppyoSSors in the
branches of the money tree, The iuiuS.
ticc, if any. due to n slight depreciation
or appreciation Of gold is lntuiteSimnl
as compared with tho injustice from
other causes, THAT this is true is evident
from tho very nature of things. Money
is hut medium CT tool Of exchange.
Exchange implies production. tranSpor-
tation, distribution It Is in tho proc
Cssos Of production, transportation aud
distribution that farmers and lahorors
should look for Improvement and not i'll
the medium Of exchange, which is al
ready ST nearly perfect that i'll most
civilized countries it dHeS its work with
out friction and practically without
cost. As we'll hope for great reductions
in the cost Of transportation through
better lubricants rs Ter an apprcciahlc
benefit through any change in the medi-
um Of exchange The money of today is
as good rs the grease of today.
Any ruo who has something to CX-
change h&, 10 truubloin making tho cX-
change at market prices or ratios. If lie
wishes to employ moro capital, he can
.,E a
est, providing he has anytlmG to use as
! collateral mSecurity. Without collateral
! he could not, under any system of cur
renCy, obtain tic required capital Tho
| whole question hinges on tho collateral,
| not ON the money, which is but u nero
incident to tho exchange. a farmer who
mortgages his farm to obtain capital
does not really pay interest on tho
money (Which is but enc form Of CAPT
taD which he obtains, and which he
probably possesses but few days OF
weeks, but on the capital, implements,
buildings, fences, etc, which he hires
in this way No possible monetary
change can materially lower tho hire of
capital-that is the percentage of value
which one man is willing to pay for the
use of another man S product. 1t is tho
relative demand for and supply Of CAPT
tai, not of money, that largely deter
mines rates of interest under Il stable
monetary system. If tho monetary sys-
tenn be unstable, then the borrower must
not only pay tate Of interest CORE
spending to the normal hire of capital,
but he must pay for the risk incurred
by the lender because Of possible
change Of standard BY agitating for
free coinage at 16 to ! the farmers are
increasing this risk. They pay tho fid-
dler, but somebody else (mine owner
perhaps) docs the dancing.
1t is a pitiful sight to see honest
farmers thus wasting their time and
ammunition, but it is solace to believe,
as did Abraham Lincoln that you
can t fool all Of the people all Of the
time"