Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1896-08-19

men do not make their profits from the
people from whom they borrow money, but
from the people to whom they sell their
goods. II the people cannot buy, retailers
cannot sell, and, II retailers cannot sell,
wholesale merchants and manufacturers
must 60 into bankruptcy.
Those who hold az permanent invest
ment the stock of railroads and Of other
enterprises Il do not include those who
speculate In stocks or use stock holdings as
o means Of obtaining an inside advantage
in construction contracts) are injured by
gold standard The rising dollar destroys
the earning power Of these enterprises with
out reducing their liabilities, and, as divi-
dends cannot be paid until salaries and
fixed charges have been satisfied, the stock
holders must bear the burden Of hard
timea
Salaries in business occupations depend
upon business conditions, and the gold
standard both lessons the amount and
threatens the permanency Of such salaries.
Official salaries, except the salaries Of
those who hold office for life, must, In the
long run, be adjusted to the conditions OF
those who pay the taxes, and II the present
financial policy continues we must expect
the contest between tho taxpayer and the
tax eater to increase in bitterness.
The Professional Glasses.
The professional classes, in the main, de-
rive their support from the producing
classes and can only enjoy prosperity when
there Is prosperity among those who create
wealth.
have not attempted to describe the ef-
feet of the gold standard upon all classes
jim fact, have only had time to men.
ton few-but each person will be able to
apply the principles stated to his own oc-
cupation.
It must also be remembered that 1t is the
desire Of people generally to convert thei,
earnings into real or personal property.
This being true, In considering any tenn
porary advantage which may come from 9
system under which the dollar rises In Its
purchasing power it must not be forgot.
ten that the dollar cannot buy more than
formerly unless property sells for less than
formerly. Hence it will be seen that q
large portion Of those who may find some
pecuniary advantage in gold standard
will discover that their losses exceed theil
gains.
It Is sometimes asserted by our oppo-
nents that bank belongs to the debtor
class, but this is not true Of any solvent
bank. Every statement published by q
solvent bank shows that the assets exceed
the liabilities-that Is to say, while the
bank owes large amount OF money to its
depositors it not only has enough on
hand In money and notes to pay It's depos-
itors, but in addition thereto has enough
to cover its capital and surplus When the
dollar Is rising in value slowly, o bank
may, by making short time loans and
taking good security, avoid loss, butwhen
prices are falling rapidly the bank Is apt
to lose more because Of bad debts than 1t
can gain by the increase In the purchasing
power Of its capital and surplus.
It must be admitted, however, that some
bankers combine the business of bond
broker with the ordinary banking busi-
ness, and these may make enough in the
negotiation of loans to offset the losses
arising In legitimate banking business.
AS long as human nature remains as 1t ID
there will always be danger that, unless
restrained by public opinion or legal en-.
actment, those who see pecuniary profit
for themselves In certain condition may
yield to the temptation to bring about that
condition. Jefferson has stated that one
Of the main duties Of government is to
prevent men from injuring one another,
and never was that duty more important
than 1t Is today. It 'is not strange that
those who have made profit by furnishing
gold to the government In the hour Of its
extremity favor financial policy which
will keep the government dependent upon
them. believe, however, that 1 speak the
sentiment Of the vast majority OF the peo
ple Of the United States when say that 9
wise financial policy administered In be-
half of all the people would make our gov
ernment independent Of any combination
Of f1nanciers, foreign or domestic.
Contraction Of the Currency.
Let me say word now in regard to GER
tain persons who are pecuniarily benefited
by gold standard, and who favor 1t moi
from desire to trespass upon the rights o.
others, but because the circumstances which
surround them blind them to the effect o.
the gold standard upon others. I shall ash
you to consider the language Of two gentle
men whose long public service and higf
standing In the party to which they belong
will protect them from adverse criticism
by our opponents. In 1859 Senator Sher
man said: 1.-THE contraction OF the cur
rency is far more distressing operation
than senators suppose. Our own ano
other nations have gone through that oper
alton before. It is not possible to take tina,
voyage without the sorest distress. 10 ev
cry person, except capitalist out OF deb1
or q salaried officer or annuitant, 1t Is
period of loss, danger, lsssitude OF trade
fall of wages, suspension OF enterprise
bankruptcy and disaster. 1t means ruin K
all dealers whose debts are twica thei1
business capital, though one-third les'
than their actual property. 1t means th'
fall Of all agricultural production without
any great reduction Of taxes What pru
dent man would dare to build house,
railroad, factory or barn with this Ger
tain fact before himS" AS have said be
fore, the salaried officer referred to mus
be the man whose salary Is fixed for LII
and not the man whose salary depends
upon business conditions When MIR. Sher
man describes contraction Of the currenc!
as disastrous to all the people except tht
capitalist out of debt and those who stant
in a position similar to his, he Is stating
truth which must be apparent to every per
son who will give the matter careful con
sideration. Mr.. Sherman was at that tim'
speaking of the contraction Of the volume
of paper currency, but the principle which
he set forth applies II there is contrac
tion Of the volume of the standard none!
Of the world.
Mr.. Blaine discussed the same principle
in connection with the demonstration o
silver. Speaking in the house of represent
atiyes on the 7th Of February, 1878, HI
said: IT believe the struggle now going OF
in this country and other countries for
oinolo ooId standard would II successful