The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1896-08-29

the charge OF overproduction does not apply
to gold. The annual supply of it has increas-
ed nearly threefold since 1873, and great i'm
provements in the art of mining and refining
have been invented. But let our gold friends
take the other horn of the dilemma, namely
that goods have gone down because of over
production. Then they admit that prices
would not have fallen had the supply of
money kept up with the production of goods.
s'1heir only remedy, then, is terrible one
that we stop producing and accommodate
our activities to the limited supply of gold
money. We reply, rather increase the supply
of money, even though it occasions con-
dition that will require more goods TO be pro-
duced to overtake the oversupply of money
most happy remedy.
.'The effect of an approaching standard ex-
presses the increased effectiveness of the Ia
borer by level rate OF wages that have in
creased purchasing power, instead of stand
ard that would maintain the parity with COM
modities that labor produces, and expresses
his increased effectiveness by an increase in
wages in dollars. The evil of an approaching
standard Is principally because of deferred
payments. The essential factor in production
is debt All business is conducted upon bor-
rowed capital. All large enterprises are float
ed upon bonds, and an approaching standard
causes the effective agent of society-the en-
terprising business man who is the employer
of labor-to borrow dollar which in the in
terval becomes greater in purchasing power,
causes his products to be rated at lower
price and forces him to surrender to the credi-
tor more goods than the dollar was worth
when loaned to him. This has caused three
fourths of the railroads of the United States to
go into the hands of receivers. and has eaten
| up the dividends of the majority of the cOrpo-
rations, besides nearly % per cent. of business
enterprises that have been projected in the
country. The proportion of failures is steadily
increasing under gold standard. This is
greatly to the interest of creditors who are
enable to loan a dollar at 6 per cent, but
which really conceals an additional 4 per
cent appreciation, both of principal and in
terest, when exchanged for goods. For this
reason there is powerful class of bondhold-
ers who favor this false standard of value.
When we propose a remedy by increasing the
volume of money they reply that our plan
would ruin the country, but they themselves
offer no remedy for a condition of evil that is
plain to every man that investigates it. BIZ
metallism is accepted as the remedy by all
students of monetary science, both in this
| country and abroad The Democratic party
has declared for it as far as this country is
concerned. The Republican party admits the
evil and efficiency OF the remedy, but would
have us wait till other countries consent to our
change for the better.
Mr.. Ogden illustrated his remarks by a
humorous story or two, and in discussing the
national bank system said ii was akin to the
film fam game, which he explained to the
! amusement as well as instruction of his audi
| ence The substance of his criticism Of the
| banking system was their power to issue
money and to contract and enlarge the cur
rency as was to the interests of the banks to
| do so. The power to issue money, he declar-
| ed. was function of the government, and it
/ was not constitutional for that power to be
delegated to corporations.
! Mr.. Bryan said there was no fight against
banks, for they were necessary to conduct the
business of the country, but they should be
confined to legitimate banking business, the
loaning of money and collecting of drafts,
not the issuance of money and virtua! control
| of the volume of currency.
The club adjourned to meet on Tuesday
night. September s, in the new Babylon Build
ing, where it will have headquarters until
after the election 1t is likely the club will
be addressed ON September by Hon. A. Leo
Knott (who did not receive invitation in time
to be here last Tuesday night and Mr.. Archie
Taylor, of Baltimore. Due notice will be
given of the meeting.