The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1896-09-24

Of small income, who find insurance the
only way or protecting their families
| after death; the deposits OF persons
having small savings I'm banks; ana
the accumulation of resources by build
| ing associations and cooperative or
| CARNATIONS have an innocent consti+u-
| ency behind them. Nor is this an u1.-
important consideration. The number
| OF persons and the sums affected arr
! enormous. If free coinage Of silver
came, the Following persons would lose
| ABOUT one-half the sums to their credit:
Number
of Persons. Sums
Jan. /. 1884 ~ ,94o, sos s4sl7. SIS 2io
5,S3S building associa-
lions. Jan, l. 1889. .1,745,725 Z 45e,es7.5s
1ss4-5..... ....~......4 s75,51s 1910. 5sz, O2s
Totals 49,. .......s,562, 155 81, IFS, So. SGT
! mortgages in force on acres, Jan.
1, 1871 .'-..-.. ...s...-..... 81 209, Jas, ADJ
| That is, In order to save the mort
| cages, One-haIr of their 81 20g 148 43l
| free coinage means the subtraction OF
| one-half of the 81. IFS, 952, 827 Of credits
| from persons Who have had bitter
struggle TO save even these sums
These depositors ilave accounts aver
aging 1877 each; and yet they compose
| the "despotic money power which is
| grinding down the Western farmer.
| Then down with the lap0sitori Death
| to owners of small savings, Indeed in
| the excitement of political camrajgns
| people do not often pause TO look back
| or the trust company, or Bank. to see
| who Is 1T that really furnishes the loans
| to the small borrower who gives a
| mortgage on his farm
is 1T possible In this day of philan-
| thfopy, that the country is seriously
| contemplating law which would de-
| stroy one-half the savings of a thrifty
| mechanic who is trying to buy his
nome! For years he has been painfully
storing away few dollars month in
| his building association; and then rho
| borrower would strike a. blow by Law
| ing back to the association silver dol
| lars. having only half the value of the
dollars put in by members.
Indeed the plain but thrifty people
VINO receive wages will suffer doubly.
| Ihey nave general agreement with
an employer to get so MANY dollars q
day, or month; there is no agreement
to pay gold. CThe workmen are too in
experienced to demand that; the capi-
tai1st, on the contrary, when he scents
| danger, knows how to make contracts
| payable IN gold and so protect him
seif) The workingmen are creditors
| For their wages; and the EMPLOYERS
| are their debtors. A free coinage
measure which allows the mortgagor
/ TO repudiate One-half the debts on his
|
| 1tor-employer to repudiate one-half of
what he owes to his employees az
| wages. This is q law which will cut
both ways with a vengeance Why
| should we pass law which would al
low the dishonest members of a small
| class OF persons to cheat their cred
| 1tofs, when the same law would iniure
| ten or hundred times as many in
| nocent people to an enormous extent.
A scheme, like free coinage of silver
! proposed In order to tighten the bur
| den OF 1ndebtneSs. yet being unsupport-
eu py Iacts, based on unsound reason
| ing, and injurious to masses of peopIe.
/ must in the very nature Of thing be
disastrous to the persons it was meant
| to help. The debtor, in a near-siehted
way, may think it very smart to repay
his creditors one-half of what he re-
celved; but that Is a very superficial
| view. II such a person wishes to ex-
tend his mortgage, or even borrow
! again, does any one suppose that the
lender once cheated will ever lend to
/ the same again? That Is, reputation
runs credit; and in the future no CAPT
tai Tor improvement, or purchase of
/ land. can be obtained. Does the farmer
believe that hereafter, he shall never
| In the future need a loan? If he does
| repudiate his loan, the development of
his farm, and of the community where
Such things are common will cease.
The needed capital will be frightened
away; trade will drop off; value of land
and property will depreciate; and the
| enterprising spirits will go elsewhere.
There are states in the West that have
already brought about this situation
/ by the thoughtless propaganda for
| deprecated silver standard.
The fear of being paid back in a
| silver standard for a loan granted on
| the existing gold basis is certain to
| n fOrQPinCn
or refuse to extend them. The mere
] proposal Of so revolutionary meas
ure is today doing the debtor more
| damage than he probably realizes.
The uncertainty as to the standard
| will oblige him to pay high interest
rates, so long as that uncertainty ex-
| lists. If the lender fears that he may
| be repaid in money less good than that
which he gives, he either will not lend
at all, or charge an interest rate and
| commission sufficient to cover the risk.
! Under the existing gold standard how
ever, the farmer borrower has I'M
| doubtedly been able to get loans at a
| steadily lowering rate Of interest as
| years have gone on. He does not be-
gin to pay as high rate of interest
today as he did in 1878. This can be
verified in every farming county in the
West.
Finally a debtor more than any one
| else, requires business prosperity in
order that he may have steady en-
ployment, and good returns. from
| which he may be able to meet his in
| debtedness. An act that would strike
down all industries and PROSTATE trade
would be the very greatest misfortune
for the debtor. And yet just such a
disaster would result from free COIN
age of silver. If every one feels poor
now, owing to the monetary uncer-
tainty brought on by the present cam
paign, how much less will they. have
with which to buy the farmers grain.
after the storm of ruin has spread en-
tirely over the land, and passed on to
every occupation and industry.
| j. Laurence LaughIin