Hutchinson gazette. [volume] (Hutchinson, Kan.) 1895-1902, 1896-07-30

Just afterwards, 1t was discerned by
those who held the national debt, as 1t
had been discerned by some Of them
from the beginning, that 1t was good
thing for the pOssessors. A great in
terest had been created by the war
the interest Of the bond.
It were vain to conjecture how many
sincere patriots found themselves
possessors Of the interest bearing OBJ
legations OF the nation. For all such
there Is no animadverslon, but rather
praise. It were equally vain to con-
lecture how many held those obligA-
lions simply for the profit and Ad-
vantage that were In them and with
no concern about the welfare Of the
government or of the people Of tho
United States; but the latter class,
whether many or few, increased and
the former class decreased until the
fund-holding interest was consolidated
in the hands Of a party having Its
branches in New York and London.
The party of the bond become skill
full and adrolt. It began Immediately
to fOrtify itself. It took advantage Of
the inexperience OF the American peo-
pie and of the inexperience Of their
legislators 1t proHted by the mis-
takes and misplaced confidence Of both.
They who held the bonds were wise
by ages Of training in the old world
and the new. They understood the
situation perfectly, and adopted as
their method a policy embracing two
Intentions: First, to perpetuate the
bond and make 1t everlasting by the
postponement and prevention Of pay
ment; second, to increase the value OF
the currency in which all payments
were to be made, that is, to increase the
value of the units of such payments
as the payments should become due,
so that whatever might be the efforts
of the people to discharge the debt 1t
should increase in value as rapidly as
they could reduce It! And honest peo-
pie, abused to the soul by the politici-
ans and Shylock. knew not 1t was So
For thirty years this game has been
perslstently, skillfully and successfully
carried out. 1t has beeen play worthy
Of the greatest gamblers that ever
lived! We do not call to mind any
other such stake among the nations
as that placed upon the issue; and the
bondplayers have won on every deal.
They have succeeded on both counts
Of their policy. They have turned over
the debt into new forms Of bond, and
these again into newer, under the
name Of refundlng, persuading the peo-
pie that the process was wise and need
full and cajollng them with the belief
that the rate OF interest was each
time reduced for the benefit Of the ma
ton. It was done "in the interest OF
the people" We, the holders OF the
bond, labor only for the interest OF
the people!
It is true that each act of refunding
and transforming the national debt
has lowered the nominal rate Of in
terest; but at the same time 1t has
heightened the period Of payment. At
the beginning the date Of payment was
at the option OF the government. Then
1t was at five years from the making
r Of the bond; then 1t was at ten years.
then at twenty years; then at thirty
years. Now, the period of possible
payment has been extended until the
second decade OF the next century
cannot Witness the end Of the game.
II the treasury should have today, or
In the year 1900, surplus Of six bill
lions Of gold the government could not
call and cancel Its bonds. They were
not made to be called and Cancelled,
but to be refunded and perpetuated.
Besides, the reduction Of interest has
been reduction only in name. In no
case has the reduction b made I'M
til the value Of the dollar OF the pay
ment has so enlarged as more than
to balance the reduction. The same
thing Is true Of the payment Of prin-
ciple as we'll as the payment of coupon.
For thirty years the American people
have been pouring into that horrid
maelstrom the volume OF their great re-
sources. They have paid on their debt,
or at least they have paid, in this long
period, such a prodlglous sum that
arithmetic can hardly express It. at
the close OF the year 1895 the interest
account had reached the total of more
than two billion six hundred and
thirty-hYe millions Of dollarsD The
Imagination cannot embrace It. And
yet 1t is the truth Of the living God
that at the close OF 1895 the national
debt Of the United States, in its bonded
and unbonded forms, will purchase as
Its equivalent in value, as much Of the
average of twenty-five Of the leading
commodities of the American market,
including real estate and labor, as the
same debt would purchase at Its max
imum on the LIST of March, 1866. The
people have paid and paid for thirty
years, and at the end have paid just
this-nothing!
The verihcation OF this astounding
truth is as plain and irrefragable as
any other arlthmetical result. On the
LIST Of March, 1866, the national debt
was in exact figures, 1891, 1865, 959. 46;