The Louisiana populist., 1897-04-09

dollar to a dollar and half. At that
time state bank currency was in circu-
latior, and when this crippled govern
ment money vas put into circulation,
gold and silver, with the first issue Of
6O,OCO,OOO Of demand notes, went out
of circulation: was boarded by bank
ers and spectators, for they could
plainly see that 1t would go to pre-
MUM, as importers would have TO
have 1t to pay Import duties. which. at
that time or soon after, amounted to
s25O,00o,0 600 per annum.
Soon after this another batch OF cur
repcy was issued with the exception
clause on Its back. Importers had to
buy coin to pay import duties and had
to pay s1.5O Of crippled paper money for
every 81 Of coin.
Following this the national bank act
was passed which enabled those who
boz, ht bonds to pay for them in green
back. ara by depositing them with
t,.c treasurer OF the United States could
20 into the banking business. The
COVER lment would issue to said bank 80
per ut of currency signed by the sec.
retary Of the treasury OF the united
States. stating on said currency that:
"This note is secured by the deposit OF
government bonds with the treasurer
of the United States" which made the
currency good. At about the same
date the government passed an act stat
ing that all private Or state banks is
suing notes and putting them in circu'
lation should pay to the said govern
ment a tax of ten per cent annually
on such of their notes as were IN CIR
culation. The act virtually compelled
all banks of issue to 90 out OF business.
State banks were turned into natlona!
banks or had to bank on what genuine
money they could command.
As the war progressed and the large
volume of currency increased in circu-
lation, prices of everything increased.
Prices went up. 1t was great time
then to make money for labor and the
products OF laboc were going up III
price. Shrewd people got out OF debt
and had plenty OF money to DO busi'
ness on cash basis.
About the year '65 or 81 A. T. Stew
| art, that great importer, had a great
cargo of costly goods come to Ne"
York from Europe, the import duties
upon which VAS 100000. Mr.. Stew
art took S3O0,00O in greenbacks to buy
metal MONEY with which to pay impor;
duties, as the government would moi
accept the sams kind OF money thai
it had paid to the gun holder and ploN
holLer.
MIR. Stewar: went straight to Wal
street, to that great bank. Smith :
Co., and they asked him $2.S4 il
greenbacks for one Of coin. Stewar
said he thought he could do bette
with Gillmal G. Co. All right, Mr.
Stewart, that is your privilege. Whei
| Stewart left the Office. Smith wire,
Gilman T. Co: Stewart is coming
I asked him S284." Stewart steppe,
| into the bank of Gilman & Co. jus
as Mr.. Gilman turned from the instru
ment. Good morning. Mr.. Gilman,
said Mr.. Stewart. II want 100000 Q
something the government will accep
for import duties" You can hay
metal money for $2.s5 on the dollar.
Let me have it," says Stewart, ''
see you gentlemen have it in your pow
er to put IL w or down at your pleas
ure." Gilman said to his cashier
Charlie, ycu may let Mr.. Stewal
have 100000 Of the first issue" "A
right, sir" So he counted out So
900 in $50 gold pieces and $4,000 Of tn
first issue Of demand notes. Mr.. Stew
art asked why he had to. give thel
$2.S5 of one kind OF paper money fl
$1.0O of another kind, both issued b
, The sa1.e government. why, NJ
Stewart" answered the bland cashie
Il give you this, sir, as a courtesy, {
you will not be hampered with tt
heavy metal money" Turning ov'
, one of the demand notes, he continue
, You see, Mr.. Stewart. this the go
!, ernment will accept for import dutie
= as there is 10 exception clause upc
9 the back Of IT, Stewart said he cou
not see Why the government did n
issue all that kind of money. II
cashier replied: "If they had, Y
= could not have sold you this kind
!, money, stamped upon 25 $40 grail
- Of gold for S2.S5 of other governme
!, money"
;. Stewart then remarked that he Won
r have to charge up to the stock
goods $2S5,00O, with profit and inte
=. est, and said it would all come o
:, of the consumers Of the goods. 7
- government gets 100000 and you &c
tlemen get a profit of s1s5.ooo.
- Few people have any conception ht
- millionaires have been made at t
- ~ expense OF wealth producers. who a