The Louisiana populist., 1897-07-16
FOR A POSTAL BANK.
THE INSTRUMENTATION OF
CREDIT.
"hie Monopolists and Bankers Have
Control of the Peoples Funds They
Have Control of the People-Gold
Standard Abuses.

sldered the greatest evil affecting the
United States at the present time,
would say 1t is mal-administration o1
credit by capitalists and bankers and
gold standard shouters.
Credit Is not created by this class
although they monoplize its use and
manipulate 1t to suit themselves. Every
individual toiler in the state, the poor
est mill-hand and the half-starved
needlewoman, have share in the crea-
tion OF that credit which capitalists and
bankers mal-administer.
Money is only the symbol and token
OF the credit created. 1t is so made
that the credit 1t represents can be
easily exchanged. The toiling masses
may meet and talk socialism as much
as they please, but so long as they leave
capitalists and bankers in possession
of their funds the latter will only laugh
at them.
There are no less than two billions
OF deposits in the various savings
banks accumulated by workers out of
their hard earned wages. The whole
OF this enormous sum, under the pre-
tense OF keeping it safe, is invested in
bonds and securities which have been
manufactured and concocted by various
capitalists. Thus are the workers of
the country made to bolster. UP the
money power they so much detest and
80 keep themselves bound up in the
shackles and chains of capitaiistic
slavery.
Now these funds ought to be put out
so as to yield the greatest possible ben
eft to the proprietors.
General Booth of the Salvation Army
once declared that If he had the control
Of one million of pounds sterling he
could abolish pauperism throughout
England.
AS there Is now in the United States
such a large army Of unemployed peo-
pie, the, proper investment for this
money would be in the foundation Of
industrial cooperative undertakings,
mutually inter-dependent, and thus re-
lieve the present workers from the
competition of the unemployed. Under
such circumstances the wages Of the
present workers would naturally rise
and 1t would not be long before they
would have some voice in determin-
ing their terms and conditions Of en-
ployment.
Capitalists think it is good thing to
have an industrial reserve army ready
at any moment to take the places of
those In employment. Do the employees
consider this a good thing? Would not
their savings be better invested in pro-
ductive cooperative enterprises than in
a class of securities which encourage
and bolster up capitalism? \
We will now turn to the ordinary
banker. The two billions of the saw
ings is bagatelle compared with tie
immense volume Of credit passing
through the bankers hands. The de-
posits he receives represent the toll and
labor Of whole nation. The savings
bank deposits are deductions from the
wages Of work people, but the deposits
In these other banks include all the
surplus value created by millions of
workers.
How does the banker deal with them?
It is popularity supposed he loans out
on interest; really, he buys bills at
discount from their face value, the dis
count being his profit. These bills run
from thirty days or higher. the limit
being ninety days. The bills are fab
ricated by brokers, factors, jobbers,
Rspeculators and dealers who make It a
business to buy and sell products. Be-
tween the producer and consumer these
products go through number of
hands. The producer may receive
very low price and the consumer pays
very high one. For example, corn
bought in Nebraska at ten cents per
bushel was delivered to customers on
the South Coast at fifty cents.
The ordinary banker may be very
excellent man, but his method of doing
business is not calculated to promote
the public welfare. He is only a bene-
f1t to the mischievous class of brokers
and jobbers. II farmer or other pro-
ducer required loan for 365 days the
banker is powerless to give it. no mat
ter what the collateral.
There is nothing at all national about
the National bank but name. The Ma
tional banks do not concern themselves
with the administration Of the nations
credit beyond these ridiculous ninety
day loans. Anything outside OF that
they leave to grasping horde of mon
ey lenders.
The postal bank is the bank Of the
future, and 1t can be run at cost of
one half Of one per cent. BY the, postal
bank 1t must not be supposed that re-
fer to one Of those emasculated insti-
tutions established in European coun-
tries. the usefulness of which has been
Abridged to suit the capitalists. Imean
a really national institution, competent
10 administer the whole credit Of the
nation for the benefit OF the nation ard
. tara THO auouo,,ro<;oo 80