The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1897-09-09
THE GOLD FRAUD.
Courier Journal, March 30, 1886.

Values alike ana equally; consequently that
| II the universal level of property and labor
valuations were lowered the depression
| would bring harm to no one, because the
original relation Of things would be main
There are unanswerable reasons why these
propositions are untenable.
First. people who own the gold must
be manifestly richer to the extent Of its
rise. The man who has 100000 in gold
would be worth si25OOO, without the ad-
dition OF coin to his stock, II the pur-
chasing power OF gold advanced 25 per
cent. The man also who has gotten his
income fixed upon the gold basis would
receive the property equivalent OF s12, 800
by such advance In gold values for every
$4,000 OF interests or dividends, or rent
stipulated in his contracts. and he would
make this gain of $4,000 on the gold appre-
citation without investing a dollar, and
even II he should not receive an additional
coin In his income.
The debts outstanding In the United
States amount to about $12, 900 900, 900 ex-
elusive OF commercial loans, predicated
on bank capital and deposits of 81, 0OO, O00,-
600, exclusive of railroad and other cor
porate stock amounting to six or seven
thousand millions The entire wealth OF
the United States of all kinds was es-
timated at the last census at $40 900, 900 900,
but this included part of the debt involv-
Ing duplicate count. The total debt is
probably $4,000 900 900, at an apparently
conservative estimate, and Is, therefore,
"a to 40 per cent of the remaining wealth
OF the Nation in lands, buildings, money,
i've stock. mines, machinery and labor.
NOW 1t needs no argument to show intell-
gent people that If rise say of 25 per
cent, occurs in gold between the Issue and
payment OF those debts, there will be
robbery of the debtor and gain to the
creditor Of an aggregate amount equal to
20 per cent of the entire amount of this
mass of debt. Without the payment or
receipt OF single coin more than was
nominated in the bond" the debtor class
would be stripped of % per cent moro
money than they contracted to deliver,
and the creditor class would be that much
richer without any risk or outlay or eX-
penditure. This gigantic fraud--for 1t Is
nothing less-upon the natural rights of
men, would be consummated whether the
money used in liquidation be gold or its
currency equivalent, as 1t is obvious that
II gold coin be raised from 100 to 1875 in
value, its currency representative being
its equal, would also be equal to 1875
II fifteen thousand millions OF debt be
extant In the United States, rise of %
per cent in the value OF the medium of
payment would be equivalent to the addi-
tion Of 1880 900 900 to the wealth of the
creditors, and spoliation of debtors to
the same amount 1t would be tantamount
Of creating $3750, 000,0 600 OF debt without
benefit or consideration to debtors, or even
without their consent; and 1t would trans
Ter to creditors who own tho income re-
ceiving capital 50. $50 900 900 Of other peo-
Pies money. for which they never did a
stroke of work or risked or spent dollar
OF money.
And this is precisely what has been &C.
curing since 1873, in that group OF nations
which rule the world and complacently
call themselves Christian nations. Produc-
tive capital and labor have been thus
d'spoiled for "the benefit of retired or in
come bearing capital, Labor or production
ana the capital on which it pays rent or
interest or dividends has been robbed for
interests and dividends.
OF course there are men who belong to
poth classes who receive rents and pay
interest or tho reverse, and men will oc-
casionally transfer their interests from one
SIDE to the other. SO that losses and gains
nave been somewhat subdivided, as the
ChlcaGo board of trade gamblers sub
divide into fractions the loss on wheat In
L tall OF 20 cents per bushel but credit
income uS 10 hnbt h.,
great subdivisions into which capital has
grouped the populations of all civilized
hallons, nave on the one side gained and
ON the other side lost that much and more
Of the Ubiquitous booty so far captured by
me great modern device of monometalism.
me process Is still on, be 1t remarked
ana nntil the reaction comes this iniquitous
transfer of the vast unearned increment of
wealth from its owners TO others will be
paid In increased amounts by production
10 Investment
me general process is the exact opposite |
rs 10 results, but the exact equivalent
N morality and principle of an arbitrary
universal scaling down of all debts--the |
precise moral equivalent of the Reputation
oy law OF 20 per cent Of all Indebtedness. |
Inc moral quality of and legislation re- |
turing all contracts for the delivery OF |
merchandise to be measured with stand !
'rds OF 20 per cent greater capacity than |
he contracts contemplated, would be pre- |
'lsely the same in principle as the counter |
legislation which submits such measure |
nents to standard % per cent less than |
ne contract contemplated. To add twelve |
hches TO the yardstick, or one quart 10
ne gallon pot, or four ounces TO the pound |
weight is one of the same moral import |
ina the steal would be the same in amount |
Is II the standard were debased Is per
'en'. II Is no worse to rob the creditor
lass than the debtor and 1t is no worse |
n point of results or motive to repudiate |
debt on a universal scale than to increase
t arbitrarily by increasing the purchasing |
capacity OF gold.
These comparisons are instituted for the
purpose OF exposing the moral quality
u policy which Increases the burden of
iebt and the earnings Of invested capitsi
Without consent, without any consideration
passing, without a transfer OF equivalents
we undertake to do this by proving maj
ms is exactly the same moral essence MS
ieot population. The latter, so to sneak
Nrongfully benefits leo at the expense ~
me, ana the former wrougfuliv hansfits oro