The Black Hills union. [volume] (Rapid City, Pennington County, Dakota [S.D.]) 1889-1904, 1897-07-09
ELASTIC CURRENCY.
THE BONDHOLDERS JUGGLE
WITH WORDS.
Old Scion Chase, of Maine, Shows That
the Talk of Mo~neylenders About
Elastic Currency Is Meaningless Blood
Sucking System.
(By Scion Chase, or Maine.)

AL eldSllc currency, sound enough
to suit the money lender is an i'm
possibility. The bondholder's idea of
sound money is a growing dollar-a
dollar that is better today than it was
yesterday-a dollar that takes a streak
OF fat from year to year.
A currency that is worth more to
keep than to part with cannot be elias
tic. Our currency that was elastic il
1880 is now like cast iron. Since 1880
the best money in the world" has
been growing better and better from
to year until now a dollar that is
the equivalent" of gold is worth more
to keep than a dollars worth of any
thing else. The money lender has all
the confidence in the world in the
equivalent of gold" but has no con-
hdence in houses and barns. The
lender now demands two or
three times as much property security
money that is the equivalent of
gold' as he did in 1880 for money that
was then the equivalent of gold"
Inc existing gold standard grinds
slow and grinds fine, but the producers
snare In the bran, and the flour goes
into the money lenders bag. Under the
effect of the existing gold standard"
the dollar that is now paid for inter-
est on a ffteen-year-old bond has
doubled in purchasing power since the
bond was issued. The gold dollar has
the same fineness and weight as fifteen
years ago, but you have got to hang
twice as much hog OF the hook to bal
ance the hook as fifteen year ago.
More money Of the sort we now have
would not mend matters so long as the
~blood-sucking gold standard is main
tanned. More silver or paper money on
a gold basis would only increase the
strain on gold and shrink the assets Of
the debtor. The producer, who for the
last fifteen years has paid his debts
with rising money and sold his goods
in a falling market until bankruptcy
stares him in the face, would be sold
out for a song, and the savings of a
lifetime wiped out from no fault of his
own. More credit or token money that
appreciates along with gold would only
add to the idle millions that are now
seeking investment in securities that
are backed by the power to tax the
people. In 1880 the "best money in the
world was elastic; now the "best
money in the world" is seeking bonds
or held in idle boards, because the
people who OWL the productive prop
erty Of the country are not regarded
as solvent borrowers. The producers
property has shrunk so much that the
money lender don't want to touch it.
When the dollars the honest producer
owes have grown so large and his
assets have shrunk so much that he
cannot pay his debts, the finger of
scorn is pointed at him. The money
lender jumps on, and the Shylock who
can get what little the debtor has left
for the least money is considered the
smartest Shylock.
If when the business of the bank
rupt producer is wound up, the money
lender don't get so many dollars as he
loaned he feels hat his loss is greater
because dollars have "growed" so
much since he loaned the money and
now he has no confidence in houses
and barns or in cattle and corn, and
seeks investments that are backed by
taxes. In this line Shylock has a fair
field. The American cities under the
effect of the existing gold standard"
have increased their debts during the
last seven years so per cent and there
are plenty of city bonds in the market
and they go like hot cakes because the
city bondholder has a lien on the null
titude and expects to get the growth
of the dollar. When the farmer feeds
out hay to his cattle he expects to get
the growth of them Steers" Dollars
don't eat hay, but when dollars grow
your city bondholder lays in the shade
while the farmer sweats in the mead
ow beneath a July sun and the city
b%cndholder takes the hay after it is
housed in the farmers barn.
Is it any wonder hat our currency
is not elastic? The wonder is that any
body should expect hat an elastic cur
rency can be devised based on a dollar
that is taking on a streak of fat from
year to year. When there is confidence
that the dollar that is borrowed on time
will be as good as the dollar demanded
in payment when the debt becomes due
u currency will be elastic. I have no
confidence in four cent hogs but I have
too much confidence in the four cents.
The western farmer has no confidence
in ten CEN corn. The owners of the
great print nils of New England have