The Louisiana populist., 1897-08-06
ELASTIC CURRENCY,
THE BONDHOLDERS JUCGLE
WITH WORDS.
Old soion Chase, Of Maine, Shows That
the Talk of Moneylenders About
Elastic Currency Is Meaningless Blood
Sucking System.
(By Solon Chase, or Maine,)

AL eldSllc currency, sound enough
10 suit the money lender is an i'm
possibility. The bondholder's idea O
sound money is growing dollar,
dollar that is better today than it wa
yesterday-a dollar that takes streal
OF fat from year to year.
A currency that is worth more tt
Keep than to part with cannot be elias
TIC. Our currency that was elastic II
1881 Is now like cast iron. Since 1885,
the best money in the world" ha.
oeen growing better and better from
year to year until now dollar that is
the equivalent" of gold is worth more
TO Keep than 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-
ndence In houses and barns. The
money lender now demands two or
three times as much property security
Ior money that is the equivalent OF
gold' as he did in 1880 for money that
was then the equivalent of gold"
Ihe existing gold standard" grinds
SLOW and grinds fine, but the producers
snare In the bran, and the -four 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 fifteen-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 on the hook to bal
anee the hook as fifteen years 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
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 song, and the savings of
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 own 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 lis 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
sTartest Shylock.
II 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 that 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 fair
field. The American cities under the
effect of the existing gold standard"
have increased their debts during the
last seven years 80 per cent and there
are plenty of city bonds in the market
and they 60 like hot cakes because the
city bondholder has 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
ion't eat hay, but when dollars grow
your city bondholder lays in the shade
while the farmer sweats in the mead
,w beneath a July sun and the city
takes the hay after 1t Is
housed in the farmers barn.
Is 1t any wonder that our currency
8 not elastic? The wonder is that any,
,ody should expect that an elastic cur
ency can be devised based on dollar
hat Is taking on a streak of fat from
ear to year. When there is confidence
hat the dollar that is borrowed on time
will he as good as the dollar demanded
q payment when the debt becomes due
,ur currency will be elastic. I have no
cnfdence In four cent hogs but / have
90 much confidence in the four cents.
he western farmer has no confidence
4 ten cent corn. The owners of the
reat print mills of New England have
% confidence In two cent calico but
hey have confidence in the two cents
ecause two cents will command more
{ human sacrifice today than one year
60.
There is no confidence in anything
ut money, because money is rising,
nd that is the reason our currency is
4l.I