Kansas agitator. [volume] (Garnett, Kan.) 1890-1905, 1898-04-29
EzPLOsIvEN lTNANCB.
REDEEMABLE BANK NOTES AND
DISCOUNTS.
Tlicse Arc Always Dangerous and Always
Ssrochers of Pnnics Gage and His
Associnecs Attempting TO 'Easten spuri-
sOus Money on, Country.i
@NF MTrEFT$ I

~. 4 a. --sW% ~
Paper issues fedeemable in coin Ind
me loahing Of banking deposits, called
bank Credits, are the explosives. Dr.
finance and the breeders of panic, ac,;'
cording to the Silver Knight Watch
man. Money redeemablAss IN other,
money and the compound 1oaning of
deposits have been the cause Of every.
financial. panic OF whiM we have any
record Redeemable paper and bank
credit furnish for the time being ad-
ditional means for the purchase of
property, and in that way temporarily
,ausc a rise in prices. If such credits
could be made permanent, and ihot
abused by excessive ISSUES, they night
hive no bad effects. ~ But. all PAPER
which is not money but convertible in
To money. and all bank crediss which
are not based upon a likesaYantity'ot
real maney, hekyt the bank 6suihs
the creaE are ,the sources Of pahic,S
banAruptcy. and ruin. ! 4 I ss
The credits which pass for the time
being as money, initiate prices, eneour-,
age imports and force. the export Of
coin. which prevents the forthcoming
OF. money when demand is made to
meet the paper, promises. The time
must come, sooner or later, when real
money cannot be had to meet out
standing promises. = When tthe first
crash comes the community is brought
face to face with vast volume Of
credits which they have been dealing
in as money, but which are not money,
and cannot be made good for want of
money for redemption. 80 "
The history of bank issues and bank
credits of every description in Europe
and America is q history Of imitation,
robbery and collapse. .> Men of sense
ought to know. that there must be some
relation between promises to pay
money and the money with which to
make payment, and that!hurhan nature
Is such that if people are allowed to
issue promises ,to* pay, and increase
theit wealth in that way,sthey.will do
so without regard to the fate of their
victims, who, when the crash comes,
hold their promiseas AS long as money
manipulators are allowed ito issue pa
per and pass it, off as money and draw
knterest'6n their debts, they will do SO,
and while they are doing this, they will
initiate the Pharisees Of old. whose pc
icuffarities are described IN the New
Testament. ~.
Banker Gage, his associates and the
entire money manipulating forces Of
THE United States and London are now
engaged in trying to fasten upon this
'cohntryia volume of spurious money
which they insist shall be redeemabble
i'm gold. They expect. to deceive the
country by the pretense that the hun
dreds and perhaps thousands Of mill
Hons OF credit which they will issue Is
rs good as gold because they promise. TO
redeem it in gold TIE promise they
mike is precisely the same ass that
which has been made in every instance
where credit money has been issued
and repudiated after It had served the
purpose of robbing the, community.
iThrrs'a are some. who admit that bank
credit of every description issued by
! private persons or'corporations Is dan.
gefdus. because it always ends in col
lapse. 80 Ia ..
But they say the government can is
sue credit money with perfect, safety.
We deny that proposition in toto. Mark
the difference between silver Sfh and
silver certificates and, grsenbacks, and
treasury notes, Silver coin is full legal
tender, redeemable in nothing. Silver
certificates are legal tender-fof the pay
ment of public dues. ,andt they safea re-
deemable in silver coin which is in the
treasury, dollar for dollar. " These ,cert
tfzcates have given the government no
concern. No obligation was created by
the issue of.silver coin, NOR by the issue
Of silver certificates, except to safely
keep the silver coin for their redemp-
tion. Both are issued by the power Of
the government to, create money, and
when that power is. exercised there is
NO after-clap about it any more than
there is an after-clap in the passage. of
any other law. But the greenbacks
nre credit money. They are legal ten
der and that makes them as good az
my other real money while they are
out. but the United States. has promised
to redeem them in gold or silver coin
at the option of the government. !, The
executive departments has given away
or sold that option. We do not believe
they are fools enough to give it away,
because it is worth hundreds of, qil1
Lions. But ever president, fro1n.Hayes
Co Mckinley. has insisted contrary to
naw that .thel creditor was, entitled to
denAhdt gold sfor greenbacks! Behold
ehe aalatnSties resulting from the power
OF the bandholder, to demand 'gold for
sroenbacks, # that power had not
been conceded to the creditor It would
have ,beenampossible for Mr.. Cleveland
Tn have frightened the banks and The
cnmmunity apd broyght.on the panic of
1888 He declared that the gReenbacks
were payable in gold; that, the country
would be- disl}onored ifft did mot pay
the,n in kbld, and that ualess the pur-
oIo,,o<, Of tho Charr, 1t. tb0k