Lincoln County leader. [volume] (Toledo, Lincoln County, Or.) 1893-1987, 1898-04-22
PROSPERITY TO BANKRUPTCY.

standing the ravages of war and the draft
upon labor, is, by its greatly developed
resources, far in advance of what it was
in 1857. THE PEOPLE ARE NOW COMPARE
lively Rel FROM DEBT y \ There is
an immense volume of paper money in
circulation. n \ 1t is undoubtedly
true that trade is carried on more largely
for cash than ever was the case previous
to 1861, and that there is a much greater
demand for money than there would be
if sales were made, as heretofore, on
credit"
Here we have the admission from the
highest authority that the people of the
United States were practically out of
debt, and that they were doing business
on . cash basis. The government did
not owe a dollar of bonded Indebtedness
at home or abroad, and there was no ne
cessity for it. to incur any such indebted
ness. The immense volume of paper
currency in circulation, termed the
Floating debt" was the only debt owed
| by the governmental debt to the people,
calling for no interest. This paper money
should not have been funded into inter-
est-bearing bonds. Money is but a tool,
and it was through the use of these tools
that labor had created the wealth and
made the u~nexampled prosperity of that
period. The South had been'devastated
and impoverished by the war, and her
ten million OF people became COMPETE
tors for the currency. AS this money
did not pay tribute to the banks and
money sharks, and probably through
their influence, Secretary McCulloch, III
same report, urged Congress to reduce
the volume of the currency. Congress
passed an act, April -, 1866, which en-
powered the Secretary OF the Treasury,
at his discretion, to receive treasury
notes or other obligations issued under
any act OF Congress in exchange for GOV
eminent bonds. This inauguratcd the
policy of contraction, set the furnaces
ablaze for the burning of onr currency,
and started the vast majority OF persons
possessed of limited means, and who
were engaged in legitimate business,
across lots to bankruptcy.
We condense from "Seven Financial
Conspiracies'' a record OF the results OF
contraction from 18th April, 1865, when
Congruss passed a law authorizing the
Secretary OF the Treasury to sell 500
bonds and with the proceeds retire US.
currency, including greenbacks:
lS66-520 business failures.
| 1S67-Contraction vigorously pushed ;
1885, failures.
1S6S-F3 millions burned 260S fail
= ures. 81.
lsG9-5OO millions went into furnace {;
| 2799 failures.
. lS70-s7 millions destroyed 3551 fail
, ures.
1915 millions went up the flue;
2 29l5 failures. 't"
l872-l2 millions cremated 1860 fail
ures.
= lS73-Storm reached its climax not
withstanding but 81 500 900 were crema-
ted, the people became panic-stricken,
|, and 5lS3 business firms bankrupted
with a loss of 1929, 400, 900 five thousand
men thrown out of employment; wages
n cut down; strikes frequent; silver de-
monetized but the people not yet aware
y OF it.
h lS7I-Notwithstanding the terrible re-
suits of last year, $75,4S4 900 swept on
. of circulation; 1892 failures !; q million
o idle men begin to tramp in search o
work wages decline strikes numerous
II lS75-Fire iiepds still at work $40,
j. S17,41S burned failures 774O; two mil
lion laborers out of work tramping be
II comes a profession.
lS76-Contraction Sc millions; 900
failures first quarter of the year.
y Three million men out of employment
II Bankruptcies multiplying with great raj
idity. The tramp nuisance eliminates
y Wages cut down to starvation prices
Strikes, riots and general consternatio
seize the people, and the circulation
le cut down from 81 1896, 687 40 currency I
LV 606 millions.
What a record! These are the foo
prints of the insatiate money power tn;
g. is now demanding practically full contr'
~ of the entire government Of the Unite
!. States through the national banks an
in single gold standard. Congress has her
40 tofore given them nearly all they ask
of for, and now they DEMAND an pncobd
or tional surrender OF all remaining OF Il
Ie- power OF the people in the governmen
.er The supreme court is stocked with. the
ne tools, the lower house of congress ODE
CHI their behests, the President is 1e
ms fawning servant, and but W MORE Y.
RI sENAToRs'are needed to giveNhis MON
rot power complete authority oyer the exc
IRE utive and judicial departments Of Il
Did government. We shall then have a GO
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