The Manning times. [volume] (Manning, Clarendon County, S.C.) 1884-current, 1898-07-27
The War Policy of the Banks.


subscribed for the S20C,000,0O0 of
war bonds offered by the Govern
ment, and the amount awarded was
given to small bidders in the main-it
brought out the stocking-money, as
it were. SO that, if the banks had
not adopted war policy of contrac-
ton equal to the expansion caused by
calling this amount of money out of
its hiding places, there would have
been a full circulating medium for
awhile; but, no sooner than it became
apparent that the Government would
award as much of this loan to the
common people as possible and that
in consequence there would be a teiE-
porary influx of more money in to
the circulating medium OF the coun-
try, the national banks commenced a
systematic contraction by retiring
their circulation to an extent equal to
the initiation thus occasioned. Hence,
the amount of national bank notes
now clamoring for redemption at the
Treasury is almost unprecedented
that too at 4 time when more money
is needed to carry on the operations
of the war and the commercial busi-
ness of the country than would be
needed in times O! peace. 4 money
stringency is always calamity; bat
scarcity OF money Ill times OF Wal
becomes a double hardship. And
right here looms up tremendous
object lesson for the people to pom
der. It illustrates, as perhaps Doth-
ing else can, the utter folly and i'm
policy of intrustins one of the most
sacred as we'll as one of the most pow
erful and dangerous functions of gov
ernment to the hands OF private cor
porations which think of themselves
and their unfair advantages first and
of the people last, if at all. Conduct
like this ought to make it very PLAIN
to the wayfaring man that all money
should be issued and controlled By
the government; that function OF
government which comes home to
every man, woman and child in this
great country of ours, is too sacred
and should be too jealousy guarded
to have it abused and used to private
ends bt favored few, as it is now
and always has been under the na-
tional banking laws which atf1ict and
plunder our people. BY means Of
this power they manage to absolutely
control and regulate the volume of
money in circulation; and they are
governed, in their regulation OF it,
not by the needs and requirements
of the people at large, but solely by
the advantages to themselves scarce
or a flush money-volume. 1t happens
that the money-owners and the banks
always want the supply of money
small, so that the demand for money
will be corresponding large and the
rates of interest chargeable for its use
remunerative, while the people
always want just the the reverse; so
that under the present system (Which
gives the regulation and control OF the
whole morey volume into the hands
OF those who want a scant volume in
circulation all the time) our govern
ment falls far short Of that pet phrase
which we all love to quote: ga govern
ment oi The people, for the people, by
the people" It more nearly approach
es government for favorites-an op-
preston Of the people, by the corpo-
rations for the corporations. Hence,
we have the anomaly of the national
bank redemption agency OF the gov
ernment at Washington rushed be-
yond almost anything known i'll his
tory at time when its volume of
work would seem to be reduced to
the minimum; for there is so much
need for money in the country at this
time to carry on tue war as well as
its commercial business that it would
seem that nc bank would want to cur
tail its circulation OF retire any OF its
currency. Perhaps that would be the
case were not nearly $200,000,0OO Of
money coming out of its hiding
place to seek investment in govern
ment per cent. bonds. Seeing,
therefore, that this coming out of the
stocking money would have the effect
OF swelling the circulating medium
for time, the banks (true to their
ancient tradition of looking out for
number one) are breaking their neckS
almost and falling over each other i'll
an almost unprecedented effort to re-
tire enough of the present circulation
to offset this S200,OOO,O00, which IS
inding its way to the money market
of the country from the chests, stock
ings, belts and other quaint and curl
Gus hiding places in which the saving
poor have held if.
--.--ol4