The Farmington times. [volume] (Farmington, Mo.) 1874-1902, 1901-09-26
BAD FINANCIAL POLICY.
Entravssans WAY In which R~rnb-
Iienas Are Rwnminm Ges~xa~
snrnt Affairs.

Tight money In Wall street means 0
lower price for securities aud stocks Of
ell kinds. because many Of the Speeu-
lators are unable TO borrow money oil
q rate that will leave any margin Of
profit. So but few want 20 buy stocks.
and those who have borrowed money
on cali with stock as Aecurity are
forced Go sell. There are therefore
more sellers than buyers and down
go the prices. When the banks call
for the money they have loaned. Il does
not always mean that they want II,
bat they have an opportunity TO loan II
at q higher rate, sometimes running
mp TO even 60 per cent, and in times
OF great panic even higher.
Now, we would naturally think
that all these gambling transactions
did not concern the people OF the Unit
ed States and that therefore the gov
eFnmeni and the treasury would not
be Interested. But II appears that Sec
rotary Gage when the late furry oc-
cured issued an anDounc.msn that
be would receive proposals for the sale
Of S20.oO0.o00 OF bonds, 80 that the
cash In the treasury 10 that amount
could be paid 10 the banks or TO thuss
who sold the bonds and thus add TO
the money that could be loaned. He
also sent the following telegram to
the chairmgn Of the Clearing House
association, 81 New York:
'ilccognieing the uniavorable inhu.
:Gce upon general business affairs OF
a continued absorption into the pub
lie treasury of revenue beyond cx.
penditure. ! have directed that In
coming Internal revenue receipts be
placed with national bank depositariss
until a balance with each Is reached
equal to the par value of the bonds
held "a security from such denoSiia-
rles. This will divert about 5000, 600
from the treasury vaults.
"The secretary will to-day invite
proposals for the sale 20 the govern.
meut Of s2O,O0o,O00 Of United States
bonds other than the new twOs. }, Is
believed that these steps will ohyiR,e
the otherwise possible emharrBss.
meuts which arc pointed out IN your
telegram Of yesterday"
All this means that the United States
treasury Is helping out the bull spec
ulatnrA by buying back the bonds At
a very high premium. that not long
ago the government sold for par or at
q small advance and In addition TO that
loaning them 5000. 900 without in.
tcrsst. When Il Is considered that
the treasury has already loaned to the
tanks nearly 500 600 900 without in
crest, which they have hrd f.: oye-
two years, 10 will be easy 10 understand
how the banks and the trusts compa-
nics are able to pay such enormous div.
iirnds.
II would appear that the United
States treasury was In some way In.
tCrssted To- these great financial insti.
buttons and was anxious 60 see them
accumulate all the loose money In the
country, so that they can dictate the
price they shall have TO those who must
borrow.
Thus through these underground
workings 81 the financial end Of the
government the people are paying at
both ends; they pay In the money for
taxes and then the government loans u
TO the banks without interest and the
banks loan II to the people ri the high.
sst rate they can make them pay.
This Is the cNtrayagant way in which
the republicans are running the finan.
rial Affairs % the government. by
keeping up most Of the war taxes and
the high tariff they are collecting more
money than they can expend even with
the enormous present appropriation,
and Yet those who advocate revising
The tariff by taking of the taxes on
those products which are monopolieH
OF the trusts arc denounced a. diSloyal
90 the government