Courier Democrat. (Langdon, N.D.) 1891-1920, 1907-01-10
ASSET CURRENCY.
Proposed Reform In the interest at
the Banks.

NSo1 SStAIN.INS
Proposed Reform In the Interest al
the Banks.
AS long as the bankers cannot agree
on currency reform how can they ex-
pect congress to pass a bill that will
give general satisfaction? The fact
is there is no need for more currency,
for the volume is constantly being in
creased by the enlarged gold produc-
ton II the organization of new ma
tional banks, and there is now owe so
per cent more money in circulation
than there was ten years ago. All the
proposals for currency reform are in
the interest Of the great banks, which
are paying enormous dividends, and if
the frenzied %tinanciers of Wall street
a not tied up SO many millions in
stock jobbing there would be more than
enough money for all legitimate bust
ness. The fact that for Stock E1-
change purposes interest on money is
bid up far beyond the maximum legal
rate indicates there is something rot
ten in the prevailing conditions in the
financial center.
That our whole financial system is
an anomaly and should be reformed is
the belief of most Of the best Informed
financial experts, but the reformation
when undertaken must be in the inter-
est OF the public and not for the pur-
pose of giving the secretary Of the
treasury or the great bankers a mo-
nopoly Of the increase or reduction Of
the volume Of currency at will. That
Is too great a power to be placed in the
hands of any man or set Of men and
will not be tolerated by the business
interests or the people. The chief cause
OF the lack of money in Wall street is
speculation, and as long as our trusts
n corporations are allowed to issue
new stocks and bonds without proper
supervision there will always be peri
odical semimoney panics.
The enormous commissions and prof
its on such new issues of stocks and
bonds are a standing temptation for
the frenZied %financiers to undertake to
float such issues and compel the with
drawal of vast sums from legitimate
business purposes. Every bank and
trust company in New York is loaded
up with loans on these undigested Sc
curities waiting for the public to buy
them at the fictitious price set upon
them. Many of these securities have
but little real value and may never
pay dividends, but money is loaned on
fhnv, ~, %h- I~x,--, ~ o@-3,o1%s1o
with other stocks Of more real value.
They are the wildcat currency of Wall
street, and the proposition to allow the
banks to issue asset currency is for the
purpose of digesting these indigestible
securities which the financial stomach
has so far refused or taken as a neces-
sity to prevent the Wall street patient
from collapse.
The people generally have nothing to
do with speculation in Wall street and
are satisfied with the present volume
of currency and its being legal tender
for what they purchase OF sell. Any
proposed change in the system they re-
gard with suspicion, the more so as
the predatory trust promoters and the
frenZied financiers are the instigators
of the proposed reform. The country is
now on the top wave of high prices,
which have advanced 81 per cent in
ten years, produced by currency intla-
ton of So per cent during the same pc
Rod and the Republican policy Of pro
lection to the trusts. To initiate the
currency further with unsecured bank
notes would only add a further burden
Oh the farmer, the wage Garner and
especially on those with small fixed in
comes, on whom the greatly increased
cost of living is especially onerous.
Any proposed reform in our currency
system must therefore have the first
requisite of safety to the people, and
this the asset currency proposed does,
not contain.