The Birmingham age-herald., 1907-04-26

will call your attention to the fact
 that the price of money in Birmingham, in Montgomery, anywhere in Alabama for that matter, anywhere in the United
 States or the world. depends upon the supply and demand when uncontrolled by combination. For instance, if money is in short supply in Europe, 1t will affect the price of money in America, in Ala bama, in Montgomery, or in Birming- ham. Three years ago I was selling AVondale mill notes at an interest rato of 41a per cent net; today l am asked for the very same paper with the very same endorsement 6Ia per cent net to per cent and will state here that the Alabama state tax revenue bill does not touch that money, yet there Is an increase of 45 per cent in the value. MT. w. r. G. Hard- ing president of the First National bank of Birmingham, with a capital. stock of one million dollars and deposits of eight million dollars, is asking quite bit more for interest than he did three years ago. when his capital stock was not so great nor his deposits so great. Why is it that he asks more now than he did then? His tax rates are just the same and he has more deposits now than then. In other words with the same rate of in- terest now as then, he would make more net money on account of the largly in-
 
 of money of all banks in Alabama, even those charging per cent three years ago is fast approaching per cent and still higher percentage, and l have had from the highest authority that even the First National bank of Birmingham, with its large deposits and capital stock, Is contemplating advancing it's rate of in- terest from per cent to per cent. and it is a notorious fact that the New York banks are now demanding nearly twice as much interest on an outside note as they did three years ago. The state of Alabama has just distributed to the banks of the state from it's treasury two mil lion, two hundred thousand dollars, de- posted without any interest whatever. Notwithstanding these banks have the free use from the state of this immense amount of money, have they decreased their rate of interest to us one mill? There is deposited with the First National bank of Birmingham one hundred and fifty thousand dollars of the states money Has the First National bank of Brming- ham in consideration of this deposit de- creased its interest charge to the people of Alabama? And likewise of other banks of the state? I simply mention these things to show how absurd is the expecta- tion that money will be lent by anybody anywhere cheaper than they have to- or it is to their interest to do
 Cannot Borrow at Per Cent.
 "It is said that the people borrowed money before this bill went into effect at per cent. l offered a prominent loan agent of Montgomery, a representative oI one of the largest concerns of the kind in the state, per cent and did mot get the money. A foreign loan agent of Birmingham told me that these com panies would lend money in Birmingham at per cent I offer them per cent and did not get the money It is true that money has been lent in Alabama, and everywhere else much cheaper than it is being lent now, because money was cheaper then than 1t is now, and the 1% mill tax levied by the state on foreign money lenders has little ito do with the case and will hardly run a single one from the state. Any state or people who will allow their laws vised or dic- tated by an outsider or outside interest wants stability and Is dereict in the discharge of it's duty. You take the case of the railroads of Alabama for twenty five years; no state In the union has made fairer or more partial laws or al- To -'ed greater privileges to these cor porations than Alabama, and yet today, the railroad corporations of the state are fighting in the United States court at Montgomery to destroy the right of the state to local self-government; trying to destroy the highest principles of democ- racy and human rights; that we should dominate and control our own state and make the state authority supreme within our own borders.
 Foreigners Should Pay
 T am strong believer in the great forward movement that our state has un- dertaken in the cause of education and the care of the old soldiers, and to make the same secure we have got to l have great deal of money. I do not believe in getting this additional money. that our farmers and merchants and other business men should be made to pay more than their share, and have | no sympathy with the general statement that foreigners or anybody else should | be invited into our midst to partake of the benefits of our government and bus mess and share in our prosperity with out requiring them to pay a share of the | states expenses
 Alabama has been levying less taxes on railroads than is paid in neighhor- ing states. Notwithstanding this fact, the railroads charge us more freight rates l than they charge neighboring states in which they pay more taxes. Alabama has levied less taxes on life insur- ance than is levied in nelghboring states, and yet, charges in Alabama on life insurance are the same, and I think the legislature did exactly right when 1t de-
 
 tions carry their just share of the hur- dens of the state. When you exempt any concern or individual because you expect that concern or individual of it's own volitlon to maintain always the least possible price or charges, you will be disappointed, unless the millennium has been reached. or we have a different knd ot humanity from that with which We have come in contacty and if this matter of the removal of the tax on foreign loan companies were to come up again. l would unhesitatingly advocate that 1t be restored to 7is mills.
 Twill call your attention to the fact that the agitation on this question for the removal of this tax is made by the foreign mopey lender and his agents and not by the people who pay the taxes, and If the tax on foreign money lenders should be removed the people of Ala bama will be exactly in the same con dition as they were before the removal. They will be borrowing money at com petitive prices, and the foreign lenders share of the tax blrdens of the state will be shifted to some other shoulders" AT An MIA nDECC