West Virginia argus. [volume] (Kingwood, W. Va.) 1877-1946, 1908-09-24
POLITICS AND POLITICIANS
Four Times as Much Money on De-
pOSit as Exists.
WATER REPRESENTS xOSTOY STOCK
Mason Wants Truth Told or Existing
Conditions-Country Dominated
by Wall Street.
Mason in Wheeling Intellircnecr.

Mason in Wheeling lnteligcnccr
Labor, applied to such property
as land. live stock machinery, etc.
creates national wealth. In 1880 a
grown male slave netted his owner
s7s year, or So, during forty
years of active life. HIS labor. uni.
TED with land, mule, and seed, added
sl2S year to national wealth. The
annual national increase in such
property as produces wealth, viz,
land, live stock, machinery, etc.
does not exceed :hree billions, or
s23o for each of thirteen million
voters. Tie present value of land,
i've stock, machinery, etc. does not
exceed seventy. hve billions. Seventy
billions of bonds and stocks have
been ISSUED and are outstanding as
against this annual increase in ma.
tonal wealth produced by the labor
OF thirteen million voters applied to
this seventy five billions of property.
ia!f. and probably lwo-thirds, of
these bonds and stock represent
water and do not represent capital
furnished. The total money in the
United States is 2,756 millions. The
amount deposited in banks, etc, is
G3, 900 millions; s4.7s is on deposit
for each 81 in existence. In 1904
only - 81 was deposited against
existing dollar.
Unless the reader has thought
about il he may be confused by the
fact that more than four times as
much money is on deposit as exists.
Let us explain 1t. There arc two
banks in this village. Mr.. A de
posts sroo in bank T.. Mr.. B Dor
rows it and deposits lin bank Y.
Then $500 are deposited subject to
check. The same 800 may be de-
posted IN twenty different banks.
1t IS simply a matter of bookkeep
ing. The money may never leave
the first bank. There will be no
trouble if each bank takes adequate
security. But it is entirely d .hereat
when bank has its deposits tied up
IN bonds and stocks unsaleable be.
cause representing water
Why not tell the grano jury class
the truth about the existing situation
and thereby create an enlightened
public judgment to defeat candi-
dates who are tmid about curbing
wall street greedp No intelligent
man doubts that, if this subject be
sufficiently studied, way will be
found TO wiring out such water as the
900 millions IN steel trust stock and
the Q, 600 millions IN railroad seca..
ritles, and TO wiring il out wilhC ut
causing industrial paralysis But it
involves too much writing to 20 into
this matter now. We admit that
wringng out water may necessitate
certain financial masnates selling
country places, yachts, and private
cars, but no man OF affairs doubts
that a congress, composed of Roose.
yelts, Bryans, La Follettes, and
Iillmans would find way to pro-
vide currency for every legitimate
business to tide over any Wall street
panic.
Last year, when stock quotations
shrunk three billions and banks
loaded down with water could not
pay checks, we heard no suggestion
about selling coGntfy places, but
Wall street was unanimous that the
government ought to issue currency
against Unsaleable water. Briefly.
Let congress distinguish between an
asset currency based on the water
heretofore issued, and an asset cur.
ren,y based on new bonds for capi.
tai to be hereafter actually invested.
These new bonds, standing on the
basis Of certificates issued by re
ceiyeL would have priority over
water heretofore issued. True. this
will not relieve banks having de-
posts tcd up in bonds and stocks.
but il will relieve enterprises offer
ing security which would command
money except when Wall street is in
a panic. OF course, a suggestion
about finding money for leg innate
enterprIse while Wall street has
panic, obtain no hearing with men
proposing that congress shall aid
banks misappropriaupg Gduciary
funds, but this suggestion, rough as
it is, is conclusive that there will be
way # there is a will.
Today public speakers, courting