The Marshall republican., 1911-08-24

the holder OF the ten dollars OF
bank scrip is satisfied with the
scrip, the system flourishes. The
banker pockets compound inter
est on ten times more money than
there Is in existence.
But at the very moment when
confidence gives away to doubt,
the vast pyramid, poised upon its
apex, topples over. When the
man who holds the ten dollars of
bank scrip demands real money, a
crash mn One dollar cannot
redeem ten dollars; and the run
on the bank-which Is nothing
more than a demand that the bank
pay what II honestly owes-has
the invariable effect Of closing its
doors.
MY son, remember thisl Bank
ers do business on your money,
not theirs. The moment you want
your own money out OF the banks,
they "bust.")
Now, In 1907 II would have been
the easiest matter In the world for
the Federal Government to have
checked the panic. How9 BY
creating an additional supply OF
real money.
Time and again, the English gov
eminent has stopped panics by
this simplest Of devices. l gave
the facts In The Jeffersonian In
1907; and I gave them, verbally,
to the President.
At my own expense, and at Mr..
Roosevelt's invitation, I went to
Washington and conferred with
him on the subject. I cited him
to the Acts OF Congress, passed
during the Civil War period, which
authorized him to Immediately is
sue greenbacks TO the amount OF
$ioi, coo, 900. Most earnestly I as
sured him that the bare threat to
issue treasury notes, would COM
pei the Wall Street bankers TO let
loose their boarded millions.
But J. p. Morgan went to the
White House also; and what was
one little Georgia editor In COM
parison with the mighty Morgan9
Instead Of listening to me, Presi-
dent Roosevelt obeyed the Money
King. To the extent OF s2S0, ooo,-
oOot he government loaned its mon
ey to Wall Street, charging no In
terest. An issue OF bonds, mis-
called treasury notes, was hand
ed over to Wall Street, with the
express understanding that only
a small per cent, of their face val
ne should be paid for them.
But, worst OF all, the Steel Trust
which was cunning for It's big and
formidable rival-the Tennessee
Coal and Iron Company-got Pres
idential permission to gobble up
said rival, in violation OF law.
Not n dollar OF cash changed
hands. The Steel Trust exchang-
ed its second mortgage bonds, to
the amount OF $2e, o0o, 900, for the
stock oft he Tennessee concern,
and thus became the owner of a
vast property whose value is es-
timated at 5000, 900 900, by some
experts, and at $500, O00, 1000 by
others.
The shame OF II Is, that EXPIRES
ident Roosevelt appears before the
Congressional Committee, jauntily
almost boastfully-and assumes
the entire responsibility for this
violation of law. His oath OF Of
flee seems to have occurred
to him at all. He speaks OF his
violation of 1t as a highly meri-
torious act. Never for an instant
does he appear to realize that he
was instrumental in making II GER
tain that the Steel Trust would
rob the nsum of untold mil
lions of dollars.
That is precisely what his con-
sent to the illegal merger OF these
competing corporations made in
evitable.
That merger did not stop the
panic. 1t did not put a single adj
ditional dollar into circulation.
The panic was stopped because
the men who caused 1t became
alarmed, lest all banks would sus-
pend. The country was flooded
with soap-wrapper currency, and
this was answering the purpose
to such an extent that the Wall
49,