The Redwood gazette. [volume] (Redwood Falls, Minn.) 1873-1940, 1912-05-28

II
own subdivisions, its answer to those
seeking loans would be much more
satisfactory to the public than the
answer it must make now, which is
that it can loan no money to town.
ship to build its road. to school dis
trlct to construct school house, to
county to build roads or drain swamp
lands, or to a city to pave its streets
and provide parks because, forsooth.
its money is all down in Virginia or
Alabama being used in the develop
ment of those states.
Present Policy Not Fair
The present policy is not fair to
the permanent funds because it is
yielding smaller revenue than could
be had from a policy of fostering
domestic development.
1t is not fair to the men who are
developing the partially settled por-
tons of the state. because it is forc-
ing them to pay more than they
should pay for the money they need
to educate their children, to make
their waste lands available, or to
build roads over which their products
may be hauled to the waiting market.
1t is not fair to the state as whole
for these two reasons, and it is I'M
fair to the state as a whole because
this money which might be available
to Increase the currency circulation
of Minnesota, on which Minnesota
credit and industry depend, is sent
to other states to perform similar
Office there.
1t it were needful. one might pause
at this point to compare the charac-
ter of the people of the states which
Minnesota money is fostering, with
the people of this state who must 90
elsewhere for the money they need
for local development.
INDUSTRIOUS Wrong Committed
When the settlers Of Minnesota
lands pay money into the state treas
ury for the benefit of the school fund
and yet must yield to the exactions
of private money lenders when they
wish to borrow money for develop
ment purposes, monstrous wrong
is done to those who are making
possible the future greatness of the
state, which every citizen confidently
expects, and which every public Off
cial, as well as private citizen, should
do his utmost to realize.
When the state of Minnesota loans
its money abroad when it is needed
in Minnesota, a monstrous wrong is
done to the cause of state develop
ment.
When the state of Minnesota con-
tents itself with smaller revenues
from its surplus than it could gain
by the public-spirited policy of loan
ing its money at home. a monstrous
wrong is done to the public school
fund of the state.
When the state of Minnesota de-
liberately sends out of the state mil
lions from its surplus Which might,
by the adoption of wise and pro-
fitable policy, be kept at home to in
crease the available supply of money
needless wrong is done the COM
mercial and industrial interests Of
the state.
All Foreign Bonds Should Be Sold
| believe that the Virginia bonds
should be sold and the proceeds in
vested in the bonds of the sub-divi-
sions of the state. | believe that as
soon as practicable the other foreign
bonds held by the state should be
disposed OF and the proceeds made
available for domestic development.
| believe that the board should send
out word that hereafter those who
administer the states permanent
funds will follow consistently a pol
icy of conserving domestic interests
and local development first, and that
no Minnesota funds shall be loaned
abroad hereafter unless there is no
occupation for them at home.
| have no doubt whatever about
these propositions.
That the state can get better in
terest on its home investm ents than
| it can on its foreign investments; but