The Jeffersonian. [volume] (Atlanta, Ga.) 1907-1917, 1914-10-08
UNCLE REUBEN HAS A PLAN.

plans put into print. Let us see if
this is not good one for Uncle Reu-
ben. He is not alone to blame for
his unWise economic doings. But we
are all to blame, the creditor, the
merchant, the banker, the guano
manufacturer and the nigger-alI
are to be blamed. This is true, be-
cause arithmetic and good law both
require twelve months time for the
payment of debts with the interest
accruing on them. But the credi-
tors way Of extending credits does
not dove-tail either with arithmetic
or legal science. He very often, yes,
usually, lends money or sells goods
on few months time, and charges
interest for twelve months. A note
may be made payable in SIX months
by the borrower, and interest may
be calculated on the face Of the note
at ten per cent, which really means
twenty per cent per annum. If the
borrower gets sum of money to be
paid in four months and eight cents
on the dollar is calculated in the face
value Of the note, it means that the
borrower is paying interest at the
rate Of tWenty-fOur per cent per an
mum. SO far as my observation goes,
this, Or something like this, is uni
versally done. In other words this
is the creditors plan, and Uncle Reu-
ben has to put his fist thereunto
Lender and borrower are both to
blame for this, and this regrettable
system is working cut great indus
trial harm in the South Let US
look at it.
Uncle Reuben grows cotton: that's
about all he has to sell in the South
His debit transactions are on cotton
Out of cotton he will raise the money
to pay his debts and the interest
accruing on them. The notes are
all made payable in October, or con-
tigeous months. Everything must
be paid in the midst Of the cotton
season. The banker requires this,
the merchant requires this, the credi-
tor generally requires it. Now what
else does this thing do but rush the
cotton to the gins, and crowd it upon
the market It fills the small towns
with cotton, it fills the seaport ware
house to overlooking, it masses cot
ton in New York, and doubtless the
great warehouses of Europe are often
bursting full Of cotton. In this coun-
try it is not unusual to see full ware
houses and the sidewalk in front of
them and the edges of the street and
every available space near these
storing places packed and damned
with bales Of cotton. The rush is
on debts are coming due and must
be paid. No time for digestion, no
thought of assimilation, no opportu-
nifty for distribution and removal.
Consequently the market gets sensi-
tive, and opportunity for manipula-
tion is afforded, and the situation
gets worse. Suppose Uncle Reuben
should treat his stomach that way.
Let him try it on himself. Let him
eat his dinner and his supper and
his breakfast, three full meals all at
breakfast time; how long would it
be before he would need the doctor
with his stomach pump?
We must borrow, credit we must
have; but transactions of this kind
ought to be brought within the pale
of the law, and be made to conform
strictly to mathematical science. That
is to say the lender should recognize
the borrowers right, guaranteed to
him by law, and allowed him by all
interest tables, to have twelve months
from the date Of all notes or credit
transactions in which to get ready
to meet payment. Another way Of
saying the same thing is, let the
farmer distribute his debts, always
claiming twelve months time. Then