Omaha daily bee., 1921-06-20

Omaha, June Ito the Editor
of The Bee: With the most money
per capita we have ever had, we
find today bankers demanding the
highest rate of interest and short
age of money, which has resulted in
100000 men being out of employ
ment, slack business and failure to
get the, profitable trade of which a
large part of the world is begging
tions? Are our members of con-
gress playing cheap politics at the
expense of the people?
The federal reserve and farm
loan acts were the demands of the
people for a greater supply of
money, but even with these two or
CARNATIONS there is much left to
be attained. Lacking gold we are
using credit instruments called
bonds. 1t is clear that there is not
now and never will be enough gold
In the world to serve fully our
money needs in spite of the fact that
bond brokers claim America is re-
ceiving too much gold when this
government today has $26,0O0,OO0,
900 worth of bonded Indebtedness
payable in gold and only $3,000,000,
600 in gold to pay 1t with.
IIl6 IeuoTdl TeScINe UOdIu says,
"The United States must buy bonds
OF Germany, absorption Of repara-
ton bonds is unavoidable to read
justment of trade, and that our mar
ket will be called upon to carry
substantial share of the necessary
financing growing out Of the Ger
man adjustment" Right here, as
an American citizen, I declare that
this policy is absolutely wrong and
the American people should not
permit the bond spectators of this
country to place on them any
further burden Of taxation by load
ing up with their worthless bonds
or extending them further credit.
Today there is in America over
$600,000,000 in interest bearing cou-
pons now six months past due from
the allies. Our past experience
with Belgium and Italy has proved
that they have borrowed American
money and purchased millions of
bushels of Argentine wheat. and are
now asking the American farmer to
extend them more credit so they can
buy his farm products. Statistics
show that we only export 16 per
cent of our crop and it would be far
better to give this surplus to the
poor of America than to finance |
foreign nations at the expense of |
American industry.
Western bankers have furnished |
the information that President Mil
ler of the Kansas City Federal Re-
serve district, has exacted as high |
as IS per cent and 20 per cent on
rediscounting paper in the federal
reserve. At the same time we find |
the federal reserve system has a |
80 To-,
divided profit. The farmers and the |
workers can expect no relief as long
as the federal reserve bank system |
is being manipulated in this manner. |
What the farmers should do is get |
together and demand the removal !
from office of President Miller and |
his kind.
The American people should be
warned against the buying of fore |
ign bonds, for every dollar invested !
in these bonds is taking that much |
money away from American indus
try to help build up foreign indus
try. 1t is ridiculous to think Of |
buying German reparation bonds at
95 cents on the dollar when there
is no gold back Of them, with Amer !
lean Liberty bonds selling as low as
$S7. 1t is about time for the Amer
ican people to advise their represent
atives in congress that they will not
stand for America being made a |
dumping ground for any further |
foreign loans, and demand that |
American industry be furnished |
with the necessary funds to give en-
ployment to our 100000 unem-
ployed men, and the necessary
money should be taken out of this
surplus of the federal reserve which
would free the American business
man from the beggarly condition he
has been forced into by this system.
ROY M. HARROP.