The labor journal. [volume] (Everett, Wash.) 1909-1976, 1922-01-13
FORD SHOWS HOW
TO STOP WAR

len years ago L SAID L intended
to put every ounce of brain and en-
ergy in me to stopping war. l never
meant anything more earnestly, and
that's why l want Muscle Shoals. l
see way in which, if it can be done,
will do more to end war than a thou
sand years of agitation.
"The essential evil of gold, in its
relation to war, is the fact that it
can be controlled. Break the con-
troll and you stop war. And the sin
gle way to break the control of these
international bankers, the way to end
their exploitation of humanity for
ever, is to remove gold as a basis
for the currency of the world.
"What did they do a hundred years
ago without any gold standard? The
idea Of gold as a money basis is
nothing more nor less than a concep-
ton of international bankers. They
knew if they could establish gold
by law as the basis of currency they
could then control the capital of the
world by combining to control the
worlds gold"
"But what have you to substi-
tute Z" asked.
"That is where Muscle Shoals
comes in" said Mr.. Ford. "Army
engineers say it will take $30,000,-
900 to complete the big dam. But
congress is economical just now and
not in mood to raise the money by
taxation. The customary alternative
is 30-year bonds at per cent. The
United States, the greatest govern
ment in the world, wishing a pesky
$30,000,000 to complete a great pub
lie benefit, is forced to go to the
money sellers.
"At the end of 80 years the gov
eminent not only has to pay back
the $30,000,000, but it has to pay 120
per cent interest, literally has to pay
$66,000,000 for the use of $30,000,-
900 for 80 years. And all the time
it is the governments own money.
The money sellers never created it;
they got it from the government orig
inally. The government first gave
credit, and then must pay for the
use of what it gave.
"Think of it, could anything be
more childish, more unbusincsslike
Now, l see way by which our gov
eminent can get this great work
completed without paying nickel to
the money sellers. It's as sound as
granite and there's just one thing
hard about it; it's so simple and easy
that, maybe, some folks can't see it.
"The government needs $30,000,-
900. That's 100000 $40 bills. Let
the government issue those bills and
with them pay every expense con-
nected with completion of the dam.
The dam completed we can set the
whole works running, and within a
shorter time than you would suppose,
the entire $30,000,000 currency issued
can be retired out Of the earnings of
the plant"
But" I asked, Suppose the con-
tractor would be unwilling to accept
that kind of currency in payment 2"
There's not that kind of a suppose
in the situation at all" said Mr..
Ford, smiling. "He would take gov
eminent bonds in payment, wouldn't
he? Certainly.
Here" said the manufacturer,
pulling a $50 bill from his pocket.
"he wouldn't hesitate about taking
that kind of money, would he? OF
course not. Well, what is there be-
hind bond, or this bill, that make
them acceptable? Simply the good
faith and credit of the American
people. And $40 bills issued by the
government to complete this great
public improvement would have lust
as much of the good faith and cred
1T Of the American people behind
them as any bond or other American
currency ever issued. You see, it's
just question of faith in the Amer
lean people,"
But your plan would upset the
money system of the world and might
work incalcuable HARM"
mot necessarily; not at all. We
need not abolish anything. We need
not even abilish the gold standard.
Simply forget that there is any
such thing as gold standard, and
Whenever the government needs
money for a great, serviceable and
profitable public improvement, in
stead OF thinking of bonds with their
heavy drag of interest charges. think
OF redeemable non-interest bearing
currency.
DO you realize how the interest
charges, of our government mount
up? Do you appreciate that 80
cents of every dollar raised by tax
alton is spent in payment of inter
est? The national debt is nothing
more or less than the nations inter-
est liability pile. Every public i'm
provement this country makes means
an increase to the national debt
Here's a way to get the improve
ments without increasing the debt.
Inc interest load is breaking down
our whole financial system; we've
got to stop somewhere"
but, in a sense, there would he no
security behind this kind of money"
1t was suggested.
There would be the best security
IN the world. Here you have n river.