Year: 1875




read at the approaching annual con-


vention of the Illinois State Farmers


Association, "UpOn our currency in


relation to the interests of the indus


trial classes.





The other cause, is nowise inferior


in its injurious influence upon agricul-
ture, is the false and disgraceful condi-
| tion of our monetary system.


In calling your attention to this SUBJ
| ject, / would first ask you to notice the
! striking fact that the prices of your
great staples are no higher on an aver


age now than before the war, while all


other commodities have advanced
| from % to so and even in many cases
| to 10 per cent. Farmers should direct


their minds especially to this consider
alton. They should inquire why it is


that their products do not rise when
all other commodities do. If they eX-


anime into ihe matter carefully they


will discover that their great staples do


not rise equally in price because the
country produces surplus Of those that


must be sent abroad for market, and
consequently must be sold at what
they are worth in gold to send to Liv-
erpool or other foreign ports. Flour,


wheat, corn, pork, beef, lard, &C., are
sent as a remittance instead OF gold,
and therefore must be sent at their


value in gold, since that is the univer-
sal standard of value in the commerce
of the world.


Farmers products, then, are sold at
gold prices, plus what little gold pre-
miumS there may be, while all the
farmer consumes must be purchased at
currency prices, from % to IS per cent.
higher, in consequence of the excessive
volume OF our paper money.


If farmers will look at these facts
they cannot fail to see that they are
obliged to sell at low and buy at high
prices, and that is one of the chief
causes Of the depression of their branch
of industry. When they do perceive
this, of course they will demand re-
turn to specie payments, for they will
see that since there cannot be twOl
prices for their product-ono for home
consumption and the other for export
whatever they are worth to send
abroad must determine the price of the
whole crop.


This being so, no class suffers so much
from defective currency as the agri- |
cultural. The manufacturer makes his
goods under a deprecated currency,
and they cost him fifty per cent. more;
but he sells them under the same cur
regency and gets fifty per cent. higher
prices, together with his customary
rate of profit. So Of all classes, except
those who produce commodities the
surplus Of which must be sent to for
eign market.


Under such a state of things the
farmer can not hope for as great pros
perity as is found in other industries, |
and should therefore insist upon the
restriction of currency 10 par with
gold: and as that is utterly impossible,
except by withdrawing part of the
present superintendent circulation, he
must insist upon contraction. There
is no escape from this alternative. All
attempts to evade or avoid it will be
found utterly futile-will only compli-
cate the situation, make bad matter
worse and prolong the suffering of the
agricultural interests.


To this opinion, so confidently as
serted, methinks 1 hear some farmer
reply, 'Ah, but L am in debt. My farm
Is mortgaged. Were that paid off
might listen to contraction; but until
then / shall object But, my friend,
taken. You owe money. How can
the profits you can make by farming.
Quoting your farm and supporting your
family are reduced, the greater surplus
you will have for diScharging your
mortgage. If your grain, beef, pork,
&C., bring as much as they do now,
while your expenditures are greatly
lessened, would you not have a larger
amount of profits wherewith to. pay
your debts? Now, then, it is certain
that were the natural volume of cur
rency restored your crops would bring
the same prices as at present, while
your expenses being reduced, you
would have greater margin OF net IN
come.


Suppose, to illustrate, your whole in
come now to be two thousand dollars,
and that your expenditures, after pay
ing taxes, repairs, interest upon your
mortgage, etc., leaves you nothing
wherewith to reduce the principal,
then if your products bring as much as {
now, while your expenses are 70 per
cent. less (and they would be more
than that,) you would be able to pay
an annual installment OF. four hundred
dollars, which would clear of the mort
gage in five years. And yet to do this
you need not deprive yourself or fam
lily of anything you now enjoy. So {
the sooner the currency is restored the /,
sooner you will be able to discharge {
your mortgage. I


Ii, in addition to this, you are able
to secure the protection Of the National
Government against the imposition OF
railroads you would have still greater
balance in your favor.


The farmers of the United States
ought now to enjoy far higher degree
of prosperity than they have ever done t
before. The introduction of machinery {
has so facilitated production and re- t
duced the amount of labor required t
that they ought to secure greater profit
than an at any previous period, and
would do so but for the wrongs they :
suffer from the two causes that have >
been mentioned.


II this be true, and 1t Is so demon
strably, the farmers Of the country
ought to unite their voices and their {
votes in favor Of the contraction OF the q
currency till at par with gold. Ii they q
do this they will certainly accomplish t
their object, since they hold the balance u
of power and can dictate such terms as
they please. Fortunately their interests
are identical with those Of the entire u
country. What farmers need all class q
es need, except always those who prey a
upon the earnings of other people; but
farmers, above all others, should un-
that their peculiar interests
can never be prompted by the issue OF a
paper money. Were sl00,OOO,OOO or &
81 200, ,OOO, 900 more in greenbacks or a
bank notes now to be put in circulation,I
agricultural products would not be in |,
creased in value by penny. Such an a
issue, while it could not raise the price O
l. Inn arrn nk 1