Newspaper Page Text
7 THE "HONEST MONEY" FRAUD. Taper the Ttimary Basis for Gold and Gold Bug Currency. The "honest (?) money" system, which is the chief corner-stone in the platform of the Republican party, is a system of money baaed upon paper. The money enters circulation as a loan, secured by a mortgage on prop erty either directly or indirectly. Gold money is no exception to this rule. It does not enter circulation and perform the functions of money until an interest bearing debt is cre ated. All productive securities which are taken as security by the banks derive their sole value from their power to extract usury in some form from the owners of property. , Every dollar of this money passes through the banks a number of times, and an interest bearing debt is created every tjme, thus adding debt upon debt and usury upon usury with no in crease in the number of dollars by which these debts can be paid. This process has been continued until all the money in the nation is only suffi cient to pay a fraction of one year's interest. This burden of interest-bearing debt is the basis of the so called "honest money" system advocated by the old parties. There is nothing honest about it. It is merely a piece of ma chinery for creating debt, the princi pal of which can never be paid. Its sole value consists in its legal power to exact usury from product ive labor and legitimate business. As long as the people sustain this sys tem by their votes and strive to pay the interest, it will continue to be the source of enormous profit to the money power. This interest bearing debt rests upon property and forms the basis of gold-bug money. The People's party holds that the property which gives value to the debt is a better basis for money than the debts, the principal of which can never be paid under the present monetary system. The property is the only actual value which gives value to the debt or the money based upon the debt Both the debt and the money are only legal values, and the people are the law makiag power, just as soon as they choose to express their will through the ballot box. The people create these actual values by their labor, and as citizens and voters they have the right to create the legal medium by which actual values are exchanged. There is not even common every day horse sense in the system that covers their property with an interest-bearing debt in order to secure a medium f y which that property can be bought and sold, labor employed and more property created. The infamous and oppressive nature of this system of making our debts the basis of our medium of exchange is only equalled by its absolute stupidity. To illustrate: A' farmer needs money in order to make necessary improvements that will enable him to increase his power to create wealth by his labor. Under the prtsent sys tem he goes to the bank, places a mortgage on his farm for $1,000 bear ing 10 per cent per annum, running five years. The mortgage is worth to the bank $1,000, with $500 added for interest, or $1,500. The money is worth to the farmer $1,000 less the $500 paid as interest, or only $500 a clear loss to the farmer. If he is very shrewd he may be able to shift the loss on to the shoulders of others and save himself, but in any event productive industry has been a loser of all that the banker realizes out of the operation. The only real value in this transaction is the property pledged for the payment of the $1,000 borrowed, and this property belongs to the farmer. Now, if the only actual value is in the farm, why not establish a system under which the farmer could convert that value into a convenient form to be used as a medium to enable him to make the necessary, improvements instead of turning it over to the bank as security for a loan, and then paying 10 per cent- for the privilege of using the bank's credit, while the farmer owns the only credit in this kind of trans actions that has any real value. Under a system by which property could be converted, at cost, into a medium by which pioperty maybe changed, labor employed, and more property created, money would be come the representative of actual value pledged for its redemption in such actual values as the holder of such money desired to purchase, and the producers of these actual values would save all that they now pay as interest to non-producers. Such a monetary system, based on actual valoes, would be honest in the true sense, and would always be equal to the demand. Every dollar would be secured by actual values, the use of which the world cannot afford to dis pense with. Panics would be un known, as the means of payment would be equal to the value of the wealth created by the people. There is nothing more senseless than the charge that this would be a system of unhealthy Inflation. The inflation in the volume of the currency, under this system, would be but a small fraction when compared with the in flation of the volume of interest-bearing debt under our present system of dishonest money, which is but a promise that we will do something that never can be done. There is just as much danger m our creating too much value at there is in our having too much money based on value. Thi old party leaders insist that the tariff chestnut shall be the only question submitted to the people in 92. The Democrats advocate a low tariff, while the Republicans are in favor of reciprocity. Both favor a tariff for revenue. Will some of the headlights please define the differ ence? Which shall it be? Tweedle dee or tweedledum? The Industrial Free Press pub lishes what it terms "The internal improvement plank of the platform." The propositions in this plank are meritorious. They suggest practical methods of putting money into cir culation among the people, while at the same time carrying into effect a system of public improvements that would eventually make of this the grandest, as well as the greatest, country upon the globe; and insure the most enlarged and general pros perity of all American citizens. The thoughts expressed are all right, but like many other good things, it is not necessary to have them in our plat form. This should be simplified, rather than amplified. SENATOR PEFFKRS PENSION BILL. While the Republican press is busy criticising this pension bill we desire to call attention to one feature of it which we apprehend constitutes the chief objection to it. It proposes to cut off a large number of pap-suck ers who have heretofore been profit ing upon the pension business. In speaking of the increase likely to be paid to soldiers should the bill be come a law, the Capital forgets to notice the saving that would result from the discontinuance of a large amount of red tape. than twenty years ago, when the financial system adopted during the war had begun to bear fruit, Mr. Greeley said: We have stricken the shackles f rora 4.000,000 ot human beings, and brought all laborers to a common level; but not so much by elevattuji the former slave as by practically reducing the whole population, whlta and black, to a state of serf dom. While boasting of our noble deds we are careful to conceal the ugly facts that by our In lqnltous monetary system we have practically nationalized a system of oppression which, though more refined, Is not less cruel than the old system of chattel slavery. Notwithstanding, all that has been said concerning the extravagance of appropriations for state printing, and the systematic robbery of the people by the People's party printer, we now have it upon good Republican authority that there has been an actual saving in the state printing up to the present time, of $17,000 by rea son of acts of the last Legislature, While acknowledging the saving, Re publican papers, seek to credit it to Bill Higgins, and at the same time they well know that the limitations of this work were prescribed by the Legislature. O, consistency. The farmers own 20 per cent, of our national wealth and pay 80 per cent of the taxes. Two-thirds of our aggregate wealth is not assessed for taxation and is practically an incum brance on the taxable property of the country. Its value consists in its legal power to absorb the wealth of the country in the shape of interest, dividends, and so forth. The proper ty that pays taxes and supports the government, must also pay tribute to the wealth that escapes taxation alto gether. This is the logical sequence of false conditions established by law for which the old parties are respon sible. THE KANSAS DELEGATION IN CONGRESS. The Republican press of Kansas, which has manifested so much anxie ty lest the credit of the state may suffer through some improper act of the people or their representatives, never misses an opportunity to slar and ridicule and belittle the men who have been legally elected as the rep resentatives of the state in the Fifty second Congress. This ridicule and abuse is not based upon anything these men have done, for as yet they have had no opportunity to do any thing. It is simply based upon the fact that they were not eleted to their positions by the Republican machine. Where men who were elected to public positions have made an official record upon public questions, that record is public property, and may be properly criticised by opposing parties in all cases wherein it differs from the principles and policy of. those parties. This personal vilifica tion and ridicule, however, are un justifiable at all times. This and the ru-ilJw rt ranroflonfinry ilia mamKfty of the Alliance as repudiators, and all the other falsehoods and vile slanders in which the Republican press has indulged, have done all that has been done to bring the name and credit of our state into disrepute. The princi ples and policy of the people and their representatives would ever sus tain the high character of the state were they trnthfnlJy represented by the press. All the discredit which has been brought upon oar good name is justly attributable to the de pravity of the Republican press, and to that alone. THOSE QUESTIONS. We have not yet seen a satisfactory answer to the question we asked some time ago "Upon what property does the intrinsio value of gold and silver depend?" We will add another. Is it neces sary or desirable that the material of which money id made shall possess value? If so, why? One New Yorker attempted to answer the first question but made such a miserable failure of it that other writers have apparently be come discouraged. The columns of Thi Advocate are open to replies to the above questions if limited to reasonable length. A VOICE FKOM THE PAST. Horace Greeley was not a success as a politician. This is not strange, as he would persist in telling the truth regardless of what the effect might be on the party machine. More A "REFUGE FOR THIEVES." From the Junction City Tribune. Sis months ago, when it was talked of the possibility of Proctor resigning ard El kins was mentioned aa the one to fill the place as secretary of war, it caused a smile over the nation at the absurdity of the idea, as Elkins was the ideal of a political cor. ruptionist. But it has oome true. Elkins is too valuable for the administration to ig nore. Like Quay of Pennsylvania, his pull is strong and influence great among a cer tain o'aes upon which the g. o. p. has be come to rely for its support. Salina Union. In view of the above we are strongly reminded of a certain speech made by lion. J. K. Hudson, (who is now presum ably well paid for whitewashing the de cayed spots of the g. o. p. and at the' same time to villify all outside of it), made at Erie, Kansas, a number of years ago, in which he said: The grand old Republican party, with its history, its victories, its glorious martyrs, has become a refuge for thieves, railroad and salary grabber?, whiskey and Indian rings, and muBt fall to pieces from its own rottenness. That being the status of the party then, It might be interesting to inquire when it ceased to be a "refuge for thieves," etc Will tome one please answer?