Democratic Sentinel, Volume 2, Number 25, Rensselaer, Jasper County, 2 August 1878 — Well Put. [ARTICLE]

Well P u t.

The Columbia (Pa.) Herald very correctly remarks: “We have heard men say, “we have tried both parties and found them failures.* This is not the truth. When the Democratic party was in power before the war, who ever heard of dangerous strikes in the mines on railroads and iu the workshops? .Who ever heard of tramps by the thousands, hundreds, fifties, or tens, in the -hind ? Who ever hoard ot men pleading for work and clamoring for bread? Who ever heard oj monopoly dictating to labor and forcing the country into bankruptcy? And why? Hecause the policy of the party was to pieserve a Just equilibrium between capital and labor and thus promote the prosperity and security of both—to preserve intact the institutions of the country as the fathers of the renublie made them, i-ut-the desire for power became an over-mastering one, and politicians, without honor or principle, sought by any and every means, however disreputable, to attain it. They succeeded, and in the destruction of

policies pureMted alike by the old Demooratg khit \Vhigs, the Pandora box of political evils was onened, and from that day to this there has been nothing but going from good to bad and from bad to worse,” Go to Catt & Smoot’s for the best cigars and tobacco iu town.

liidiftnnpolU ScutkieE. Greenback-vs National Bank Bills. That national buuk note* shall be retired, and In lira thereof there shall be issued by the government au equal amount of treasury notes with full legal tender quality.— Democratic Platform. The Demoevatie party of Indiana is clearly and unt-quivoeally committed to the retirement of national bank bills and the substitution therefor of "treasury notes”- greenbacks with "full legal tender quality." This antagonism to the national bank bills grows out of the fact that a better and a cheaper currency can be provided. This fact has been demonstrated overy clay since greenbacks and national bank bills circulat 'd side by side in all the marts of trade in the couutry. As between the greenback and the national bank bill the latter has ai ways been below par, though redeemable in the former and being the most costly currency of the two. The annual tax Upon the people to float the national bank bills siuce 1864, when the first national bank was es tablished, has averaged say $15,000, 000 or $210,000,000 up to the present time, while had treasury notes, greenbucks, been issued instead of national bank bills the entire lum could have been saved. Rut the democracyj*ropose uu improvement upon the greenbuck as now iu circulation. It is to be a full legal tender for all debts public and private; this done, and the treasury note, to the extent demanded by the sound business interests of the country, will be equal to gold. It is held by some who are really in favor of the financial plank in the democratic platform at the head of this article tiial the government has no

1 authority to issue greenbacks orgovj erumeut notes. If this be true, “wha: ; ‘authority,” asks the Boston Globe, "lias tne government to authorize ‘others to do what it can not itself do? ‘But government has the right, and ’lias always exercised that right since ‘the days of continental money 1 ‘This right the republican party deny, J ‘ami say we must have banks to issue i.‘paper money. Here was the dividing j ‘line between old federalism and an” ‘cieut democracy, and is the dividing ‘line now. The republican party is 'made up mostly of bankers, capitalists, manufacturers, rich merchants ‘and speculators. Opposed to this class are the honest and industrious j ‘masses. The present banking system 1 ‘was brought into being by therepubiii ari party. The system permits any ‘number of banks to go into operation if they can raise tbe money to ‘do so. The law inquires that those i ‘who bank shall deposit government ’•bonds with*.he .secretary of thetrtas‘ury to any amount—say $1,900,000 — ‘for which the govern men tallows the ‘bank so depositing to issue its promises to pay to the amount or $900,‘OOO. On the bonds thus deposited ‘with tiie secretary of the treasury the ‘government pays to the banks inter‘est the same as it does to all other ‘bondholders. Thus the bank is sure ‘of that income to start with. The ‘bank then loans out its $900,000 to ‘A, B and C. on which it receives all ‘the way from six to twenty per cent, ‘interest, according to the straighten‘ed circumstances of those who want, ‘and must have mouoy. Thus it will ‘be seen tnat the banks make their ‘twenty per cent, anyway on their ‘capital invested. But,say the banks, ‘we are obliged to keep a reserve in ‘our vaults of greenbacks or gold to ‘the amount ot six per cent, of our ‘capital, aud then we have to pay a ‘national tax ami local taxes. True, ‘but does not everybody have to pay ‘uational and local taxes as well as do ‘the banks and. does not the money ‘made by discounts on deposits oi in‘dividuais more than pay all of these ‘taxes, national and state, besides ■paying all the expenses of rents and ‘of bank effieials? Certainly. This ‘system is faulty, and bears heavily upon the people aud up< n the indu - “try of the count)y. Why should ‘capital have this advantage over in‘dustry? We do not use the terms ‘capital aud labor to create hate be‘tweeu labor and capital, for if there ‘is any class of men we despise it is ‘the agitator and the demagogue. We ‘use the words to explain our meaning, ‘and a-;k the question if the people ‘have not good grounds for complain t. ‘We claim that legitimate banking is ‘a bank of discount and deposit* and ‘is for the purpose of facilitating tbe ‘collection of debts and the regnlat-

‘ing of exchanges between one Bectiou of eoun'ry and the other. But ‘Lhi republicans say they should a^so ‘be bauks of issue. The democr a^B ‘say no. Why should not the gover n ' ‘meut say to these banks, return ° ‘us your bank circulation and take up ‘your bonds? Then if you want mo•ney to barm with, we, the government, ‘will issue to you the same amount of •grecubacks you had out in your own ‘notes, and we will take these same ‘hoods in payment, for the greenbacks. ‘These bonds the government would then own, and could cancel them ‘whi-h would reduce the national • lebt three hundred and flity millions, ‘on which the government or the people pay smy 3 and 4* per cent, interest, which would be a saving to the ‘people of at least sixteen millions of ‘money annually. If this wore done ‘there would be no more paper money ‘outstanding than there is now. It ‘would be merely substituting greenbacks for national bank notes, save ‘the people sixteen millions interest ‘money annually and reduce the national debt throe hundred and fifty ‘millions of dollars. Some would ar‘guo that this would in reality not be ‘any reduction whatever, as it would ‘simply chauge the form of liability. ‘This is true to a certain extent, but ‘it would certainly stop the interest ‘account on the bonds and would,have ‘the effect of giving to the govern ‘inent the advantage of itsown credit, •iustead of giving that advautage ‘away to a combination of capitalists ‘to make money out of the people.” There is manifestly no sound financial reason for perpetuating the national bank bills, while, as we have shown by arguments that can not l e refuted, the greenbacks ought to take their place in the fltiancial system of the country. The democratic theory, as set forth in the state platform, with regard to greenbacks and national bank notes becomes more acceptable to the people the more it is considered. The substitution of greenbacks for national bank bills would at once release the reserves the banks are now compelled to hold. “The present banks,* says the Globe, from which we have quoted, “might cou'tinue to bank, only they would not be ‘banks of Issue as is now the oase.— ‘But, any some, ‘We must pay the interest on our bouds in gold as we promised to do.’ -So say we; but wo ‘would at onca call in all the out‘sfnnding bonds which are payable in ‘gold, principal and Interest, sod re‘issue new bonds at a rata of four per

‘cent interest, and in small denominations, so that these bonds can oe tak* Vn up by the people, and make the ‘interest payable in greenbacks. The ‘people woukl make their in vestments ‘in these bonds instead of depbsltitag 'all of their surplus earnings in the ‘ravings bank. What would the effect of this be upon tbe public fund? ‘We say that if the government sho’d ‘refund ail of its bonds in four per ‘cents., the interest payable in green •backs, the government would have ‘no occasion to use gold in any of its ‘financial transactions, gold, not be ‘iug required for the redemption of ‘government notes, nor for national ‘bank notes, or for customs duties, ‘would oniy be wanted to settle balances between this and other nations with whom we trade. And as ‘our exports are greater than our imports ths flow of the precious metals ‘would quite likely be largely In our favor. Besides, we are a gold producing nation, and, with a proper •financial aud commercial system, ‘gold would be a drug In the market, ‘as silver Is now. Should the system ‘we have here indicated be adopted, ‘it would at once strike a deadly blow •at the gold gamblers and the stock ‘speculators, and that class of men ‘who make money by and through ‘class legislation, and all of those ‘measures gotten up to enrich the few ‘at the expense of the many.* The revolution that is now going on in public opinion with regard to greenbacks and national bank bills promises to improve the business situation of the country. It is no use for the radical Shylock party to cry “expansion,* “inflation," aud attempt to arouse opposition to the march of correct ideas. The new departure is designed to improve the condition of the people throughout the country, t<* revive business, restore confidence and usher in an era of national prosperity. Best browned Coffee at Catt & Smoot’s. Try it.