The commoner. (Lincoln, Neb.) 1901-1923, February 14, 1913, Image 1
M The Commoner WILLIAM J. BRYAN, EDITOR AND PROPRIETOR VOL. 13, NO. 6 Lincoln, Nebraska, February 14, 1913 Whole Number 630 ' - a' yyy, mmSBW imjwui twp"W'uIJWJAJM fww"rmv v w'-pHI!v'W(pwj " - WPWjpBl'l'fl'll?y!',l1 i-VW jt-B'Wyj'yF-'Jiyy''l'ygyyf'' ,rglWIHgl M '' "' i1 Fl jm vV v ,M The Commoner's Thirteenth Year Editorial in the Political Outlook (Cincinnati, Ohio) : Thirteen ims destined to become the lucky number for democracy. Among Ether pleasing signs, 1913 sees the thirteenth year of The Commoner, IW J Rrvnn'fi orpnt nn.ner. The Commoner has become a raower r -. v. tmmm . m.m mm w w r w w - , - ..... - , . -- -, - - - KJEroughout the land in its thirteen years of existence and is in more Grays than one the organ of the great party. The Commoner was me first progressive democratic paper in the country. It set the Race and paved the way for the new democracy of today. The Commoner gave Roosevelt the ideas for his progressive party and has supplied republican leaders with ideas. In doing this it made the old-line democracy think and won it over to progres siveism. W. J. Bryan deserves more praise than we can give him for his fearless and eloquent work. Let it continue. May The Com moner continue to blaze the way until the democracy is entirely out of the wilderness and the republican party is no more. The Political Outlook congratulates The Commoner. Creasy on Currency i'vi Hon. W. T. Creasy, head of the Pennsylvania tato grange, presented tho following plan to JlTe currency committee: In answer to your invitation to appear before ypur committee to present some of our ideas M to needed changes in our hanking and cur- rtncy iawB, 1 ao so, representing tne organizea farmers of our state. The grange in Pennsylvania numbers about r7,pT000 members. At soveral of the late meet ings, tho following resolution was unanimously sea: I'We are opposed to the Aldrich contral bank heme, or any other plan that looks toward tho Slicing of tho control of our monetary system fjpm the federal government." ffhe national grange has passed similar resolu- ns and I believe the farmers of this country ee with these resolutions whether they are imbers of the grange, or outside of it. There are three things that ought to be in cluded in any reform of the currency. 1. An Intro-convertible bond; that Is govern ment bonds ought to be made tho basis of cur- ncy issue when in the hands of individuals, well as when in the hands of banks. Any ftplder of a government bond ought to be able, . after giving a reasonable notice, to draw the face value of the bond in currency, the interest o"h the bond to be suspended while the loan Continues. This would induce business men to keep a part of the reserve in bonds, and thus Snake them independent of banks in time of stress, and it would at the same time relieve fvthe strain upon banks. It is the one form of ,:"'' ."elasticity that is advantageous and free from ; t( ,aanger. mere may ue no way or keeping the 2$ big financier from buying government bonds, pi" i luiiiK mat me uemanu ana supply win regulate that. The ordinary business man who wants tho bond for use in emergency could afford to pay more for it than tho big financier could. The secosd thing to be considered is the cen tral bank feature; that ought to be avoided. Unless I am mistaken in my observations, big financiers are much more anxious to increase their control over the currency than they are to secure elasticity. I would suggest the following plan for meet ly, CONTENTS CREASY ON CURRENCY THE INCOME TAX MYSTERIOUS MOVE BY TREASURY DEPARTMENT A GREAT VICTORY FOR THE INCOME TAX AN INTERESTING NEBRASKA MEASURE . CURRENT TOPICS HOME DEPARTMENT WHETHER COMMON OR NOT NEWS OP THE -WEEK WASHINGTON NEWS Ing their demands: Let tho United States b"b divided up Into districts I do not care how largo or small these may be. Each state might be a district, or several of tho smaller states might be grouped together. Let the bank form associations, with power to bind all tho banks belonging to the association; let the associations borrow of the government, at such rates of in terest as would tend to restrict the borrowing to a limited time, although I would bo very liberal in the terms. The money loaned by tho govern ment to tho association could bo loaned by the association to the banks belonging to it. The government need not require any security in loaning to tho association, because tho associa tion would have back of it the assets of all the' banks in the district, but the association ought to require security of tho banks borrowing tho money loaned by the government to the associa tion, and by the association to the banks ought not to bo loaned by the banks at a higher rate of interest than that fixed in tho law it might ho tho legal rate, or it might bo arbitrarily fixed, for instance, at not moro than twice the rate charged by tbe government. Of course, there would be a maximum fixed boyond which the association could not borrow, and likewise a maximum beyond which a bank could not bor row of tho association. This maximum would bo a percentage of tho capital and surplus. This plan would compel all tho districts to deal directly with tho government, and therefore de- centralize tho system, rather than centralize it. It would answer every possible need of an elastic currency, but It does not increaso tho power of the banks to issue money or to con trol it. Tho third point to bo considered is the asset currency. What the big banks really want Is a central bank with asset currency. A democratic plan must, of course, avoid an asset currency. The above plan as outlined will give all tho cur rency necessary. I would not bo in favor of attempting to withdraw tho privileges which tho national banks now have, but I would oppose any increase in those privileges. I believe the national banking law should be amended so as to admit banks to loan on real estate. The percentage, however, ought to be limited so that they will not have too much of their money tied up in slow assets. It might bo arranged that coupon interest bearing bonds could be issued on mortgages held on farm property. In this way tho banks could realize on theso assets. The above plan covers the case as I see it. First the intro-convertiblo bond, which gives a certain amount of elasticity to the currency without any evils or dangers. Second, a plan by which the government will loan money to associations, and by which tho associations can loan money to individual banks. Third, care to avoid the asset currency, or anything that ex tends the privileges of the banka. SENATOR THOMPSON OF KANSAS The Kansas legislature honored itself by the election to tho United States senate of William H. Thompson. Judge Thompson has a keen appreciation of tho responsibility of public office and he will render the party and the coun try great service as a senator from tho demo cratic state of Kansas. ' The I T; ncome lax Tho incomo tax amendment to tho federal constitution has been ratified by tho nocossary number of states and Is now a part of tho con stitution. Congress can, at loaat, after an eighteen years' struggle, levy and colloct a tax on individual Incomes. Tho dollar Is no longer above tho man. Now lot congress proceed with tho preparation of an incomo tax measure Such a law will make it possible to materially reduco the tariff schedules, Uiub transferring a part of tho weight of taxation from tho overburdened poor to tho undorburdened rich. Some have suggested that tho individual in come tax bo substituted for the corporation tax, but tho suggestion comes from tho protected in terests which have made the tariff laws in their own interests for a generation and are seeking some excuse for maintaining present rates. Tho democratic congress should reject such a propo sition and give the benefits of reduction to tho patient masses who have for so long borne tho injustico of excessivo taxation, collected on con sumption. Tho day of relief is at hand. GOVERNOR RALSTON STARTS WELL Governor Ralston, Indiana's now governor, starts in well. He insists upon carrying out the pledges of the platform "not to carry out tho pledges of the platform would," ho declares, "be a betrayal of tho peoples' confidence." Ilo recommends an efficient primary law, a public utilities law, an Inheritance tax, a law against the sale of watered stock and a workman's com pensation act. It is a good beginning. Indiana Is a little behind some of her sister states but it looks liko Governor Ralston Intended to bring her up to tho lino. TUMULTY'S APPOINTMENT President-elect Wilson has announced tho selection of Joseph Patrick Tumulty as private secretary to the president. It is an excellent appointment. Mr. Tumulty is his present secre tary and has won the promotion by the industry, ability and fidelity which he has displayed in this position. He is a progressive of tho pro gressives and has grown In popularity as his acquaintance has increased. 0 0 0 0 0 0 0 0 IN CLUBS OF FIVE Sol. W. Johnson, Iowa: While in Perry yesterday I made the statement that Tho Commoner could bo secured (in clubs of five) for COc. I immediately had $3.00 from five new subscribers without getting out of my chair. I also includo with this remittance the amount for my own renewal. I believe had I time I could get thousands of subscribers and nearly everyone thinks that during the great change which will take place In the near future that they would like to have the leading democratic views of legislation to compare with the republi can views. 0 0 0 0 0 0 0 0 0' (.