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About The commoner. (Lincoln, Neb.) 1901-1923 | View Entire Issue (March 1, 1917)
??Hp5"?sr . The Commoner 18 VOL. '17, NO. 3 It we estimate tho average number of stock holders of each hank at sovonty-flvo and that Is a liberal estimate tho total number of stock holders would only bo a million and a half, or one-tenth as many as there are depositors. Tho stockholder is not compelled to buy stock, while tho depositor is compelled to uso tho banks, both for his own sake and for tho sake of tho com munity, for only by using tho banks can he keep his monoy a part of tho circulating medium. Tho guaranty law, therefore, brings the greatest gqod to tho greatest number, as well as to those who have the greatest equity upon their slide. ""There is another reason why tho claim of the depositor is superior to the claim of the stock-N holder. Tho stockholder has a voice in tho se lection of the bank offlcials; the depositor has not. If any ono must lose, therefore, as tne re sult of bad management, it ought to bo tho stockholder rather than the depositor. And I venture to ask, if the bankers will not trust each other, why should they expect the depositors to trust tho banks? And there is still another advantage: By drawing monoy from hiding and by preventing runs on banks the guaranteed bank will greatly lessen tho demand for an emergency currency. Wo are fortunate, howover, in that wo are not compelled to choose between justice to tho de positor and justice to the stockholder, for, as ' has beon shown before, the plan which we pro? pose, not only does justice to both, but brings advantage to both. More than that, the plan which we propose protects the 'banker and js his only protection against tho establish ment of a government bank, with indefinite 'en croachments upon tho banker's business. With the guaranteed bank established, government .savings banks would only be needed in the towns and villages where there were no guaranteed banks. ,If we had to chose between the interests of the bank and the interests of tho community, we would bo compelled to protect the interests" of . the community flrst; but here, too, wq, are for tunate, for wo are not driven to this alterna tive. That which protects the community pro- ' tects the bank also, for when there are several banks in a community, the failure of one often caused a run upon the others, and the insolvency of one bank is such a menace to the solvency of others that tho solvent banks often join together and assume the liabilities offche insolvent one for their own protection. As an illustration of this, I point to the action of tho Chicago banks in assuming tho liabilities of the Walsh banks, at a heavy loss to themselves. There is another advantage which the guar anty of depositors brings to the banks it. pro tects the reserves deposited in other banks. During tho panic last .fall the reserves caused the most of the trouble. The small banks wanted to withdraw their reserves from the city banks, and the big banks in the cities were not prepared to meet the 'strain. With deposits guaranteed, there would be no runs on local banks and no sudden withdrawal of reserves. I have selected the capital of the state of Kansas as the most appropriate place for the delivery of a speech upon this' subject, because your neighbor upon tho south has been a pio neer in tjhis reform. Her plan, as you know, has been such a signal success that deposits have been drawn across the line from your state into Oklahoma. The alarm caused by this invasion of your banking territory caused your governor to include in his call for a special session a recommendation of the passage of a law similar to that of Oklahoma. ' When the legislature met, however, the influence of the large banks was sutfficient to prevent the needed legislation, and' your state still suffers. The people of Kan sas have had an object lesson; they kna the necessity for a law guaranteeing deposits. They have seen its beneficent results in a sister state; they have seen fifty-four national banks taking advantage of 'the state system and reaping a rich reward. I have made inquiry and find that many Kansas bankers favor the adoption of a guar anty system three-fourths of those who have replied have declared for the guaranteed bank. They have heard, the echo of the blow that has been struck at the national banks Oklahoma by the attorney-gerieral's ruling, which denies -. such banks the right to share in the benefits of . fl'tlie state guaranty system that echo being the surrender of charters by national banks which1 prefer to befcome state banks Tather than sur render the benefits of the guaranty system. Four national banks havo surrendered their charters and are now conducted as state banks, while sixteen more have applied for state char ters. Your people have also seen how the in fluence of a few big banks, concentrated upon a legislature, can defeat the wishes of the smaller banks and the desire of the depositors all over tho state. I submit that in this effort to make all banks secure, the democratic party is the champion of the farmer, the laboring man, and the cham pion of the banker as well. No class is outside of the benefits of this law, for it bestows its blessings upon all. Why has the republican party been so quick to respond to the demands of Wall street and so slow to yield to tho demands of the masses? There are two reasons: First, tho republican party has allowed itself to become the servant of the favor-seeking corporations; and, second, too many republican leaders look at questions from the aristocratic standpoint, the standpoint of the few, rather than from the democratic standpoint, the standpoint of the many rh legislate upon the theory that society is n pended from the topand they fail, therefor to understand either the evils that afflict n, body politic, or thremedies that are need? The democratic party, viewing questions from tho standpoint of the whole people, easily 8J that which republican leaders do not discover and its remedies begin with the relief of th average man. This is the secret, if secret then, be, of the primacy of our party in matters nt reform. L When Solomon was invited' to choose what he would, he. asked for an understanding heart that he might discern between the good and the bad, and ho was told that, because he had chosen wisdom rather than wealth or long life he should have, not only wisdom, but riches and length of days as well. And so when a party determines to seek first that which bene fits the common people, it, finds that in acting in the interest of the common people, it also promotes the welfare of tho smaller classes which rest upon the masses, for when the pro ducers of wealth prosper, their prosperity is shared by every element of society. Indorse Stand for a Dry Nation BO.ow are a few of thti letters received from readers of The Commoner in response to Mr. Bryan's appeal to join with him in the work of driving the liquor interests out of the party and nation: J. W. Hughes, N. Y. I agree with Mr. Bryan in every respect, and it will afford me pleasure to help in any way that I can. A. B. Curtis, Ind. Inclosed please find ,my check . for twelve dollars"" for my subscription and nineteen other -Bryan men at your special low club rate offer. I have read your Common er from the flrst issue, and would not be with out it. Mr Bryan is fighting the battles of the common people and we are with him. Harvey A. Sweigard, Iowa. I am heartily in sympathy with the movement advocated by Mr. W. J. Bryan, and I will do what I can to the end that the party I love and stand for shall espouse the principles at issue. T. K Grubb, 111. I am enclosing herewith my check for $3.00 together with -five names, including my own, for a year's subscription, taking advantage of your club rate. I offer my scervice in cb-operation with Colonel Bryan's great temperance move and can be depended upon to serve the good cause in any wayin the bounds of reason that I might be commanded. Wm. J. Rodda, Iowa. During the last twenty years I have, under all conditions,, stood and fought for Mr. W. J. Bryan and the principles which he advocated, and at no time have I been more proud of being a follower of him than now, for he has prophesied, and his prophesies, come true; he advocated progressive national policies and they were enacted into law; he held up" certain political manipulators to public scorn, and tliey were driven, from the councils of the nation. W. A. Ditzler, Pa. I an in hearty accord with the course of the Hon. W. J. Bryan con cerning national prohibition, and I am sure that no one is more capable in conducting this cam paign than Mr., W. J. Bryan. I for one will do alt in my power to assist in bringing this about. E. W. Jack, Cal. I am thoroughly in accord with your plan and efforts to make this a sa loonless nation and to align the democratic party upon the side of morality and right in the contest. " R. W. Knox, Pa. I have your letter of Jan uary 3Q, concerning the situation in the demo cratic party, and am glad to say that I am ready to help in this county in whatever way is best and I have already paid for five copies of The Commoner to help start interest in this county, and trust I will be able to send you more soon! Chas. Thompson, Ark.-! think the plan Mr Bryan has outlined for the next four yearCis one of the most important he has ever1 under takenspeaking from humanity's standpoint. I am hoafrtlly in sympathy with the move and you may count on me for all the assistance I may be able to give. Am glad to advise you that the Arkansas legislature, now, In session, was one of the flrst to enact a "bone-dry" law after the supreme court's, decision ,on the Webb-Kenyon law. O.. C. Kirkpatrick, 111. I am enclosing on your blank for club rates the names of five sub scribers for another year, together with my check for $3 to balance accou-ntnm the same. I am also glad to note that other club subscrip tions are being sent in from our city and that tho mailing list of The Commoner .is, probably three times as great here as ever .before. H. S. .Case, Ind. I must congratulate you for the noble, effective and telling blows you ad ministered to the associated bosses, the Wall street members1 of tho - bankers' trust, Roosevelt and Hughes.- The termina tion of this conflict may remind some people, of the reasonable and unreasonable rul ing in the trust legislation, that turned some of the worst and most dangerous law violators loose that the country ever saw, to continue robbing the American people. I would like to live to see the day when the great mass of the American people would realize what' you have done for them. Almost all of the best laws passed during the Wilson administration origin ated in your brain and-you fought the Devil and Tom Walker for their passage. Geo. S. Hartley, Kan. Herewith check for $3.00' and list of five subscribers, for The Com moner, Mr. Bryan's effort to comhine the Tem perance cause and the democratic party and its principles meets with my most hearty approval. A strong sehtiment prevails in this community for such a move. We want to see a prohibition plank embodied in the democratic platform. C. T, Lewis, Mo. I am heartily in accord with your plans for reorganizing the democratic party so as to put it in control of those that are tfpposed to the liquor interests. We need sober men in all lines of business, if we wish to suc ceed, then why should we not have them in the vatfftms political offices of the state and nation. I hope you may live to see this nation of ours dry. S. B. Davis, Mo. I am in" accord with the movement to rout "Old King Barleycorn." I think the time is at hand to start the fight also that W. J. Bryan is the man to lead the forces who believe in it. B. F. Brown, Mo. I "congratulate you most heartily on your decided stand on prohibition. I am with you flrst, last and all the time until we are freed from the curse of the liquor traffic. Leonard C Keller, Ind. Find enclosed sub scription list with my check of $4.80 to pay for same. This is my personal contribution to get The Commoner before a few of my friends. I hope to get up quite a list of new subscribers shortly, and will also send you addresses or -1
