Show CHAOS ah ra adney SCHEME expert shows how commodity money would make worse the evils it aims to correct MEANS SPECIAL FAVORS AND additional TAXES would open way for political med mcd diang with business and complicate c the conduct of trade and finance Y 4 ii tho the weaknesses ot of the edison ford commodity money scheme to abolish the gold standard and do away with monetary instability interest charges and speculation in farm arm products aro are exposed by william T foster director of the pollack foundation tor for economic research in an article in the proceedings of the academy of political science he shows that the only result ot of the plan would be to aggravate the evils it alms to cure there Is presented herewith he the arit of a serles series of articles prepared by the american bankers association reviewing v JIT mr F fosters 0 argument the plan P an provides pr oddes mr foster explains for government built owned and controlled warehouses to which producers might bring basic commodities raised on american soil on which they wish to borrow money A government ernnie nt agent would grade the pro dubers goods and hand him two pieces of paper a mortgage bertill tIll cate and an equity certificate tile tho edison ford plan the mortgage certificate could be exchanged at any national bank tor for federal Re reserve sere notes up to 50 per cent of the average value of the goods tor for the previous twenty live years in this way the producer obtain a loan of 0 money without incurring any expense for the use of the money and he would still own the goods his equity certificate Is his evidence of ov ownership nera hip mr air foster says he may keep it sell it or present it at a bank as security tor for a loan he or anyone to whom he sells it can present it at any time within a year together with the exact amount of money that has been loaned and receive the goods it if the goods are not removed within one year tho the government must sell them and thus get back the money it has loaned this is to prevent an accumulation of goods and to make inake sure that the money will be self canceling As scon as the farmer repays the loan or the government sells the tha goods an amount of money is 13 destroyed equal to the amount that was advanced this in all essentials Is the edison commodity money plan |