Grant County herald. [volume] (Lancaster, Wis.) 1850-1968, 1880-10-21
Theory and History CT Treasury
Notes.
nv GEO. GODFREY.

BY GEO. GODFREY.
The fundamental idea ofthe Green.
back movement is to monetize the
claim of the government upon the
property of its citizens, in sufficient
volume to enable every one to do a
cash business without the interven-
ton OF any other form of paper
money. The object is not TO discard
gold and silver coin, but to re- enforce
their supply, which every one ad-
mits falls far short of being sufficient
to do the business as it should be
done-for cash.
We cannot avoid using some sort
of monetized account money or sym.
bols of money of account, reduced to
current condition, unless we con-
tract the volume of our business to
accord with limited supply of coin
money; and this would be to return
to the barbarism of the middle ages,
which we will never do until the
mind of man Is crushed back to that
of the barbarian of those days. We
will either monetize our revenue
claims and through them such per.
centage of our property as belongs
to the government, so we must resort
to the old doubtful accounts which
the banks pressed into their service
before the war, with all their disad-
vantages and foundations for panics.
We must have paper money. Con.
vertibility in coin on demand is all
very good; but if we will be free
from panics and the commissions at
| tendfng Thorn, we must have money,
the power and usefulness of which is
not impaired when not convertible
into coin on demand. This kind of
paper money is possible it is proba.
BILE; it is actual We have it now in
our full legal tender treasury note
and we must never abandon it, but
cling to it and see to it that it is
never wrenched from us by parties
whose interests are better served by
subjecting US to the use of their costly
and less trustw orthy contrivances.
Treasury notes, adapted to circu-
late as money, fully empowered by
law to do all the work of money, have
always served their turn well. They
are as strong as the government
which puts them forth. Not until
the government is overpowered by
an adverse power, or voluntarily
abandons its functions to another
power, or crumbles through decay or
corruption, Willis treasury notes fail.
The only unexceptional condition
attendant upon their issue is that
they shall be paid out for valuable
consideration, which becomes the
property of the people, who are thus
brought into debt to the government
therefor while their return through
taxes to the government leaves the
people in possession of this valuable
consideration fully paid for. As the
consideration is of par value at the
time of its purchase, or it would not
be bought, so that which pays for it
at any time thereafter is at the same
par value-or the debt could not be
paid, and there is no reason why it
should not be at par value all the in
teryening time, any pretended stand
ard to the contrary Notwithstanding.
Treasury notes being thus better
than any other form of paper money,
If allowed to be issued in sufficient
volume would surely supplant and
drive out all less perfect forms, and
banks of issue would be deprived of
all the profits derivable from their
circulation. Hence, the banks of is
sue have always been in deadly hos
tility to every form of treasury note
circulation. The better it was the
more they hated it. Wherever they
could in any way determine the form
in which it could come forth, they
have impaired its money power in
every way possible and brought it to
an end with the utmost speed. They
have all along urged that only in the
most pressing emergencies, was the
government justi6able in putting it
|
passed it should clear the field for
the occupancy of their issues. The
history Of treasury notes from colo.
NAL times up to the present hour
proves alike their efficiency and the
hostility of banking capitalists to
them.
We will examine into the record.
In 1928, the Colony of Pennsylva-
MIA was almost depleted of coin
which was gathered up and shipped
to England to enable the Bank OF
England, which had been for long
time in a state of suspension, to re-
sumo.
To fill the void, the colonial legis-
lature issued treasury notes in pay.
ment for public services, made them
legal tender and receivable for all
taxes. The circulation of these treas.
ury notes continued for forty years.
until 1853. During all this time they
remained at par with coin, and this
was the heyday CT Pennsylvania
prosperity as a colony.
Massachusetts commenced issuing
treasury notes in 1890, and contin.
ued the issue up to 1920 these notes
were made legal tender and money
of account; many of them remained
in circulation up till 1853, while thew
were plenty the colony prospered.
their reception at their face value for
taxes kept them al par with coin ex-
eept where coin was being gathered
up to pay debts in England.
The colonies of Rhode Island, Con.
necticut, New York, Maryland. Del.
aware and South Carolina were all
using treasury notes from 1920 up to
1853. These notes were uniformly
made receivable for taxes and were
legal tender. They never depreci.
ated. They were retired in payment
of taxes and nobody ever lost shil.
lug by them.
The Bank of England grew Jealous
of this kind of money; the govern.
ment saw in it the seeds of indepen.
dence, and in 1863 an act of parlia,
ment was Illuminated against it. and
all forms of colonial treasury notes
were swept from the board. They
| were ratirad in tho noyr,ont