The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1885-03-02
Argument Advanced by Mr.. Cieye-
land in His Recent Letter.
The Issue Sharply Drawn by the Silver
Men, and a Stubborn Fight Expected.
Continuation of the Work of Decorating the
Pension Building for the Inaugural
ton Ball-NoteS for Visitors.
THE SILVER QUESTION.
The Argument Made ny Friends of the Metal
Against Cleveland's Letter.


Against Cleveland's Letter.
WAsHINGToS, March Friends of silver in the
House. while at first not inclined to make formal
reply to the letter of Presidentelect Cleveland,
since it has been given to the public decided at
a conference held this evening, to reply openly
to the letter. with which they do not agree.
They say they did not invite controversy. but,
on the contrary were anxious to avoid it. They
also say it was not until it had become known
that determined effort was being made to in
duee the President elect to commit himself and
his administration in advance to the
gold side of the currency ques-
ton, that they desired merely to ask
him not TO commit himself till his Cabinet was
formed and both sides of the question could be
considered. They proposed. at first, to send
delegation to present their views to him. but
after communicating with him, at his sug-
gestion, they sent paper signed by nearly one
hundred members of the present Congress and
members.elect to the next Congress No reply
was necessary they assert, and mono was ex-
pected. They further say that, while regretting
the step the Presidentelect has taken in advance
Of his Inauguration and of the formation Of his
Cabinet, they DO not propose to have
controversy unless it is forced upon them.
They believe, however, in the indie
pendence of thu legislative branch of
the government. and assert that they
will at all times maintain it, They furnish the
following as statement of their views:
In Mr.. Cleveland's letter no distinction is made
between silver coinage and silver bullion. While
it is true that silver bullion, which is excluded
use is worth less lin the ratio of 16 to II than 85
per cent of gold dollar, the silver coins,
which are admitted to monetary use the same
as gold, are equal in value to gold coin. The sill
yer dollar will exchange for as much as gold
dollar. 1t will even buy the gold with which the
gold dollar may be made. France with popu-
lation OF 36,O0o,O0O and a territory
not as largo as Texas, has in
circulation 5000 900 900 of silver with $780, 000 900
or gold, while we have but $500 000 900 full legal
tender silver to over 5000 O00 600 of gold. Alto
gether ST. 300 100000 of silver coin. at ratio of
l5s to l. are held in circulation in Europe side
by side with 50, COO, OOO, 900 of gold In paper
and silver together including silver certificates,
we have less than $3.50, 900, 900, which shows that
in this country there is more gold than paper,
and nearly three times as much gold as silver.
With this proportion in our currency, and
with gold and silver equally full tender for
everything, it is difficult to understand why the
Secretary of the Treasury might not, if he chose
to do so, pay out more silver and less
gold. Of course, if, while receiving into the
Treasury United States notes, silver and silver
certificates. and gold or gold certificates, he pays
out only gold his stock of gold would diminish.
If on the other hand, he should pay out more
silver and paper and less gold, the character of
the reserve in the Treasury would be under the
control of the Secretary of the Treasury. There
would be no need Of legal tender if the one who
receives money be permitted to choose the kind he
will have That silver and silver certificates dis
place gold is true, but, only as treasury or bank
notes displace it. The withdrawal of 800. OOO,-
900 in bank notes, or the issuance of $780, 00O 900
has the same effect on gold as 80 much in silver
or silver certificates. Why has it been proposed
to withdraw national bank notes as means of
preventing expulsion of eold9
To the proposition that there now exist, or
ever have existed, under our Constitution, obi
cations specifically payable in gold, the silver
men feel it their solemn duty to enter their
most emphatic dissent at the very outset of the
discussion of this question. No such obligations
exist did exist. Webster said that gold
and silver, at the rates fixed by Congress, con-
stitute the legal standard of value in this coun-
try, and neither Congress nor any State has
authority to establish any other standard, or to
displace this The act to strengthen the public
credit, approved March Is, 1869, solemnly
pledged the United States to payment of its
A. W. I'll.
IA, 1870 provided for payment Of all
refunding bonds in coin of their present
standard value, which is the same as
present value. The resumption act of Jan. IA,
1870 provided that from and after the LIST Of Jan
nary. 1879. the Secretary of the Treasury should
redeem IN coin the outstanding legal-tender
notes BY the act of Feb %, 1873 providing for
resumption OF coinage of the standard dollar
silver dollars were made legal tender for all
debts and dues, public and private, unless other
wise expressly stipulated in the contract, and
there is not public obligation outstanding and
never was, containing a stipulation of payment
In gold. In january. 1873. Congress adopted the
following concurrent resolution, offered by Mr..
Stanley Matthews, then senator, now on the
Supreme Bench;
That all bonds of the United States issued or au.
thorized to be issued under said acts of Congress
her elm befoFe recited payable principal and in.
tercst at the option of the of the United
.eS III sH CT uouars Oh Ine coinage OF Ine United
States containing q grains each Of standard silver
ana hAt 10 restore to its coinage such silver coins
legal tender IN payment of said bonds principal and
interest il not in violation of public faith nor in
derogatlon OF the rights OF public creditors
The opinions of Secretaries of the Treasury
from 1878 down, arc referred to as authority
The opinions Of the Secretaries are valuable when
supported by facts and sound reasons. but
ought not 70 control unless they are 1t
cannot be forgotten. however that the same Sec.
retaries have steadily predicted what has not
taken place The friends of silver concur in the
opinion that it is most desirable to maintain and
continue the mass of our gold coin. as well as
the mass of silver already coined They are
agreed too that it is of momentous Importance
to prevent the coins of the two metals from
parting company but the two metals have al
ready parted company, under the influence of
silver decentralization in other countries and the
hostility OF the Treasury and the banks to silver,
In this. But that continued coinage OF silver at