Democratic Northwest. [volume] (Napoleon, Ohio) 1869-1894, 1886-08-12

that all DEM we're not presented
the same d. y, or, possibly, the same
week or mo, h, and equally fortunate
that the notes Of the Government were
more desired than gold or silver.
I repeat, sir, 1t is credit more than II
is cash that gives to the Government
its stability and strength. Why, sir,
unless we use this surplus there is
nothing in the Treasury to pay our
per cent. bonds, amounting to $l94,
100, 800. These bonds are payable at
the pleasure Of the Government and
ought TO be paid from time to time
from what the Treasury accumulates
over and above current wants. Unde-
sirable as these securities are in money
ed circles they are worth premium,
although there is no fund in the Treas
ury for their redemption and the in
terest upon them may cease at any
moment. These per cent. bonds are
held largely by the national banks.
They own S13S, ,920, $50. This amount
they have on deposit in the Treasury to
secure their circulation.
It is said If we approprite this sur
plus as contemplated by this resolution
these bonds, or $40, 900 of them,
will be paid and to this extent we con-
tract the circulation of these institu-
tions. This we are admonished would
be public calamity and would greatly
disturb the business interests of the
country.
National bank-note circulation was
contracted So, 4,047 In 1888; in 1884,
$24, ,170, ,476 and in 1885, 5,545, ,461.
This contraction has not affected per-
ceptibly the business of the country;
and it will go on without disturbing
values or interests whether the surplus
remains in or is legislated out of the
Treasury.
1t is, sir, but question of time when
national banks will cease to issue
circulating notes. This easure if 1t
becomes a law will, / believe, hasten
the day, and for this reason among
others / favor it.
We can give the people better paper
money than national-bank notes-pa-
per money with legal-tender value,
which for all ordinary uses our people
prefer to silver or gold.
The passage of this resolution will
not disturb in the least the monetary
interests of the country. They who say
otherwise are false prophets. The
same gentlemen who prophesy that
trouble will come If the surplus is
taken from the Treasury and put where
it will get back into the hands of the
people told us eighteen months ago
that the further coinage of silver would
precipitate financial crisis upon the
country. Since then $39, ,474, ,258 have
hanV1 antnnd nnI Tho nrsafo hOa nnk ~
appeared.
This crisis they predicted again in
February last unless this coinage was
Immediately stopped. Still, silver dol
lars are being coined at the rate of ST.
600, 900 month, and no crisis has come.
The resolution, it will be noticed, pro-
poses to apply the surplus in sums of |
not less than $10,000,000 per month. |
Under the most favorable circumstances
seven months must elapse before all of |
the surplus is paid out. Within these
seven months, If the receipts of the
Government for the current year be as
large as estimated, there will be q sur
plus therefrom of $17, ,500,000 So that
at the end of the seven months the
Treasury will be weakened but $50, ,500,-
900. Surely the absence of this sum
can work no embarrassment to the
financial operations of the Government.
Then, again, but $40,000,000 of this
surplus can be used before Congress
will meet. Then, if thought best, the
payment of the remaining $4,000, 600
may be stopped.
The opponents of this measure fear, so
they say, that if the surplus be reduced
S70, 600, 900, even at the rate of $10,00O,-
BOO per month, there may be times
when the Treasury may be unable to
meet current demands. Its receipts
are over 81 ,000, 900 day. Ifthe receipts,
with other resources not set apart for a
specific purpose, will not make suf-
ficient working balance, there can be no
tenable objection to using temporarily,
and until this balance is obtained, what
The Government may hold for differ
ent purpose, If it be necessary for the
proper administration of public affairs.
We have in the Treasury 100000, 600
ct apart for the redemption of the le-
yal-tenders issued by the Government.
This fund has been in the Treasury for
his purpose since 1879. The amout of
egal-tenders redeemed from this fund in
,even years is very small. There is rea-
ION to believe that this money will be
die in the Treasury for many years.
Although in one sense 1t is held in trust,
ind therefor, in strict law, can not be
lsed except as specified in the trust,
Tetits use by the Government in whole
" in part, temporarily only, to meetan
or unusual demand upon its
Treasury would not be regarded as dis i,
lonest o. dishonorable by the consid-
rate Judgment of the country.
Plainly, no one, except he be the
lolder of greenbacks, could of right
The question is wholly out
ide fthe law governing individual or
trusts, and outside, too, of
What may be rightfully esteemed a
,reach of the public faith.
The chairman of the Waysand Means
Mr.. Morrison1 told us on
that t. $59, 100000 - the
redit of the p Office Department,
nd in the hands - disbursing officers,
night be used if needed in the current
transactions of the Treasury. Relying r
pon the unquestioned statement, why /,
hould we hesitate to do what the pend
ng resolution proposes? I;
Is it not evident, Mr. Chairman, that :
ny fears that may be entertained that
he passage of this resolution may leave
he Treasury without sufficient work.
ng balance are groundless? The situa-
ion of the Treasury in the absence of
his surplus need give no one alarm.
Nhe mistake, if this measure should so
MOVE v,oou hn roadilv 0crrontod TIN.