New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1889-11-28
ARGUMENT OF JOHN JAY KNOX.
A REPLY TO THE RECENTLY PUBLISHED VIEW

OF MR.. ST JOHN.
reply to the views on the silver question recently
published by President ST. John, of the Mercantile
National Bank, has been made public by John Jay
Knox president OF the National Bank OF the Republic
Nj Knox at the start refers TO his advocacy While
Controller of the Currency, of the retirement OF ue
Legal ender notes and the issue Of National Bank notes
in their place lie shows that the pledges OF congress
10 pay the Government bonds and us notes I'D COIN
must have meant gold and not inferior currency
as the silver dollar had practical existence IN loo9
when the action taken. Opposing the ldea OF
increasing the coinage of silver dollars Mr. Knox says
The larger part of the 263, 900 600 silver dollars
now in the vaults Of the Treasury VIII pfOpaDiy
remain there permanently unless they are DiDusn'
out for the purpose of being Sold or Tor recOlhase
Not one, not the most persistent advocate Va
silver proposes to use any large amount OF inc sver
dollar in business transactions II tender was 10 De ies
ally made of Thousand dollars Treasury notes or go
coin would always be used I'm preference. because the
can he more conveniently handled than seventy-One
uam ~ eiIver doIiars No business man would
continue manufacture millions OF ngOts or
of silver at an expense OF per CEN, W ,I b,,om
itself could be more safely held IN large msss1, In
bullion in mass is a safer collateral h@h 'no cum
After defending the credit back OF the National Bank
notes and the legal tender notes, Mr. Knox coNmues
MIR St John is sangulne that the purchase OF S4oJ
600 900 worth Of silver annually Tor nine fedIs aia
lis coinage at great expense VIII rapiuS ennSc ,
value of silver Equally sanguine we're the advocates
OF silver coinage ten years ago Wneh We pcran ~
purchase of ga 100000 annually, PAT te Icsul md
decline IN its value. ., l.. ,.,.,
We do not assent 10 the proposition that legisa-
Ton can be obtained compelling the secretary OF me
Treasury to increase the purchase or silver 70
"a 600 600 month. Even if such LEGISLATION should .
PASS we NAV reasonably expect the Pesident OF the
United States interpose his veto or al least Ge-
cline give # his approval, az President CIan ee
clined 10 approve legislation Of similar charsc'G
in the year le74 -, ~. 49,
We do not believe that the National Bank Notes are
all TO retired. II is probable thar legislation can
and will be obtained authorizing the issue OF cIlcha-
ton 10 the banks at the rate Of par on bonds worm
lo7 I'm the market and authorizing eact bank 10 re-
duce the bonds required TO be held as basis for
circulation 10 a minimum amount Of S1OoO TINS
would give the banks freedom Of action In reference
TO their own issues, and probably result IN contnu-
ing the present excellent National Bank circulation
until the per cents all retired IN the year 1907
Mr. Knox also opposes the idea of making silver
certificates legaltender for private obligations. He
adds:
There is really no prejudice among bankers or among
business men anywhere against silver COIN or SILVER
as a material for money, but they do object to all e1
periments, and particularly 10 experiments upon
large scale 10 be continued for series OF years when
almost sure TO result In degrading the standsfu Oh