Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1890-07-29
THE REAL WARNING,

The revolution in the Argentine Repub-
lie is made the common theme of sermons
in the press of this country, on the dangers
of currency initiation. The Argentine Re-
public is one of the most prominent exam
Piles of currency imitation at present exist
ing, the premium on gold having been 200
just before the outbreak and probably being
out Of sight now. This condition of things,
our mentors have been saying, resulted in
popular discomfort which has grown into
revolution and civil war. The warning
against permitting this country to drift into
the initiation of silver coinage has thus been
quite impressively set before the public.
1t is true that initiation had something to
do with the Argentine revolution, but it is
also true that the real cause of the outbreak
is not correctly stated by the sermon that is
most in vogue. This is unfortunate, because
if the active cause were correctly stated, it
might be fonnd to contain even a more
pertinent warning to the United States than
that concerning imitation. We may at some
time in the future be in danger of imitation;
but we are at the present time experiencing
the evil of extravaganza in public'expendi-
lures and political management which per-
mits the growth of vast fortunes at the ex-
pense of the people, by illegal and unjusl
methods.
If the Argentine revolution is studied it
will be found that its causes are stated in the
foregoing sentences. If the imitation of the
Argentine currency had been accompanied
by economical and honest administration, it
would have done no harm. But it permitted
and was caused by reckless expenditures in
excess of revenues. and gave ample oppor-
tunities for the manipulations by which
the recent President of the Argentine Re
public laid up fortune of SIC, 900, 900 in a
few years. It was this extravaganza and
enrichment of the few at the cost of tine
many that produced the revolution; and if
the revolution should correct those evils,
it will be hard to maintain the position that
it is to be deplored.
In this case the initiation was the method
by which the extravaganza and favoritism
of the Argentine Government were carried
out; but the pertinence of the warning
sgsinst lavish governmental expendi-
ures and political system which builds up
great fortunes, is not diminished by the fact
hat those vices are not strictly confined to
an inflated currency. This country has be-
fore its eyes a striking proof that while on
gold basis the appropriations of a single
session can outrun revenues to degree that
suggests the impairment of the sinking
fund or the seizure of q trust fund. We
have had for years the fact before us that
with stable currency great fortunes are
concentrated which should be scattered
among the masses, and that this is done
through the supineness Of our laws, by
means which the courts have declared lille
gal. We may, for the present generation,
rely on the ability of the United States to
correct these evils without resorting to the
South American method of revolution; but
If they are allowed to continue their work
unchecked, is it by any means certain that
our sons will find any other way Of throw
ing them of than by the one which is now
desolating Buenos Ayres?
The Argentine revolution has indeed a
warning for this country, and that against
imitation is not without cogency. But the
imperative warning brought by the news
from that country is that against the extrav-
agance that makes expenditures outrun
income and the favoritism which perverts
our system to the creation of great million
aires