New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1890-02-07

For some week; it has been reported that
the Bank of England was about to issue notes
based on silver. II seemed 50 strange that the
Government and Bank Of England to which
the dcfca. OF all international! movement,
toward bi-meialliSm for years has been chiefly
due. should take "A step so distinctly IN accord
with bi-mctallic theories that these reports
were scarcely credited. But they have been
repeated from many sources, and appear 70 be
confirmed by information that the notes which
il is proposed TO issue have actually been print
ed and that only the formal authorization by
Government is awaited 1t is stated that the
amount 10 be issued is $50, 900, 900, and the
notes are TO be based upon coin and not on
silver bullion but it is not yet authortauvely
stated whether they are to be redeemed other
wise than in gold, a other notes are redeemed.
If the notes are 70 be redeemed in gold. the
practical effect will be to put ont "A larger
amount of notes against given gold reserve
No one will expect that the notes will be pre-
scented by any holder with demand for the
silver coins, excepting in peculiar states Of the
circulation when more small coins may Ice
temporarily required. It Is to be presumed
that. like the American silver certificates, these
notes will obtain ready circulation solely be
cause of the power to get gold for them at
pleasure. In this country, through the opera
ton Of the custom houses and other Offices OF
taxation, the silver certificates can be virtually
redeemed in gold at the option Of any holder
for if he has not duties or take, 10 pay him
self he can dispose of the certificates to others
who have Whether the proposed notes are
TO be made receivable for taxes IN England l.
not stated, and presumably they are not, though
it would hardly be greater departure from the
traditional English policy than the mere issue
of notes with no other basis than silver coins
worth as metal about - per cent less than
their nominal value
This would be a step backward, because il
would tend away from and not toward inter
national solution of the monetary problem
Notes based on silver bullion at its market
value might speedily become acceptable in all
civilized nations, and might form kind Of
international money. Their issue would sup
ply an induccmcnt for the purpose Of silver
bullion by various Governments, and thus
would greatly increase the demand for silver
ir monetary uses. The apprehension is often
oppressed by opponents OF Secretary WindOm'S
plan that, if it were adopted by the United
States alone, it would soon lift the price Of
silver bullion and aicrward cause "A greatly
increased production Of that meta. But Il
similar issue of silver bullion by several com
mcrcial nations would doubtless advance the
price, not temporarily, but permanently to
some extent, and thus would go far to solve
the silver problem.
The issue Of notes based on over-valued coin,
on the other hand, would be Of no practical
service whatever as the experience Of this
country has demonstrated. The silver is never
wanted in exchange for certificates, and would
not be taken in exchange for such notes as are
contemplated in England, and the only actual
redemption would be in gold TO increase the
volume OF paper currency depending for actual
redemption upon gold reserve confcssedly
too narrow would be "A strange course for Great
| Britain 10 take, so that, in the absence of fur
ther statements as - the details of the plan,
! the accounts published must still be received
with some distruSt But the natural doubts
with which shch reports about the British Gov
ernment are received suggest the question
whether Continued issues Of silver certificates