The daily state chronicle. [volume] (Raleigh, N.C.) 188?-1891, 1890-07-18
Is THE ST U;s-TREASUAI BILL DE-
SIifAI5LEt
Especial Cor. STATE CHRONICLE.

proposed Sub Treasury bill, Twill in this
give some reasons why [ think such
legislation is, at this time, desirable.
The legal tender quality of the nat
ional treasury notes was adopted AS
war measure, aud the necessity Of the
occasion seems to have had great weight
with the Supreme Court in upholding
the legislation To me the present de- |
pressed condition of the agricultural
classes of the whole country is a danger |
no less alarming than war.
The Sub-Treasury plan, |, at first, |
thought too cumbersome; but upon |
mature reflection, | am of the opinion,
that il is a scheme, we'll adapted to the
conditions of our country. No one sup
poses for an instant that the whole crop
Of the country would in any contingency
be placed in warehouses: No; only that
portion Of it that was intended for
market, and at no time would all of the
crop intended for market be SO placed. !
| All the crops that are intended for sale
have to be carried to market anyway;
and these warehouses would naturally
bc located in the market towns, or if
not, . market would be created by the
location, ald this OF itself, Nhe accumu
lation of large quantities OF produce in
one place. would, enhance the prices by
drawing purchasers, and increasing
competition between buyers.
The deposit Of agricultural products
in warehouses, and the issue of certifi-
Gates of deposit thereon, which would
have the character of money, would
give us al elasctic currency such as no
other suggested system would. Say,
hat i'll any given community, 1,0OO,
600 worth Of produce was deposited,
there would be issued, and thus put in
: circulation, $500, 900 worth of certificates
Of deposit or money IN that community;
then, if when the price was favorable,
say 5000, 600 worth Of this produce was
sold, there wouldibe S4O0, coo of this cur
] rency, or some other kind Of currency
, returned to the treasury Of the United
States, and the currency Of that com
Muuity would be contracted just
g rhat much. Thus We see that by
this syst n we would have all elastic
cHrreaen; capable Of c9utracting or cS-
panaiu- to oust tae actnai lNigenccs of
j, trade; and. We would not be liable to
= lause artificial Con}EIcjIOnS or eX"al-
SionS caused by the sche emlu2s Of Specu
l. iatOrs, nor the unnatural surplus II
times Of business stagu&uon; and sttl1
gencv u iLn f active business move
. ments, such rs the moving of the crops
+ and such like occasions that We LOW
3, have. II 81 600, 600 worth of silver l.
~ sold TO the government, and 81 ,OO0, O0(
!. of money paid therefor, these 81 goo, ,OOt
= of money are in circulation for all time
J, and it follows that if it is not too mucf
)r for the dull season it is not enough fol
the active season. Hence, these unnat
ural but necessary fluctuations in price:
of produce. Hence, the necessity, /
may be, Of the Secretary of the Treasur.
as having to come to the relief of tn,
dealers SO often.
| am free to confess that under til
y provisions of the Sub Treasury plan d
u u not see how there could be suflicienc
I,> ID of currency in any given community i
- - a year Of bad crops. There would,
- seems to me, have to be some additiona
- crops such as the deposit of other pei
"a a. sonal property, or real estate securities
- The fact is, as money is only a repre-
'e' sentative of value, | see no real reaso
why every dollar of value should nc
! :: nave us representative
40 no AS it is the duty of the general go'
po ernment to furnish q currency to tt
nc nc country, and as the present currency
.I1 i'11 based upon the debt Of the governmen
III and as the debt is being rapidly extil
guished, it follows that some other bas
nj must be found upon which to rest tt
currency.
| know that we instinctively turn
gold and silver as basis for currenc,
or for currency Itself; but the busine
Of the world and its population arr "a
idly increasing, while the supply OF 5
yer and gold are rather diminishing
its annual supply. 1t seems to ~
therefore, that we will in short VIII
its have to look elsewhere for our basis
currency. The farmers III council su
gest the Sub Treasury plan. Who W
J., suggest better?
" Gold nor silver, either, have any
I'M trinsic value, such as corn or cOttC
les, You cannot eat either, and neither W
ion warm you 1t is their use as 1eprese
-, tatives of value that makes them SO US
''n ful.
;on- In the American Cyclopedia there
an very telesting article on None
Ices from which we make the following
am tract: 'Furt her, on the testimoney
rvs Thomas Barring, We are assured that
am was found impossible during the cri
nes- of 1S47 in London to raise any mon
whatever on a sum Of 100000 Of silv
During similar crisis in Calcutta
0. 1864 it was equally impossible to ra
IcLE even a single rupee on sec, 600 OF go
,ino The former was not legal tender ab(
forty shillings, while the latter was
for any sum whatever" For fear
growing too long; and not being It
and, therefore, not passing current
will close with the intention OF retu
ing again to the discussion OF this 81
ject if the occasion permits.
Yours truly,
fear- ". G. MUNKOE
troot Goldsboro, n. c., July 10, 1890.
no. Getting III OF Again.