Morning journal and courier., 1890-06-04
THE FlPTY-FlRsr CONGRESS.

THE FIFTY-FIRsT CONGRESS.
Further DiscussIon of the silver cues
tion-Mr. Pugh of Alabama and Mr.
FarWeI of Illinois Both Favor Free
Coinage - Several Calendar Bills
Passed-EIeetl0n Case In the House.
WASHINGTON, D. O., June 3.-After pre-
iminary business the silver bill was taken
up and Mr.. Pugh addressed the senate. The
able speeches, he said, made in the senate in
favor offree coinage left him but little to
say. The people did not care 30 much for
theories as they did for facts. The enemies
Of silver used no weapons but theories. Their
arguments were always based on theories,
predictions and dogmatio assertions. But
silver, like truth, when s'orushed to earth
would rise again." For himself, he was
strongly in favor of making money more
plenty. 1t had been long time since the
United States had anything like redundant
circulation. The people had never suffered
in any age or country in commerce, trade OF
otherwise from having too much coined
money in circulation or as the basis OF cir
culation. There could be no depreciation In
the unit of money value combined OF gold
and silver so long as the unit was declared
by congress to have the value of dollar.
The only way that the ingenuity of shy
lock could devise to destroy silver and gold
as just measure of commerce and
exchange and as standard for the
ful6llment Of contracts was to sepa-
rate them and to make either a
commodity. That was the plan that had
been resorted to and put into operation in
1878 clandestinely by the enemies of silver.
Mr.. Pugh quoted from the English fnancier,
Mr.. Goschsn, statement that the fall of the
Romaa empire was largely brought about by
the lack of sufficient circulation of money
and the absence OF an expansive currency,
and he said that the United States was now
confronted with a great financial phenome-
non. In the near future, he said, the entire
output of American gold and silver mines
would be insufficient to meet the demands of
increasing population and wealth, and the
United States might soon be in the position
of the Roman empire when the debtor
class would become clamorous for re-
lief laws, made necessary by the
insuficiency of the precious metals
to furnish currency. The necessity
for more expansive currency WAS perfectly
apparent, and its existence could not ba ig-
nored by congress. That necessity could
not be met by any legislation that came
short of making available the entire supply
Of American mines to secure a circulation
sufficiently expansive to meet the demands
of the people and to satisfy their reasonable
and legitimate wants. He should therefore
join his vote to the votes of those who were
in favor of free, unlimited and compulsory
coinage of gold and silver bullion.
At the conclusion of Mr.. Pugh's speech,
the silver bill was temporarily laid aside and
several senate bills,wers taken from the cal
sndar and passed.
The silver bill was again taken up and Mr.
Farwell addressed the senate. He declared
himself in full accord with the purposes OF
the bill, but said that he was in favor of
going still further. He would use for money
all the silver offered and not stipulated sum
as provided for in the bill, and he would
coin 1t at its market value. II the price OF
silver should advance to par with gold (as the
friends of the bill claimed it would) then free
coinage would come as q matter of course.
What objection could there be, he asked, to
putting in the silver dollar 100 cents worth
of silver9 What difference would it make
to anybody if dollar were made intrinsical-
ly worth one hundred cents. The people
could not have too much money. But in his
opinion the bill would not accomplish Its
objects. Two other things were necessary.
The national bank system should be pre-
served and the sub treasury system abolish.
ed. When these measures were adopted the
people could get all the money they needed
The issuing by the government under the
pending bill of treasury notes with silver
bullion behind them as security, furnished G
circulation that was absolutely safe and
could not be redundant, and would still sup.
ply the monthly retirement of the national
bank currency. The national bank system
should be perpetuated by substituting othel
bonds than United States bonds to secure cir
eulation. This would go very far farther thar
| any other measure that he could conceive-of
| to increase the volume of currency. Thu
| people would then utilize all the best bond
| OF the country and would procure such cir
| culation as the business of the country de
handed. The treasury notes to be issuet
under the bill would add largely to the cir
culating medium but should any great for
eiRn demand be made for silver after itrsache,
| q par with gold that circulation was liable t
be reduced SO that the pending bill alon
| could not be depended upon to furnish tn
requisite circulation. The issues of the gov
ernmsnt Gf the revenue continued at it
bonds would be paid frst and then tn
greenbacks. He did not think that the cir
oulatihg medium of the country should
governed by the needs or the debt of tn
government. He did not think that it wa
within the province of congress to deter
mine the amount of the circulating medium
But some law like the national bankin
law should be the means by which the pee
| ole could determine that matter for them
| selves. If the present admirable bankin
system could bs permitted to live ther
| would be no demand (such as was now mad
| by senators) for an increase of money
Under 1t the people would get all they wan
ed. The universal law of supply and d.
mand would apply in that case as in a
,, others. he had offered an amendment
the bill providing that all the issues of th
II Oh ha ,1orf ny q
! debts public and private. He did not b.
lieve that tho government should discrim
nate In favor of one of its Issues against ar
:. 1 other. The government was strong enous
and rich enough to pay all OF
debts and hence all it's issues should be leg
tender. For that reason he had offered b
amendment. II the Independent trsasu
system could be abolished, then the mon
Of the people would substantially be left
: their hands. That which was left in Il
) government vaults might just as well ESQ
= as its being of any benefit to the peor
was concerned) be destroyed. His object
favor of the abolition of the ssb.treasu
was to have all the money of the people
9 the channels Of business, as it was before Il
passage of the independent treasury act
. 1910. The money now in the sub-treasu
er's hands would, if deposited in the I
n tional banks, add largely to
u volume of currency for business pr
q poses. He would not advocate t
,. deposit of the government revenues with
national banks without adequate security
70 the whole amount deposited. That won
Q certainly be much safer than the prese
9 system. Another reason for the char
10 would be that the money would be handl
by the national banks without any cost
g the government, and the saving thus effect
y would aggregate several hundred thousal
He did not favor the repeal of the indepel
x ent treasuary act for the purpose Of benel
Is Ing the banks. His purpose was wholly
70 the interests of the people and to more
the circulation for their benefit.
IL At the cloae of Mr.. Fsrwell's speech
a. silver bill was again laid aside and tho fol
70 fcations bill was taken up.
- An amendment to increase the appropl
40 ton for rifled sea.cosst mortars from $2s
.. 600 to $500, 900 gave rise to discussion
or which the exposed condition of Ameri
~ seaports was described by Messrs. Dawes
40 Hale and their approximations were ridden
70 by Mr.. Cockrell.
10 After discussion and without disposing
ot the amendment the senate at 6 pm. adjou
llc ed until tomorrow.
After the transaction of routine BUSH
the house proceeded to the consideration
-. the Alabama contested election of McDt
IRA vs.. Turpie.
"a, Mr.. Comstock of Minnesota opened