The Wichita daily eagle., 1891-09-30
WHAT PLUMB SAYS.

There has probably never been an Al
lance speech made In Kansas that did
not deal with the financial question, and
there have been very few which did not
quote Senator Plumb as saying that the
amount of money in circulation was not
over S8 or SO per capita. If the reports
of the secretary of the treasury are
pointed to, showing that the aggregate
and per capita circulation has been
steadily increasing since 1860, and that
the money now in circulation is $23. 40
per capita, the Alliance orator will tell
you fatty that the secretary of the treas
ury doesn't tell truth. If you ask him
how he knows, he invariably replies that
Senator Plumb said in senate speech
that the circulation was only $8. 1t is of
some interest in this connection to hear
from Senator Plumb himself an expla-
nation of the statement attributed to
him and we have it in recent letter to
the Manhattan Nationalist. Mr.. Plumb
says:
II did say in a speech made in the
senate, and for the purpose of securing
favorable action upon the proposition to
increase the amount Of circulating me-
dunn outstanding, that the quantity of
currency subject to manual delivery at
given time was or might be very small.
probably as small as the sum which he
named, say IS to SO per capita. At the
time l spoke did not have access to the
proper data showing the amount of
money held by banks as reserve. As
you perhaps know, the government has
no control over the operations of state
banks, and no way is open to the gen.
eral public of ascertaining what amount
of money they do keep III reserve. Pri-
vate banks do not publish statements of
their business. In some states incor-
porated banks do not, and therefore the
amount of money which they keep on
hand as reserve against deposits can
only be conjectured
"There is of course large amount of
money constantly in transit from place
to place. Considerable sums are kept in
treasures of cities, counties and other
municipalities, and of course people keep
money on hand from time to time be-
cause they have no present use for it, or
desire to save it for contingency. Any
money thus locked US for the time being
may be said to be available for actual
circulation at the time. But these are
conditions that exist everywhere; and
after all the question is not whether a
certain sum of money, large or small, is
in circulation, but whether the amount
is enough to properly transact the busi-
ness of the people.
''At the time I made the speech under
consideration, the currency had been
contracted by the Cleveland administra-
tion to the extent of per cent. of its
volume by the unnecessary and wicked
Withholding in the treasury of
money which had been collected
from the people in the shape of taxes,
and which the law intended should be
paid out in the discharge of public debt;
first, in order that interest might be
saved, and secondly, that the money
should be returned as quickly as possi-
bic TO the channels of trade. 1t would
be egotistical for me to say that my
speech had anything to do with subse- |
quent results in the way of legislation,
but the last congress passed bill which |
not only provided for a continued per-
manent addition to the volume of money |
of about $4,000, 900 per |
month, but it also provides for the dis
out of the treasury of nearly |
$50, 900, 600, before that time held there |
for a purpose which congress deemed |
And in addition thereto, |
Mr. Window, as one of the very first |
things he did after coming into office, |
paid out over $60,000,000 which the
Democratic administration had unnec-
essarily boarded, and by reason of
his action and the legislation spoken of,
more than a hundred million dollars was
almost Immediately added to the volume
Of money in the country and the perma-
nent monthly increase which have re-
ferred to is very considerably in excess
Of the increase In population. The |
of money per capita In this
country is today larger than it ever was
before, and it is constantly being added |
to at the rate of of s., 200, 900 per month
by the issue of legal tender notes based
upon the purchase of silver, and in ad /
lition, to the extent of about $50, 900, 900
per annum by the free coinage of gold,
and these sums will undoubtedly be
added to in the near future
by the pay ment to our people of gold
and silver for the surplus crops which
.hey will sell to foreigners.
at is well to bear in mind in this con-
1ection that with single exception the
asst congress was the only Republican
congress which has assembled ia this
country since 1874. So long as the house
was Democratic and the senate Repub-
ican, there was little or no op-
Dortunity for the enactment of important
legislation, but the moment the Republi-
ans caae into full power they made use
IF that power to legislate upon a great
number ef important questions, which
lad before received little or no attention,
o an extent which warrants the state
nent that the last congress was the most
fruitful of measures of public importance
lirectly beneficial to the great mass of
he people. of any congress which has
assembled since the war.
with time permitting would like to
mention in detail the various measures
passed by the last congress which enti-
led it to commentator, and the Repub-
lean party to a new lease of power. The
lext congress will not legislate, nor will
t attempt to do so. upon any matters of
Importance. Those who oppose the Re-
publican party generally abuse it without
attempting to suggest anything better.
Truly yours,
p. B. PLUMB.