Los Angeles herald., 1891-04-17
COIN OF THE REALM.
of What Shall 1t Consist and
How be Issued.
Western Financiers Elucidate
Their Theories.
Proceedings Of the Commercial Con-
gress at Kansas City.
Papers Read by Judge Torrey, Hon. A. j.
Warner, Judge Il. M. Widney
and others.
Associated Press Dispatches.

Associated Press Dispatches.
KANSAS CRY, April 16.-Papers were
read before the commercial congress to-
day by James Peabody of Chicago, Gen
eral Blair and others.
Jay L. Torrey of St. Louis reada paper
on Uniform Commercial Law, and de-
voted particular attention to thesubject
OF the bankrupt law. Torrey explained
the provisions Of the Torrey bankruptcy
bill, and promised that it would be be-
fore the nextoongress, with the endorse
ment of the commercial bodies all over
the country.
MONEY AND RANK CREDITS.
Hon. A. j. Warner OF Ohio addressed
the congress on The Relation of Money
to Bank Credits. He said there should
be a limit to bank credits. State
banks no longer had power
to issue money, but they created
money by the issuance of bank credits.
Since they arrogated to themselves the
function OF the state, they should come
under state supervision. At present,
bank credits in proportion to the actual
money in banks, was as from five to
seven to one. 1t was out of money
created out'ot nothing, that every panic
ever known had had its beginning. 1t
should be restricted to $3 Of credit to 81
OF actual money. Panics would then be
impossible. Take $1,000, 600, 900 from
the upper story of our top-heavy system
of bank credits, and broaden the foun-
dation OF onr money system by adding
81 900, 900, 900, or even $500,00O, 900, to
paper, and panic would be impossi-
of gold that is constantly
narrowing and its production diminish
ing, coupled with an over-expanding
system OF bank credit currency, subject
to expansion or collapse, as the intere sts
or cupidity of the banks may dictate, or
less credit and more actual money in
which confidence was never wanting?
JUDGE wrDNEy's PAPER.
Judge r. M. Widney, Of Los Angeles,
California, read paper on The National
Money System. The circulating medi-
um must be increased, said Widney, to
meet the growth of population, or the
business of the country must be killed
off until it is within the compass OF the
present circulation. There is not enough
money in circulation, and the want OF
money has caused a stringency in the
money markets. Free coinage would
not accomplish the desired result, for the
population was increasing too fast The
great objection to free coinage was that
the annual product of SAG, 100000 worth
of silver, when coined represented
$64, ,000, 900, or profit of $4,000, 900 for
the silver producers. That was of too
great local benefit to be of any benefit to
the whole people. The Farmers Alli-
ance scheme Of loaning money at a low
rate of interest, secured by land, was too
local and partizan to be acceptable.
wIDNEY's MONEY SYSTEM.
Widney would have system OF money
based upon the authority OF the people,
backed by the wealth of the people, and
administered for the benefit of the whole
people, using all the gold and silver, and
experimenting their use by legal issue
OF from $40 to $25 per capita.
Imitation, constitutional reputation
and the threatened change of
the gold dollar as the measure
OF value, were dangers to be contended
against. In order to overcome these
dangers and to give his system stability,
he proposed an amendment to the con-
stitution of the United States, provid-
ing for a national currency circulating
medium to the amount of $50 per capita.
as shown by the census of 1890, and
QQph of1noandinn Gov La
redemption of which, when required,
nation are pledged, for which resump-
tion congress, by two thirds vote Of
each house, may provide for the collec-
tion of government revenues for taxes in
gold and silver coin. Said currency.
with gold and silver coin of the United
States of the present weight and fine
ness, the gold dollar being the standard
unit of value, and such notes as NAV be
issued in lieu of gold or silver coin, and
inibullion held exclusively for the re-
demption thereof, shall constitute the
only legal money of the United States.
Congress shall have no power to in
crease or decrease said issue; provided
that after the issue of 1900, congress
may, by a two-thirds vote of each hOuse,
reduce the rate OF further issues.
Other addresses were made on the
subject OF money.
In the evening reception was ten
dered the delegates at the Commercial
club.
THE RESOLUTIONS COMMITTEE.
The resolutions committee completed
its work this afternoon, and the report,
which was not unanimous, will be made
tomorrow. The majority and minority
agree, except on three resolutions, viz. :
Favoring the free coinage of silver
favoring the issuing of legal tender
notes, redeemable in gold and silver, in
q quantity sufficient for the business OF
the country; fayoring a tariff for revenue
only.
The minority opposed those resolu-
tions, and will present report thereon.
The other resolutions praise Secretary
Rusk's conduct of the agricultural de-
partment, and favor the general i'm
provement Of the Mississippi river irri-
CATION by the national government. of
arid lands, the contamination of treat
les Of reciprocity with the countries with
which the United States exchanges
products; the construction by the fed
eral government of deep water harbor
on the Cult Of Mexico.
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