Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1891-02-05
Colonel whitehead to Mr.. Royal.
RICHMOND, Va, January %, 1871.
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Colonel Whitehead TO Mr.. Royal.
RICHMOND, Va, January %, / S9l.
To he Editor Of NE Dispatch:
Mr.. ROYAL has replied in an interesting
article 10 my last. He has ably, discussed
matters involved in flooding the country
with silver and answered many OF Inc
claims of detail by Sub-Treasury men.
But the Sub-Treasury plan IS not what
asked Mr. Royal to discuss nor the views
of the Alliance thereon. In the details or
the several plans Alliance men DIS
agree. The Virginia State Alliance did NOT
in Us platform advocate the Sub-Ireasury
plan. do not think that Alliance men
differ about the principle involved IN the
right Of the farmer to have all the pTlYi-
legcs accorded to other classes. Many
doubtless agree with Mr.. Royal in oppo-
sltlon to certain details, but wanted HIM
to FULLY discuss the objections Of the ALI
ance to the natiOnal-bank system, and 70
answer Judge Humans position on the
system. think, IN 1S74-l875. / do not think
he has done this. Doubtless he mistoOK
my request.
As place for the distribution of money
Treasury notes. to increase the currency
and give a sufficient circulating medium,
tbe principle involved in the Sub Urea
surv plan is rs constitutional and as just
and as good policy, and much more bene-
fetal than the national-bank system, and
need not cost as much as the interest on
hypothecated but practically pad United
States bonds or As the bonded warehouse
system Of the acknowledgements system,
which practically permits the distiller to
borrow the amount of tax due, often three
fourths the value Of the spirits. and hold II
several years without interest, and al
though the article is daily enhancing IN
|. faCr nd QIlnWp1
by the Government for the loss by such
evaporation. 49,, :,
do not materially disagree with Mr.
Royal in regard 20 the debasing OF coin
nor in tho imitation Of paper money that
has only the promise of banks. individual
corporations, or government TO pay, but a
circulating medium made of any conye-
nient material redeemable BY q stable
government and coin Of the Government
made legal tender for all dues, debts, and
demands, public and private, ~ different
thing from fat money. Had the Contede-
rate Government made its money legal
tender it would have greatly aided the
army and the people during the war, and
though destroyed at Appomattox the
country would have been out Of debt, and
our people would not have been turned
loose 10 prey on each other IN the courts.
ID would have been better whether we
lost or won. / admit that the Federal
Government was wiser than the COnfede-
racy on this and some other things, look
ing al it now.
The free coinage of the products of our
mines might have been more cautious and
wiser, but the principle would have been
the same. MIR. Royal admits that we have
not sufficient currency. He advocates the
national bank az the means to give the
people this circulation. / reply that the
banks trade and use as few of these notes
as possible. This il their interest. 1t Is
not TO the interest of banks or other asso-
Citations or individuals that loan money OF
invest u that money, no matter how good,
should be plentiful. Political economy
declares that interest should be low
when currency is plentiful and high when
il is scarce. Mr.. Royal says: But free
coinage will make the whole world dump
its silver on Us. because it can realize a
profit Of twenty cents on each 412H grains,
and then the enormous quantity Of It must
make gold disappear" Now this might IN
most part be answered by the statement
of patriotic old farmer when, Immediately
after the surrender, the absence of al
money raised tho currency question"
He said that good money was that which
would buy anything, and for which you
could sell eUayhiRg that the Confederate
money was the best he ever saw. He could
sell everything he made, from drledhuck-
leberry up, andget plenty OF Confederate
notes, aud if he had enough of them
from gold down" Now l take it there
was never money with less of in
trinsic value or more improbable I'M
prmGiur than the circulating paper Of the
Infant nation" and yet il answered az
good money, only the soldiers pay was
fixed too low. But leave this DEPRESSION
with the romantic and to US still dear past
Of our history TO call attention to this
fact, proven 10y that history. Suppose all
that old silver mentioned by Mr. Royal IN
bis curious inventory is brought here and
coined, and we get ~, 600 00O, 900 dumped
on us" what would be the result? Prices
would rise and interest be low; debts
would be paid in this legal tender. That
clearly would be the first result and that
would be good. Then it might depreciate,
and our people are not simple. They
would not invest or sell their gold. and it
would soon right itself because we
should have practically q corner in
silver IL it was all dumped here. and
those nations that are bimetallists would
need II, and unless there was greatly more
silver than the world needed for money
and for the arts it would maintain its par
not believe, aud there are no statistics 70
show, that the world does not need and
could conveniently use all the gold aud
silver in the world for coin and for those
uses that are as imperative or more 50
than money. Most of the evils cited by
MIR. Royal to happen from the free coinage
of silver were charged and 10 the gold
mem satisfactorily proven on the passage
Of the Bland silver bill. Every one, recol-
lects the statements OF gold men
that "wheelbarrows of silver dollars
would be rolled up our streets. No one
would want il. None Of their
prophecies came to pass. The 4l2i1 grain
dollar OF the daddies is welcome from the
cabin to the hall and goes easily at the
peanut-stand OF the bank. When France
was in the throes Of despair, confronted
by Germany's demand for 81, 000, 000, 900 to
release her capital from foreign occupation
appeal was made to her people, her pea
santry, her labor, and there came from all
over that country its bimetal currency
from holes and corners where silver and
gold had been boarded and bad this great
ransom az loan from patriotism. The
small savings Of people are nearly always
in silver and gold. Tue people have never
repudisted silver. The demand for moro
money. more circulation, clamorously
comes from the agricultural. industrial.
and leboring classes. II VIII have to be
decided. The party or parties that
oppose il viii be oyerthrown. The
fringe OF the tornado has been seen
aud felt in some sections. The wise man
said The prudent man foreseeth the evil
and hidefh himself, but the simple pass on
andare punished ldonot psetend that INC