Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-01-08
SMALL NOTES WANTED
There Are Entirely Too Many Half
Dollars in Current Use.
DEMAND FOR PAPER CURRENCY.
The Government Would be a Winner on
This Kind of Money.
TREASURER HUSTON HAS A SCHEME
rFRoM A STAFF CORRESPONDENT. !,

rFRoM STAFF CORRESPONDENT
WASHINGTON, Jan. THE bill intro
duced in the House by Mr.. Kelly, Of Kan
sas, providing for an issue of $50, 0O0, 600
of paper fractional currency, In denomina-
tions of 5, 10, 25 and 80 cents, has excited
some discussion, but it does not seem to
meet with much favor. Mr.. Huston, United
States Treasurer, said in regard to the mat
ter to-day: SIT is not to be denied that
fractional paper currency has some ad-
vantages over coins OF like denomination.
For transportation by mail it is ever so
much more convenient, and it does not suf-
fer loss of value ordinarily by wear.
''The loss by abrasion of the subsidiary
coins is enormous. You will hardly find
one that does not exhibit signs of wear
which signify an appreciable diminishment
in its worth. There are at present 2S, 00O,-
900 half dollar pieces in the sub-Treasuries
at San Francisco and New York, and will
venture to assert that something like IS per
cent of these coins are in a condition to be
considered as uncurrent, on account OF the
abrasion they have suffered. Not only do
such coins undergo destroying wear In the
hands OF the public, but in the process of
being shifted about the vaults in bags they
lose individual weight.
Demand for Small Currency.
"But the demand for fractional currency
is made almost purely on sentimental
grounds. People feel as if they had more
money when they have a lot of little bills in
their pockets, and the readiness with which
such small notes can be mailed in any sums
seems an advantage. However, there is not
much strength in this latter reason,
inasmuch as postal notes are purchasable for
the same purpose.
"Undoubtedly, we have too many silver
half-dollars and it is most desirable that
the surplus of them now lying in the vaults
should be recoined as soon as possible into
dimes and quarters The demand for dimes
in particular is much greater than the
supply, and the same may be said of nickels.
You see, two dimes and nickel will always
make quarter. On the other hand the
people seem to have more than enough half
dollars in current use. 1t is impossible to
tell just how many they have. We know
how many silver dollars are in circulation,
because we have not been coming them for
very long, but the smaller pieces have been
minted since the beginning OF things. OF
the fact that there are not en-. ugh quarters,
dimes and nickels we have positive knowl-
edge.
Treasurer Hustoon's Recoinage Scheme.
"My project, now before Congress, is to
charge up to the bullion fund the amount in
the possession of the Treasury of fractional
silver coins and likewise the Sc, 000, 900 of
trade dollar bullion, the aggregate being
something like S25, 900, 900. Supposing this
done, propose that the Secretary be allowed
to issue the entire amount in Treasury notes.
under the act of July IA, 1890, equal to the
par value of the fractional silver charged to
the bullion account and the trade dollar
bullion at its present estimated value.
"The Secretary would be authorized by
Congress to have the fractional silver and
the trade dollar bullion coined into standard
silver dollars, thus anticipating the ulti-
mate redemption of the Treasury notes. The
loss incidental TO recoinage should be
charged to the silver profit fund. The Gov
ernment ought hardly to interpose any OBJ
lection to printing fractional CURRENCY if the
people want it, lnasmuch as so much of it is
destroyed, or Tor other reasons never comes
in for redemption, that the profit on its
issue is very large indeed.
"Uncle Sam is many millions of dollars
ahead so far in clear gain on the small bills
he has given circulation to In the past
LIGHTNER.