The advocate and Topeka tribune., 1892-09-21

In passing, MF. Secretary oeSAke 70
ask: III there has been no contraction Of
the currency since 1865, why did General
Logan make his able and earnest
speeches OF January and March, 1874S
Why have so many able and earnest men
of both political parties, in both houses
Of congress, and In the treasury depart
ment, declared or admitted the fact? Are
you not now, Mr.. Secretary, testing the
intelligence Of the American people too
severely, when you ask them to accept
your official statements in opposition to
the testimony Of so many statesmen and
fnanciers who have taught or admitted
the opposite? In short, Mr.. Secretary,
how do you account for the general fall
Of prices of labor and It's products since
1865, If there has been no decrease of
money as compared with population and
buslnessY
In 1883, Senator Plumb, discussing
this currency question, said:
But this contraction Of the currency, by means
Of the retirement Of national bank circulation,
has been going on for more than ten years, and
all the committee has 70 say now Is that lt has
considered some bill, but IL iS not completed. III
the committee Will not complete some measure
the senate must. 1fthe senate viii not and the
other house win not, then the country Ia going
upon the breakers OF financial disturbance. As
8 senator says In my hearing, ut Is there now"
think It is there now. We are dealing with
question which has more TO do with the welfare
Of the people of the United States, which ls OF
more concern TO them than any other thing that
lS pending In either house OF congress, OF which
can be pendl0g-the volume OF the circulating
medium of the country, the value OF it's property,
the differences between debt and BANKRUPTCY on
the one hand. and freedom from debt with pros
peTity on the other.
It Is estimated that there are In circulation,
including that which is locked up IN the treasury
and held In the banks 40 a reserve fluid, about
@l,6O0,O00,000, Of all kinds OF currency Of the
Unlte0 StaCaS gold and silver, the Overplug OF"
gold and silver certificates, greenbaCk notes and 4
than $6OOOO 100000 OF property which must
finally be measured by this volume OF currency. |
It has been contracted during the last year more
than per cent. In addition 10 all thai has 0c.
CURED by reason Of abrasion andlOgS No man |
can tell the volume OF graenbacks outstanding. I
NOminally ills $346, 100000 anda fraction, but |
that volume has been subject to all the accidents
which have occurred during the past twenty-five
out, lost, and It Is doubtful II amount Is really
over $500, 600 600 to-day.
But saying nothing about that, the retirement 1
OF the national banking circulation during the |
past twelve months has been s per cent. Of the |
total amount Of the currency outstanding. There |
has been during that period phenomenal de 4
probation OF the prices OF properly. There has |
been the greatest depreciation OF the price OF |
agricultural products the country has ever known |
The contraction Of the currency by per cent |
of its volume means the depreciation Of Che prop
erty Of the country $3,0OO0O0OO0 Debts have 4
not only Increased, buG the means TO pay them /
have diminished In proportion as the currency |
legislation have proved Of advantage to lenders \
but disastrous to borrowers.
The senator from Delaware (Mr. Saulsbury) \
the other day spoke with great feeling about the \
mo tgaglDg Of farms In this country. So far as \
that complaint relates to general condition, to 4
the lack and TO the shortcomings Of legislation,
It Is more nearly related to the diminished vol
ume Of currency than to any other one thing.
In June, 1890, Senator Plumb con-
tinued the discussion of this subject, as
follows:
ct us see, therefore, how much money Is
available for actual use among the people, From
the total Of 81, $50 100000, arrived at as above,
must be deducted an average Of $3.50, ,0OO, 900,
which the treasury always Keeps on handS and
about which something has heretofore been said
in the debate ON this bill, and that leaves as the
maximum which can by any possibility be uged
81 300, 100000. There ought, In fairness, to be
deducted from this $780, 000 90. error In estimate
OF gold In the country, which would reduce che
money outside the treasury to s1,15O 100000.
From this ls to be subtracted the $500 OOO, 900
kept as reserve, as before computed, leaving Q
balance Of $3.50 10000, which is available for de-
livery or use In the transaction OF the business OF
allthe people, or trihe over S8 per caplfas But
the for co OF my argument l9 not materially
weakened by conceding the gold coin TO be aB eS-
timated by the treasury department. which would
leave In actual circulation $70O,00OOO0. In order
to make up this amount all doubt must be re-
solved Ia favor Of the treasury and against the
people, both the doubt as to the amount Of lost
and destroyed notes and that az 70 the gold sup
ply.
IL were deciding this case upon what con-
slider the best evidence, would be bound to say
that believed the money In actual circulation
did not much, II at ALL exceed 100000 Upon