Barbour County index. [volume] (Medicine Lodge, Kan.) 1880-current, 1892-08-10
Remarks OF Hon. VIM. A. PETER, In the
Senate, January 81, 1892.

Remarks OF Hon. Vim. A. PETER, In the
Senate, January 81, 1892.
That memorial comes from men of
the highest character, officially repre-
senting body composed of farmers and
other classes of working people, with
voting strength Of at least two an
half million persons Of every shade of
political faith on other questions, but
agreed on these: al That to the Gov
eminent alone belongs the right to pre-
pare and issue the peoples money; (2)
that Government paper ought to take
the place of bank notes in the currency
of the country; ~ that the only proper
and safe test concerning the amount of
money needed by the people is their
own reasonable estimate based on their
personal experience; AZ that the con-
troll of the financial interests Of the peo-
| pie ought to be placed and kept in their
own hands and wholly taken away from
particular persons and corporations; (5)
that the rate Of interest for the use of
money on long time ought to be the
same In all parts OF the country, and
that it ought not to exceed the average
rate of net profit Of business in the in
dustrial pursuits IS shown in the annu-
al rate of increase in the value of the
permanent wealth of the country.
| If it be objected that the plan prDpos-
ed by this bill would open the way for
dangerous imitation of the currency, it
may be answered that it is no more sub
| ject to this objection than the national
bank law now and for a long time in
force. The present bank capital, as the
COmpt-oner's report shows, would car
ry circulation Of about $3.50, 900 900, or
more than $500, 900 900 more than Is now
out. The banks could, if they choose
to do 80, increase their circulation to
an unlimited extent. BY act of con-
gress, January "a, 1875, the limit on
bank circulation was removed, so that
from that time to the present the banks
have had the legal right to increase
their circulation to any extent. There
is nothing in this bill more dangerous
than that.
In fact, sir, there is practically no
limit now to the imitation of money I'M
der the present system. Every bank
check represents money; every draft
every bill of exchange, every proDr.sso
~ note in bank, represents H1onev
Every mortgage on real estate and every
chattsl mortgage, represents money
The only limit to the amount of money
in use to-day, in one form or other is
the limit of the borrowers secnritv
What vast amount OF money would be-
saved to the people if. as is proposed in
this bill, the rate of interest were two
per cent.
|, concerning the probable depreciation
or paper money, 1t may be said that
whatever may have been the extent of
depreciation in paper money in other
countries, or what may have been the
history OF paper money experiments IN
this country, it will hardly be affirmed
by well-intormed persons that United
States notes issued during the war OF
the rebellion were treated fairly; that
their apparent fluctIaSlon in the mon
, ey market came from an inherent de.
feet in the money itself, or that in theil
case there was fair and honest test OF
the merits of that sort of money. Sen
atOrs now present remember that these
, were purpOSely deprecated by direct
legislation in order that they might be
used to advantage IN the purchase OF
r bonds. But there was another reason
for their depreciation and for theiI
seemingly frequent changes of value.
, read from pages % and % of Finance
Report, 1854:
{ THE experience Of the few past months car
not have failed to convince the most careless
: observer that, whatever may be the effect of q
redundant circulation upon the price Of coir
other causes have exercised greater and more
delet0rious influence. In the course OF q few
/ days the price of this article rose from about
$50 to e2.S6 in paper for 81 in specie, and sub
seQuently fell in as short period to $1.s7, anC
then again rose az rapidly 10 $3.50; and al
without any assignable cause, traceablo to al
increase or decrease in the circulation of pa
per money, or an expansion or contraction o.
. credit, or other similar influence on the mar
ket. tending to occasion f1uctuation so vic
lent. 1t 10 quite apparent that the solution Of
9 the problem may be found in the unpatrioti,
: ! and criminal efforts of spectators, ana proba
bly, OF secret enemies to raise the price of coin
: regardless OF the injury inflicted upon tn,
country. or desiring % intlict 1t.
All such attempts should be indignantfy
frowned upon by patriotic community ant
D the efforts of all good citizens invoked to coun
g teract such nefarious schemes. A law provid
: ing for the exemplary punishment Of comb
!, nations for such purpose might tend to vim
vindicate, if it could not fully protect, the pub
/ lie rights in this regard and should be- so ia
s a. possible rigidly enforced.
q But whatever success might attend any eff
a fort to check speculation in coin, or to coun
teract its injurious effect, it is still obvious that
. SO long as there remains large and increas
/ Ing necessity for its use. and a limited supply
n 1t Will command price commensurate Will
the necessity and the difficulty of obtaining it.
l. 1t was this specializing in gold which
= affected its value in the market. ant
It the money of the people was charged
IS with the gamblers crime. 1t is not true
: Mr.. President, that our paper none,
" deprecated, except In it's relation Il
# gold coin. Itremained at par with 9th
G er things from the hour of its issue. TIL,
l. business of the country was done on ;
y paper basis; gold and gold coin wer,
y commodities, dealt in the same as stool
,. and bonds. They were not money i,
n the sense that Government notes wer,
Is money. There was no gold money il
l. circulation among the people. Pape
money was used to pay the soldiers. t,
. pay contractors. to pay everybody il
it the ordinary trade Of the country. Pa
is per was used in the purchase of bonds
e Duties on imports and interest on tia
/, public debt were paid in coin, but moth
70 ing else was.