Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1892-02-03
WEDNESDAY. FEBRUARY 8. 1892.
Currency Thinkers.

Currency Ttnkers'
We suppose 1t may be said truly that no
other great country in the world is in &c
good financial condition as the United
States. Among the advantages which We
should possess over Chile in case OF o war
between us and that country would be our
ability to borrow on good terms thou
sand millions of dollars if we should need
SO much money. and her inability to Dor.
row one tenth that sum, or perhaps
any sum at all, unless at high rate Of IN
terest on bonds which would even then
sell for less than half their face value.
Our banking system is far better than any
other we ever had in this country pre-
vious to its establishment. For about
thirty years 1t has been in operation,
and has been so successful that no
note-holder has ever lost dollar by the
failure of national bank. Practically, it
10 free banking system. 1t is by no
means monopoly. The banks are favored
(if at alD only in the interest of the public
and not in their own, and restricted Gf at
alb not in their own interest, but IN that
of the public. We read now and then OF
the failure of q national bank, but never
trouble ourselves to examine the bank
notes in our possession to learn whether
we have any notes on the broken bank or
not. Why not2 Because we feel absolute
confidence that the government has taken
care of our interests IN the matter. Per-
haps, therefore, instead Of saying that We
have the best banking system we ever
had, we might say truly that we have the
best banking system in the world.
And yet We are not content with our
banking system. First ono and then an
other OF us is always proposing to substi-
tute for it some pet scheme of our own.
A day or two ago Mr.. WATSON, OF Georgia,
laid down in the National House of Repre-
Alliance party. He demanded. among
other things, that the national banks
should be abolished as banks OF issue.
What substitute did he propose? He de-
handed that the government should issue
greenbacks to the people practically free
of cost. We might say of this schemethat
if the money issued under it should prac-
tically cost nothing it would practic ally
be worth nothing. The cheaper the money
the dearer the commodities purchased
with it. II at present workingman
has TO labor three or four days to
make money enough to pay for barrel of
-four, he would, under Mr.. WArsoN's
scheme, have to work week or two to ac-
complish the same object. If under the
present system the farmer paws five cents
pound for sugar, he would. under Mr..
WATsoN's scheme. have to pay twice as
much. The rich would rapidly grow
richer and the poor would rapidly grow
1s63'65 the evils of an irredeemable
currency Pa currency issued directly to
the people practically free of cost? Why
should any man desire to repeat that expe-
rience? 1t is true now. as it was then, that
&c nihilo nihl fl. "Out of nothing, no.
thing can be made" by man. II we make
money cheap. we reduce its purchasing
power. Nay, let US not call it money
that Mr.. WATSON desires to substi-
tute for our present currency. II would
not DO real money, but fiat money. 1t
would not be gold, nor silver, dor redeem
able notes, but greenbacks made full
legal tender" as the nincompoops phrase
it, by law, and never to be redeemed any,
where or by anybody. Thus we should be
engaged in trying to lift ourselves by the
seat of our own pantaloons. We should
throw away the most valuable financial
system we have ever had and put into Its
place thing Of shreds and patches, or, to
illustrate the fact of the case, we should
wear green spectacles as means of making
greenbacks look like real money. We
should saw of the limb Of the financial
tree upon which we were seated.
Mr., WATSON also demanded that the
coinage of silver should be made free. OF
course we have no objection to offer to
this proposition-thst is, If it be made at
. proper time. But the present does not
seem to US to be such time. With Re-
publican Senate and Republican Presi.
dent barring the way, it does not seem pos
slble to secure at the present session OF
Congress law providing for the free CON-
age of silver. The bill would have TO run
the gauntlet Of secret or open opposition
even in the House of Representatives
which. though it boasts of Democratic
majority of two thirds, has among even its
Democratic members number opposed to
the measure in question. If such a bill
ever reached President HARRISON he would
veto Ii. Before we pass free-coinage bill
we must elect a President of the United
States favorable to that measure. 1t is
sheer hypocrisy to pretend that We expect
to secure its approval by Mr.. HARRISON OK
by any monomstsllist. The people must
help themselves in this matter. If they
wish for free coinage. let them say 30.
MIR. WATSON also demanded several
other measures-one or two of them not
being financial schemes. He would have
United States senators elected directly by
the people. We do not object as at pres
ent advised. We do object to his sub
treasury scheme. He demands o grad
uated income tax, This would be the
fsirest and least oppressive of taxes il it
could be made to boar upon all persons
who ought to pay it. But we cannot see
that this Is possible. However, we will
"consider of" the matter.
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