The Goodland republic. [volume] (Goodland, Kan.) 1891-1907, 1892-09-30


IN auoluer way, very cheertuliy yielded
and l shall, therefore, most cheerfully sup
port the amendment of the Senator from
Kentucky, as it has been amended by his
suggestion and that of the Senator from
Iowa
If there were anything necessary beside
what has been offered to show how very
important this amendment is, would ask
Senators to turn to Senate bill 1863, Calen-
dar No. 1856, reported from the Finance
Committee, and which that committee has
been talking about taking up to-day.
believe suggestions have been made that
II anybody wanted to amend anything
which came from that committee he could
amend that bill, Section of that bill, as
reported, reads as follows;
That when any national banking association shall
deposit with the Treasurer OF the United States in
the manner provided by law, the q per cent bonds
authorized by this act, or any bonds of the United
states bearing higher rate of interest as security
for It's circulating notes. the association making
such deposit shall he entitled 70 receive circulating
notes, In manner, form and denominations author
lied by law not exceeding In amount tho par value
OF the bonds so deposited, etc
If that should become law, national
interest would be enormously appreciated
in value. The Senator from New Jersey,
who sits facing me, will remember the
debate we had on similar proposition in
this body, think two years ago, in which
| said then, in regard to a proposition
which he introduced and which the Sen
ate finally, on his motion, passed, that If
1t became law the result OF il would be
to add at least 5 per cent. to the value of
every dollar of United States bonds out
standing.
Mr.. SHERMAN. What is the number
of the bill!
Mr.. PLUMB, Senate bill 1863. II might
fairly be entitled "a bill to increase the
premium on national bonds outstanding"
But while that il true, no one could toll
what other effect might follow. OF course
the primary design is not to increase the
premium upon the bonds, but il is to in
duce the national banks to take ont more
circulation, and thereby increase the vol.
ume of national, bank notes outstanding.
But it might have-it would undoubtedly
have in some cases - precisely that effect,
for the very moment that the bonds began
to appreciate in value, ~ they would rs
soon IA they began to be purchased for
this purpose, there would be the tempta-
ton on the part of the banks to realize
the excess Of premium created by this
very act and throw them upon the market.
As | said, no one can tell what the effect
of that might be upon the volume of the cur
rency. 1t might immensely reduce it. II
undoubtedly would in some cases. There
would be periods when the currency would
go down, and other periods perhaps when II
would go up. 1t would induce a Guctua-
ton of amount beyond anything that has
been known under existing law. For the
purpose of that stability which ought to
be the principal object in all legislation
concerning currency, such a proposition
as the Senator from Kentucky has now
made, or the one similar to it which /
made the other day, and which the Senate
voted into the bill, ought undoubtedly to
be the accompaniment OF this legislation,
or at all events of some legislation.
There has been another gain, too, by
reason of this discussion. The Senator
from OHIO IL not now 40 sOlcitous that
there shall not be silver certificates. He
is willing to admit that there could be
more without improperly, and that it is u
great gain. But he wants TO have them
based, not upon coin but upon bullion, and
there he has made no progress He is
willing that there shall be an unlimited
amount of gold coin, and that certificates
shall be based upon gold coin alone not
upon gold bullion; but he insists that there
shall be distinction between gold and
silver, applicable whenever and wherever
this question of the relative merit comes
up, whereby one shall be stigmati2ed, one
shall be placed in n relation inferior TO
that of the other; and that, take it, will
be the only outcome OF his suggestion
that the amendment shall be so modified
ms TO require the issuance Of certificates
upon bullion and not upon coin.
II is true, Mr.. President, M true of gOld
ms 1t is Of silver, that the people Of the
United States Wdm neither for' actual use
as CURRENCY for manual delivery in any of
the processes of trade which require the
use Of money. have befOs- mo the last
report of the Secretary Of tho Treasury,
showing that $l20ASG,817 of gold certif.
Gates are outstanding and $l45,648, 100 Of
silver certificates are outstanding. The
excess of silver certificates is not great.
This statement shows that tho people OF
the United States do not want coin as
circulating medium, that for the purposes
for which they use money they want paper.
Whether 1t be the actual representative Of
coin or not, Mt all events, IL il to be paper.
Az applied TO the uses made of gold and
silver certificates, II is plain that the PEG.
pie Of the United States do not want
either gold or silver, but they want the
paper representative of both, and in about
equal amounts.
1t is little bit singular, II there ia such
great danger in the issue OF silver certih-
Gates, and If they are for all practical pur-
poses worth 80 much less than gold, that
they are not used for the payment OF Gus
toms dues in New York. Why does not
the New York importer, who Is generally
credited with being pretty smart, take the
cheaper money to pay his customs dues
WITH Why does he pay II per root. of all
the dues upon the goods which lio mas inn
ported in gold certificates and not in sil.
YER certificatesY
Here IL so:csthing conservative, simply
providing that whatever the volume of
paper money outstanding now it shall be
maintained at, following precisely the ex
ample set in 1878, when we enacted that
the greenbacks which we're paid at the !
Treasury should be paid again out, and
that the volume should not be diminished. |
believe that we should not only have
legislation Of this kind, but believe that |
all the money in the Treasury which is not
needed for current purposes and which
NAV not be needed for the rademntinn of |