The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1892-08-19

has only a bullion value for use out
side of the islands. The proposed
paper would have none AT all. The
bin requires the issue of paper money
10 all. with the proper security. 1t
might result i'm the issue Of about
- 900. OOD. No more money could be
used than is needed, and the result
would be that silver aud gold would
be boarded or driven out, and the
money would be depreciateG ana be-
come almost worthless. Noble Hor-
ner said there were two sections IN
the bill providing for the redemption
of the paper. What are you going TO
redeem il with? 1t was principle as
immutable as the laws OF nature that
the cheaper currency would drive out
better. The silver coin was constantly
driving away gold. The business men
in town, if they sold exchange at all,
would have absolute control of it, and
could sell it at p, 50 or 100 per cent.
1t went up before to s or 9 per cent.
There is no saying where the limit
would be. The history of the country
showed that this was something
which it should keep clear of. Long
before the South was defeated IN the
civil war a trunk full OF their paper
would not buy loaf OF bread. With
all the resources of the North its cur
rency went very low. We could not
| initiate a great country with the
boundless resources OF the United
States. This country must have coin
which was good in other countries.
Referring to the ADVERTISER, Noble
| Baldwin read from the editorial the
case of man in the Argentine Re-
public, who borrowed S250,000 On
piece of land worth $1,000. a man
! could we'll afford to pay taxes gu ten
! times the value of his property if he
could only get the loan desired. The
| fate of this country might be like that
of the Argentine Republic.uuusr.satsaz
| speaker was interested in no baffK
and was not money lender, but he
was interested in the prosperity Of the
| country, and was sorry that Noble
/ Horner should have brought such a
/ bill, and did not think be should have
brought in bill which was regarded
| by the great majority of intelligent
men as full of danger to the country.
Noble Horner said the House had
| heard the question debated on both
sides by two giants. The Government
| had the power to issue money TO en-
able poor men to borrow small sum
! at the same rate at which the rich
borrowed large sums. That was the
fundamental principle of the bill. The
Government had the constitutional
right and duty to provide money for
the people. This it shirked. 1t sent
abroad for money to pay debts and
taxes, and make public improve
ments, when it could just as well
supply its own money for these pur-
| poses. The bill showed how that could
be safely done. The speaker cited a
| decision of the United States Supreme
! Court on the power to issue paper
! Adam Smith said the English had
never prospered until they made
paper money for their own use and
loaned their gold to other nations.
For developing small industries in
| this country there was no money
available, and but little for public i'm
provements. We must supply our
selves with the money needed for
! this purpose. The public debt was
| getting heavier, and less to pay it
with. No one had suggested any way
of paying it.
Noble Macfarlane asked how the
national debt, which was payable in
gold, could be paid in paper.
| Noble Horner-The income from
this bill, if it passed, would pay the
public debt. No business man would
dispute this claim. This alone was
reason enough for the passage of the
bill. This would justify the venture
Nothing venture, nothing won. 1t
was important to look well to the
situation, and find some measure of
relief. Nothing had been proposed
except this bill. IF bonds were
issued, day of reckoning would
come. This bill offered the only
relief visible, and if were not
passed those who sat here during the
remainder of the session were to be
pitied. The law required them to pay
the debts with the gold coin of a
foreign country, and they could not
get the gold. This bill would provide
the money, Hawaiian money, and thus
relieve US of embarrassment, as the
United States, France, England, and
other nations had done, and history
informs us that their greatest pros
perity was when they used paper
money with no metallic base, as in
England from 1897 to 1920, and in
America from 1861 to 1872. Shall we
shut our eyes to these conspicuous ex-
amples? Gentlemen will please an
swer. He favored the motion to con-
slider section by section.
Noble Baldwin moved the commit
tee rise and report progress, and ask
leave to sit again tomorrow.
Noble Macfarlane moved the bill
be laid on the table.
The report of the committee was
carried and adopted.
At :25 P. NJ. the House adjourned.
!