The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1892-08-29
Mr.. HOrner's Bill and Redemp-
ton of His Bank Notes.

Mr.. EDITOR: Some points in
Mr.. Horner's letter regarding
methods of redemption are quite
clear; but there are some other
points not quite clear in all minds.
VIII Mr.. Horner please further
elaborate few of the details? For
instance, the first method is only a
partial one, and is good for only a
limited portion of the money afoat.
And then does not the Govern
ment Immediately reissue the
whole of such amount redeemed in
payment Of employees of the Gov
eminent? Again, are not some of
the Government obligations, debts
and interest thereon, to be paid in
gold? Will Mr.. Horner please tell
us where the Government will get
the gold if all its revenues are
paper? His second method can
not be construed to mean redemp-
ton in any sense, as money so de-
posted with the Government must
be repaid in the same kind.
AS to the third method, how is
the Government going to fore
close and sell borrowers land if
said borrower pays his interest
promptly? Or if the Government
reserves the right to foreclose and
sell at its own option, what will
the proceeds of such sale be? Will
it not be in paper of the same
kind? Will Mr.. Horner please
explain all these points? they are
asked only for enlightenment.
Again, Mr.. Horner has said in
some of his writings or speeches
that this money will have all the
functions of money, and he has
said that the reason the currency
of other countries deprecated was
because the government so issuing
did not honor it for all purposes
| think the truth of the last state,
ment cannot be refuted. Again, ]
will venture the proposition which
[ think cannot be disproved. That
this or any other government car
float an issue of paper currency al
or near par with coin so long as
said government can and does
honor such currency for every pur
pose for which money is used
Mark the words in every respect
If the government refuses in any
respect, it amounts to partial repu
diation, which only needs time
and the working out of inevitable
laws to work depreciation and
utter worthlessness.
Now does Mr.. Horner propose
that this government will so honor
this currency in every respect?
would like no evasion in the an
swer to the last question. If Mr.
Horner answer "no" then it means
partial reputation at the outse
with the consequent disaster tha
must inevitably follow. If his an
swer is that the government viii
so honor it in all respects, ther
will he please answer some of the
following workings: Suppose the
bill to be a law, and a greater Of
less amount of this currency afioat
All receipts of the Government viii
be in this currency. All employees
will of course be paid in kind
Somebody, either the Government
bank or individuals must be hold
ers of said currency. So long as i
is at par there will be no uneasi
ness on the part of the holders, anc
It's purchasing power will be equiv
alent to gold. But if it be so main
tanned it must be done by the Gov
eminent. No bank can be com
PEELED to receive it at par 70,
exchange, but there is another out
let, through the Foreign Money
Order Department of the Pos
Office, which must not be restrict