The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1892-09-07
ents of the policy which Jefferson thus
outlined and adhered to.
2.-When the

ents of the policy which Jefferson thus
outlined and adhered to.
2.-When the
Principle of Reciprocal Trade
was first proposed to be introduced into
the tariff system, the Democrats showed
a most generous appreciation of the
question and gave it their support SO
long as the Republicans refused to ac-
cept it. But when the Republicans came
to approve it, the Democratic support
vanished and, instead of favoring,
we find the Democratic National
Convention passing resolution hostile
to the system. But, in spite of Demo-
cratic opposition, we have attained
through reciprocity new and valuable
trade, and the system hos demonstrated
its many advantages. We were about to
declare sugar, molasses, coffee and hides
free of all duties in the Mckinley bill,
but instead of that we passed a law by
which we asked the several nations in
terested what they would give to have
these articles made free. We found that
the privileges which we were about to
give, without cost and without charge,
would secure large trade in Brazil, in
Cuba and Porto Rico, in the Windward
and Leeward islands, in British Guiana
and jamaica in San Domingo and the five
Central American States, and, to minor
degree in Austria, France and Germany,
all in exchange for the
articles which we had intended to ad nit
gratis. The free list of the Mckinley tar
iff is larger in the number of articles and
in the aggregate amount of their import
value than the dutiable list. What would
have been the result to the United States
if every article, before it was put on the
free list, had been made the subject of
inquiry to see what we could get in ex-
change for it? We omitted to do so for
many years, and that neglect has cost the
government advantages in trade which
would have amounted to tens of millions
of dollars. This is the
Whole of the Reciprocity Scheme.
1t is very plain and very simple. 1t Sc
cures valuable trade in exchange for
articles otherwise destined to be put on
the free list. The Democratic party
think they can discredit it, and they
make the effort apparently for the un-
patriotic. reason that they did not origi-
nate it.
3.-With all its calamities, the war
brought us one great blessing, a national
currency. There are many who will say
that it was worth the cost of the war to
bring about so auspicious result to
capital and labor. Prior to the war, we
had the worst currency system of any en-
lightened nation in the world. The state
banks, with some exceptions, were thor
oughly irresponsible. They existed by
thousands throughout the United States.
Whenever one of them failed, the result
was large loss and great distress among
the people. No one was responsible for
their bills, and they were generally found
scattered in the pockets of the laboring
men, to whom they were total loss
without any redemption whatever: Of
the state banks, it was often and truly
said that their debts were the measure Of
their profits. They have caused an ag-
gregate loss of hundreds of millions of
dollars among the people. Since the
close of the war all this is different.
Every paper dollar that circulates among
the people has
Tho United States Behind 1t
as guaranty. All the banks that exist
are under the control of the national
government, and if they fail as financial
institutions, the government has taken
care that their bills shall be paid by
securities deposited in government
vaults. Under these circumstances it is
a matter of extraordinary surprise that
the Democratic convention should de-
iberately pass resolutions for the revival
of state banks. The palpable effect of
this policy, if carried out, would be to
cheat the poor man out of his daily
bread. If the state banks be adopted
and their circulation attain large issue,
issue, no device could be more deadly
for the deceDtion and deSpOilment of all
the commercial and laboring classes.
How the Democratic convention came to
make such a declaration, who was its
author, what intelligent purpose was in
it, will remain a mystery. have heard
the argument adduced that we would
keep the money at home if state
banks were instituted; but we should
keep it at home because it would be so
worthless that nobody would take it
abroad. Were the system of state banks
revived, we would again have discounts
at the state lines, large charges for drafts
on financial centres and general suspic-
ion of every bill offered in payment, with
liquidation every few years that would
be destructive loss to the innocent
holders of bills and a corresponding pro-
fit to the parties owning the banks.
The three issues which I have given
are the issues upon which I would ar
raign the Democratic party. 1 would
not multiply issues nor be diverted by
our opponents from a steadfast adher-
ence to, and constant presentation of,
these questions before the people, until
every voter is made to know and under
stand their true and weighty significance.
Very sincerely yours,
JAMES q. BLAINE.