Grand Rapids herald. [volume] (Grand Rapids, Mich.) 1892-1959, 1893-07-03
0URM0NEY
Double Standard Has Caused Al
the Distrust
MUST CONE 10 GOLD At ONCE


WAsHrN0SoS, July &-ExSenator
John b. Henderson. Of Missouri. who
hes devoted . careful study 10 msssers
u finance. hes sddressrd 70 Secretary
Csriisie communicates In which he
says: II promised to give you in writ
ing the suhstxncs a my ststemsnts
made to you in conversation touching
the monetary condition Of the county.
then expressed the belief that the
present stringcncy 10 produced. not by
any lack Of q sufiiciency of our cur
rcncy. but by the loss Of conhdence pro
duced among business mcr bccauss of
the bad quality or inferior character Of
large part of that currency"
Mr.. Henderson then gives history of
our financial legislation. from which he
argues that neiiher individual prosper
ity nor commercial activity 10 controlled
by the amount Of circulating medium,
and that the present financial distress 10
due entirely 10 the silver acts OF 1878
and 1870. In conclusion tie says: "Of
the fve or six millions Of gold with
which we began in 1873 mono can he
found ia circulation. What has not
gone 10 foreign countries enjoying the
blessing Of single standard has been
boarded. not to reappear until its hold.
crs have some guarantee IL loaned it
will be returned in money equally good
Gold Certificates Held.
"The gold certificates not already
forced upon the government for redemp-
ton are no longer seen. The United
States notes. for the redemption OF
which si000c0.0Oo gold reserve is sup,
posed to be held by the government.
constitute the best security Of the ma
tional banks. and hence the greenhack
is rapidly disappearing. The national
bank notes are necessarily held. IL pos
siblc. by the banks issuing them. in fear
that in the extremity OF distress their
redemption may soon be asked in gold.
Nothing is left but silver certificates
and treasury notes. The banks arc un-
able to maintain their lawful reserves.
Hence they can give no relief TO suf-
fcring community.
THE government treasury is depleted
Of its surplus Government expsndi-
tNtSc tstsSs r~osttDiiFtt A<tStBtos ia
travagant appropriations made upon =
silver basis must now be paid in nc
dium of value. The promise TO pay has
now r'in its course. and its consequence
comee With suffering and tears.
"What now is the remedy?
Hcnder~on's Rcusetiy.
"Firpt The customs duties sh0u1d
hereafter be paid in gold alone.
Second-"The silver bullion in the GOV.
crnm nj vaults should nj once be so!d
for cash in gold and the proceeds Gov
cred into the treasury.
Third Three per cent gold bonds 70
the amount of e3o0.000OOo should be
promptly sold and the proceeds trans
ferred 10 the treasury.
.Fourth-A day should I've fixed. no
later than January l. 1893. for the re-
demption and payment in gold coin of
all circulating notes of every description
heretofore issued by the government.
'Fifth At least half ~ the silver dol
lars issued under the acts ~ 1878 and
1890 should be sold as bullion and the
remainder minted into subsidiary silver
coins and made legal tender only ia pay
ment Of sl0 or less.
.'Sixth-Provision should be made for
the use az the s3O0oo.oOo Of gold bonds
as basis for banking. making the pro.
visions as liberal IA possible. consistent
with safeiy.b but under government super
vision.
Seventh the basis ~ national bank
inc should be enlarged eo as 10 permit
the issue of circulating notes on the Dc.
posting of other than United States
bonds the solvency ~ such bonds 20 be
passed on by responsible government
officials.
-Eighth--All bank Issues 10 be re-
deemed in gold coin on demand.
Ninth All foreign gold coins should
be made legal tender for debt and re.
ccivable for government dues nj their
value IA fixed 10y law.
Tenth Previous Ia the first os Jan.
usry. 1898. the surpius fundr ~ the
treasury, either from loans or collec-
fions. 10 be placed with the banks in
such sections ~ tho country and in such
amounts as may be determined by the
secretary.
Financial system Wrong.
II is no. poverty but distrusf that
aft'icfs the country Our fabric 81
finance must be torn down and built
anew. II WAS conceived in error aud
every siep incrcasei the departure from
truth. The act ~ 1878 wns dishonorabie
10 the government and ruinous 10 the
people The act ~ $50 was n mere
device to substitute silver for gold es q
standard ~ value. Iron or copper is
either more stable in value today than
silver.
" We accepted the bad advice ~ the
silver enthusiasts once. Yea twice. The
| cup is too bitter 20 continue the drauxhf.
| They said that II America coin silver
England. France and Germany would
be constrained 80 use il aleo ard that
1 silver would soou take the par ~ gold
i On the contrary lie fall has been rapid
and without infermieeion These Tor
oirn governments nov have our gold
and ve are left with currency die
I caraed by the whole world and scarce',
more valuable than copper.
Gold standard Drus p<Iesl.
I'VE shall again BE told that there is
not g<ad enough 10 furnish the world :
! exchanges n every mans expcfle'sct
/ did not detect this fallacy the sophsstrs
I might be accep;cd "a argument II :
I universally admitted as already s'st~d
that less than per cent a hunsr
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