Idaho County free press. [volume] (Grangeville, Idaho Territory) 1886-current, 1893-08-18
THE MONEY QUESTION.

Commercial Bank has failed. Officers
say the depositors will be paid in full.
THE MONEY QUESTION.
President Clevelaud's Recommendations
to the special session.
WASHINGTON, Aug. S.-Tho presidents
message was read to both houses of con-
gress this morning and was listened to
attentively. There were few vacant
chairs and the galleries were crowded by
people anxious to learn the presidents
views on the present monetary troubles.
The document created profound i'm
preston, and although there are many
who disagree with the deductions drawn,
all agree that he is thoroughly ac-
quainted with the financial condition of
the country, that he knows what he is
talking about, and that his arguments in
favor OF gold standard are exception
ally strong.
THE MESSAGE.
The following is the synopsis of the
presidents message: The existence of
An alarming and extraordinary business
situation, involving the welfare and the
prosperity of all our people, has con-
strained me to call together in extra $685.
sion the peoples representatives in con-
gress, to the end that through the wise
and patriotic exercise of the legislative
duty with which they are solely charged,
the present evils may be mitigated and
the dangers threatening the future may
be avoided. Oar unfortunate financial
plight is not the result of untoward
events nor Of conditions related to our
natural resources, nor is it traceable to
any of the affections which frequently
check the national growth and prosper
ity. With penteous crops, with abund-
ant promise OF remunerative production,
and manufacturers with unusual invita-
ton to safe investment, and with salts
factory assurance to business enterprise,
suddenly financial distrust and fear have
sprung up on every eide. Values sup
posed to be fixed are fast becoming con-
jectural, and loss and failure have in
vaded every branch of business. l be-
lieve these things are principally
CHARGEABLE TO CONGRESSIONAL LEGIs-
LATIoN
touching the purchase and coinage OF
silver by the general government. This
legislation ia embodied in the statute
passed tne 14th Of July, 1890, which was
the elimination Of much agitation on the
subject involved and which may be con-
sidered truce, after long struggle, be-
tween the advocates of free silver coin
age and those intending to be more con-
sentative. Undoubtedly monthly pur-
chases by the government of four million
five hundred thousand ounces of silver
forced under that statute, we're regarded
by those interested in silver production
as a certain guaranty of its increase in
price. The result, however, has been
entirely different, for Immediately follow.
ing the spasmodic and slight rise in price
of silver. began the fall after the passage
of the act and it has since reached the
10 vest point ever known. This disap.
pointing result has led to renewed and
persistent effort in the direction OF free
silver coinage. Meanwhile, are not only
the evil effects of the operation Of the
present law constantly accommodating, but
the result to which its execution mus
inevitably lead is becoming palpable t.
all who give the least heed to fnancia
subjects.
PARITY MAY BE DESTROYED.
This law provides that in payment fol
, four million five hundred Thousand
: ounces of silver bullion, which the score
tary OF the treasury is commanded t.
} purchase monthly, there shall be- issued
treasury notes redeemable on demand il
gold or silver coin, at the discretion o
the secretary OF the treasury, and tina
said notes may be re-issued. 1t is, how
ever, declared in the act, to be "the es
tablshed policy of the United States t.
maintain the two metals upon parity
with each other upon the present lega
ratio, or such ratio as may be provided
by law" This declaration 80 controls
the action of the secretary OF the
! treasury as to prevent his exercising the
discretion pominally vested in him.
by such action the parity between golt
. and silver may be disturbed, the mani
: fest refusal by the secretary to pay these
treasury notes in gold, if demanded
would necessarily result in their dis
. credit and depreciation as obligation.
payable only in silver, and would de
y stroy the parity between the two metall
| by establishing discrimination in favo
of gold.
THE DEPLETION OF GOLD.
Up to the 18th day OF July, 1898, thes,
9 notes had been issued in payment of sill
! yer bullion purchased to the amount O
more than $l47 600, 600. while all but
+; very small quantity OF this bullion re
mains uncoined and without usefulness
in the treasury. Many of the notes giveI
in its purchase have been paid in gold
8 This is illustrated by the statement tina
!. between the LIST day of May, 1892, ant
s the 18th dsy OF July, 1893, notes Of thi
( kind, issued in payment for silver bul
lion, amounted to little more than $54,
000, 900, and that during the same periot
about $40 600 900 we're paid by the treas
i ury in gold for the redemption of sucl
! notes The policy necessarily adopted o
e paying these notes in gold has not spare,
the gold reserve OF 100000, 900 lon
ago set aside by the government for tn
redemption of other notes, for this fun,
I. has already been subjected to the pay
IL ment OF new obligations amounting t.
r about one hundred aud fifty millions o
dollars on account of silver purchases
and has, as a consequence. for the frs
. time since its creation, been encroache,
). npon. We have thus made easy the de
" pletion OF our gold, and have asked othe
and more apprscistive nations to add /
to their stock. That the opportunity W,
+ have offered has not been neglected, il
v shown by the large amounts of gol,
which has recently been drawn from on
treasury. and exported to increase tn,
financial strength of foreign nations. Tn,
g excess of exports Of gold over its import
e.