The times. [volume] (Richmond, Va.) 1890-1903, 1893-04-18
THE FINANCIAL SITUATION.

The announcement that the Secretary
of the Treasury had directed that there
shall be no more issues Of gold certificates
Is a circumstance which. considered by
itself. would have no serious importance.
But, when taken along with the facts
that the Treasury has practically parted
with all OF its free gold that the demand
for gold for export still continues and
seems likely TO continue, that there Is a
general feeling Of unrest and want OF
confidence that is having a distressing
effect on almost every branch Of business,
this new fact means, we fear, a great
deal.
The most conservative observer Of
events is compelled to admit that the
general condition of the country is far
from satisfactory We have monetary
system, coin and baper currency to-
gether. amounting to more than $780,
100000, and we are adding to it every
month $5OO,OOO Of silver certificates.
There is therefore no scarcity OF money
on the contrary there should be a great
abundance of it in all commercial centres.
Yet, ask any business man that you may,
in any part Of the country what he finds
to be the actual state Of the case and he
will tell you that he finds the greatest
difficulty in getting the accommodations
at the banks which his business requires.
Some instances of this have come
under our observation recently. They
contain lessons of the deepest meaning
and Importance. The case is as bad as it
can be.
TO what is this state Of affairs due?
The country is prosperous in the highest
degree and. in the natural order of things,
nothing like financial panic should be
possible. Why then should business peo-
pie under such a condition Of affairs have
any difficulty in borrowing the money
that their business requires?
There is one cause, and only one cause
possible, for this. II is the slow, and
silent but sure and certain result of the
effort this Government is making to force
a dollar worth only sixty-fve cents upon
"A people whose transactions have all been
based upon dollar worth ore hundred
cents. Those who have stake in life
refuse TO have their property thus cut
down one-third in value. This entire
class, and they own nearly all the bonds
ard CO sh and control credits, are silent
" and stealthily putting out their lines
in form that promises them security
and protection Of what they have. The
operations Of this policy go on in Infinite
undercurrent ways. but one Of the most
marked forms Of its expression which the
public sees is the reluctance Of those who
have money TO part with it. The appre-
hension Of the sixty-five cent dollar has
alarmed the money owners and they re-
fuse TO take any chances with their
money. This is the source of gold ex-
ports and CONSTRUCTED money markets,
and we see no hope for the situation be-
coming better until the source Of the evil
is removed. Temporary eXpedients like
the sale Of bonds may give the sort Of
relief which a drinking man gets from
stimulating himself with whisky, but the
day OF collapse must come sooner or later
The law for purchasing silver to be coined
into a dollar worth only sixty-hye cents,
must be repealed. or the United States
must suffer the penalty imposed upon
all those who attempt to violate natures
laws. The outcome must be financial
panic, and that means a land strewed with
bankrupts and financial wrecks from one
end TO the other.