The sun., 1893-07-01

A Plain md Bu.Iness-Iiks Review OF the
Financial Situation.

ALBANY. June 3O.-Gow Flower returned to
Albany this morning from northern New York.
lie left this afternoon for the State camp at
Peckskil and from there he will 30 to Gettys-
burg to take part in tho dedication Of the New
York monument on July I. 2, and 3. leaving
jersey City with his staff tomorrow morning
on special train. The Governo" was ask ed
what he thought OF the financial situation. H
replied:
1T looks to me much clearer. The sus
pension Of the free coinage OF silver by In
dia has made the repeal of the Sherman Law
absolutely certain. no matter whether Con-
gress Is called together now or next December.
Business men may count OH that to Ger
tainty. in my Judgment. There is no occasion
for anxiety for an extraordinary session.
What is wanted just now more than a session
Of Congress Is brave action on the part OF the
banks They have been prudent and conserva-
tive during the last three months. and timid
action on their part now would do more to un
settle business than tho Government pur
chases Of silver can possibly do between now
and next December. The prices OF all securi-
ties and commodities are much below n gold
basis to-day. and loans on them ought to be
perfectly safe. They ought to have more faith
in the United States Government. Every bank
in the country is outstanding its strength
In anticipation OF runs That Ia natural.
but beyond certain point 1t breeds
trouble. for this very excess OF conserva-
tism creates runs on banks. When banks
begin to refuse credits to their good custom-
ers. then failures come. people get frightened.
try to get their money out OF the bunk. and
business and employment are paralyzed.
When this happens. and the circulation OF
money is contracted the issuance OF four and
half millions Of currency a month by the
,.oA a,,;1 b,,t ,h, 1l,,Ao
relief; So what is needed nSded Just now is
York hold eight or ten mill ions above the
aa of or she relief M Of d"S 0 h%t
restores confidence. That is what will pre-
Ssnt be bold m rhey e aSs .Ss s S"1ks sos
ton tbav OF the In .ms. own hangs
for n repeal Of the Sherman law. and we may
law law viii be" be rspealed. e With that assurance assure nee
and. and liberal policy - on The part Of the banks
But what about the iaii Of silver and our
immenss mems quantities of silver coin and bullion
Nonsense. We have not dollar more than
the country will need. The Government is
pledged to maintain every silver dollar on
had three handred and forty six millions of
green backs in circulation for years: What
people reject them ns worthless? No. because
the faith OF the Government Is behind them.
So with the silver dollar. Suppose 1t Ia only
worth fifty cents and there are four hundred
millions Of them in the country. are not they at
backs? And who doubts the ability or dispo-
sition Of the Government to maintain their
sense way as. it is through, dark glasses.
will have on, bimetallism., or whatever
views are held on bimetallism. the I'm
lie a, repeal OF the Sherman law.
Upon that point. monometallists. bimetallists
and the business interests seem to agree. But
whether the Influence will be. ultimately to
promote or retard bimetalism, the business OF
transacted on q gold basis. Just as 1t has for
twenty years, or more. until silver is restored
change or revolution In that respect While
t he suspension OF free silver coinage, in India
has made the repeal OF the Sherman law abso-
lutely certain. 1t has not. on the other hand.
eurtailed cur the volume Of currency in the world:
transacted on gold basis"