Fisherman & farmer. [volume] (Edenton, N.C.) 1887-19??, 1893-08-18

Financial Difficulty is Overcome.
President Cleveland has sent this message
to the special session Of Congress
To the Congress IF the United States:
The existence of an alarming and extra
ordinary business situation, involving the
welfare and prosperity of all our people, has
constrained me 10 call together an extra SEES
sion Of the peoples representatives, in Con-
gress, to the end that through wise and
patriotic EXERCISE of the Legislative duty with
which they solely are charged, present evils
may be mitigated and dangers threatening
the future may be ayertet.
FINANCIAL SITUATION EXCEPTIONAL
Our unfortunate financial plight is not the
Jesuit of untOward events nor of conditions
related to our natural resources, nor is it
traceable to any Of the Affections which fire.
quertly check National growth and pros
perity.
With plenteOus crops, with abundant prom
Use of remunerative production and manu-
facture with unusual invitation to safe in
vestment and with satisfactory assurance 10
business enterprise, suddenly financial dis
trust and fear have sprung up on every side.
Numerous mOneyed Institutions have su5-
pended because abundant assets were not
Immediately available to meet the demands
of the frightened depOstors.
BUSINESS CREDIT WEAKENED.
Surviving corporations and individuals are
content to keep in hand the money they are
usually anxious to loan, and those engaged
in legitimate business are surprised to find
that the securities they offer for loans,
though heretofore satisfact Dry, are no longer
accepted. Values supposed to be fixed are
fast becoming conjectural, and loss and
failure have involved every branch of bust
ness.
LEGISLATION TO BLAME.
[ believe these things are principally
chargable to Congressional legislation touch
ing the purchase and coinage of silver by the
general Government.
THE SHERMAN LAW.
This legislation is embodied in a statute
passed on the 14th day of July, 1890, which
was elimination of much agitation on the
subject involved, and which may be consid-
cred truce after q long struggle, between
the advocates of free silver coinage and those
Intending to be more conservative.
Undoubtedly the monthly purchases by the
Government of 4, 800 900 ounces of silver en-
forced under the statute were regarded by
those interested in silver production as a GER
tain guaranty Of its increase in price.
THE FALL IN SILVER.
The result, however, has been entirely diff
ferent, for Immediately following a spas
mOdic and slight rise the price of silver be-
gan to fall after the passage of the act, and
has since reached the lowest point ever
known. This disappointing result has led
to renewed and persistent effort in tho
direction of free silver coinage.
EVIL EFFECTS OF THE LAW.
Meanwhile not only are the evil effects Of
the operation of the present law constantly
accommodating, but the result to which its
execution must inevitably lead is becoming
palpable to all who give the least heed to
financial subjects.
ITS PROVISIONS.
The law provides that in payment for the
four million a. Aka h1a2rad thousand
ounces of silver bullion which the Secretary
of the Treasury is commanded to purchase
monthly. there shall be issued Treasury
notes redeemable on demand in gold or sill
yer coin. at the discretion OF the Secretary
OF the Treasury, and that said notes may be
reisSued. 1t is however. declared in the act
to be the established policy of the United
States to maintain the two metals on a par
ity with each other, upon the present legal
ratio. or such ratio as may be provided by
Law.
TREASURY EAMPERED BY THE LAW.
This declaration SO controls the action of
the Secretary of the Treasury to prevent his
exercising the discretion nOminally vested in
him, if by such action the parity between
gold ana silver may be disturbed.
ManifessIy. d refusal by the Secretary to
pay these Treasury notes in gold, If de-
discredit and depreciation as obligations
payable only in silver, and would destroy the
parity between the two metals by establish
ing discrimination in favor of gold.
Up to the 18th day of July. 1898. these
notes had been issued in payment of silver
bullion purchases to the amount of more
than $147 600, 900.
While all but very small quantity of this
bullion remains uncoined and without use
1ulness in the Treasury, many of the notes
given in its purchase have been paid in gold.
GOLD RESERVE NOT SPARED.
The policy necessarily adopted of paying
these notes IN gold has not spared the gold
reserve of 800, 000, 900 long ago set aside by
the Government for the redemption of other
notes, for this fund has already been sub
jected to the payment of new obligations,
amounting to about $3.50, 900 900 on account
Ofsilver purchases, and as a consequence for
the first time since its creation been en-
croached upon.
OTHER NATIONS PRoFITED.
We have thus made the depletion of our
gold easy, and have tempted other and more
appreciative Nations to add it to their stock
That the opportunity we have offered has
not been neglected is shown by the large
amounts of gold which have been recently
Drawn from our Treasury, and exported to
increase the financial strength of foreign
nations. The excess of exports of gold over
IT'S imports for the year ending June 80, 1898,
amounted to more than $s7 100000.
THE SILVER DANGER.
4, between July 1, 1890, and july Is, 1898.
Tue gold coin and bullion in our Treasury