Weekly expositor. (Brockway Centre, Mich.) 1882-1894, 1893-08-11
PRESIDENT CLEVELAND IN HIS
MESSAGE TO CONGRESS
Says We are Drifting to a Silver Basis In
Our Governments Finances and That
the Sherman SILVER Law should be
Repealed at Once by Congress.

The existence of an alarming and extra
ordinary business situation, involving the
welfare and prosperity of all our people,
has constrained me to call together In
extra session the peoples representatives
in Congress, TO the end that through
wise and patriotic exercise of the legis-
lative duty with which they solely are
charged, present evils may be mitigated
and dangers threatening the future may
be averted.
Our unfortunate financial plight is not
the result Of untoward events nor Of con-
ditions related TO our natural resources;
nor is II traceable to any of the af-
fllctions which frequently check national
growth and prosperity. With plenteous
crops. with abundant promise of re-
munerative production and manufacture.
with unusual invitation to safe invest
ment and with satisfactory assurance
to business enterprise, suddenly financial
distrust and fear have sprung up on
every side. Numerous moneyed institu-
tions have suspended because abundant
assets were not Immediately available to
meet the demands of frightened deposit
ors. Surviving corporations and indi-
N.duals are content TO keep in hand the
money they are usually ANXIOUS to loan,
and those engaged In legitimate business
they offer for loan1, though heretofore
satisfactory, are no longer accepted.
Values, supposed TO be fixed, are fast
lecoming COnjeCtural, and loss and failure
Lave Invaded every branch of business.
] believe these things are principally
chargeaOle TO congressional leSisia ton
touching the purchase and coinage OF sill
yer by the general government. This Leg
islation is embodied Ia a statute passed
on the l4th day of July 1880. which was
the culmi alton Of much agitation on the
81 IN aRf Al cd a a ylh ma hn
Iidered a truce, after loas Strug lie,
between the advocates of free silver coin
age ard those intending to be more con-
servative.
Undoubtedly the monthly purchases by
the government Of 100000 ounces Of 5 J.
yer, enforced under that statute,
were rega led by those interested in sill
yer production as a certain guaranty #
It's increase in price. The result. how
Immediately following a spasmodic and
slight rise the price of silver b gan TO
fall after the passage Of the act and has
since reached the lowest point ever
known. This disappointing result has d
TO renewed and persistent effort in the
direction of free silver COINAGE. Mean
while not only are the evil effects Of the
operation of the present law constantly
accommodating but the result to which it's
execution must inevitably lead is becom
Ing palpable to al who give the least
heed to financial subjects.
This law provides that in payment for
the 400 900 ounces of bullion which the
secretary Of the Treasury is commanded
to purchase monthly, there shall be is
sued treasury notes redecmable on de-
mand in gold or silver coin. at the dis
erection of the Secretary of the Treasury,
and t!at said notes may NOT De rcissued.
Ii is, however. declared In the act TO b
THE es abiiShed pObcy of the United
States 10 maintain the two metals on
parity with each other upon the pres mt
G, nj ratio or such ratio as may be pro-
aided bV In W. ~ ll declaration
OILS the &C ion of the secretary as TO
,revent his CYercising the discretion NOM
lie parity between gold and silver may
De disturbed. Manifesty refusal by the
secretary to pay these treasury notes
b gold If demanded would necessarily
suit In their diecredit and depreciation
is Obligations payable only In silver, and
would destroy the panty Let~een I'll =
two metals by establishing a discrimi-
nation In lavor Of gold.
Up to the 18th day of July, 1898. these
NOUS had been issued in payment OF sill
more than SlH,OJO,OOO. While all bat a
very small quantity of this bullion re-
mains uncoined and without usefulness
In the treasury, many of the notes given
This is illustrated by the statement tina,
between the LIST day of May, 1892, and
this kind issued in payment for $ liver
bullion amounted to little more than
$,4O 900 and that during the same p.-
Rod about $4,000 900 were pad by the
treasury in gold for the redemption of
such notes.
The policy necessarily adopted of paying
these notes in gold has not spared the
gold reserve OF 100000 900. long ago set
aside the government for the redemp-
ton OF other notes, for this fund has a =
ready been subjected to the payment OF
new obligations amounting to about $780,
O00, 900 Oh account OF silver purchases, 4 d
has as a consequence. for the first time
since its creation, beea encroached upon.
We have thus made the depietlon OF our
god easy. and have tempted other and
more appreciative nations to add II TO
their stock. That the opportuni-
neglected Is shown by the large
amounts OF gold which have been recent
ly drawn from our treasury and exported
TO liner Use the financial strength of for
eign nations. The excess Of exports of geld
over it's imports for the year ending June
30, 1893, amounted to more than ST SOC, 900
the 18th day of July. 1899. the gold coin
and bullion in our treasury decreased
more than 1872 100000. while durirg the
same period the silver coin and bullion in
the treasury Increased more than Sl47 ,OOO.-
900. Unless government bonds are to be
constantly Issued and sold to replenish our
exhausted gold, only to be again exhaust
ed, II Is apparent that the operation OF
the silver law now In force leads in the
direction OF the entire substitution of sill
yer for the gold In the government treas
the payment of all government obliga-
lions In depreciatel silver.
At this stare gold and silver must part
company ami the government must fail
in It's established policy to maintain the
two me Ills on n parity with each other.
Given over to the exclusive use Of a cur
rency greatly deprecated according 70
the standard Of the commercial world, we
could no longer claim a place among the
nations Of the first class, nor could our
government claim a performance of its
obligation, 80 far as such an obligation
has been imposed upon II, to provide for
the use OF the people tho best and safest
money. If, as many OF it's friends claim.
silver ought to occupy a larger place "a
our currency and the currency of the
world through general international co.
operation and agreement, IL is obvious
that the United Str.es viii not he in n
position to gain hearing in favor OF
such an arrangement so long as we are
willing TO continue our attempt 20 ac-
conplish the result single-hande3.
The knowledge in business circles
among our own people that our govern
merit cannot make its fiat equivalent to
intrinsic value. nor keep inferior money
on a parity with superior money by It's
own independent efforts, has resulted I'm
such n LACK Of confidence AT home. in the
stability OF currency values that capital
millions are actually withdrawn from the
channels OF trade and commerce to be-
come idle and unproductive In the hands
OF timld owners. Foreign Investors,
equally alert. not only decline to pur-
haa A hut Loh a