The weekly Union times. [volume] (Union C.H., South Carolina) 1871-1894, 1893-08-11
PRESIDENT CLEYELAND'S
MESSAGE.
:. : 1-.s'soie srnaneiai Plight Due 10 Me
sherman Act--Its Ebi Opsrafions
Prompt and Unconditional
Repeal Demanded.


WARRINGTON, Aug. s.---The following 4,
the message Of President Cleveland sent 10
Caugress at IL 45 p. m. to-day.
The existence Of an alarming and cxtra-
ordinary business situation, Involving the
welfare and prosperity Of oil our people, has
eoosirsined me to call together In extra ses-
eion Of tho peopla's ren-e-.....u,iyes IN Con.
grvsst 70 the end that, through q .wise and
patriotic exercise Of the Legislative duty
with which they solely are charged, present
evils may be miiigated and dangers thres'-
eniug the future may be averted.
Our unfortunate financial plight Is not the
result Of untoward events nor of conditions
related TO our natural resources, nor Is II
traceabe TO any of the affections which fre-
queotly check natural growth and prosperity.
With plentcous crops, with abundant promise
Of rcmunerative production and manufac.
ture, with unusual Invitation to safe invest
ment, and with satisfactory assurance to
business enterprise, suddenly financial dis.
trust and fear have sprung up on every side.
Numerous moneyed institutions have sus-
pended because abundant asset. =oTs nc:
Immediately available TO meet the demands
OF frightened deTositors; surviving corpora
tions and individuals are content to keep in
hand the money they are usually anxious to
loan, and those engaged ia legitimate busi-
ness are surprised to fud that the securities
factory, are no longer accepted; values sup
posed to be fixed are fast becoming conjectu
raj, aud loss and failure have invaded every
branch Of business.
THE SHERMAN LAW TO BLAME.
believe these things arc principally
ohargoable to Congregational legislation
touching the purchase and coinage Of silver
by the general government. This legisla-
tion is embodied in II statute passed on the
18th day Of July, 1890, which was the cul-
mination OF much agitation on the subject
involved, and which may he considered
truce after long struggle between the advo-
Gates of free silver coinage aud those intend
ing to bo moro conservative. Undoubtedly
the monthly purchases by the government of
4,600,O0O ounces Of silver. enforced under
that statute, were regarded by those inter
csted in silver production as n certain guar
anty OF its Increase in price. The result,
however, has been entirely different for i'm
medintcly following u spasmodic and slight
rise the price of silver began to fall after the
passage II the act, aud hos since reacted to
the lowest point ever known. This disap-
pointing result has lod to renewed and per-
sstent effort in the direction of FREQ silver
conoge. Meanwhile, not only are the evil
effects OF the operation of the preseut law
constantly accnmulnting, but the result, to
which its execution must inevitably lead, is
bccoming palpable to all who give tho lensl
heed to hnarci,l subj jects.
This law provides that in payment for the
100000 ounces Of silver bullion which the
Secretary CT tho Trcis@rY is commanded to
purchase mouthy there shall be issued
treasury notes rcdeemahlc on demand in
gold or silver coins, at the discretion Of the
Secretary of the treasury and that sail
notes may be rcssueI. Ii is, however, de-
clared in the act to be the established policy
of the United States to maintain the two
metals Oh parity with each other upon the
present legal ratio, or such ratio us may be
provided by law This declaration 30 con.
trolls the action Of tho Secretery Of the Treas
ury rs to prevent his exercising the dscre
iion nomiually vested in him. If by such 40
tion the parity between gold and silver may
be disturbed, Manifestly, n refusal by tho
Secretary to pay these treasury notes in gold
would necessarily result in their discredit
md depreciation, rs obligations payable only
in silver, aud would destroy the parity be-
tween the two metals by establishing dis
criminnliou in favor Of goli.
Up 10 tho 10th day Of July, 1898, SC
notes had been issued in payment of silver
900, while all bnt n very small quantity of
ihs bullion remains uncoincd and without
usefulness in the Treasury. Many of the
notes given i'll its purchase have been paid
in gold. This is illustrated by the state-
ment that between the lst day of May, 1892
and the 10Th day Of July 1898, the notes of
this kind issued i'll payment for silver bullion
amounted to n little more than Sj4, ,0OO, 900,
aud thnt during the same period about S49, =
100000 were paid 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 Sl0O 100000 long ago set aside by the
government for the redemption of other
notes, for this fund has already been subject
to the payment of new obligations, amount
ing to about Sl50,000, 900, on account of
silver purchases and has, US II consequence,
for the first time since its creation been en-
croached upon.
DEPLETION OF GOLD MADE EASY.
We have thus made the depletion Of our
gold easy, aud have tempted other and more
"pprcc'a'ive nations to add it to their stock
IN: the opportunity we have offered has
been neglected is shown by the large
counts Of gold which have been recently
lawn from our treasury and exported to
Increase the financial strength of foreign
iai'ns. The excess ofexporis of gold over
''in imports for the year ending June so,
1898. amounted to more than cighty-scvcn
half millions Of dollars. Between the
1T dny of July, 1890, and the 18Th day of
i:!y, 1893, the gold coin and bullion in our
treasury decreased more than one hundred
AMI thirty-two millions of dollars. while
during the same period the silver coin ana
!''iiiion i'll the Treasury increased moro than
enc hundred and forty-scven millions of
dollnrs. Unless government bonds are to bo
c'nstantly issued and sod to rcplcnish our
exhausted gold, only to be again exhausted,
1t ~ apparent that the operation of tho silver
purchase law, now in force, leads in the
direction of the entire substitution of silver
ior gold in the government treasury, and
this must be followed by the payment of all
government obligations in silver.
at this stage gold and silver must part
company. and the government must fail i'm
It's established policy to maintain the two
metals on parity with each other. Given
over to the exclusive use of a currency
greatly deprecated, according to the stand.
ard of the commercial world, we would no
longer claim place among the nations o.
the first "lass, nor could our Government,