The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1893-10-18
ABUNDANCE OF MONEY.
The Country Has sIOo,OOO,OoO More
Than in 1902.

During the past month the circulation
Of all kinds has increased s21,377,2T4. AS
this increase follows the extraordinary
expansion Of circulation during the
month of August it must be acknowl-
edged that the government has done all
that it could be expected or reasonably
desired to do by way of counteracting
the contraction Of circulation through
the boarding of money during the panic.
The Increase during the month was s14.-
S29.71 in gold coin, 81. ,S17 in national
bank notes. $3.4O3,99O in treasury notes,
S2.595.O00 in currency certificates and
S59O.S46 In United States notes, while
there was a decrease during the month
OF S2.S21.962 in standard silver dollars,
S2S5.O33 in subsidiary silver, 1885, $50 in
gold certificates and $1,251 ,202 i'm silver
certificates. A part OF the increase in
circulation came from the decrease of
S5.SOO0O0 in gold coin held by the treas
ury. and its holdings of treasury notes
also decreased 1866, sOS On the other
hand. the treasury took in about $2,s22,-
: O62 more standard silver dollars than IL
paid out. and $4.657. 1874 more bank notes,
probably in part because some Of the
banks. which had ordered additional cirA
culation during the time of especial pres
sure In July or August, found il unprofit-
able to continue that circulation and
nave taken steps to reduce the amount
OF notes outstanding.
In comparison with the returns n
year ago the figures presented this
month are most extraordinary The
changes since Oct. 1, 1892, are an in
crease of $l05900,000 in circulation Of
all kinds, which is at least two and a
lrFan h.,
might be considered a reasonable all
iowance for the gain in population. 1t
is worth noticing, moreover, that the
gain in gold coin was about $72 500 Co.,
In United States treasury notes about
S4l,SOO,0OO. in old legal tenders about
SlO,OOO,OOO and in bank notes $35, 500 000
But from these additions there must be
deducted about $700,0 900 for decrease in
standard silver dollars outstanding,
100000 for decrease in subsidiary silver
In circulation, SAL, 900 900 for decrease in
gold certificates outstanding, and ST.
100000 In silver certifca ties, besides So
OOO,OOO in currency certificates. 1t will
be observed that while the gold circula-
ton, exclusive of certificates, increased
during the year about S31, 900 000 the
circulation of silver dollars, exclusive Of
silver certificates, decreased more than
$1,0O0,000, and while the circulation of
legal tender notes. less certificates out
standing, increased ST. 00, 900, the cir
culation of the new treasury notes
shows an addition Of nearly $780, 900
per month, which is fully as much as
the purchases of silver bullion, the
price of SUCH bullion being considered,
would warrant.
1t is plain that during the past year
this increase in circulation has not been
in any way proportional to the actual
demand for money in use There is con-
siderably less business done than a year
ago at this time, and yet there has been
an increase in the volume of circulation
amounting to about S106 900 900, or some
thing more than per cent.
Under existing laws it is evident the
supplies Of money can be increased far
more largely and more rapidly than the
emergencies of business require Yet
there are at Washington, and through
the West and South, many who believe
that the business of the country is pros
trated in large degree because the sup
plies of money have been restricted
Strange as this idea appears, in the light
of the official returns, it is unfortunately
clear that the notion so strongly prevails
in western and southern states that it
influences very powerfully the action Of
senators and representatives. Doubtless
the delay in action on the silver question
is in large measure due to the fact that
members from those sections apprehend
severe criticism from their constituents
fl they assent to any measures which
check the expansion of circulation. To
those who are in close touch with bank
ing interests, and who know how the
supply of unused currency clogs and
hampers banking movements at such a
time as this, the feeling in western and
southern states seems almost incompre-
hensible. Yet 1t has to be reckoned with
as factor in the financial as we'll as the
political situation.-N. Y. Journal of Com
rl1prpp