St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1893-03-12
Local Feeling Strong That
the Present AdministPa-
ton Will Succeed
In Bringing About the Great
est Good to the Greatest
Number.
Several Suggestions OF the
Safest Financial Course
to Be Adopted.

| has been handled from many stand
| points. 1t was right and proper that
careful consideration should have been
| given to matter of such paramount
| Importance and one that was magnlhed
to serious proportions during the re-
cent campaign. Ever since the cleo
ton the subject has caused great in
tereSt and sOlicitude, especially IN
financial circles, and it cannot be said,
as yet, that it is entirely disposed of,
| although following the high rates Of
money in New York on Monday last,
the market settled down on Wednes-
day to an almost normal financial con-
ditiOn and has since then shown steady
disposition.
The strong position in which the
banks have placed themselves this ap-
plies to the banks outside of New York,
in the country as well as i'll tile large
cities has helped to check the aggres-
sOnS of Wall street money sharks. The
| confidence of those III general business,
and of the masses of the people, i'll the
ability of the
Present Administration
to effect ''the greatest good TO the great
| est number is, however. Potent factor
! in the situation. The first movement of
| Secretary Carlisle in accepting 81, 100000
| gold from Denver, Col. tout OF the hoard
| which is held in the Vest, shows that
| he is not in hurry to make an addi-
| tional issue of bonds, although such
course would crafty the foreign and
| domestic investors, bankers and shy
| locks. 1t would at the same time in
| crease the annual interest payments OF
| the treasury.
The banking system of this country is
| so widely distributed and has become so
elastic that the secretary of the treasury
| may be able to avoid issuing any or the
new bonds that have been urged. This
is not satisfactory TO those who hoped to
use them, but it will save the additional
| amount of interest to the treasury.
1t does not always follow that strong
! financial position in banking means easy
| financiering in mercantile affairs, but
| it causes, generally, more secure feel
| Ing. Now let the foreigners who come
| to the worlds fair bring along their gold
| and let this year show, as it should,
cessation of the American tourists con-
| tributions of gold, which have annually
been made to Europe. Thus the usual
situation will be altered in some re-
| spects, with a probability of tiding over
| the unfavorable (and unusuaD condi-
tions, until the balances of trade and
| finance shall be re-eStablished, more IA
| yorably than ever to the United States.
1t is q question now whether or not
the $500. 000.0 900 of gold known to be
| within the United States has been kept,
| practically, out of circulation through
| the agitation of matters pertaining to
| silver
The stoppage of silver coinage in this
| country would be 4 hardship 10 the mine
| owners and would probably reduce the
| production of the white metal. 1t would
be likely to increase the value OF the
| silver now in the hands of the govern
ment and TO lessen the ratio requisite
| for parity with gold.
The boarded gold should then return
| to circulation more freely.
Gold is Elusive.
1t drops uot of circulation very quickly
whenever other circulating mediums
| show possibility of decentralization or
| debasement. 1t is the joy of the miser
and the pet of the banker. Yet, even
this yellow metal has beer demone-
tized, at times, through over-production
| or else through some other metal nay
ng been the chosen illegal tender"
Many different commodities, includ-
ing brass, tea, cattle. tin, lead, leather.
slaves, Goldfish, shells-all sorts of to-
| kens-have been used as money during
|
enactment, or governmental law caused
the commodity to pass current. I'm
coined gold is now merely commodity.
Coined gold was threatened with de-
monetlzatiOn when the California
mines yielded so abundantly. The
South African mines now promise an
| equal abundance.
Henry c. Baird, of Philadelphia. ana
many others have written very inter-
estingIy on money" Mr. Baird gives
considerable information concerning
the movements of the United States
| and other countries in changing the
ratios in maintaining the parity be-
tween gold and silver. He does not
overlook the enormous value of ex-
change III trade operations, and he has
cOntended that the stamp of legality,
even upon piece of paper. made it
| current when the government that
legalized it was stable and able to tax
its people toSlStain its silver, gold, pa
per or other Kinds of money.
Since the days of wampum and sea-
wan in this country other things have
been used as a circulating medium.
| The constitution declared in 1871 that
the states should make only gold and
silver coin legal tender. In the early
part of the eighteenth century tobacco
|
! East, and warehouse receipts for grain,
iron, provisions, high wines, cotton and
what not back up vast amount of eX-
change today. This fact is insepara-
BILE from even a brief consideration of
the money question.
The financial talk of the past few
months has brought to the front the fol-
lowing: Gold, silver, m0nometalism
and bimetalism, subsidiary coins, free
coinage, exchange, legal tender paper,
bonds, treasury certificates.
Evidences of Indebtedness,
HaIter's ratio of 26 to /. BANDS ratio
mot alone Bland's) of IL to p, WINDOWS
plan. the Sherman plan and other pro-
posed plans, optimistic, pessimistic
and the compromises. Wall street
and Rothschid have argued for
more bonds, and their arguments Sc EN-
to have been strengthened with gold ex-
| ports on top of the peculiar balance of
trade. Weaver has worked for green
backs. and POpulists advocated the mu-
tual banks and sub-treasuries schemS of
| lOaning paper, to he legaliZed as money,
on farm products. These latter met
with a check through the provision of
the constitution against taxation for
private purposes. People with iron
and other commodities might ask for
| loans on their SuO-treaSury receipts,
| and such advances were deemed TO be
| outside of the province or the treasury.
The exemption clause" has been re-
argued. Contraction, resumption. re-
funding and expansion have had much
attention, and, at the least, all of these
have been considered. During this re-
cent time the worlds monetary confer
ence met. pondered and adjourned, and
the matter of bringing the coinage of
the nations to parity remains ques-
ton of the future.
The national bank notes have been
convenient, profitable to the banks, and
acceptable by reason of the security Of
government bonds that is back of them
1t is matter of conjecture. however, as
to the additional amount of interest
bearing bonds the government would
care to issue in case such an. issue
seemed 10 be desirable. There is the
strong dispoSitise to not add to the an