The weekly Union times. [volume] (Union C.H., South Carolina) 1871-1894, 1893-08-18
HERE'S THE MESSAGE
IT TOUCHES BUT ONE SUBJECT
REPEAL THE SILVER PURCHASE Aor

=
The President Secs In tho Act OF July IA,
1890, tho Source OF All Our Woes, and
Calls for It's ImmedIate Repeal-He sug-
Eests No Substitute But Demands that
,the Exciting Cause OF Panic aad Dis.rust
BE Instantly Removed Other Needed
Legislation Can Follow The Tariff is as
Important ms Ever and the Pa~.y g n1a-
nitely Committed to It, But the Ouesti
Can Wait.
CAPITOL, WASHINGTON, August g.
The following is the President's e me ssage
=. "a tps1nth Aopses Of Congress to-
To THE CoNaREss OF THE UNITED
STATES:
The existence Of an alarming and ex-
traordinary business situation, involving
the welfare and prosperity Of all cur peo-
pie, has constrained me to call together
In extra session the people s Representa-
tives In Congress, to the end that through
y p wise and patriotic exercise Of the legis-
latiye duty with which they solely are
charged at present, events may be nit
future may be avertcd. Cur unfortunate
finarcial plight is not the result Of unto.
ward events nor of conditions relate to
our natural resourceA nor Is it traceatle
to any Of the stttictions which frequently
check national growth and prosper rity.
With plenteous crops, with abundant
promise Of rcmunerstive production and
manufacture, with unusual invitation
to safe Investment and with satisfactory
assurance to business enterprises, sud-
denly financial distrust and fear have
sprung up on every eide; numerous
moneytd institutions have suspended be-
cause abundant assets were not immcdi-
htely avsilable to meet the demands of
frightened dcpositors; surviving corpor-
ations and individuals arc content to
keep in hand the money they arc usually
anxious TO loan, and those engaged in
business arc surprised to find that the Sc
curities they offer for loans, though hero
tofore satisfactory, are no longer accept.
ed. Values, supposed to be fixed, arc
fast becoming copjcctursl, and loss and
failure. have invaded every branch Of
business,
THE CAUSE OF THE ALARMING SITUATION.
l believe these things are principally
chargeable to congressional legislation
touching the purchase and coinage Of
silver by the general government. This
legislation is embodied in q statute passed
on the 14sh day Of July, 1890, which was
the elimination Of much agitation on the
subject Involved, and which may be con-
sidercd atruco after long struggle, be.
tween the advocates OF free silver coin
age and those intending to be more con.
servative.
Undoubtedly the monthly purchases
by the government Of four millions and
five hundred thousand ounces Of silver,
enforced under that statute, were re-
garded by those interested in silver pro-
duction as certain guaranty Of its in.
crease In price. The result, however,
has been entirely different, for immedi.
ately followipga a pasmodicand slight rise
the price OF silver began to fall after the
patsage OF tho act and has since reached
the lowest point ever known.
THE EFFECTS.
This disappointing result has led to
renewed and persistent effort In the di.
rection of free silver coinage. Mean
while not only the evil effects Of the op-
Grafton of the present law constantly &C.
cuniuiate, but the result to which its
execution must inevitably lead is becom-
ing palpable to all who give the least heed
to financial subjects. This law provides
that in payment for the four million akd
five hundred thousand ounces Of silver
bullion which the Secretary Of the Treas
ury Is commanded to purchase monthly,
there shall be issued Treasury notes re-
deemable on demand in gold or silver
coin at the discretion of the Secretary Of
the Treasury, and that said notes may
bc reissIed 1t is, however, declared in
.ho act 10 De ''lne established policy Of
the United States to maintain the two
metals on parity with each other upon
the present legal ratio or such ratio 81
may bc provided by law" This declar-
alton so controls tho action OF the Secre-
tary Of the Treasury as to prevent his
exercising the discretion nominally vest.
ed In him, if, by, such action, the pari-
~ between gold and silver may
be disturbed. Manifestly refusal by
the Secretary to pay these Treasury notes
In gold if demanded, would necessarily
result in their discredit and depreciation
as obligations payable only in silver, and
would destroy the parity between the
two metals by establishing discrimina.
tion in favor of gold.
FURTHER REVIEW OF RESULTANT CON.
DITIoNs
Up to the 18th day of July, 1903, these
notes had been Issued in payment Of sill.
yer bullion purchases to the amount OF
more than one hundred and forty seven
millions Of dollars. While all but very
email quantity Of this bullion remains
uncoined and without usefulness in the
Seasury, many Of the notes given in its
purchase have been paid in gold. This
is illustrated by the statemont that be-
tween the 1st day Of May, 1892, and the
10Th day Of July, 1898, the notes of this
kind issued in payment for silver bullion
amounted to little more that tiity.four
millions Of dollars, and that during the
came period about forty two millions of
dollars were paid by the Treasury in
gold for the redemption of such notes
The po'cy necessarily adopted Of pay.
ing these notes in gold has not spared
the gold reserve Of one hundred millions
Of dollars, long ago get aside by the gov
ernment for redemption Of other notes,
for this fund has already been subject to
the payment of new obligations
amounting to about one hundred
and fifty millions of dollars on account
OF silver purchases, and has, as conse-
quence, for the frat time since its crea
tion, been encroached upon. We have
thus made the depletion Of our gold easy
and have tempted other and more appre