The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1894-12-04

ton in the near future seemed so certain
that in the exercise OF proper care for
the pubic welfare II became necessary 20
repleni,h this reserve aud thu maintain
popular faith IN the ability and del ernilIa-
ton of the government 10 meet, IS agreed.
its pecuniary obligations. 1t would have
have been well If in this emergency au-
thority had existed 20 issue the bonds Of
he government bearing low rate o. inter
est and maturing within special period,
but the congress having failed to confer
such authority, resort was necessarily
had 10 the resumption art OF 1915. aud
pursuant to its provisions, bonds were
issued, drawing interest at the rate of J
per cent per auunm and maturing ten
years after their issuing, that being the
shortest time authorized by the act. am
glad to say. however, that on the sale OF
these bonds, the premium received operated
to reduce the rate of lnteres5 TO BE- pad by
the government to less tban 3 per cent.
Nothing could be norre or further re-
moved from sensible finance than the re-
latious existing between the currency the
covenant mas issued, the gold held for
its redemption aud the means which
must be resJrfsd To for the purpose Of re
plenishing such redemption fund when I'M
paired.
OBLIGATIONS WHICH ARE NOT CANCELLED.
The claims upon this fund Were confined
If the redemption CT tuo>e obligations
meant their cancellation The fund would
be very small. But these obligations when
received and redeemed in gold are not can
celied but are reissued aud may 40 duty
many times by WAY Of drawing -osd from
{ he treasury. Thus we have AN endless
claim in operation constantly deplrr lug
he treasury's gold and never near fiIal
rest, AS il this were not bad enough We
have by "a statutory declaration tia, !; l.
the policy of the government
TO maintain the parity between gold and
silver and tie fofc- ana momentum Of this
eXh iuStiug process are added largely 10 the
currency obligations claiming TINS pecu-
liar gold redemption. Our small gold re
serve is thus subj ected TO draw from every
side. The demands that increase our dan
ger also increases the necessity of protect
ing this restrre az inst depletion aud IL Is
most unsatisfactory TO know that the pro-
lection afforded Is ouly temporary pa!!l9-
tiCn. II is perfectly and paipably plain
that the ouIy way under present cUndl-
tions by which this reserve when danger
ously depleted can De repienished Is
through the issue aud sale OF the bonds of
the govern nenL for gold
DENY BOTH RIGHT AND POWER
Yes, congress has not only thus far de-
clIueu to authorize the issue OF bonds best
suited to such a purpose. but there seems
Il disposition In some quarters to deny
both the necessity aud power for the issue
ri bonds At all. | clnuot for "A moment be-
lieve that any OF orr citizens are deiber
ately willing that their government should
default in its p cuuiary ob!ig ttions or that
IFS nuauciai opera ions should be reduced
10 a silver bases. At any rate / should not
fee. that my duty was done If | omitted
any effort | could make To avert such a
cdlamiiy. As long, therefore, as
no provision is mad for the
final redemption on the putting aside of
the currency obi CATION now used Is re-
peatedly and Consistently to draw from the
government lis go d, and as long as 40 bet
ter authority for bond ISSUES Is allowed
than at present exists, such authority Will
he utilized whenever and as often "a 1t be-
comes necessary, to maintain sufficient
gold reserve and in absolute time to save
the credit of tue country and make good
the financial declarations of our govern
meDt.