People's voice. [volume] (Wellington, Sumner County, Kansas) 1890-1917, 1894-07-27

Given under my hand and seal OF
the United States, at the city of Wash
ington, on the 3Oth day of June, in
the year of our Lord 1898, and of the
independence Of the United States the
117th.
SEAL. GROVER CLEVELAND.
By the President.
ALVEY A. ADEE,
Acting Secretary of State
The Message to the Extra Session
TO the Congress of the United
States: The existence of an alarming,
an extraordinary business situation,
involving the welfare and prosperity
of all our people, has constrained me
to call together IN extra session the
peoples representatives in congress to
the end that through a wise and pa
triotic exercise of the legislative duty
with which they are solely charged.
present evils may be mitigated and
dangers threatening the future may
be averted.
Our unfortunate financial plight is
not the result of untoward events or
of conditions related to our national
resources; nor is it traceable to any of
the Affections which frequently check
national growth and prosperity. With
plenteous crops, with abundant prom
Use of remunerative production and
manufacture, with unusual invitation
to safe investment and with satisfac-
tory assurance to business enterprise,
sudden financial distrust and fear
have sprung up on every side. Nj
merous moneyed institutions have
suspended because abundant assets
were not Immediately available to
meet the demands of frightened de-
positors, surviving corporations and
individuals are content to keep in
hand the money they are usually aux
ious to loan, and those engaged in
legitimate business are surprised to
find that the securities they offer for
loans, though heretofore satisfactory,
are no longer accepted. Values sup
posed to be fixed are fast becoming
conjectural and loss and failure have
invaded every branch, of business.
The Sherman Act the Cause.
lbelieve these things are principally
chargeable to congressional legisla-
ton touching the purchase and coin
age of silver by the general govern
ment This legislation is embodied
in statute passed on the 14th day of
July, 1890, which was the elimination
of much agitation of the subject in
volved and which may be considereda
truce after the long struggle between
the advocates of free silver coinage
and those intending to be more con-
sentative.
Undoubtedly the monthly pur-
chases by the government of 4, 500, OOJ
ounces of silver, forced under that
statute, were regarded by those inter-
ested in silver production as a certain
guarantee of its increase in price. The
result however, has been entirely diff
ferent, for Immediately following a
spasmodic and slight rise the price of
silver began to fall after the passage
of the act and has since reached the
lowest point ever known. This dis
appointing result has led to renewed
and persistent effort in the direction
of free silver coinage.
Meanwhile, not only are the evil
effects of the operation of the present
law constantly accumulating but the
result to which its execution must in
evitably lead, is becoming pa lpable TO
all who give the least heed to fnan-
cial subjects.
! Effects of the Law.
This law provides that in payment
for the 4,5OO,OUO ounces of silver
bullion which the secretary of the
treasury is commanded to purchase
monthly, there shall be issued treas
ury notes redeemable on demand in
gold or silver coin, at the discretion
of the secretary of the treasury, and
that the said notes may be reissued.
1t is, however, declared IN the act to
be 'the established policy of the
United States 10 maintain the two
METALS upon parity with each other
upon the present legal ratio or such
ratio as may be provided. bv law"
This declaration so controls the
actions of the secretary of the
treasury as to prevent his ex-
ercising the discretion nominally
vested in him if by such action
the parity between gold and silver
may be disturbed. Manifestly, a re-
fusal by the secretary to pay these
treasury notes in gold if demanded
would necessarily result in their dis
credit and depreciation, as obligations
payable only IN silver, and would de-
stroy the parity between the two
metals by establishing discrimina-
ton in favor of gold.
PUP to the 18th day of July. 1898,
these notes had been issued in pay
ment of silver bullion purchased to
the amount of more than Sl7I.0OO, OOv
While all but very small quantity of
this bullion remains uncoined and
without usefulness in the treasury,
many of the notes given in its pur-
chase have been paid in gold. This is
| illustrated by the statement that te-
tween the lst day of May, 1892, and
the 18th day of July, 1898, the notes of
this kind issued in payment for silver
bullion amounted to a little more
than S54, 900, and that during the
same period about $4,000 coo were
paid by the treasnry in gold for the
redemption of such notes.
Depletion of the Gold Reserve.
The policy necessarily adopted of
paying these notes in gold has not
spared the gold reserve of 500, 900, 600,
long ago set aside by the government
for the redemption of other notes, for
this fund has already been subjected
10 the payment of new obligations
amounting TO about $4,000. 600 on