The advocate., 1894-09-05
SENATOR PLUMB.
His Great Currency Speech OF 1888, to Which
Republicans Dare Not Refer.

A correspondent requests the pUDlO80O0
of Senator Plumb's remarks upon the CON-
traction of the currency, and we present
here few paragraphs from his spaeCh in
the United States senate March "a, 1888,
The question before the senate was house
bill providing for the purchase Of outstand-
ing governments bonds by the secretary Of
the treasury. To this bill Senator Plumb
offered as an amendment an additional sec
ton providing among other things that
whenever the circulation Of any national
bank, or any portion Of il, should be sur
rendered, that the secretary of the treasury
should be required to issue an equivalent
amount Of United States treasury notes 20
take their place in the circulation Of the
country. The following are some OF the
points made by Senator Plumb in suppOrt
Of this smendment.-ED.]
For years the national bank cirCulS-
tion, and so the volume Of money out
standing in the United States, has been
declining. The population has in
creased, business has increased, but the
currency with which that business 10 to
be transacted has diminished each year
during the last five years; and yet the
finance committee Of the senate and the
similar committee in the other house,
and all those whose special privilege 1t
has heretofore seemed to be to take care
Of these questions, have proposed moth
ing whatever-not one single measure
for the purpose Of keeping up the vol
ume of the currency and nothing to In
crease it in accordance with the inCreRs-
ing needs of business. Here is pEopo-
sition which is put forth as something
which is to relieve the existing strin.
gencY, which is to diminish the surplus
in the treasury, which is to add to the
volume Of the circulating medium, OF
which it cannot be said with knowledge
that it will perform one single thing Of
that which it is assumed on Its face it
will do.
Mr.. President, l should like to know
from the chairman Of that committee
what the committee proposes as a sub
stitute for the national bank circuls-
tioD, which has shrunk during the last
year over 30 million dollars, and which,
in ell human probability, during the
coming year will shrink more than 80
million dollars more, and which under
the operation of this bill will probably
shrink at least 80 million dollars. Does
that committee have in view any remedy
for this extraordinary state OF afRirsG
Mr.. Morrill, will say to the senator
that We have several bills in the COM
mittee which have been considered, but
not yet fully completed, and we propose
to report upon them at the earliest prac-
ticsble day.
Mr.. Plumb-But this contraction Of
the currency, by means of the retire,
ment Of national bank circulation, has
been going on for more than ten years,
and all the committee has to say now is
that it has considered some bill, but it
is not yet completed. II the committee
will not complete some measure, the
senate must. II the senate will not, and
If the other house will not, then the
country is going upon the breakers Of
financial disturbance. AS q senator
says in my hearing, it is there now. /
think it is there now. We are dealing
with q question which has more to do
with the welfare Of the people Of the
United States, which is Of more concern
to them than any other thing that is
handing in aikhar hnnaA OF nnnnraaa. or