Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1895-12-04


...s.ted largely from fright. there Is
bathing apparent that VIII prevent is
..-,4rce OF recurrence. with It's natu-
.rre.sucnces except such change
,~ financial methods az viii fcassurc
l,.rhfcned and make tho desire FOR
.. f..e intense 10 is not clear how an
...e. .n revenue. unless it Doe IN gold.
..fsfy those whose only anxiety 10 Is
...- sold from the governments store.
90 .nnot therefore, be safe TO rely upon
l.....1 revenues as cure for our pres
emf troubles
GOVERNMENT EXPENSES.
,. .. possible that the suggestion Of In
,..4 revenue as a remedy FOR the DIM
.... $50 are considering may have
...trl In am intmation or distinct al
.t.g tnat the bonds which have been
l ostcnsiby TO rcplonisn our gold
..,. vffc really issued 90 supply in-
.....rf revenue. Nothing can De- iurtnfr
. fne truth Bonds were issued 20 OBJ
eld for The maintenance of our ma
... credit As has been shown. the
.. anus obtained has been drawn again
fnc Treasury upon United states
... and Treasury notes. This operation
.., have been promptly prevented II
.nfo. but these notes having thus
,... aasscd TO the Treasury. they became
.. money Of the government, Ike any
.,..r ordinary government funds, ana
t.,. was nothing 20 do but to use them
an having government expenses when
needed.
A.. r8 time when bonds have been issued
d.. fnere been any consideration OF the
atnn of paying the expense OF gov
.r.rrt with their proceeds. There was
b.. necessity 10 consider that question. At
t .,oe of each bond issue we had safe
....... ln the Treasury for ordinary ope-
....rs exclusive of the gold in our re-
-.. In February, 1884, when the first
.. of bonds was made, such surplus
.....rfal % over $4,000 900, in November
rr.r he second issue was made. II
amounted 90 more than Si2,0O1C00, and in
d ...lry. 1855. when bonds for the third
r. were issued. such surplus amounted
D., more than 100000. II now amounts
4, ,0lg 2l.2o.
les an this, the Secretary Of the
r- 1872 had no authority whatever to
.... bonds 20 increase the ordinary reve-
Duo. 0r pay current expenses
cannot but think there has been some
Confusion Of Ideas regarding the effects
.f th. issue Of bonds and the results Of
-.. withdrawal Of gold. 10 was the latter
PROCESS and not the former that by sub
s...ng 600 the Treasury United States
,.... and Treasury notes for gold in
creased hy their amount the money which
was a The first instance subject TO ordi-
r... government expenditures.
sIINER-PURCHAsE LAWS.
Although the law compelling an in
creased purchase Of silver by this gov
,rment was passed on the l4th day OF
I.F $780, the withdrawal Of sold from
OLD. Tr, sury upon the notes given in pay
lrro hNrIn
r.tI october 1891 Immediately following
f.r date the Withdrawals upon both
r... notes and United states notes in
creased very largely. and have continued
...r au extent that since the passage
.r chat Jaw there has been more than
thirteen times as much gold taken out
a. thc Treasury upon United states notes
and Treasury notes issued for silver pur-
.r4e.s as was thus withdrawn during the
eleven and a half years Immediately
rr0r thereto and after the LIST day of
January. 1879. when specie-puyments were
resumed
It U.s. neither unfair nor unjust 10 charge
large share of our present financial
p.rulexities and dangers 10 the operation
% the laws of 1873 and 1890 compelling
che purchase of silver by the government,
which not only furnished a new Urea
elrv Obligation upon which its gold might
Doe withdrawn. but so increased the fear
Of an overwhelming flood Of silver and
"a forced descent TO silver payments that
even the repeal Of these laws did not
entirely cure the evils Of their exist
euce.
FREE-SILNER COINAGE.
While / have endeavored TO make a
plain statement OF the disOrdered con-
d.tlon of our currency and the present
..fn
tl suggest way which leads TO a safer
financial system. l have constantly had
n mind the fact that many of my coun-
frpmen. whose sincerity / 40 not DOUBT,
insist that the cure for the ills now
threatening as may be found in the
single and simple remedy of the free
coinage Of silver. They contend that our
mnts shall be at once thrown open TO
one free, unlimited, and Independent coin
a-. 0f both gold and silver dollars OF
fuI leeal-tender quality, reg drdless OF the
action of any other government ana IN
fu view Of the fact that the ratio be-
tween no metals which they suggest calls
fr one hundred cents worth of gold in
t.a gold dollar at the present standard,
and only fifty cents in intrinsic worth
OF - silver IN the silver dollar
Were there infinitely stronger reasons
cham can be adduced for hoping that
such action would secure for us a bime-
tU. currency, moving on lines Of parity
am experiment. SO novel and hazardous as
t.t proposed might well stagger those
WHO believe that stability is an impera-
t'ro condition of sound money.
$50 government no human contrivance'
0r act of legislation has ever been able
G.. tol the two metals together in free
coinage at q ratio appreciably different
A.. fHlINnI q Hn
markets of the world.
Those who believe that our independent
fr.. coinage Of silver at an artificial ratio
with gold of 16 10 ! would restore the
parity between the metals and conse-
O..rly between the coins, oppose an un-
supported and improbable theory to the
general belief and practice OF other ma
t.rs and 90 the teaching Of the wisest
statesmen and economists Of the world.
both In the past and the present. and
what is far more conclusive they run
counter 20 our own actual experience.
OUR EXPERIENCE.
Twice in our early history our law
makers. in attempting TO establish bi-
m .IlNc currency undertook free coinage
upon ratio which accidentally varied
fom the actual relative values OF the
fN. metals not more than per cent In
Both cases. Notwithstanding greater diff
t.lles and cost OF transportation than
I.W exist. the coins whose intrinsic
worth was undervalued IN the ratio
eu.ually and surely disappeared from
0ar circulation. and went 20 other coun-
tries where their real value was better
I.roen zed
Acts OF Congress We're impotent TO
o ate equality where natural causes de-
creed even slight inequality.
Twice in our recent history we have
s-nl.ly failed 10 raise by legislation the
value Of silver. Under an act Of Con-
lress passed In 1878. the government was
required Tor more than twelve years TO
Npenl annually at least S2L0o00OO In the
purchase OF silver bullion for coinage.
inc act Of July a. 1880 in "a still holder
D1crt Increased the amount OF silver