The times. [volume] (Richmond, Va.) 1890-1903, 1895-12-17

To deal intelligently with the question
what legislation is necessary by Con-
gree. 20 restore order In our finances
some Of the elementary facts OF the case
must be kept constantly before the
mind.
Prior to resuming specie payments III
| 1879 we sold SIS, $1,000 Of Understanding
bonds TO accumulate a gold reserve oil
500. 600. with which TO meet demands
for gold which the holders OF our green
back notes might make upon us Jhis
was our first blGnder If we had gone
on paving OF our greenback notes-a
| forced loan extortcd from the people 10
| support the war-and had never accumu-
1 lated any gold issue at all, except such
| az was necessary to redeem green
backs. while We were paying all OF them
| off from taxation, We would have been
saved a world of iiiculty and trouble
| But we arrested the payment OF these
| notes. and required the Government TO
| pay them out again when they came into
| tho Treasury. so that with the green
backs and the Sherman notes, issued 10
try and bolster up the price OF silver, we
now have s5O0OoO.0p Of demand notes
always appearing at or Treasury ana
calling for gold whenever any one has a
payment 10 make abroad.
When the world found out in 1879 that
II could always get gold for It's green
backs. no one vented gold. and there
was little or 10 demand made on the
Treasury for IL until the cheap silver dol
Jar threatened TO become our standard
G. ,llue. when alarmed Europeans COM
inenced. in consequence, TO send their Sc
ouTities here for sale. This made extra
ordinary demands upon the gold resources
of this country. charged the whole orcer
OF things. and set the Fashion Of send
ing every one who wanted gold TO our
public Treasury Tor IT, AS a consequences,
since February. 1894 we have sold Sie2.-
O5G,o00 of interest-bearing bonds for gold
to meet the demands Of our notes, ana
yet all Of It. the original 500. cOC oCe, and
the sl65, 00OOe0 additional, raised from
the sale OF bon6s is gone. except some
SIS, 900 OF II now III the Treasury. ana
that is melting away day by day so rapid
ly that unless Congress does something
TO arrest the process we shall soon have
to make another sale OF bonds to replen-
ish the stock Of It.
What ought 10 be done? The Republi-
can party say all of our financial trou-
bles have come from the reduction OF
duties made by the Wilson bill which
has caused the Government TO have In
sufficient revenues. and that the remedial
legislation needsd is more duties TO raise
larger revenues. The revenues certain
~ have not been equal 10 expenses for
several years, for which the Reed-Repub-
lican billion dollar Congress is certainly
responsible But the revenues under the
Wilson bill are steadily increasing, ana
ii seems perfectly plain that they VIII be
equal to the Governments expenditures
in the next fiscal year. So that while II
is necessary 10 raise some additional
revenue for a time, it is not necessary
to make any sort Of radical change IN
the present foundation upon which the
fiscal policy rests.
But what would we 90 with increased
revenues If we should raise themy II
makes no difference how great the reve-
nues may be people who want gold 10
send abroad will still 20 TO our Treasury
for it Just the same, as long as our de-
mand notes are outstanding. We can
conceive of but one way in which sur
plus revenues could bear upon the case,
and that would be by enabling the gov
eminent 20 purchase the gold It has TO
buy with money collected from taxes,
instead OF with bonds
We cen conceive Of no policy that
would De worse than this u is one that |
should not be thought OF. There is 10 |
possible excuse for taxing the people to |
raise any more revenue than IS noccs-
sary 70 pay the expenses OF govern !
ment. We have no right TO raise money |
from them by taxation TO support the
financial Speculation involved in an at
tempt to keep 100000 Of government !
paper afoat al par with gold The
project Of dealing with the case by raising |
more revenue than the Governmenr
has any need Of, is not to be considered
for moment
There is but one remedy for the diff
Guilty. and that is TO issue the Govern
ment's bonds FOR all of It's notes that are
outstanding, and to burn them up. we
shall then have no need for a gold re-
serve. But what" says the quid nunc,
ARE you going &c do about the great
contraction Of currency that VII take
place when you take S5oo,OoooOO Of *
away" Return say we. to the mandate
OF our Constitution. Repeal the uncon-
stitutional tax on the issues OF state
banks and allow each State to charter
banks to issue such currency az its peo-
pie need. and we shan never again hear
OF financial question in this country.
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CONGRESS SHOULD THANK RATHER
THAN CENSURE.