The Goodland republic. [volume] (Goodland, Kan.) 1891-1907, 1895-12-06

order TO provide ami prepare for such re-
0enptioa the secretary Of thu treasury vas
authorised not only to uss any surplus rove
nues or fhe government but 20 issue bonds Of
the United States aai dispose Of them for
coin and 70 use the proceeds for
the purposes contemplated By the statute
In May 1915 and before the date thus appoint
ca for the redemption and retirement OF these
notes. another statue was passed forbid6ins
their further cancellation and retirement
Some Of them had, however, been previously
redeemed aud cancelled upon the issue OF addi-
tORal national bank circulation, IS permitted
by the law Of 1872 so that the amount out
starting 81 the time o; the passage of the act
f0rbid5ing their further retirement was s3i,-
e5!,0i6 The law OF 1878 did not stop at dis
tiuct prohibition, but contained in addition
the following provision: And When
any Of said notes may be redeemed CT
be received into the treasury, under any
law from any source whatever, ORG
shall belong to the United States. they shall
not be retired, Cancelled, or destroyed, but they
shall be T5issued and made out again and kept
in circulation This was the condition Of af-
fairs on the list dag Of January, 1879, which had
been hx6d upon four years before as the date
for entering upon the redemption and retire
ment Of all these notes, aud for which such
abundant means had Deem provided. The gov
eminent was put in the anomalous situation OF
owing to the holders Of these notes debts pay
able IN gold on demand which could neither be
retired by receiving such notes in discharge Of
obligations due the government, nor cancelled
By actual payment in gold 1t was forced 20
redeem without redemption and TO pay Without
acQuittanee.
There has been issued and sold 95,50},OO0 Of
the bonds authorized by the resumption act
of 1917, the proceeds OF which, together with
the gold IN the treasury. created q gold
fund deemed SUFFICIENT to meet the demands
which nigh; be made upon it Tor the redemp-
ton OF the outstanding United States notes
This fund, together with such other gold as
might be from time 10 time in the treasury
available Tor the same purpose, has been since
called our gold reserve and SlO0,00l000 has
been regarded as an adequate amount TO ac-
cOmplish its object This fund amounted on
the LIST day Of January, 1872, to SIi4l90,lS6
ana though thereafter constantly fiuctuating'
if did not fan below that sun in July, 1892 In
April 1898 for the mrs time since its eStaD-
lisbment, this reserve announced "a less than
SlO100O 900 containing at thag aate ooly Sa7.-
or $50 u The meantime and in July, 1890, AZ
act ha6 cen passed directing large govern
been required under previous laws and proyid
ing that in payment for silver treasury notes
OF TIE United States should be issued payable
Gu demand in gold OF silver coin at the discre-
ton OF the seore5arv o. the treasury, it was,
however declared in the ael 70 be tbs estab-
lished policy q the United States to maintain
the two metals on q parity with each
otue- upon the present legal ratio, or
such ratio rs may be provided by law
In view Of this declaration it was hot deemed
permissible for the secretasE of the treasury
to exercise the discretion III terms conferred
On him by refusing to pay GOLD on these notes
when demanded because by such dIscrlmtna-
tion i'll favor of the gold dollar. the so-called
parity OF the two tails would be destroyed
and grave and dangerous consequences would
be precipitated by affirming or aoeentuating
the constantly widening disparity between
their actual value under the existing ratio.
These obligations are the instruments which
ever since We have had a gold reserve, have
been used to deplete It,