The times. [volume] (Richmond, Va.) 1890-1903, 1895-03-13
The Currency Campaign.

we'll convinced of the necessity lor lnel'
Intervention not to resume the i'7PV
siblity with alacrlty. ana trey ar
ready beginning to organize loI d Oo'0 ~,
siye expression OF their Juus
both sides of the question the ueepsN
interest is felt from one emo OF INC 80
try TO the other. and IL Is OF the u'ilOS'
importance that the initial steps, when
must largely determine the phases ol ~
controversy should be taken Win IHe
most deliberate circumsFecuoh' 49,, .
The Questions to be determined are
briefly these: Shall the country auop1
policy of unlimited coinage OF siiNel, ia
tionaI or international? or shall II refuse
TO I'm any wav extend the use or mat
metal and retire the legal notes Oh con-
d.ions that will provide LOT uelI Sun''i
tuition by bank notes. Inc ul'i9'U' %
opinion on these questions pretty CloSely
follows geographical ines the an , ma
tive view of the former proposition
bayipo tie chief strength in the South
and West. and the latter commahdlHs
largely preponderant support III the
Middle and Eastern States. The issue,
therefore. is q largely sectional one anu
IL is equally one between the distlhCuNe
" debtor and creditor sections the aSIl-
cultural States and he manulao TURNS
States. These distinctions are oil tne
utmost importance IN deterlnlhlhS 'no
definition of positions and III Shaping the
methods of controversy.
1t would be "A grave tactical pluhdet 10
allow the discussion TO drilt mo iiI'l
scholastic debate on the economic Herlt9
OF the double Standard and the Sihae
standard. Some measure.of attention may
no nroperIv bestowed upon the scientific
aspects of the question; for there Is
class whose influence on the shaping OF
common opinion Is potent VINO VIII ne
controlled alone by such fundamental
considerations 1t might be wen 10 pro-
vide exceptional pabulum TOT thdl tAOep
tional class But the main point 10 De
kept in view. I'm guiding the discussion, -
that to- the great mass of our people inns
is in effect and at bottom commercial
question, and that their verdlct VIII NC
given upon business considerations
The commercial motive I'm the silver
producing States is self-m1nifcst. In the
agricultural South and West the silver
sentiment is very differently conditioned
They have no direct business interest IN
the mining or treatment OF the metal
Their interest centres solely IN the TACT
that they want freer access 10 the Issues
and the issuers of money. The planter anu
the farmer are suffering from exception
allv low prices for their products. Ihey
are told by the crafty leaders OF the
mining States that these low prices are
due to the suspension of silver coinage
and whether they believe the willy eX-
planation or not, they have deep con-
yiction Of the potency OF money 10 sum-
ulate prices. and eagerly grasp at an
offer OF IL from any source. Herein Hes
the whole gist Of the question as IL pre-
sents itself to a group Of states whose
vote must ultimately determine the ma
tional policy on this question. The SUI
preme work OF education must therefore
be directed towards such aspects OF the
question as affect this large group OF
constituencies.
I'm dealing with this class, it will be
useless to argue that the supply Of money
is a matter of secondary or exaggerated
importance to them. To men who so
rarely see money and yet prize 1t 50
much. such talk would be equivalent 10
giving a stone when bread was asked.
In all Justice TO the West and the South
il must be conceded that they have a
good and legitimate case In demanding
that the supply of money be put WITHIN
their easier reach. But the thing they
need TO be taught is that they nave 10
reason to believe that. If the issues OF
silver were increased, the coin would
come any nearer TO their pockets than II
does now. What they need is local sources
| of issue; the improvement Of their neigh
horhood banks to issue notes against their
products. free from any dependence upon
help from banks of other sections. THIS
demand is based upon no ignorant mis-
conception: il rests upon a real necessity,
felt equally by the agricultural, the
trading and the banking classes or the
whole West and South. It is because this
has not been acknowledged by legislation
that these same people are now clanorlnS
for silver; not that they prefer it to other
forms of money. but because it seems to
them the only kind they may hope 10 get,
whilst they have the influential mining
States to back them in fighting for II.
The national banking system does little
to meet these requirements. The State
systems are prohibited from issuing notes.
In these sections there are state banks
having S2J0O00,0OO of capital ana surplus
which, under proper conditions OF guar
antee and Federal regulation, might De
safely authorized 10 issue close upon
S20OOOO.OOO OF circulating notes; but the
10 per cent. tax bars them out. Ihis IS
the great political grievance of the South
and West They regard II as selfish
discrimination Of the banking and cap
italistlc East against the debtor sections.
They are stung TO bitter resentment IN
every form against what they deem a
great political injustice. Their party lead
ers encourage them into demand for
free coinage, not so much because they
have any preference for silver but mat
they may utilize that issue as cluD 10
compel the East TO concede 10 them the
right 10 make local issues OF bank notes.
Herein lies the whole secret OF the south
ern and western sympathy with the
mining States in demanding free coinage.
Here centres the fatally weak point in the
pro-silver agitation. Here Is the point,
possibly the sole point, at which the sup
pCrteTs of sound money can carry victory.
Grant this. and the country Is financially
safe: continue TO refuse it, and the issue,
In our Judgment. is IN high degree
doubtful.
At this point arises a suggestion of
prudence in the conduct OF educatCry
campaign. II there is one way, and only
one way, of winning the South and the
West to the cause OF sound money, no
consideration should be allowed to pre-
vent the adoption of that policy. Any
plan of work or any statement of pur-
pose that failed 10 sanction the policy Of
permitting State bank issues, upon con-
ditons sanctioned by Congress ana made
TO apply equally to the national banks,
would be graveiy. we fear fatally, de-
fective Equally il would be serious
blunder for the friends of the national
banks to raise any obstacles 10 accord
ing 10 the State institutions the same con-
ditions OF note issue as may be made TO
apply 10 the national institutions; for in
such course they would but invite the
curse OF free coinage in the most eifec-
tive way possible. For reasons OF this
kind. 1t is TO be hoped that agencies In
stituted for educational work may be,
not only courageous, but also cautious