The times. [volume] (Richmond, Va.) 1890-1903, 1895-09-25


Ever since Senator Roger g. Mills. of
Texas, published his letter declaring
that he was no longer to be counted on
as an advocate of the free coinage of
silver by this country alone we have in
tended TO say something about part OF
lis confession of faith. The part of
his creed that We want to remark on is
found in this extract from his letter. The
Senator says
The most serious feature Of the finan-
Cial contention remains 10 be consider
ed. very active and aggressive party
is now demanding that the monetary cir
culation of the country shall be placed I'm
the sole control OF banking corporations
And In order that the field may be clear
ed for the exclusive circulation of their
notes, IT is demanded that all the Treas
ury notes. amounting 10 about 9)00,0o0
shall he funded into longtime interest
bearing bonds: that the silver Ia the
Treasury shall not be coined, but sold as
bullion for gold: that the Treasury notes
until th.y are funded into bonds shall
be redeemed in gold alone. and that as
often as the Treasury is cmptic0 OF gold
bonds shall be sold 70 obtain more TO
pay the same notes. The objection al
per circulation is that they are not elias
tic" They cannot be expanded and con.
tTacted at the pleasure of the banks. The
Democratic party. from the organization
of the Government, has opposed the poll
cy OF authorizing banks 10 Issue the cir
culatiOn of tho country. Banks are as
niece ssary to commerce as merchants and
common carriers. but IL is not q part Of
the legitimate business of banking 10 is
hot 10 cir t4f
That is the prerogat!ve OF sovereignty as
much as it is TO coin money and regulate
its vaiue. When the government retains
the power of coming and issuing it, IL is
exercised by the representatives, of the
people for their welfare. When corpora
tons exercise IL they do not do it for the
public welfare. hut for the pront of their
stockholders. Bank circulation under eX-
listing law cannot be expanded and con-
tracted at the pleasure Of the companies
Ii is limited in its issue TO certain per
cent. on the value o. the bonds deposited
20 secure IT. This limitation and restric-
tion against over-issue secures stability
in our currency. ana preserves the stan
dard OF value " he amOant of issue Of
circulating notes rs to be determined by
corporate companies. and ,hey are per-
nittcd to contract and expand the circu-
lation at their pleasure. they can put up
and pull down prices as often as profit
is 10 be made by sucn al exercise Of
power
We really cannot SEQ why Senator Mills
should have abandoned advocacy OF free
coinage OF silver with such views as
these. The free coinage proposition rests
upon the idea that afty cents worth of
silver can be turned into one hundred
cents worth Of it by the government
stamping on IL that II shall be a dollar.
and making 1t legal tender for a dollar
now due. The bottom OF that idea Is a
notion that government is the source Of
money. 1t understands money to flow out
of government as water runs out OF the
side OF Hill. The extract we have quot
ed from Senator Mills letter shows his
mind TO be possessed by this notion. and
have abandoned advocacy Of the partic-
ular manifestation of this attribute of
government, which would occur when IT
stamped nifty cents as a dollar. and there
by made II one If he believes as he
plainly does. that government is the
source OF money. we don't see why he
should not be as ready 20 have govern
ment exercise It's magical powers upon
silver as upon paper.
The trouble with Senator Mills as with
al the other men OF his school IS that
they have never graspcd the foundation
idea Of money 50 as TO distinguish be-
tween 1t and what we call paper cur
rency. We have repeatedly stated IL In
these columns. but II seems TO be the
hardest thing IN the world 10 maks the
sveSass man understand Il. aud We shall.