Crawford avalanche. (Grayling, Mich.) 1879-19??, 1895-12-26

the course of which he makes an ex-
haustive argument in favor of the retire
ment of the greenbacks.
1.-The cash balance in the treasury on
the first day of December, 1S05," he
says, twas SIT, ,406, 1886, being sos, S,012,-
420 in excess of the actual gold reserve
on that day, and ST. 1868 in excess of
any sum that it would be necessary to
use for rcplenishing that fund in case
the Secretary should at any time be
able to exchange currency for gold There
is, therefore, no reason to doubt the abil-
ity of the Government to discharge all
its current obligations during the present
fiscal year and have Il large cash balance
at its close, without imposing additional
taxation in any form upon. the people,
but / adhere to the opinion, heretofore
expressed, that the Secretary of the
Treasury ought always to have authority
to issue and sell, or use in the payment
of expenses, short-time bonds bearing a
low rate of interest, to supply casual de-
fciencies in the revenue.
Figures on a Surplus.
with complete return to the normal
business conditions of the country and IL
proper legislative and executive super
vision over expenditures, the revenue
laws now in force will, in my opinion
yield ample means for the support of the
public service upon the basis now estab-
lished and upon the assumption, which
seems to be justified, that the progress
now being made toward the restoration
of our usual state of prosperity will con-
tinue without serious interruption, 1t is
estimated that there will be n surplus Of
nearly $7,OOO,OOO during the fiscal year
1897. During the fiscal years 1894 and
1895 the ordinary expenditures Of the
Government have been decreased $27,-
2S2, ,656.20, as compared with the fiscal
year 1893, and il is believed that with
the cooperation of Congress further re-
duction can be made i'm the future without
mpairing the efficiency of the public SER
vice"
Continuing he says: 'The large with
drawals of gold in December, 1894. and in
January and the early part of February
1895, were due almost entirely to feel
ing of apprehension in the public mind,
which increased in intensity from day to
day until il nearly reached the proper
tions of a panic, and ii was evident TO
all who were familiar with the situation
that, unless effectual steps were prompt
ly taken to check the growing distrust,
the Government would be compelled with
in a few days to suspend gold payments
and drop to deprecated silver and
paper standard. More than $43 30O0, 900
of the amount withdrawn during the
brief period last mentioned was not de-
manded for export but was taken out by
people who had become alarmed on ac-
count of the critical condition of the treas
ury In its relations to the currency of the
country. The purchase of 3,3O0.O0O
ounces of gold followed" The beneficial
effects of this transaction, the Secretary
says, were felt Immediately not only in
this country, but in every other having
commercial relations with us. "Confi-
dence in our securities was at once re-
stored. The safety of the existing situa-
tion IL. however, constantly menaced, and
our further progress toward a complete
restoration of confidence and prosperity
Is seriously impeded, by the defects In our
currency laws and the doubt and uncer-
tainty still prevailing in the public mind,
and especially abroad, concerning the fu-
ture monetary policy of the Government"
The Secretary believes that there never
has been time since the close of the war
when the gradual retirement and cancel
lation of the United States notes would
not have been benefit to the country,
nor Wnen the issue OF addltlonal notes OF
the same character would not have been
injurious to the country. 1t would be diff
ficult, he says, II not impossible, to devise
a more expensive or dangerous system
than the one now in operation under the
laws providing for the issue, redemption
and reissue of legal-tender notes by the
Government. Mr.. Carlisle declares that
he is thoroughly convinced that this sys-
TEN ought not TO be continued, but that
the United States notes and treasury notes
should be retired from circulation at the
earliest practicable day and that the