Hopkinsville Kentuckian. [volume] (Hopkinsville, Ky.) 1889-1918, 1895-03-15

ADaerica May Learn Much from France If
She VIII.

nUNeFioa may Learn MUCB from Franco ri
She WILL
In managing the FRANCES and regu-
latiug its currency, the United States
government may learn much from the
government of France.
The Bank of France became govern
ment institution in lS43, and has re-
manned so ever since. 1t has power to
issue bills of credit to the extent of
1900, 900, 900 francs. A franc on ex-
change is equal to about 1913 cents of
our money. The bank furnishes pa
per circulation of about 3,4ss,0O0,0O0
francs.
This paper currency amounts, when
the bank has issued to its full capacity,
to about $21 to each person in the re-
public of France. To redeem this pa
per issue of currency there is held in
the bank metallic reserve of gold and
silver to the amount of 5000, 600
francs. The bank redeems its notes
with either gold or silver at its option.
Not only does the Bank of France ex-
ercise the option of redeeming its cir
culating notes in either gold or silver
coin at it's pleasure, but it carries the
option to the extent of always paying
silver coin to those persons who are
threatening to take the coin abroad,
when such course will best subserve
the financial business interests of
France. That bank also, out of its gold
and silver coin reserve, redeems its
notes ordinarily in that coin-either
gold or silver-of which it has the larg-
est amount
The United States now has in its
treasury and in circulation over $1,000,
600, 900 of paper currency of six differ
emit kinds, consisting of gold certifi
Gates, silver certificates, treasury notes
under the act of 1890, currency certifi-
Gates under the act Of June 1879,
United States notes-commonly known
as greenbacks-and national bank
notes. Looking at the face of this
paper currency, it plainly appears that
the intent of congress was that at least
a part of it should be redeemable in
silver coin. But under the rulings of
the secretary of the treasury it is re-
deemable in gold coin only whenever
the owner calls for it.
Thus every advantage and option is
given to the creditors of our govern
ment instead of being exercised by the
secretary of the treasury. 1t has been
often urged by high authorities on
finance that all our paper currency
should be of one kind of money and
redeemable by the secretary of the
treasury at his option in either gold or
silver coin, according as payment in
the one coin or the other would best
subserve the stability of our financial
system. The example of the bank of
France, which is practically the treas
ury of the French republic, sustains
that view of the matter.
The French republic is not over five
times as large in area as our one state
of Ohio. 1t was impoverished twenty
four years ago by paying an indemnity
Of one billion dollars to the German
government. 1t has only two-thirds
as large a population as the United
States and only two-thirds as much es-
timated wealth. Yet it is easily able
to carry along on parity 100000, 900
of silver, $500, 100000 in gold and near
ly S700,oo0,000 in paper currency, re-
deemable in either gold or silver coin
at the option of the government.
Why cannot the United States, stand
ing in strength and power the superior
Of any nation in the world, do the same
hing? If it had statesmen at its helm
with the courage of its resources, it
Gould and would.-N. Y. Recorder.