The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1895-12-07


hy as it is strongly supported by numerous pre-
is cedents: that as "A consequence the United
IN States Is bound to protest against the enlarge
-. ment of the area of British Guiana against
~ the will of Venezuela: that. considering the
l. disparity OF strength of Great Britain and
al Venezuela, the territorial dispute between
H. them can be reasonably settled only by friend
:, ~ and impartial arbitration, and that the
resort to such arbitration should include the
he whole controversy, and is not satisfied if one
- OF the powers concerned is permitted to draw
if an arbitrary line through the territory in de-
~ bate and 20 declare that it will submit to ar
Ditratlon only the portion lying one side of it.
Il in view of these conclusions the dispatch in
i question called upon the British Government
:, Tor definite answer to the question whether
= it would or would not submit the territorial
= controversy between itself and NcnczGeIu in
II IFS entirety to impartial arbitration
II The substance of this is, that Great Britain
Ii or no other foreign power can torcihl> en-
{ large her territory on this continent.
: Upon the matter Of finances the message
reviews the Legislation for the past twenty
. years: speaks of the raids on the gold reserve
and the bond issues necessary to preserve it
a and maintain the public credit rs well Is the
1 parity of gold and silver Under the present
!
yer. and the policy Of the government has been
to redeem them in either gold or silver, at the
option of the holder, SO as not to discriminate
against either coin and to preserve their par
) ity. The greenbacks amount to about $34G.-
000.0 and under law of 1878 they were
not to be cancelled when redeemed. but to be
reissued and kept in circulation. Since 1879 |
the date when the government resumed specie
payments, 1927 GOO, 600 of these notes have |
been redeemed in gold. and been reiSsued. !
Thus, nearly the whole grecnback debt has |
been paid, and yet, under the provisions of
the law Of 1878, are still owing by the gov
eminent, and are ready to do service in de-
pleting the treasury Of its gold. Ia the lam
guage of the message, under this law Of 1873.
the government has been forced 10 redeem
without redemption and to pay without ac
| quittance.
The President remedy is the retirement
| Of the 1916, 900. 600 of greenbackS and the
! $40, 900, 600 of treasury notes. issued in pay
ment ofsilver purchases. Upon this point he
says:
! believe this could be quite readily accom-
! United States bonds Of small as well as large
denominations, bearing low rate of interest.
| They should be long-tem bonds, thus in
creasing their desrability as Investments and
because their payment could be well post
poned to period far removed from present
financial burdens and perplexities when with
increased prosperity and resources they would |
be more easily met.
TO further insure the cancellation Of these
notes and also provide "A way by which gold '
may be added TO our currency in lieu of them !
"a feature i'll the plan should be an authority
given TO the Secretary of the Treasury to dis !
pose of the bonds abroad for gold if necessary |
to complete the contemplated redemption and |
cancellation permitting him to use the pro t
ceeds of such bonds to take up and cancel y
any OF the notes that may be in the Treasury 4
or that may be received by the Government It
on any account. II
The currency withdrawn by the retirement "
OF the United States notes and Treasury "
notes, amounting TO probably less than 1886. h
O6o,o 900, might be supplied by such gold is II
would be used on their retirement or bv an 81
increase IN the circulation of our national "
banks. Though the aggregate capital of those ,
now III existence amounts to more than 81
1864, 900 900, their outstanding circulation ;
based on bond security amounts to only about Ia
Sl9O0OO,O O0. They are authorized to issue III
notes amounting to 80 per cent. OF the bonds III
deposited to secure their circulation, bat in "
no event beyond the amount OF their capital Il
stock, and they are obliged TO pay per cent.
tax on the circulation they issue
| think they should be allowed to issue
circulation equa! to the par value of the bonds
they deposit to secure it, and that the tax on
thor circulation should be reduced to one Il,
fourth of per cent, which would undoubt Cd
eddy meet all the expense the Government re
lncurs ON their account. in addition they a
should be allowed to substitute and deposit in i
lieu of the bonds now required as security for th
their circulation those which would be issued m
for the purpose of retiring the United States la
notes and Treasury notes. a
The banks already existing. if they desired OF
to avail themselves of the provisions OF law c.
thus modified, could issue circulation in addi- iii
non to that already outstanding, amounting to to
s47S 900, 0O0, which would nearly or quite de
equal the currency proposed to be cancelled tie
AT any rate should confidently expect to pr
see the existing national banks or others to be
avail themselves of the proposed Il
to issue circulation, and ca
promptly fill any vacuum and supply every to
need. CO
In recommending the redemption and can ne
collation. of greenbacks the President will be co
sustained by the best thought of the country. pc
There can be no stability as long as these ar
The treasury has been thrice raided, and it to
will be at the mercy of the money sharks so
long they are required to be ressued after
redemption. In fact, under the act of 1878.
they practically rredeemable. L
The President combats the idea that in
creased revenue would cure our financial ills,
unless part of them were paid in gold, and do
to require this would send gold to a premium ne
and be discrimination against silver. He to-
goes on further to argue that free and unlim- Ma
ted coinage of silver, at ratio of Is to l., as r
advocated by many leading men, would rem sti
Ter more unstable our currency instead of thu
improving matters. I oa
The message is strong in facts and forcibe III,
n argument but the fear is that partisanship eel
will be stronger than patriotism and no relief Tho
Will be granted by the present Congress. The e ct
Republican party for the past two years has m
,oated over the financial and industrial ills gre
# the country, which resulted from their pol mo
cy of taxation and finance and its press and epi
peakers have magnifed both Hard tim es bss
nd business and financial depression are sec
sualy charged by the people generally to the slo
arty i'll power, and in order to win in the sle'
ecent elections the party set up a calamity =
owl all over the country. 1t remains to be Nj,
cen whether the party, now that it controls par
ne branch of the legislative department of bus
government and is numerically the strongest GOV
! the other, will apply remedial legislation, cI
# financial affairs dr;fi fron, Ia ~ yal' Jud
nd charge it against the Administration. khe