Fort Worth gazette. [volume] (Fort Worth, Tex.) 1891-1898, 1895-11-21
FAULT OF THE SYSTEM.
HE WILL SAY THAT THE NATIONAL
CREDIT SYSTEM Is ALL
WRONG.
And win Recommend Making 1t
still More "Goid-BurEy " Than
IL Is ut Present.

Il. w hHnlngtOn, NOV. AV.-fTtsiueHt
e. leland in his annual message to con-
. will recommend the retirement OF
gE ,acks. This recommendation Will
be re chief feature OF the message, 30
far as Democratic affairs are con-
cerned
The president has had n number of
conferences with Secretary Carlisle
at Woodley concerning this part of the
message. and 1t Is learned from ex-
cellent sources that the financial part
OF the message has been mapped out
and agreed upon.
The president will return to the at
tack upon congress for n change In our
currency methods. He will say that
the executive has done all within his
constitutional power to protect the
national credit under the clumsy sys-
TEN now In vogue, and VIII point out
what the dangers of this system are.
He will take the ground that the dill
Guilty Is not In any sense one of re-
venge, but of the attempt to MAIN
tain a gold reserve and hundreds of
millions OF notes redeemable In gold
upon demand at the same time.
The president will call the attention
of congress to the fact that no other
government in The world attempts to
keep its gold store open for all the re-
quiTements of commerce and banking,
this distinction being left to the United
States alone. lie Will repeat his former
descriptions Of the manner In which the
use OF these demand notes over and
over again-the secretary OF the treas
ury being by law required to pay them
out us fast as they are rccelved-forms
the endless chain" of gold depletion
about which SO much was heard week
ago.
The form Of remedy agreed upon be-
tween the president and Secretary Car
Isle ana to be set forth In the message
Is very simple. II consists OF recon-
mendation that the statute Of 1873 re-
quiring the secretary of the treasury
to raise United states notes as soon as
they are paid into the treasury be
repealed. and that he be given authorl-
ty to retire them from circulation, Also
that the secretary be authorized to eN-
change for the greenbacks ut any
time new issue OF government bonds
of long term to run and at n low rate
Of interest. II Is the belief of the
president and the secretary that the
entire outstanding Issue of greenbacks
would be quickly presented at the
treasury counters by the banks Of the
country In exchange for these bonds.
and that the bonds would soon be de-
posted ms basis of an Increased circu-
iation of national bank notes
This recommendation Is made upon
the theory that the national bank cir
culation IL sufficiently elastic to meet
the requirements of commerce, provid-
ing all unreasonable obstacles to such
circulation are removed by congress.
One OF the great obstacles at the
present time Is the lack OF bonds OF
proper character for deposit. In 1890
the national bank circulation ran down
to Sl2S. 900 000 but has now recovered to
about $2lS.000,000. Leading bankers
have testified that. with an issue of
bonds adapted TO the purpose, practl-
cally all OF the greenbacks could be
supplanted by national bank notes, GER
tainly a large enough proportion Of
them to meet all the currency wants
Of the country.
The president will not prepare q
measure for submission TO congress
with an idea OF securing Its adoption.
No such bill will be prepared by Sec
rotary Carlisle representing the adj
minlstration. The president and sec
rotary had enough OF that sort of ex-
perience In the last congress. which
was Democratic, and they will not
! offer the other cheek to be slapped by
| the Republican congress. Mr.. Cleve-
| land will hold to the view that having
| pointed out the difficulty and In a
| general way an adequate remedy, his
| duty Is finished. and that II rests with
congress to do the remainder.
| Neither President Cleveland nor Sec
Rotary Carlisle has the smallest notion
| that congress will act favorably upon
this suggestion. They have no hope OF
any legislation. At the same time they
deem 1t their duty to put the facts
before congress and the country. that
the people may have no difficulty In
placing the responsibility for inaction
where 1t properly belongs.
The administration believes 1t to be
true that Mr.. Reed, whose voice In the
coming congress IL to be one OF author
/ Ity. has fully determined that the
greenbacks shall not be retired from
circulation. Even II the house of rep
resentntlves should be found willing
10 take some wholesome action, there
is no reasonable ground for hope that
the senate, under the peculiar condi-
| lions prevailing In that body. could be
induced to concur.
While II is apparent that In the game
OF maneuver and effort to fix RESPONSE
bllity for further depletion OF the gold
reserve upon his Republican opponents
Mr.. Cleveland intends to play a bold
game, It is well understood that the
| Republicans are planning to hurl re-
sponsiblllty back upon their enemies
BY claiming the difficulty is one OF
revenue and not one OF greenback
notes. on this point the admlnlstra-
lion says II the revenues afforded
a surplus OF si0,000000 a month. or
any other great sum. II would not at
ali solve the gold difficulty. for II gold
were wanted for export anyone with
greenbacks In his hand can walk Into
the subtreasury and ask FOR the yellow