The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1895-01-31

ferences of opinion as to the extent u
which silver ought to be coined or uset
in our currency should interfere with thu
counsels of those whose duty is to rec
tify evils now apparent in our financial
situation. They have to consider the
question of national credit and the evils
which follow its collapse. Whatever
ideas may be insisted upon as to silver
or bimetalisfn, a proper solution OF the
question now pressed upon us only re-
quires q recognition of gold as well as
silver and concession OF us
Importance rs n basis Of national credit
and badge of sOlvency. Besides the
| treasury notes, which must constantly bt
paid in gold, amounting to nearly JoO,O0O
| 'O0 of dollars, there will fall due IN l904
| 100000 900 and in 1907 nearly S60O,OOO,
100 of per cent bonds. Shall the pay
ment of these obligations in gold be repu
| lated?
If they are to be paid in such manner
rs the preservation of our national credit
and national Solvency demands, we should
not destroy or imperil our ability TO sup
| ply ourselves with gold.
| While | desire to see silver recognized
| to such an extent as is consistent will
| the financial safety Of and the preservation
of national honor and credit, am not
willing to see gold entirely banished from
| our currency and finance. 10 avert such
an end believe radical and remedial leg
| slatiOn should be promptly taken. l bel
congress to give this subject immediate
attention. In my opinion the secretary
of the treasury should be authorized &c
issue for the purpose of procuring and
maintaining a sufficient gold reserve and
for the redemption and cancellation OF
| United States legal tender notes and notes
issued for the purchase OF silver under the
law of June Ia, 1880. We would be re
lieved from the humlliating process OF
isuing bonds to secure gold only to have
il repeatedly drawn out on these obliga'
tons for purposes not beneficial to our
government or our population. The prin.
cipal and interest of these bonds should
be payable on their face in gold, because
they should be sold only for gold or its
representative, and because there would
not be the difficulty in favorably dispos'
ing of bonds not containing this stipula,
ton. | suggest that bonds be issued OF
$40 and $50 and their multiples and that
they bear interest at rate not exceeding
3 per cent per year. | do not see why
they should not be payable fifty years from
their date. The secretary of treasury Will
be permitted at his discretion to receive
on the sale of bonds the legal tender OF
treasury notes, and Of course when they
are retired or redeemed in gold they should
be Cancelled. These bonds, under existing
laws, could be deposited by national banks
as security for circulation and such BANKS
should be allowed to issue circulation up TO
the face value of their bonds so deposited,
except bonds outstanding bearing only,
per cent interest and which sell IN the
market at less than par.
National hanEa ahouII not Dp allowed
to take ont circulating notes of less de-
nomination than SO, and when such as
are now outstanding reach the treasury,
except for redemption and retirement,
they should be Cancelled and notes OF the
denomination of SO and upwards issued
In their stead. Silver certificates OF the
denomination of $40 and upward should
be replaced by certificates Of denomna,
tiOns under SO. As constant means OF
the maintenance of reasonable supply
of gold in the treasury our duties on i'm
lports should be paid in gold allowing al
other duties to the government to be pnlC
i'm any form of money. / believe all th'
provisions | have suggested should DE EN-
bodied in our laws If we are to ENJOY
complete reinstatement on sound imam
cial condition.
Objection has been made to the Issuance
of interest bearing bonds for the purpos'
of retiring the non-interest bearing lega
tender notes. In point of fact, however
the notes have burdened ne with larg
load of interest and it is still accumulat
ing. The aggregate interest on the orig
nal issue of bonds. the proceeds OF whicl
lin gold constituted the reserve for the pay
'ment of these notes, amounting to $40
326. 25O on January |, 1898, and tn
charges for interest on these bonds AM
those issued for the same purpose durin
the last year will be 50, 100000, datin!
from January I, 1895. While the cancel
alton of these notes would not relieve Il
from the obligations already incurred ol
their account, these figures are given b.
way of suggesting that their eXistenc
has not been free from interest charge
and that the longer they are outstanding
Judging from the expense of the last year
the more expensive they will become:
In conclusion desire to frankly COMES
my reluctance to issuing more bonds in TIT
present circumstances and with no bette
results than already have lately FOLLOWED
that course. | can not, however, retrall
| from adding to an assurance OF much an
xicty to cooperate with the present con
gress in any reasonable measure of relief
n expression of my determination TO ieaS
nothing undone which furnishes hop
for improving the situation or checking
suspicion of our Discrimination or disabil
lily to meet with the strictest honor ever
national obligation
| GROVER CLEVELAND.
| Executive Mansion, Jan. ~, lS'n.