The Manning times. [volume] (Manning, Clarendon County, S.C.) 1884-current, 1895-12-11
Of money.
PUBLIC APpEEHENSlONS CAUSED WITH

and a half before the first bonds We're
issued to replenish the gold reserve,
there was net balance IN the treasury
exclusive OF such reserve of less than
$l3, 900. 600. bat the gold reserve
amounted TO more than Sll4, 100000,
which was the quieliug feature of the
situation. IL WAS when the stock OF
gold began rapidly to fall that fright
supervened and our securities held
abroad were returned for sale and
debts owed abroad We're pressed for
payment. In the meantime extensive
shipments of gold and other unfavor-
able indications caused restlesSness
and fright among our people at home.
Thereupon the general state Of our
funds, exclusive of gold, became so
immaterial to them, and they. too,
drew gold from the treasury for hoard
ing against all contingencies. This
is plainly shown by the large increase
in the proportion Of gold withdrawn
which was retained by onr people as
time and threatening incidents pro-
gressed. During the fiscal year end
ing June 80, 1894, nearly $S5 900, 600
in gold was withdrawn.from the treas
ury and about $4,000, 900 was sent
abroal, while during the fiscal year
ending June 80, 1895. over Sl17,O00,-
900 was drawn out, of which only
about S66, 600. 900 was shipped, leaving
the large balance of such Withdrawals
to be accounted for by. domestic hoard
ing. Inasmuch as the withdrawal Of
our gold has resulted largely from
fright, there is nothing apparent that
will prevent its continuance or recur-
renee with its natural consequences,
except such change III our financial
methods as will reassure the frlgnten-
ed and make the desire for gold less
intense. 1t is not clear how any in
crease in revenue, unless it be in gold,
can satisfy those whose only anxiety
is to gain gold from the governments
store. 1t cannot, therefore, be safe
to rely upon increased revenues as a
cure for our present troubles.
THE TREASURY NEVER DEPLETED.
At no time when bonds have been
issued has there been any considera-
ton Of the question OF paying the ex-
penses of government with their pro-
ceeds. There was no necessity to con-
slider that question. At the time OF
| each bond issue we had safe surplus
in the treasury for ordinary opera
tions, exclusive of the gold in our re-
serve. In February, 1894, when the
| first issue of bonds was made such sur
plus amounted to over SIS, 900, 900 in
November, when the second issue was
made, it amounted to more than S42,-
600, 900; in February, 1895, when
bonds for the third time were issued,
such surplus amounted to more than
$1,000,0 ,000 1t now amounts to $9S, :
or, 420.30. Besides all this, the Sec
retarv Of the treasury had no authorl-
ty whatever to issue bonds to increase
the ordinary revenues or pay current
| expenses. I can not but think there
has been some confusion of ideas re
garding the effects. of the. issue OF
bonds and the results of the withdraw
al Of gold.
RESPONSIBILITY OF SILVER.
1t is neither unfair nor unjust to
charge a large share Of our present IL
| narcial perplexities AID dangers to the
operations of the laws of 1878 and 1890
compelling the purchase of silver by
the government, which not only fur
nished a new treasury obligation upon
which its gold could be Withdrawn,
but so increased the fear of an over
whelming flood of silver and a forced
descent to silver payments that even
the repeal Of these laws did not entire
ly cure the evils of their existence.
ARGUMENTS AGAINST SILVER.
While / have endeavored to make a
plain statement Of the disordered con-
dition of our currency and the present
dangers menacing our prosperity,
and to suggest way which leads to a
safer financial system, | have con
stantly had in mind the fact that
many of my countrymen, whose SIN
cerity l do not doubt, insist that the
cure for the ills now threatening US
| may be found in the single and sim
pie remedy of the free coinage of sill
yer. They contend that our mints
shall be at once thrown open to the
free. unlimited and independent coin
age of both gold and silver dollars of
full legal tender quality, regardless of
the action of any other government
and in full view of the fact that the
! ratio between the metals which they
suggest calls for one hundred cents.
worth OF gold in the gold dollar
at the present. standard, and
only fifty cents in intrinsic worth Of
silver in the silver dollar were there
Infinitely stronger than can be adduced
for hoping that such action would Sc
cure for us bimetallic currency NOV
ing on lines of party, an experiment
so novel and hazardous as that propos-
ed might well stagger those who be-
lieve that stability is an imperative
condition of sound money. No gov
eminent, no human contrlvauce or
act OF legislation mas ever been able
to hold the two meta IS together IN free
coinage at ratio appreciably different
from that which is established in the
markets of the world. Those who be-
lieve that our independent free coin
age of silver at an artificial ratio with
gold of 1G to l would restore the parl-
! ty between the metals and consequent
| ~ between the coins oppose an un-
supportable and improbable theory to
the general belief and practice OF 9th
er nations, and to the teachings OF the
wisest statesmen and economists OF the
world. both in the past and future,
and what is far more conclusive, they
run counter to our own actual expe-
riences. Twice in our early history
our lawmakers, in attempting to es.
tablish bimetallic currency, under.
took free coinage on ratio which accl-
dentally varied from the actual rela-
tive values of the two metals not more
than three per cent. In both cases,
notwithstanding greater difficulties
and cost of transportation than now
exist. the coins, whose intrinsic worth
| ,,-,l- ;, ,, = a,,,-o 1,,aI ~, tho ,,atio croGn-