The National tribune. [volume] (Washington, D.C.) 1877-1917, 1895-01-31
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I
creasing. as TO our financial ability does NOT
rest upon q calculation of our revenue. The
| time has passed when the eyes OF investors
abroad and our people at home were fixed upon
the revenues of the Government. Changed
conditions have attracted their attention to the
gold Of the Government. There need be no
fear that we cannot pay our current expenses
with such money as we have. There is new in
the Treasury comfortable surplus of more
than S63000000, but il is not in gold, and
therefore does not meet our difficulty.
i cannot see what differences of opinion con.
corning the extent to which silver ought to be
coined or used in our currency should interfere
with the counsels of those whose duty it is to
rectify evils now apparent in our financial sit
uation. They have 10 consider the question of
| National credit and the consequences that will
! follow from its collapse. Whatever ideas may
be insisted upon as to silver or bimetalism, q
| proper solution of the question now pressing
upon rs only requires recognition of gold as
well as silver and concession of its impor-
lance rigbtfully wrongfully acquired, as a
basis of National credit, necessity In tie hon.
orsble discharge of our obligations payable in
gold, and a badge of solvency. ] do not under
stand that the real friends of silver desire a
condition that might follow insction or neglect
TO appreciate the meaning of the present ext
gency if il should result in the entire Danish
ment of gold from our financial and currency
arrangements.
Besides the Treasury notes, which certainly
should he paid in gold, amounting to nearly
/ $500 009, 600, there will fall due in 1904 $780,,
600 600 of bonds issued during the last year, for
/ which we have received gold, and In 1907
nearly $500, 100000 of four per cent. bonds,
issued in 1877 Shall the payment of these
obligations in gold be repudiated? If they are
TO be paid in such a manner as the preserva-
tiOn of our National honor and National
solvency demands, should not destroy or
even imperil our ability to supply ourselves
with gold for that purpose.
NOT UNFRIESDLY TO SILVER.
While / am not unfriendly to silver, and
while / desire TO see it recognized 10 such an
extent as is consistent with the financial
safety and preservation of National honor and
credit, am not willing TO see gold entirely
banished from our currency and finances. To
avoid such a consequence, / believe thorough
and radical remedial legislation should be
promptly passed i therefore beg the Congress
to give the subject immediate attention.
In my opinion the Secretary OF the Treasury
should be authorized to issue bonds of the Gov
erument for the purpose of procuring and main
tanning sufficient gold reserve and the re-
dempton and cancellation of United States
legal-tender notes and the Treasury notes
issued for the purchase of silver under the law
of July Ia 1890. We should be relieved from
the Illuminating process of issuing bonds TO pro-
cure gold to be Immediately and repeatedly
drawn out of these obligations for purposes not
related to the benefit of our Government or our
people. The principal 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 now
probably be difficulty in favorably disposng of
bonds not containing this stipulation. sug-
gest that the bonds be issued in denominations
of $50 and $50 and their multiples, and that
they bear interest at rate not exceeding per
cent. per annum do not see why they should
not be payable so years from their date. We
of the present generation have large amounts
to pay if we meet our obligations, and long
bonds are more salable. The Secretary Of the
Treasury might well he permitted at his dis
erection to receive the sale of bonds the legal
tender and Treasury notes to be retired, and, of
course, when they are thus retired or redeemed
IL gold, they should be Cancelled.
These bonds under existing laws could be de-
posted by National banks security for circu-
lation; and such banks should be allowed to
issue circulation up to the face value of these or
any other bonds so deposited except bonds out
standing bearing only 2 per cent. interest, and
which sell in the market at less than par. Ma
tional banks should not be allowed to take out
circulating notes Of a less denomination than
SO, and when such are now outstanding
reach the Treasury, except for redemption and
retirement, they should be Cancelled, and notes
va buc vi TAO upNdIhn isoucu
in their stead. Silver certificates of the denom-
ination of $40 and upwards should be replaced
by certificates of denominations under $40.
TO MAINTAIN THE GOLD SUPPLY.
As constant means for the maintenance of
reasonable supply of gold in the Treasury,
our duties ON imports should be paid in gold,
allowing all other dues to the Government to
be paid in any other form OF money.
believe ali the provisions have suggested
r11 H., nl,<As I'D len -
enjoy a complete reinstatement of sound
financial condition. They need not interfere
with any currency scheme providing for the
increase Of the circulating medium through
the agency of National or State banks since
they can easily be adjusted TO such scheme
Objection has been made TO the issuance of
Understanding obligations for the purpose of
retiring non interest bearing lega-tender notes.
In point of fact, however, these notes have bur-
dened US with large load of interest and it is
still accommodating. The aggregate interest on
the erginal issue of bonds, the proceeds of which
in gold constituted the reserve for the payment
of these notes, amounted to $40 1926 $50 on
Jan. j, 1885, and the annual charge for interest
on these bonds and those issued for the same
purpose during the last year will be So las, 900,
dating from Jan. ], 1895.
While the cancellation of these notes would
not relieve US from the obligations already in-
CURED on their account, these figures are given
by way oil suggesting that their existence has
not been free from interest charges and that
the longer they are outstanding. judging from
the experience of the last year, the more ex-
pensive they will become.
In conclusion, j desire to frankly confess my
reluctance to issuing moro bonds In present
circumstances and with 10 better results than
have lately followed that course. j cannot,
however, refrain from adding 10 an assurance
of my anxiety to cooperate with the present
Congress in any reasonable measure of relief.
an expression Of my determination TO leave
nothing undone which furnishes hope for
improving the situation or checking a suspi-
cion Of our Discrimination or inability to meet
with the strictest honor every National obliga-
tion. GROVER CLEVELAND
Executive Mansion, Jan. 90, 1885.
He Captured Speaker Crisp.
Louis Walker, Co. K, 47th Ohio, is in the