The times. [volume] (Richmond, Va.) 1890-1903, 1895-12-04

porr,i, the frequent and thorough inspcc-
ton OF consulates by officers appSihteu
tor that purpose. or Dy pers s',r,,,ca Tie
expense attending such plan "ou'u ue
insignificant compared WIN its usS s',,
Ness, and / hope the legisiation necessaiis
to set IL on foot will be speedily iofth-
coming ~,
am thoroughly convinced that if, addi,
ton to the salaries, our Ambassadors uip
ministers at foreign courts sn0H: th of.3ci9l
residences The salaries OF the ohiccis
are comparatively small, ana m most
cases insufficient 70 pay. wit2 o,nrr IN
ing household establishments IN keeping
with their important and delics,e I'M a.
ticns. The usefulness OF nduSnS ~,
piomatic representative unteniably u''-
ponds much upon appropriateness OF lis
surroundings, and country Ike ours;
while avoiding unnecessary snow, shoulu
be certain that II does not sulier III l's -.
Isti0ns with foreign nations through par.
sine ny and shabbiness in It's uipioma"c
outnt These considerations ana the otneI
advantages of HAVING fixed ana soHeNnat
permanent locations for our enao@ S,s,..',o
would abundantly justify the modeta,e
expenditure necessary TO carry o"N IMP
suggestion.
FINANCIAL SITUATION.
As We turn from review OF our for
eign relations to the contemplation OF oer
national financial situation, we are I'M
ne,lIatelv aware that we approach a sub
feet Of domestic concern more important
than any other that can engage our at
tenton. and one. al present III such n
perDleNing and delicate predicameht as
to REQUIRE prompt and wise treatment.
We may well be encouraged 10 earnest Ell
fort in this direction when we recal the
steps alres dy taken toward lnlproNins
our economic and financial situation, ana
when we appreciate how well the way
has been prepared for further progress
by an aroused and intelligent popular IN
terest in these subjects.
BY command of the people a customs
revenue system, designed for the protec-
ton and benefit of favored classes at the
expense of the great mass OF our country
men. and which. while inefficient Tor the
purpose of revenue. curtailed our trade
relations. and impeded our entrance 10
the markets of the world has been su-
perscdcd by tarin policy, which In prin-
ciDle. is based upon denial Of the right
Of the govern ment TO obstruct the ave
neus TO our peoples cheap living or les
sen their comfort and contentnient, for
the sake Of according espe ,ial advan-
tages to favorites. and which. while en-
coursging our intercourse. and trade with
other nations recognizes the fact that
American self-reliance. thrift, and inge-
nuity can build uD our cOuntrys indus
tries nd develcpe ite resources more
clearly than cnervatiDg paternalism. the
compulsory purchase. and coinage OF Sil-
Yer by the government I'M checked ana
unrcgulated by business conditions ana
for more than fifteen years. diluted our
circulating medium, undermined conf
dence abroad i'm our financial ability. and
AT iast' eliminated I'm distress and panic
~ home. has ieen recently stopped by
the repeal Of the laws which forced TINS
reckless scheme upon the country. The
things thus ACCOMPLISHED. nCtwithstand
ing their extreme Importance and benen-
cent effects fall far short of curing the
monetary evils from which we suffer az
a result of long Indulgence in ill-adVised
financial expedients.
GREENBACKS.
The currency denominated United States
notes AMI commonly known as green
backs. was issued I'm large volume dur
ing the late civil war, and was intended
originally to meet the exigencics OF that
period. II will be seen by reference 10
Tho debates i'm Congress at the time the
laws were passed authorizing the issue
Of these notes that their advocates de-
clared they were Intended for only tenn
orary use and TO meet the emergency or
war In almost II not all. the laws ielat-
ing 10 them some provision was made
contemplating their voluntary or compul-
sorry retirement. large quantity OF
mingled with the currency Of the coun-
try so that at the close of the year 1874
they amounted 10 1881 .e99Cl3.
Immediately after that date, ana III
January, 1870 a law was passed providing
for the resumption Of specie payments.
by which the Secretary or the Treasury
was Issued TO National Banks. 10 retire
United States notes equal In amount 10
so per cent of II ch additional National
Bank circulation until such notes were
reduced TO s50O.oo0,Oo0
This law further provided that on and
after the LIST day Of January. 1913. the
should be redeemed i'm coin, and IN Of
der 10 provide aud prepare for such re-
demption the Secretary OF the Treasury
was authorized not only 10 use any sur
"a tf.ttt lint N
issue bonds of the United States, and dis
pose of them and use the proceeds for
the purpose contemplated by the statute.
REDEMPTION STOPPED.
In MAY. 1875 and before the date thus
appointed for the redemption and retire
ment of these notes, another statute was
raised, fort icding their further cancel
lation and retirement Some of them
had. however been previously redeemed
and cancelled upon the issue Of addition
M bank circulation, AS permitted by the
law Of 1870 so that the amount Outstand-
ing at the time of the passage OF the act
fOrbidding their further retirement was
S34i. 81 0l6 The law of lSlS did not stop
at distinct prohibition. but contained, IA
the following express provision:
And when any OF said notes may be
redeemed or be received into the treas
ury. under any law, from any source
whatever. and shall belong 20 the United
States. they shall not be retired. cancell-
ed or destroyed. but they shall be re-
issued and paid out again and kept in
This was the condition Of affairs on the
LIST day Of January. 1879. which had been
fixed upon four years before as the date
for entering upon the redemption and re-
tircment OF all these notes. AMI for which
such abundant means had been provided.
The government was put I'm the anoma-
lous situation OF owing TO the holders
OF It's notes, debts payable i'm gold on
demand, which could neither be retired by
receiving such notes In discharge Of obli-
cations due the government. nor cancelled
by actual payments In gold.
AN ANOMALY.
It was forced to redeem without re-
demptiOn and 10 pay without acquittance.
There had been issued and sold S95 900
Of The bends autht iized by the resunp-
ton Act Of 1879. the proceeds of which
together with other gold in the Treasury,
created "A gold fund deemed sufficient 10
meet the demands which might be made
upon IL for the redemption Of the out
standing United States notes. This fund.
together with such other gold as might
he from time TO time in the Treasury
available for the same purpose. has been
since called our gold reserve, and 100000
100 has been regarded US an adequate
au.oUnt TO accomplish its object This
fund amounted on the LIST DAY of January
1879. 10 Sll4 1873. $50. and though thereafter
GO nstently fiuctuating. II did not fall be
low that sum until July. 1892 In April,
1852 for the first time since its establish
ment. this reserve amounted TO less than
Sio0 600, containing at that date only
Sg7 O0l $780,
In the mean time. and In July, 1880, an
act has been passed directing larger gov
eminent monthly purchases OF silver than
had hcen required under previous laws.
ard provi iirg that in payment for such
silver trearury notes OF the United States
should be issued payable on demand IN
gold. or silver coin. at the discretion OF
the Secretary Of the Treasury.
PARITY MAINTENANCE.