The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1895-02-13
PRESIDENT MESSAGE.
CONGRESS URGED TO IMME-
DIATE FINANCIAL ACTION.

Cleveland Says Delay is Dangerous
and Recommends That the Cur
rency Problem Be Solved by the
Issue Of a Popular Loan-Fifty-
Year Bonds for $50 and Upward.
President Cleveland sent to Congress the
following special message on the financial
question.
To the Senate and House Of Representatives
In my last annual message commended
10 the serious consideration Of the Congress
the consideration of our National finances.
and in connection with the subject 1ndorsed
the plan OF currency legislation which at that
time seemed to furnish protection against
impending danger. This plan has not been
approved by the Congress.
In the mean time the situation has 80
changed and the emergency now appeards 80
threatening that deem 1t my duty to ask at
the hands OF the legislative branch OF the
Government such prompt and effective action
as will restore confidence In our financial
soundness and avert business disaster and
universal distress among our people.
Whatever may be the merits OF the plan
outlined In my annual message as remedy
for ills then existing and as safeguard
against the depletion OF the gold reserve
then in the Treasury, am now convinced
that its reception by the Congress and our
present advanced stage OF financia! per-
ple1lty necessitates additional or different
legislation.
With natural resources unlimited In variety
and productive strength, and with people
whose activity and enterprise seek only q
fair opportunity to achieve National success
and greatness, our progress should not be
checked by false financial policy and
needless disregard of sound momentary laws,
nor should the timidity and fear which
they engender stand In the way OF our pros
perity.
It Is hardly disputed that this predlca-
one in any degree responsible for the max
ing and execution OF our laws should fail to
see patriotic duty in honestly and sincere
ly attempting to relieve the situation.
Manifestly this effort will not succeed un-
less it Is made untrammelled by the preju-
dice Of partisanship, and with steadfast
administration to resist the temptation to
accomplish party advantage. We may we'll
remember that IL We are threatened with
financial difficulties all our people In every
station Of life are concerned, and surely
those who suffer will not receive the promo
tion of party interests as an excuse for per-
ulltluS OuE pEcSoul IoooASo w ooNoArSo ~ -
disastrous conclusion.
It is also Of the utmost importance that
we approach the study of the problems pre-
sented as free as possible from the tyranny
OF preconceived opinions to the end that in
q common danger we may be able to sack
with unclouded vision safe and reasonable
protection.
The real trouble which contronts US con-
sists in lack OF confidence, Wide spread
and constantly increasing, In the continu-
ing ability or disposition OF the Government
to pay its obligations in gold.
This lack of confidence grows to some ex-
tent out OF the palpable and apparent en-
barrassment attending the efforts OF the
Government under existing laws to procure
gold, and to q greater extent out OF the i'm
possibility of either keeping It In the Treas
ury or cancelling obligations By Its expendt-
ture after 1t Is obtained.
The only way LETT open to the Govern
ment for procuring gold Is by the issue and
sale Of its bonds. The only bonds that can
be issued were authorized nearly twenty-five
years ago, and are not well calculated to
meet our present needs.
Among other disadvantages they are made
payable In coin instead OF specifically IN
largely and In an increasing ratio from their
desrability as investments. It Is by no
means certain that bonds Of this description
can much longer be disposed Of at price
creditable to the financial character OF our
Government.
The most dangerous and irritating feature
OF the situation, however, remains to be
mentioned. It is found In the means by
which the Treasury Is despoiled Of the gold
thus obtained without cancelling single
Government obligation, and solely for the
benefit Of those who find profit In shipping
It abroad, or whose fears induce them to
hoard 1t at home.
We have outstanding about five hundred
millions Of currency notes OF the Govern
ment for which gold may be demanded /;
and curiously enough the law requires that
when presented aud in fact redeemed and
paid In gold they shall be reissued.
Thus the same notes may do duty many
times In drawing gold from the Treasury /;
nor can the process be arrested as long as
private parties for profit or others see an
advantage in repeating the operation. More
than three hundred millions Of dollars In
these notes have already been redeemed in
gold and Notwithstanding such redemption
they are still outstanding.
Since the 17th day of January, 1894, our
bonded interest-bearing debt has been IN
creased 300, 900, 900 for the purpose of OBJ
tanning gold to replenish our coin reserve.
Two issues were made, amounting to $50.
600, 900 each-one in January, and the other
in November. As O result OF the first issue,
there was realized something more than
s58, 900, 900 in gold. Between that issue and
the succeeding one in November, compris-
ing a period OF about ten months, nearly
s1O3, 900 in gold were drawn from the
Treasury.
This made tho second Issue necessary,
and upon that more than $58, ,0O0, 900 In gold
was again realized. Between the date OF
ering period Of only about two months,
more than S6s, s,O0O, 900 of gold have been
drawn from the Treasury.
These large sums OF gold were expended
without any cancellation OF Government OBJ
legations, or In any permanent aybeneht-
ing our people or improving our pecuniary
situation.
The financial events of the past year sug-
gest facts and conditions which should GER
tainly arrest attention.
More than one hundred and sevepty-two
millions OF dollars In gold have been drawn
out Of the Treasury during the year for the
purpose of shipment abroad or boarding at
home.
While nearly one hundred and three MIL
lions of this amount were drawn out during
the first ten months Of the year, a sum ag'
gregating more than two-thirds Of that
amount. being about si1ty-nlne millions, was
drawn out during the following two months
thus indicating a markell acceleration OF
the depicting process with the lapse OF time
The obligations upon which this gold ha:
been drawn from the Treasury are still out
standing and are available for use in repay
Ing the exhaustIng operation with shorter
intervals as our perplexties accumulate.
Eondjtions ara certainly superyentr0 tend
ing to make the bonds which may be ISSUED
to replenish our goll less useful for tha
purpose.
An adequate gold reserve is in AL circum'
stances absolutely essential to the uphold
ing of our public credit and to the nainte-
nance Of our high National character.
L onnnat GOO kh OF tho difYarannaa Of nninion