Fisherman & farmer. [volume] (Edenton, N.C.) 1887-19??, 1895-02-08
PRESIDENT MESSAGE.
CONGRESS URGED TO IMME-
date FINANCIAL ACTION,
Cleveland Says Delay is Dangerous
and Recommends That the Cur
rency Problem Be Solved by the
Issue Of Popular Loan-Fifty-
Year Ronds 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 1 commended
to the serious consideration of the Congress
the consideration of our National finances.
and In connection with the subject Endorsed
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 so
changed and the emergency now appears so
threatening that I deem it 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 a 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 tie Congress and our
present advanced stage of financial per-
plexfty necessitates additional or different
legislation.
With natural resources unlimited in variety
and productive strength, and with a people
whose activity and enterprise seek only a
fair opportunity to achieve National success
and greatness our progress should not be
checked by a 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.
1t is hardly disputed that this predica-
ment confronts US today. Therefore, no
enc in any degree responsible for tho max
ing and execution Of our laws should fail to
see patriotic duty in honestly and sincere
ly attempting to relieve the situation.
lv will snaaaaI n
less it is made untrammel!ed by the preju
dice of partisanship, and with a steadtast
administration to resist the temptation to
accomplish party advantage. We may we'll
remember that If 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 IS an excuse for per-
hitting our present troubles to advance TO a
disastrous conclusion.
1t 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
a common danger we may be able to seek
with unclouded vision safe and reasonable
protection.
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.
his laCk OF commence 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 greater extent out of the i'm
possibility of either keeping it in the Treas
ury or can ,elling obligations by its expendi
ture after It 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
gold, which in existing conditions detracts
largely and in an increasing ratio from their
desirablity investments. 1t is by no
means certain that bon IS OF this description
can much longer be disposed OF at price
credtable to the financial character of our
Government.
The most dangerous and irritating feature
of the situation, however, remains to be
mentioned. 1t is found in the means by
which the Treasury is despoiled of the gold
thus obtained without oancelling a single
Government obligation, and solely for the
benefit of those who find profit in shipping
It abroad, or whose fears induce them to
hoard it 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 and 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 REDEEM ption
they are still outstanding.
Since the 18th 6aV of I3nuarV 1894 orr
bonded interest bearing debt has been IN
creased 300, 900, 600 for the purpose of OBJ
tanning gold to replenish our coin reserve.
Two issues were made, amounting TO $780,
600 900 each-one in January, and the other
in Novemb Der. AS a result OF the first issue,
there was realized something more than
$58, 000,0 600 in gold. Between that issue and
the succeeding one in November, compris-
ing a period of about ten months, nearly
S103, 900, 900 in gold were drawn from the
Treasury
This made tho second issue necessary
and upon that more than $58, 600, 600 in gold
was again realized. Between the date of
this second issue and the present time, COW
ering period of only about two months.
more than $50 600, geo 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 way benefit
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 seventy-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 We're drawn out during
the first ten months of the year, a sum ag
gregating more than two-thirds of that
amount being about sixty-nne millions was
drawn out during the following two months,
thus indicating marked acceleration OF
the depicting process with the lapse of time.
The obligations upon which this gold has
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 perplexities accumulate.
Conditions are certainly superveninS tend
ing to make the bonds which may be issued
to replenish our gold less useful for that
purpose.
An adequate gold reserve Is In all circum-
stances absolutely essential to the uphold
ing of our public credit and to the mainte-
nance of our high National character.
cannot see that the differences of opinion
concerning the extent to which silver ought
to be coined or used in our currency should
interfere with the counsels of those whose
duty 1t IS to rectify evils new apparent in
our financial situation.
They have to consider the question of Ma.
tional credit and the consequences that will
fall from its collapse. Whatever ideas may
be insisted upon as to silver or bimetallism
proper solution of the question now press
ing upon US only requires a recognition o
gold as we'll as silver, and a concession O.
its Importance. rightfully or wrongfully &C
quired, Is basis of National credit, neces-
sity In the honorable discharge Of our
obligations payable in gold and badge OF
soivency.
do not understand that the real friends
| of silver desire condition that might follow
| in action or neglect TO appreciate the mean.
| ing of the present exigency If it should re-
suit in the entire Punishment of gold from
our financial and currency arrangements.
Besides the Treasury notes, which GER
tainly should be paid in gold, amounting to