San Antonio daily light. [volume] (San Antonio, Tex.) 1886-1907, 1895-12-16

ton, it is estimated that there will
be a surplus OF nearly S7,OOO,OOO
during the fiscal year 1897. During
the fiscal years 1894 and 1895, the
ordinary expenditures OF the gov
eminent have been decreased
S27, 2S2, $50. 20, as compared with
the fiscal year 1898, and it is be-
lieved that with the cooperation
of congress, further reductions can
be made in the future without i'm
pairing the efficacy Of the public
service"
Continuing he says: "The large
Withdrawals OF gold in December
1894 and in January and the early
part of February 1895, were due al
most entirely to q feeling of ap-
prehension in the public mind
which increased in intensity from
day to day until it nearly reached
the proportions Of panic and 1t
was evident to all who were famil-
lar with the situation that, unless
effectual steps were promptly
taken to check the growing dis
trust, the government would be
compelled within a few days to
suspend gold payments and drop
to q deprecated silver and paper
standard. More than $43, 100000 OF
the amount withdrawn during the
BRIEF period last mentioned was
not demanded for export but was
taken out by people who had be-
come alarmed on account OF the
critical condition of the treasury
in its relations to the currency of
the country. The purchase Of g.
100000 ounces OF gold followed, it
being In the contract that not less
than one half Of the gold was to be
procured abroad, but after large
part CT the gold had been furnish
ed from abroad, the secretary
in order to prevent disturbance in
the rates Of foreign exchange at a
critical period and avoid a condi-
ton which would force gold ex-
ports and consequent Withdrawals
from the treasury, acquiesced in a
departure frem the literal terms Of
the contract, that one-hah of the
coin should be procured abroad,
and accepted deposits Of gold then
held in this country to complete
the delivery. Ordinary prudence
demanded that the success of the
plan to protect the treasury against
Withdrawals should not be en-
dsngered by insisting upon strict
compliance with all the details Of
the contract, especially as the gov.
eminent could sustain no loss and
the whole amount OF gold stipulat-
ed for, was secured.
"The amount of bonds issued un-
der this contract was $62, 3l5, AGO
aud the amount of geld received
was $50, ll6, PA, 80"
The beneficial effects Of this tran
saction, the secretary says, were
felt Immediately, not only in this
country but In every other having
commercial relations with us.
confidence in our securities" he
continues, "was at once restored
and these encouraging indications
Of increasing prosperity still con-
tinue and it is reasonably certain
that If our progress lie not checked
by a repetition Of large demands
upon our resources or by a failure
to meet the just expectations OF
the people in respect to the refer-
nation of our fiscal system, we are
entering upon an era Of material
growth and development not sur
passed in our history. The safety
of the existing situation Is, how
ever, constantly menaced and our
further progress toward complete
restoration Of confidence and pros
perty is seriously impeded, by the
defects in our currency laws and
the doubt, and uncertainty still
prevailing in the public mind, es-
pecially abroad, concerning the
future monetary policy of the gov
eminent. Until these defects in
our laws are remedied and these
doubts are emoved there can be no
satisfactory assurance Of immunity
from periodical disturbances grow
/ ng out of the obligations which
the government has been compelled
to assume in relation to the cur
rency.
"The issue Of bonds" he says, "to
procure coin for the reserve, which
is the only effectual method now
available under the law, will,
unless conditions which have al
ready been developed by the pres
ent policy are radically changed,
result in the creation of
a public debt much larger than
would be required to retire and
all the notes, and the annual
interest charge will be much
greater than it would be neces-
sary to incur on new class of bonds
N dantad ta tho nrnaant nlrnIl M