The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1895-01-24
Mr. TeIIers Plan.

BY what measure would it be prac-
ticable, Mr. Senator, in your judg-
unent, to relieve the treasury ana sop
the perpetual raid.ng of the gold re-
server
''The first thing needed is, to restore
confidence in the administration of the
treasury. The country must feel that
) the secretary Of the treasury has con
fldence in himself and a well-dafined
policy that he means 10 carry ollt. AS
l have said elsewhere, IF the treasury
department does not have confidence
"a IT'S ability to manage the affairs of
I sine government, the people will not
y have and 1T is the fact today that
the people lack confidence in the con-
duct of the treasury department. If,
away back at the start the secretary
Of the treasury had firmly taken mis-
stand and announced his deter
ninatiOn to protect his stock of
gold by means that were plainly at his
command, the situation now would
have been far different. He has the
right and the power to say that the
treasury notes Of the act OF 1890 would
De redeemed in silver, and in silver only
< That was all they called for. Ghey
were issued against silver. and there
was no obligation Of any sort to redeem
them in gold. Then, he had the right
and the power 10 81 further, and say
that the treasury would. redeem the
g1eenIbacks or legal tenders in gold for
all American citizens who wanted gold
for ordinary business uses, but that it
would not furnish gold freely for
foreign export. In taking that stand
The gold standard would not have been
abandoned. Our treasury, in refusing
TO part with the gold for export, would
have been simply following the estab-
lisl1ed rule OF France and Germany,
both Of them gold standard countries
The Bank of France does not allow the
holders Of its paper TO call for its re-
dempuon wholly in gold at any time.
II insists upon cashing its notes part
in silver and part in gold, and it fixes
the proportions Of the two kinds OF coin
which ii uses in redeeming them ac-
cOrding to its own convenience from
day 10 day"
Gold Locked Up in Europe.
'Is there not a possibility. Mr. Sena-
tor, that the Administration policy, or
want Of one, may land US at last and
E suddenly on a silver basis?'
There is, Of course" was thu reply.
The treasury cannot keep its gold. No
amount Of bond issues can prevent IT,
! doubt if the $500, G00,000 of gold that
is talked Of being raised on bonds could
be obtained if it was called for. But, in
any case, as long as we are debtors to
Europe to the extent that We now are
so long our god can and VIII be drawn
away from US. This idea that there is
an Immense stock of free gold some
where that We have only to call for
with our bonds, to the extent of half
billion or more. Just when we please
IS a, pure hallucination. The gold Of the
world is too much locked up in
European war chests TO permit any
ching of that sort to be done. Russia
alone keeps a large slice Of the worlds
stock Of gold locked up, earning no in
terest, ready for a war
What effect would a European war
which released the ~3ntents of those
great chests have?"
1.-The same effect" the senator re-
piled. "as a sudden expansion of the
worlds stock of circulating money
would have, no matter by what cause.
It was produced. It would raise prices
in Europe at once. stimulate conSump-
ton and demand, and, therefore, pro-
duction of ali kinds. and in this country
the same effects would speedily be felt.