The Manning times. [volume] (Manning, Clarendon County, S.C.) 1884-current, 1895-12-18
retain these obligations of the govern.

SufncleNt III amount TO keep the PUBIC
constantly assured Of the stability of our
entire volume of currency aDi Of our
ability at all times to preserve equality
in the exchangeable value Of its various
parts. The latter alternative, which,
in my opinion, if adopted, would not af-
ford the relic. demanded by the existing
situation, ne essarily involves such large
increases Of the interest bearing public
debt from time to time, and would i'm
pose permanently upon the government
such onerous and inappropriate duties
in relation to the paper currency of the
country, that it ought not to be favora-
bly, entertained, except as last resort
in the struggle for the maintenance of
the public faith and the preservation of
the inviolabi!ity of private contracts.
1.-THE issue of bonds" he says, s'to
procure coin for the reserve, which is
the only effectul method now avail
able under the law, will, unless condi-
tions which nave already been developed
BY the present policy are radically
changed, ultimately result in the crea-
ton Of a public debt much larger than
would be required to retire and cancel
all the notes, and the annual interest
charge would be much greater than it
would be necessary to incur on new
class Of bonds adapted to the present
circumstances of the government and
the well known preferences of investors.
#, however, an attempt is to be made
to keep the United States notes and
treasury notes permanently i'll circula-
ton by reissues after redemption, and
the government is to be permanently
charged with the duty Of sustaining the
value of all our currency, paper and
coin alike, the conclusion cannot be
avoided that the policy of issuing bonds
for the accomplishment of these pur
poses must also become permanent, and
such additional powers must be con-
ferred upon the secretary as will enable
him to execute the laws relating to
these subjects with the least possible
disturbances of the business affairs Of
the people and the least possible charge
upon the treasury. I am thoroughly
convinced that this policy ought not to
be continued, but that the United
States notes and treasury notes should
be retired from circulation at the ear
lest practicable day, and that the gov
ernment should be wholly relieved from
the responsibility Of providing credit
currency for the people.
cit would be difficult, if not impossi-
BILE, to devise more inconvenient, ex-
pensive or dangerous system than the
one now in operation under the laws
providing for the issue, redemption and
reissue of legal tender notes by the gov
ernment.
There has never been a time since
the close of the wa-," the secretary
said, when the gradual retirement and
cancellation Of the United States notes
would not have been beneficial to the
country, nor has there ever been time
when the issue Of additional notes of
the same character would not have
been injurious to the country.
eff our legal tender notes were re-
tired, there is abundant reason to be-
Eeve that very large amount of gold
which has been excluded from the coun-
Try by the excessive use Of silver and
paper in our circulation, would prompt
y return to take its place in our cur
rency and constitute permanent part
of our medium of exchange.
''The United States notes and the
treasury notes issued in payment for
silver bullion, together amounting at
the beginning to 500. 2.612,01s, have been
used and are still being used to with.
draw gold from the government when
ever our own people or the governments
of people of other countries see proper
to demand it for any purpose, and, IN
der the laws now existing, the secretary
of the treasury has no means of comply
ing with these demands except by the
issue and sale of interest bearing bonds
under the act of Jan. Il, 1875, or by the
purchase Of gold coin with the bonds or
notes of the United States under section
100 Of the revised statutes. Against
these demands the treasury has no avail
able means Of defense except at the sac
rifce of the public credit and the imme-
date depreciation Of the entire volume
Of our currency. Long adherence to
false system has, to great extent, un
dermined our national credit, so far as
it is related to the maintenance of
eound currency, anG it must be recon-
structed, not merely propped up by fral
and temporary supports. No surplus
revenue, however large, could extricate
Us from our present difficulties, or give
assurance of safety in the future, un-
less it should be required to be paid in
gold under system which would ex-
empt the government from the obliga-
ton to furnish the gold when demanded
to be used in making the payments;
and it is scarcely necessary to suggest
that such system is impossible as long
as the United States notes and treasury
notes are kept in circulation, and are
redeemable in gold by the government
itself on presentation.
"The opinion seems to prevail to
some extent that the mere possession Of
a surplus in the treasury would prevent
Of the gold and thus render
the issue Of bonds for the protection of
the reserve unnecessary, but this view
Of the subject is founded, IN my ludg-
ment, upon al entire miscunce0tlon Of
the causes that have produced the with.
drawals. Unless am wholly mistaken.
they have very little, il any, relation to
the amount of money held by the gov
q AiAC1gy <lAO w Vic tlAA4Cl>14e W AAAS4Oy
the government has the ability to. raise
by taxation or otherwise, but they re-
late primarily and almost exclusively to
the character of money that it might be
able to supply and keep il circulation.
In other words, it was apprehension as
to the kind of money to be used, and
not as to the amount of the money on
hand that brought our securities from
abroad for sele, caused foreign investors
to withdraw their capital, and foreign
creditors to collect their debts; and COM
PEELED our own people to suspend or con-
tract their business operations and thus
diminish the incomes of employers and
greatly reduce, or entirely stop, the
wages Of labor.
Large Withdrawals have been made
during the last three years, simply be
cause gold was wanted, and the desire
to secure gold was due to 4 growing
distrust of the other kinds of currency
in circulation, and not at all to any appre-
hension that the government would not