Montpelier examiner. [volume] (Montpelier, Idaho) 1895-1937, 1896-12-11
CURRENCY.

prospects of our revenues naturally
suggests an allusion to the weakness
and vices of our financial methods
They have been frequently pressed upon
the attention of congress in previous
executive communications and the in.
evitable danger of their continued toll.
Grafton pointed out. Without now re-
peating these details. cannot refrain
from again earnestly presenting the
necessity of the prompt reform of a
system opposed to every rule of sound
finance and shown by experience to
be fraught with the grayest peril and
perplexity. The terrible civil war
which shoe the foundations of our
government more than 30 years ago,
brought in its train the destruction Of
property. the wasting of our countries
substance and the enlargement of breth-
rem. These are now past ana forgotten.
Even the distressing loss of life the
conflict entailed is but sacred memory
which fosters patriotic sentiment and
keeps alive tender regard for those
who nobly died. And yet there remain
with us today in full strength as an in
cident of that tremendous struggle a
feature of Its financial necessities, not
only nnsuited to our present circum-
stances, but manifestly a disturbing
menace to business security and an
ever-present agent of monetary distress
Because we may be enjoying a tenn
porary relief from its depressing infu-
ence, this should not Iull us into false
security nor leads us to forget the sud.
denness of past visitations. am more
convinced than ever that we can have
no assured financial peace and safety
until the government currency obliga-
tions upon which gold may be demand
ed from the treasury are withdrawn
from circulation and cancelled This
might be done, as has been heretofore
recommended. by their exchange for
long-term bonds bearing low rate of
interest, or by their redemption with
the proceeds of such bonds. Even If
only the United States notes known as
greenbacks were thus retired 1t Is
probable that the treasury notes issued
in payment of silver purchases under
the act of July II, 1890, now paid in
gold when demanded, would not create
such disturbance, as they might from
time to time when received in the treas
ury by redemption In gold or otherwise
be gradually and prudently replaced by
silver coin. This plan of issuing bonds
for the purpose of redemption certainly
appears to be the most effective and
diract path to the neeeed reform.
II. default d shI8 however, 4 would
) slep idltisa right digectlou tf car
gency OblIgAtioRs gsdeemable y gold
whenever So redeehsea Ahdsl sl easls
celled instead of being reissued. This
operation would be a slow remedy, but
1t would improve present conditions.
National banks would redeem their
own notes. They would be allowed to
issue circulation to the par value of
bonds deposited as security for It's re-
demption and the tax on their circula.
ton should be reduced.
In considering projects for the retire
ment of United States notes and treas
ury notes, issued under the law Of 1890.
/ am of the opinion that we have
placed too much stress upon the the
danger of contracting the currency and
have calculated too little upon the gold
that would be added to our circulation
If invited to us by better and safer finan-
cial methods. 1t Is not so much a con-
traction of our currency that should be
avoided as such unequal distribution
This might be obviated and any fear
of harmful contraction at the same
time removed by allowing the organ
ization of smaller banks and In less
populous communities than are now
permitted and authorizing banks to
establish branches In small commune
ties under proper restriction.
The entire case may be presented by
the statement that the day of sensible
and sound inancisl method will not
Z avn upon US until our government
abandons the banking business and the
accumulation of funds, and confines its
monetary operations to the receipt of
the money contributed by the people
for It's support, and to tho expenditure
of such money for the peoples benefit,
Our business interests and all good
citizens long for rest from feyerish agi.
tation, and the Inauguration by the
government Of a reformed financial
policy which will encourage enterprise
and make certain the rewards of labor
and Industry.
TARIFF.
l desire to recur to the statement else
where made concerning the govern
ment's receipts and expenditures for
the purpose of venturing upon some
suggestions touching the present tar
If law and its operation.
This statute took effect on the 28th
day of August, 1904 Whatever may be
its shortcomings as a complete measure
of tariff reform, It must be conceded
that 1t has opened the way to freerd
greater exchange of commodities be.
tween us and other countries and thus