The Colfax chronicle., 1896-02-01
states bonds of small as we'll as large denomi-

States bonds OF small as we'll as large deEomi-
nations. bearing low rate OF interest They
should be long-terin bonds, thus increasing
their desirnbility as Investments. and because
their payment could be well post poned to
period far removed from present financial bur-
dens and perplexitics. when with increased
prosperity and resources tn Y would be more
easily met TO iurther insure the cancellation
OF these notes, and also provide way IN whicn
gold may be added to our currency In lieu OF
them. a feature in the plan should be an au-
thorty given to the secretary Of the treasury
to dispose Of the bonds abroad for gold. II nee
essary. to complete the contemplated redeup-
tion and cancellation, permitting him To use
the proceeds OF such bonds to take up and can
Gel any of the notes that may be in the Treas
ury. or that may be received by their govern
rnent on any account. The increase OF es;r
amply compensated by renewed activity and
enterprise In all BUSINESS circles. the restored
confidence at home, the reinstated faith In our
monetary strength abroad and the sttmuiatlon
OF every Interest and industry that would foi-
low the cancellation of the gold-demand obli-
cations now afdicting u.s.
NATIONAL BANK CALCULATION.
think they ought to be allowed to issue cir
culation equal to the par value OF the bonds
they deposit to secure it, and that the tax on
their circulation snould be reduced TO one
fourth OF one per cent, which would undouDt-
edly meet all the expenses the government IN
ours on their account. In addition they should
be allowed to substitute or deposit in lieu OF
the bonds now required as security for their
purpose Of retiring tho United states notes
and treasury notes. The banks ALREADY exist
ing, II they desired to avail themselves OF the
provisions OF law thus modified could ISSUE CIR
culation in addition to that already outstand-
ing amounting to s47s, 100000. which would
nearly or quite equal the currency proposed 20
be cancelled
NO FEARS OF OUR INSOLVENCY.
Perhaps 1t Is supposed that sufficient revenue
receipts would, in q sentimental way, improve
the situation by inspiring confidence in our
solveucy and allaylng the fear OF pecunlary
exhaustion and yet all through our struggle to
maintain gold reserve there never has been
any apprehension as to our ready ability TO pay
our way with such money as we had, and the
question whether or not our current receipts
met cur current expenses entered into the es.
innate OF our solvency. OF course the general
state OF our funds. exclusive OF gold was en-,
tirely immaterial to the foreign creditor and
investor. His debt could only be said IN gold,
and his only concern was our ability to keep
on hand that kind Of money.
AS TO FREE COINAGE OF SILVER
While have endeavored to make plain
statement OF this. the dlsordered condition OF
our currency and the present dangers menace
ing our prosperity, and to suggest way
which leads to safer financial system,
have constantly had in mind the fact that
many of my countryDen whose sincerity co
not doubt, insist that the cure for the Ills now
threatening Us may be found In the single ana
simple remedy OF the free coinage OF silver.
They contend that our mnts shall be at once
thrown open TO the free, unlimited and inde-
pendent coinage OF both gold and silver doi-
lars of full legal-tender quality regardless OF
the action Of any ether government and IN full
view of the fact that the ratio between the
metals which they suggest calls for one hum
dred cents worth of gold in the gold dollar at
the present standard and only fifty cents In In
trinsc worth Of silver in the silver dollar.
were there infinitely stronger reasons than
can be adduced for hoping that such action
would secure for us a bimetallic currency
moving on lines of parity, an experiment so
novel and hazardous as that proposed might
well stagger those who believe that stability is
an Imperative condition OF sound money.
No government, no human contrvance or
act of legi lation. has ever been able to hold
the two metals together in free coinage at a
ratio appreciable different from that which Is
established in the markets o. the world.