The sea coast echo. [volume] (Bay Saint Louis, Miss.) 1892-current, 1896-01-18
THE NECESSITY OF UREENBACK
RETIREMENT.

1t is not too much to say that
that the one great question about
our currency system, around
which cluster all our currency
problems, is whether or not the
United States Treasury shall con-
tinue to issue paper money as a
legal tender.
Our history aud experience un-
der the practice shows that it was
born in unreason and dishonesty,
and that it has cost us dear and
plagued us sorely, giving aid and
comfort to every fat money
scheme which has threatened and
shaken our standard of values.
These notes are our standard
money, since they. are legal ten
der for debts. But considered as
standard money they ale terribly
imperfect, for, like air and water,
they have no intrinsic value,
though they are very useful. They
cost nothing to produce, and are
created by the nero votes of Con-
gressmen, and these votes are not
even controlled by wise judge
ment. While through all history
men have searched about and
tried one material after another
in their efforts to find something
whose intrinsic value was suffi-
ciently stable to use as standard
money, We here in this enllghten-
cd country have thrown to the
winds all this experience and have
passed laws which compel the use
as standard money of something
which has no intrinsic value.
But it is said, although United
States notes are standard money,
because they are legal tender,
they are also credit currency, and
are excellent because they are
backed by the promise of the
Government, and are therefore
as good as gold. Well, consider
ed as credit currency, how fully
have they the requisite character
istics? The experts say, and a
little thought and investigation
must CvnsiDce everybody OF It's
truth, that in order to oe good,
currency notes must have such
qualifications and be issued under
such system as will insure their
frequent, prompt and easy re-
demption. The reason for this
is that, if the notes are frequently
sent back for redemption to the
banks that issued them, the issu-
ing banks must always keep
strong in order TO redeem, and
only as many ef the notes can be
outstanding as the demands Of
business Keep pulling out again
from the banks, and hence that
notes SO treated will never cause
q serious redundance. The easy
and prompt redemption of our
notes is not well assured. For a
long time they were hardly re-
deemed at all, because they were
as good as gold for every purpose
in this country, and the banks
Willingly supplied all the gold that
was wanted for export. During
that time their volume was 80 in
creased that they became very re-
dundant. And eyer since early
in 1892 there has been considera-
bic demand for their redemption
to get gold for export, which the
banks have declined to furnish.
We perceive, therefore, that thor
frequent redemption cannot be
carried on without draining the
Treasury of'gold, or without TAX.
ling away that very confidence in
the stability of the intrinsic value
Of our standard money which
mankind has been struggling to
create.
1t is hard to see any way ii
which the present excess Of eur.
rency can be cured except by cam
ceiling legal-tender notes.
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Speaking Of the meeting Of tn,