The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1896-01-04


was the deficiency of revenue created
by faulty tariff legislation by the last
congress. The true remedy is to supply
by taxation III some form additional
revenue, and until this can be effected,
to borrow from the people of the United
States enough money to cover past and
future deficiencies This done, gold
will readily lie exchanged for United
States notes, AS was done from January
1879, to the election of Mr.. Cleveland.
The two uefects i'll existing law re-
lating to redemption are mentioned by
the president.
Should Have Discovered 1t Sooner.
First that the notes presented for re-
demption must be reissued. 1t seems
from the newspapers that he has found
the power to hold notes redeemed un-
til they can be exchanged for coin, q
discovery that he should have made
sooner
Second. that the resumption fund ID
q part of the general balance in the
treasury and may be applied to current
expenditures.
NohSISSS IlCSiSCttu W SuiC VIC uC-
fects pointed out by me, as secretary of
the treasury in 1880, but hope will
correct them now at the request of the
| president. 1t was not anticipated that
deficiency of revenue would occur. or
that if it did occur the government
| would use a fund specifically pledged
for another purpose to meet current
liabilities.
| should be Paid Out For Coin Only.
Notes once redeemed, should only be
re-lSSued for gold com, and such re-
issue should be mandatory when coin
is deposited in the treasury. With the
provision Of law, the scarcity of our
currency would create such IA demand
for it that & I'D will be freely deposited
in exchange for the more portable and
convenient notes of the United States.
The resumption fund should be segre-
gated from all other moneys of the
United States and paid out only in re-
demption Cf United States notes.
With such provisions in the law, the
resumption fund could not be invaded
to meet deficiencies in the revenue.
They should be provided for by bonds
or certificates of indebtedness of small
denominations at low rate of interest.
which would be readily taken by the
people through national banks, sub,
treasures and post offices.
Bank Reserve should BE Greenbacks.
AS the term lawful money" includes
gold coins, there is disposition by
| hnp lyS tn n
States notes into coin, thus aiding il
depicting the redemption reserve. This
ought to be prevented by provision ot
law that the bank reserve of Lawful
money shall be United States notes ol
treasury notes only. The resumption
fund is the safeguard of the money Of
the people, and its use for any Other
purpose is practical reputation Of thC
public faith.
THE president complains that the
notes are presented and paid, reissueC
and paid again and again, making {
continuous circuit. When did this Cir
cult commence? The only answer is
when this administration, supported by
the last congress, created deficiency
Why does the circuit continue? 1t il
because the deficiency continues. Th'
government resorts to the financial pol
icy of Micawber 1t gives the bonds
and thinks the debt paid. Butthe Cir
cult continues
l believe that under existing law, th'
aggregate sum Of United States note
and treasury notes issued under the ac
Of 1860, amounting to about $3.50, 900,
600, can be easily maintained at pa
with coin if the two amendments
have mentioned are adopted by con
gress.
In conclusion Mr.. Sherman said that
cured of Il few defects, the system o
currency of the United States was a
good as the best-even that of England
who'now holds the purse strings of tn
world.