Birmingham state herald. (Birmingham, Ala.) 1895-1897, 1896-08-11

debt perishes. It's safety can only come
from restoring the earning power of the
country, whose labor must pay every
dollar that is paid
1--WE believe that the adoption of a gold
unit of value and the suspension of free
coinage of silver (the dollar of which was
previously our unit of money! by the act
of February, 1873, have been the main
causes of the decline in the prices of all
other commodities as since measured by
gold-a decline which has brought pro-
duction to or below cost line in most
things and now threatens the foundation
upon which all securities rest. The de-
cline has covered European gold stand
ard countries as well as our own.
ITO show how destructively expensive
to our country that decline has been we
will cite a single instance:
Had we received for our exports alone
for the year 1896 the prices of 1878 they
would have brought to our people $780,
100000 more than they did bring, and this
would have been distributed through ev-
cry interest producing and handling
them, from raw material until delivered
for consumption. Our exports are per-
haps per cent of our total product. The
difference which fair price would give
would be available for debt paying or
for surplus. This is only one year of
twenty-three, though one of the worst.
ut will need but little reflection upon
such facts to guide us, to know that with
even our colossal debt, public and pri-
vate, exceeding anything in the world $
history, would be perfectly safe with fair
prices to give legitimate surplus earnings
to our producers.
Nor will it need much reflection, with
such facts to guide us, to show that with
the good times which fair prices would
have kept with us, we could have lived
in greater comfort. had a much greater
and much better development than we
q a nd hoU of
surplus earnings, SO that our debt would
represent widespread producing interests
in all parts Of the country and not be
held so largely or indeed at all, abroad.
Further than that, instead of being
the great debtor country of the world we
would be the great creditor country. Our
commerce by sea would supplement and
complement our commerce by land, and
our own ships would be bringing us trib-
ute from every great port in the world
Our own city of New York would be the
first city of mighty republic whose pow
er and wealth would assure permanent
safety and prosperity, unequaled else
where in the world.
There is, however, no use In crying
over spilled milk We adopted policy
which has crippled our energies, and we
must face the consequences honestly and
courageously until we can get into better
ways and through them reach better
times. Our generation has got down to
cost line and to consumption OF capital.
Another generation under a continue ton
of the policy would become enslaved, so
we believe our people will find remedy.
''As Wall street papers looking first,
naturally to the interests of the people
among whom we live, people who have
invested their savings and means in Sc
curities, our chief concern Is for such a
policy as will make investments safe and
clear off the debt that has been incurred,
so that all holders, at home and abroad,
may be fully paid.
1--WE believe that the best way, and in
fact the only way, to sustain the public
credit and public honor Is to adopt a
financial policy that will permit our peo-
pie by honest labor to earn surplus mon
ey to pay their debts.
1--WE believe the single gold standard
will continue to diminish their power.
Hence we oppose 1t. We believe that the
full reconciliation of silver by free COIN
age will increase their power. Hence we
favor hat course. Our people are honest
and will pay If they can.
"Those who have advocated the single
gold standard have had their attention
SO fully taken up with considering the
possible fears and timidity of foreign and
other holders, in case of silver coinage,
that they have overlooked the steadily
diminishing loss of surplus earnings OUT
of which the debt must be paid. They
have been watching an ina ginary danger
u
seen and unheeded--loss of earnings.
1--WE must face the REAL problem.
Good intentions and talk about public
credit and public honor will not suffice.
WE MUST EARN THE MONEY, NET,
or we cannot pay 1t.
Fear of illogical and impotent alarm
by security holders will-not excuse the
plain duty of fortifying the earning
power of the people to meet great and
an imminent peril
IA policy adapted to borrowing more
money must give way to a policy adapted
to earning more money.
GA policy to increase not our ability to
promise, but our ability to pay.
"A policy to increase the value of our
products, not the volume of our debts.
This involves more money. As we are
writing to bankers we must cite bankers
opinions TO sustain our position. We,
therefore, refer you to the conclusions
reached by the Baltimore bankers con-
vention as to the needs OF more money
pie. That convention fully sustained the
position always held by the Daily Finan-
cial News and by the Financial Record
as to the imperative need of more
money.
1.-THE convention thought the banks
ought to Issue the additional money.
Other people think the government ough
to issue it. But all agree to the need or
more money. Who shall furnish 1t Is a
question IF detail to be determined by the
people. through their congress.
I'm conclusion, we think 1t has bees
most unfortunate for eastern investment
| interests, for all our financial interests.
J that there has not been greater division