The record-union., 1896-01-04

but conservative Democrats, with the
aid of Republican Senators, greatly i'm
proved the House bill, adding other du-
ties and changing its scope. The Pres
ident refused to sign that Act, and yet
now he supported it."
After discussion in much detail OF
the effects OF the Mckinley Act and OF
the existing tariff law on imports, ex-
ports and revenues, Sherman said that
he could pursue no further the analysis
of the two laws. He regarded the Nc
Kinley law as infinitely better than
the Wilson law, which was, he declared,
the cause of all the evils now encoun-
tered, of adverse balance of trade, by
expectation of gold and by derange-
ment of the monetary system. The
President attributed all the financial
difficulties to the continued circulation
of the United States and treasury
notes, amounting to nearly $500,0 ,000,-
OOO, and bearing no interest.
1t is just to Carlisle to say that he
attributes the Withdrawals of gold to
silver legislation; that the Bland silver
bill was in force from 1878 to 1890,
when the accumulation of gold oc-
Scurred, and the great body of gold was
1890, was repealed. What other cause
can be stated than that unwise legisla-
tion reduced our reserve below our ex-
penses, impaired confidence in our abiI-
ity to maintain our currency at par,
and compelled the Government to sell
bonds for the redemption of United
States notes in order to meet defcien-
cies? What other remedy is there for
our financial difficulties except to bor-
row money on the best terms possible
to pay current expenses and to provide
additional revenue for future wants
To this extent and for these purposes I
am willing to support this Administra-
tion, however much I may disagree
with its general policy.
Il do not wish to criticise the sale of
bonds authorized by the Resumption
Act to meet deficiencies. Under the cir
cumstances, the Administration was
justified in doing this, even to the i'm
pairment of the resumption fund. There
is no difficulty in collecting by taxation
more money than. is necessary for its
expenditures. The true remedy is to
supply by taxation in some form addi-
tional revenue, and until this can be eff
fected to borrow from the people of the
United States enough money to cover
past and future deficiencies.
Notes once redeemed should only be
reissued for gold coin, and such reissues
should be mandatory when coin is de-
posted in the treasury. The resumption
fund shoulds be segregated from all
other moneys Of the United States and
paid out only in redemption of 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 such denominations at a low rate of
interest, which would be readily taken
by the people through national banks,
sub-treasuries and Postoff1ces."
Farther on in his speech Sherman
spoke of the Presidents complaint that
notes were. presented and paid, reissued
and paid again and again, making a
continuous credit. When he asked,
had that circuit commenced? 1t had
commenced when this Administration
supported by the last Congress, had
created a deficiencyS What was Secre-
tary Carlisle's grounds for the hope ex-
pressed by him that in two or three
SGctAS NuClC NOO1G NC III OC4ASAL LAC
only ground for such hope was that a
new Administration would provide more
revenue; and then the circuit would be
broken. Why not apply the remedy
nOW?"
The free coinage of silver he regarded
as the most dangerous policy of all.
There was scarcely a doubt but that in
all probable conditions of trade or
finance Except the contingency of war)
the whole mass of United States notes
and treasury notes now in circulation
could be maintained at par with coin, if
it were supported by a reserve of gold
coin or bullion or silver bullion in due
proportions, equal to one-third or one
fourth of the amount of such notes.
In conclusion, Sherman said "All
ask now is that you will not disturb
our present financial system with your
deficiencies; will not rob it of its safe
guards; will not return to the days of
wildcat money; will not lessen the saw
ings of prudent labor or the accumula-
ton of the rich. Time makes all things
even. Let US give the executive au-
thorities ample means to meet the ap-
preparations you have made, but let US
strengthen rather than weaken our
monetary system, which lies at the
foundation of our prosperity and pro-
gress.
The vote was taken and resulted:
Yeas 4S, nays 6. The nays were Messrs.
Brice, Caffery. Chiffon, Hill, Mitchell Of
Wisconsin and Murphy.
Hill Oem.) of New York moved the
reference of the resolution to the Fl
mace Committee. and spoke to his mo-
ton. Hill said the resolution would be
of no legal avail. 1t would be like the
Pope's bull on the comet. He denounced
it as an unwise step, and did not think
the people would approve of it; and he
declared his belief that if the resolu-
ton were agreed to that the President
would not pay any attetion to it, land, y
said Hill. che ought not to-"
Teller (Rep.) of Colorado criticised
Hill's speech, and said the New York
Senator seemed to think that if the
syndicate were not allowed to take the
loan the loan would not be made. He
CTeller) was not of that opinion. If the
loan was offered to the public the syn
dicate would have the same opportun-
ity of bidding for it which individuals
would have.
A colloquy of some few minutes oc-
Cured between Hill and Teller on this
topic, and Hill, in the course of his re-
marks, and finishing his part of the
discussion, said, addressing Teller:
Telegraph to your banker friends to
present their propositions to Carlisle
Let them say we will take ten, fifteen,
twenty millions of the bonds at 3 per
cent. And if he refuses to take them,
then have you the right to say he is in
competent or dishonest"
A colloquy occurred between Hill and