The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1896-01-28
LET THE TREASURY PROTECT
ITSELF.

The American Cultivator, Boston,
Mass, one of the oldest, ablest and
NEST influential agricultural journals,
has this to say of the financial situa
ton:
I'VE have repeatedly called atten
ton to the fact that the French Gov
eminent maintains the parity of gold
and silver at a ratio of 158 to 1 by re
serving to itself the option of paying in
gold or silver as may suit its own con-
venience. In ordinary times, when
there is no scarcity of gold, the treas
ury pays out in that metal to all who
apply for it. But if any attempt is made
to corner gold, the treasury reserves
the right to pay half in French silver
coin and half IN gold, or in case of ex
tremity in silver alone. There are no
attempts made to corner goldin France
Its people are kept prosperous, and
therefore French exports are usually
larger than the imports. The conse
queLc9 is there is a steady accumula-
ton of gold in France, except that
lately this has heen drawn down to
some extent by Withdrawals of gold to
help the Austrian Government to place
itself on a gold basis.
THE Boston Advertiser relates an
incident in Mr.. Cleveland's first ad-
ministration, when Daniel Manning
was Secretary of the Treasury, which
shows that he was prepared to adopt
the same tactics. At a time when gold
was withdrawn in large amounts by
New York bankers, Secretary Manning
FASTENED to New York. He called a
meeting of the New York bankers, and
to that meeting were summoned some
of the men who had been foremost in
attacking the treasury's store of gold.
The Secretary said frankly that the
treasury was willing and able to pay
gold in any amount that might be
needed absolutely for the protection of
credit, but he declared with equal
frankness that if for the purpose of
boarding, or for speculative reasons,
any of the New York bankers should
call upon the treasury for further gold,
he would respond to that call in a way
which might effect them un~pleasantly.
He said:
"'Not one of you doubts for a mo
ment the purposes and ability of the
government to maintain specie pay
ments. But if you continue to with
draw gold, 1 shall at once order that
you be paid 10 per cent. in silver coin
the first day. The second day you will
be paid 20 per cent. In silver, the third
day 80, and 50 on until one half will be
paid you in silver
"The bankers were considerably as
tonished by Mr.. Manning's threat, and
one of them very promptly declared
that such a course would be a violation
of the pledge of the government. Mr..
Manning replied very properly that
the government made no such pledge.
The greenbacks from the very outset
of their issuance we're to be paid in
COIN and it was optional with the gov
eminent so far as it was declared,
whether that coin should be gold or
silver. This was u / Nbtedly within
the law and inquest bnaOly correct as
q matter of ruling, The Secretary had
his financial opponents in a tight place,
and they realized that fact with quick
sightedness and good sense There
after, it may be noted, the Withdrawals
of gold from the treasury ceased imme-
diately, and Secretary Manning had no
| further trouble with the New York
bankers on that score.
1T was on precisely the same prin-