The herald. [microfilm reel] (Los Angeles [Calif.]) 1893-1900, 1896-11-09
OUTLINING THEIR PURPOSE

w AxNxNu H1A<xN UNI USE
If Mark Hannas outline of what Nc
Kinley's policy will be is by authority,
the next national administration will be
one of perfidy, falsehood and hypocrisy,
Mr.. Hanna says there will be an extra
session of congress to provide revenue
for the expense account of the govern
ment, which will be done by increas-
ing customs duties to about the basis
that prevailed under the Mckinley act.
Further issues of bonds. Mr.. Hanna
says, would be too dangerous. What he
means by dangerous" is that the peo-
pie would rise in their indignation and
make life burden to the administra-
ton were 1t to increase the public debt
to accommodate foreign and home in
vestors who would rather put their
money In government securities than
in active business enterprises, and Mr..
Hanna is right 1t would be dangerous.
But the re-enactment of the old Nc
Kinley tariff law would oblige the gov
eminent to raise money sooner or later
to make good the revenue deficit. Dur
ing the nearly four years of the opera
ton of that law the revenue fell short
of providing for the expenditures of the
government by ss7,OOo,OOO and yet the
burden of McKinley's speeches was the
wonderful prosperity in all the avenues
of trade and traffic while that law was
in effect
The people would not complain if the
deficit of 100000 was the result of
legitimate causes, but they know it was
not The deficit in the revenue was
caused by a tariff so high that foreign
competition was practically shut out,
which not only cut down customs duties
but enabled our manufacturers to ad-
vance the price of their goods and wares
to just below the point where importers
could enter the markets. Hence. as
matter of fact, the deficit of $S7 1000, 900,
although cleverly covered up. went into
the pocketbooks of our too highly pro-
tected industrial monopolies in the shape
of high prices for their products, which
our consumers bought and paid for. A
special session of congress is to be
called to re-establish the conditions
which prevailed during the life of the
Mckinley act. Hanna, Mckinley and
company are in the saddle, and rough
shod riding over the masses is to begin
Immediately after Mckinley is inaugu-
rated. so Hanna says.
AS to issuing more bonds; Mr.. McKin-
ley knows that the relation between
the bonds issued by President Cleve-
land and the deficit in revenue was so
remote that it may be said that none
at all existed. Bonds had to be issued
under the ruling of the treas
ury department. which was that
the option of designating the
form of money the government should
pay it's debts with belonged to the cred
itor, and that the option of designating
either gold or silver in the redemption
of coin" obligations of the government
was the right of the holders of such obi
cations, and just so long as that ruling
stands the treasurys gold may be raid
ed, no matter how large the customs
and excise revenue is.
There is one way, and only one way,
to obviate the necessity of periodical
bond sales to replenish the treasury's
stock of gold, and that is for the govern
ment to exercise it's own option, which
the law authorizes 1t to do, and pay its
coin" obligations in either gold or silver,
as shall be most convenient for the
treasury. That would be obeying the
law, which makes silver dollars full
and complete legal tender for all public
and private debts, but that is exactly
what the managers of Mckinley declare
shall not be done, and they may talk as
they like. but the fact remains that
just as long as the right rests with the
creditor of the government to designate
either gold or silver in the payment of
his claim, the necessity for issuing
bonds will be in proportion to the needs
of gold spectators and investment
seekers.