The midland journal. (Rising Sun, Md.) 1885-1947, 1896-05-29
Bankruptcy Ahead.

PEELED to pay to Europe is not less
than I$400,OO0,O0O. 1t consists of
the carrying trade, the travellers,
and the interest and dividens which
are paid or expended in European
countries. The only way that the
United States has to obtain gold
beyond the paltry amount produced
in this country is by the sale of
farm products in Europe. The
silver standard countries have
about 100 per cent advantage of the
farmers and planters Of the United
States in the European market ON
account of the difference of ex-
change, and competition with silver
standard countries has reduced the
price of all our exports to such an
extent that we cannot sell enough
to pay for our imports, much less
pay our fixed annual charges. 1t
is true we can pay for them for a
time by borrowing money to pay
interest on borrowed money. The
government of the United States
can sell bonds and buy gold until
our credit is destroyed. A few
years ago almost any railroad could
sell bonds in Europe. That resource
is about exhausted and the govern.
ment credit will also soon be
exhausted.
The Republicans say that what
we need is more revenue. That
cannot be true because we have in
the Treasury about $27O,OOO,OOO of
available cash balance, which is a
large surplus. No such amount of
money ought to be locked up in
the Treasury. Mr.. Cleveland says
that it is not revenue we want,
but it is gold that we must have,
and for that reason sells bonds.
While it is true that we owe no gold
obligations as a matter of law, yet
the administration refuses to pay
silver when it is most convenient
for the government to do so. We
cannot see how an increase of the
revenue by tariff duties would
remedy The evil. The deficiency OF
the revenue now is not more than
800, 200, 900 or $50, 100000 per an
mum. A tariff or internal revenue
tax that would raise it $4,000, 900
or $50, 900 would not affect the
condition of things or enable us to
sell our farm products in Europe at
a higher price. 1t would leave our
farmers and planters in competition
with the Asiatics, the same as they
are now, and it would leave the
annual balance for which new
debt must be incurred the same as
it is now.
| 1t has been suggested that the
greenbacks and treasury notes
should be retired, so that there can
be no call upon the general govern
ment for gold beyond the interest
on the public debt, but this would
not benefit the general situation. 1t
is true it might relieve the govern
ment, and the government in that
case would be only required to bor-
row gold to pay interest. But
somebody must pay the obligations
we owe to Europe, and according to
the gold standard they must be
paid in gold. Where have we the
credit outside of the United States
to borrow that amount of gold? The
credit of corporations is nearly ex-
hausted, and if the credit of the
government is not used the end is
near at hand. We boldly assert
that any attempt on the part of the
bankers to buy gold to pay foreign
obligations will send gold to a pre-
MUM. Any attempt of the gov
eminent to discriminate in the
kinds of money and compel the
people to pay gold for customs dues
would send gold to premium. Just
as soon as the credit of the govern
ment is exhausted, so that gold
cannot be borrowed, gold must be
bought, if the gold standard is
maintained, to pay gold obligation,
and as quick as the government or
the people commence to buy gold
obligations they send gold to q
premium and destroy the gold
standard.
One thing is certain : There is no
way of maintaining the gold stan
dar1 in thic onuptrx lint NV ,,niuar