The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1896-01-31

sential provisions in such system
should include the relief of the govern
ment by the retirement and cancella-
ton of the legal tender notes under
safe and proper conditions as to time
and method; also provisions for the
revision and extension of the national
banking system under conditions which
will maintain our monetary standard
and secure to the country a safe and
ample currency to take the place of the
notes so retired.
1t would almost appear that there is
a strong conspiracy on foot to surren-
der to the banks the issuance of cur
rency in this country. The plea for the
retirement of the leglal tender notes
to be replaced by an issue of bank
notes equal in amount to the full face
value of government bonds held by
said banks is constantly being urged by
out eastern friends. It is so pleaded for
in season and out that the tiresome it
GRAFTON justifes the suspicion that it is
the banking interests and not the coun-
try's that thus pleads for retirement of
legal tender government notes TO 'pe
replaced by bank notes.
1t is just as well that the people ask
what advantage they will gain by the
retirement of the government form OF
currency and the issuance of the bank
form. To begin with, the bonded IN
terest bearing Indebtedness must be in
creased about $500, 100000 in order to
purchase the gold with which to re-
deem the United States notes and
treasury notes. Then the currency
thus retired is to be replaced by notes
issued by the banks. Suppose the plan
to have been accomplished, what VIII
the people have gained? They WIZ
have bank notes instead of UNITED
States and treasury notes. Is there
any advantage in that! are
the banks any more sure to
redeem their bank currency thah
the United States are to redeem thelr
currency? Are the banks safer thalA
the government? Will foreign natlohs
have more confidence in currency IS
sued by our banks than in currency Is
sued by our government? From what
source is to come our advantage IN
having bank notes in the place OF
United States and treasury notes? our
gains to say the least of it are DOUBT
full; let US see if there is not some
reason to fear that there are positive
disadvantages in such an exchange
To begin with here is a bonded IN
terest bearing Indebtedness OF $5Oo'oOo'-
nm incurred to make the change from
United States currency to bank cur
rency. We cannot hope to get the gold
with which to redeem the government
currency for less than three per cent
per annum. That amounts to $l5,00o,-
900 in interest per annum; and as the
proposition generally contemplates long
time bonds that burden would rest
upon the people throughout the present
generation at the very least. Say the
bonds ran for thirty years The inter-
est would amount in that time to
S450, 100000. an amount almost equal ID
the bonds issued! Our single gold
standard friends with their government
currency retirement scheme, and re-
placement by bank note issue ask
us to pay somewhat dear for some
thing very much less than whistle.
The National Board of Trade is open
to the suspicion that it speaks more
in the interest of the banks than in
the interest of the people. Let but the
government exercise the prerogative
conferred upon 1T by law and redeem its
currency in coin-that means in either
gold or silver at it's own option, and
the treasury notes and United States
notes will no longer be a source of
anxiety to the government, or even in
convenience.
They are shadows which are fright
ening the souls Of our financial Rich
ards. Shadows created by their own
diseased brains or disordered magma
tons. Lets have done with them.