The Lebanon express. (Lebanon, Linn County, Or.) 1887-1898, 1896-09-17

below par while that government is
solvent and is in the possession Of plen-
ary taxing power. There never was an
instance in the worlds history to con.
trovert this proposition. Such being
the case, the citizens of a government
possessing such q financial system,
would be subjected to no periods OF
panic or depression, ruinous to some
and harmful to all. All gold and silver
should be coined and the amount Of
paper money should be regulated by the
demands of trade and commerce.
NEED OF SILVER AS REpEMPTloN MONEY,
1t is estimated, in round numbers,
that there is in use in the world as
money about four billion dollars Of gold,
silver and paper each. With both gold
and silver as money of ultimate redemp.
tions there would be no difficulty what
ever in carrying at par the present OF
even greater amount Of paper money.
Eight billion Of metal money 10 broad
base on which to rest four billions of pa.
per money. There is plenty of coin with
which to redeem the paper, and so there
will be plenty Of confidence that it can
be redeemed. There has a great deal
been said about our present finauca
difficulties being the result of a lack OF
confidence. That is indeed very true.
But the lack Of confidence results from
lack Of coin. With plenty Of full re-
demption coin money there will be plenty
Of confidence, With a scarcity Of such
redemption money there will necessarily
be a lack of confidence. Coin is the
basis Of confidence. The American
money system that would make both
gold and silver the broad base for the
support of the required paper money
has, however, been supplanted by the
British system, that makes gold alone
full redemption money and the base Of
support for both silver and paper as cur.
rency. And SO the world now has a
four billion base and an e ght billion su-
perstructure. The wise, men of the
banks and the wise men Of the public
press assure the people that this plan ID
the very proper thing, and those who
differ with them are unschooled In
finance. The American financial policy
demands that the pyramid should stand
on Its base; the British policy demands
that 1t should stand on its apex, and the
Republican party and the Cleveland ad-
ministration have adopted the British
policy, and make gold alone the money
of redemption.
On July LIST, 1895, treasury reports
show in circulation in the country at
that time: Silver certificates, three hun
dred and thirty-one million; treasury
notes, ninety.fiye million; greenbacks,
two hundred and twenty-five million
national bank notes, two hundred and
fifteen million; total Of eight hundred
and sixty-six million. This amount, ac-
cording to treasury practice, was re-
deemable In gold, and at that rate the
treasury held one hundred aud eleven
millions of gold with which to redeem.
Our so-called wise men Of finance call
this sound money system. 1t is sound
in the same sense they are wise. After
having borrowed $262 200, 900 Of gold in
the last three years, we now have in the
treasury about one hundred million Of
gold with which to redeem about nine
hundred million OF paper. The pyramid
is standing on its apex, and sooner or
later viii topple over. Can any one
expect restoration Of confidence under
such condition. If silver as well as
gold was money of redemption, the base
would at once be broadened, and conf.
dence would be restored.
RuINoUs POLICY.
From 1866 up to 1858, s94, ,0OO, 900 OF
greenbacks had been turned into bonds,
when in that year the friends OF the
greenbacks cried halt and saved S34o,.
100000 from destruction That was
;ntsrsst st fonr nsr "e esnt o on,,aoaaaS aoa, q,
semi-annually trebles itself in twenty.
eight years. But for such opposition,
the bondholders would have received on
that amount Of bonds $780,, 100000 and
as = dos havo 70 uom so.e nafo ooo w p@g' na9
y n anv worasr that tba ,n",, S",o,.Jo,ooV
favors tba iss,onos 81 es ..nae.
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