The Meeker herald., 1896-12-12
The Financial Question.

This reference to the condition and
prospects of our revenues naturally sug-
gests an allusion to the weakness and
vices OF our financial methods. They
have been frequently pressed upon the at
tention of Congress in previous executive
communications, and the inevitable dan
ger Of their continued liberation pointed.
out Without now repeating these details,
canno, refrain from again earnestly
presenting the necessity of the prompt re-
form Of system opposed to every rule Of
sound finance and shown by experience
to be fraught with the gravest peril and
perplexity. The terrible civil war. which
shook the foundations of our government
more than thirty years ago, brought in Its
train the destruction of property, the
wasting Of our country.s substance and
the estrangement of brethren. These are
now past and forgotten. Even the dis
ressing loss of life the conflict entailed
Is but sacred memory which fosters pa
triotc sentiment and keeps alive tender
regard for those who nobly died. And
yet there remains with us to-day In full
| strength and activity as an incident Of
that tremendous struggle Il feature of its
financial necessities, not only unsuited to
our present circumstances, but manifest
ly disturbing menace to business secur-
ity and an ever-present agent of monetary
distress.
Because we may be enjoying tempo
rary relief from its depressing influence,
this should not lull us into false secur-
ity nor lead us to forget the suddenness
of past visitations l am more convinced
than ever that we can have no assured
financial peace and safety until the gov
ernment currency obligations upon which
gold may be demanded from the treasury
are withdrawn from circulation and can
celed. This might be done. as has been
heretofore recommended. by their e1-
change for long-term bonds bearing a
low rate of interest or by their redemp
tion with the proceeds of such bonds.
Even If only the United States notes
known as greenbacks were thus retired,
1t is probable that the treasury notes is
sued in payment of silver purchases un-
der the act of July II, 1890, now paid in
gold when demanded. would not create
such disturbance as they might from time
to time when received in the treasury by
redemption of gold or Otherwise. be grad
ually and prudently replaced by silver
coin. This plan 81 issuing bonds for the
purpose of redemption certainly appears
to be the most effective and direct path
to the needed reform.
"1n default of this, however. 1t would
be step in the right direction If cur
rency obligations redeemabe in gold.
whenever so redeemed should be cancel
ed instead of being reissucd This oper-
alton would be n slow remedy. but it
would improve present conditions. Ma
tional banks should redeem their own
notes. They should be allowed to issue
notes to the par value of bonds deposited
as security for its redemption. and the
tax on their circulation should be re
duced to one-fourth of one per cent.
"In considering projects for The retire
mems Of United States and treasury
notes issued under the law of 1890, ! am
Of the opinion that we have placed too
much stress upon the danger of contract
Ing the currency and have calculated too
little upon the gold that would be added
to our circulation if invited to us by bet
ter and safer financial methods. 1t
is not so much contraction of our cur
rency that should be avoided as such un-
equal distribution.
'This might be obviated. and any fear
Of harmful contraction at the same time
removed. by allowing the organization of
smaller banks and In less populous COM
munities than are now permitted. and au-
thoriZing banks to establish branches in
small communities under proper restric-
tion.
1.-THE entire case may be presented
by the statement that the day of sen
sible and sound financial method will
not dawn upon us until our govern
ment abandOns the banking business
and the accumulation of funds. and
confines its monetary operations to the
receipt of the money contributed by
the people for its support and to the ex-
penditure of such money for the peo-
pies benefit. Our business interests
and all good citizens long for rest from
feyerish agitation and the Inauguration
by the government of n reformed finan-
cial policy which will encourage en-
terprise and make certain the rewards
of labor and industry.
The Trust Evil.