The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1896-10-16

IT was necessary to save the country. In
greenbacks; we issued them as a war meas
ure; we made them legal tender; but the
moment they were issued they began TO
drive out our gold and in six months We
had no specie and were on a paper basis.
In 1860, when the war was ended, the gov
~greenbacks. In 1874 they undertook TO in
crease the issue and 1t was only saved by
the veto of General Grant. The question
was fought out in 1875 and 1876 and the
greenback fellows were beaten and we re-
stmed specie payments jar. j, 1879. In 1872,
when there wasn't a dollar specie circulat-
ing, when there hadn't been a silver dollar
coined for years, when, If 1t had been
coined, it would not have circulated, but
Congress of the United States undertook
to revise the coinage laws and they passed
they reduced the legal tender value of sill
yei, by which they made gold the stand
ard. 1t was a righteous and proper law,
and one that was intended to put the com
mercial interest of this country on a parity
with the other great civilized nations of the
world. 1t was Il law, which was passed
after weeks and months of elaboration,
and the man who tells you it was a crime
or passed surreptitiously is either a knave
or a fool. We got through the panic Of
1873 and we resumed upon the first of jan
uary, 1879. upon a gold basis. But the sill
overproduction of silver. and to protect
themselves they raised the cry that silver
was demonetized, and in an evil moment.
in 1875, there was passed what was known
as the Bland bill, by which the government
was authorized to purchase and coin two
millions of silver a month. Not content
with this. in 1880 they passed what was
known as the Sherman law, by which the
government was to purchase 500, 600 ounces
silver certificates for the same. They
loaded up the country with this useless
lars; they are in the vaults at Washington
to-day: but they so loaded up the country
that in 1893 we had a great panic. This
panic forced the repeal OF the Sherman
law and left us upon a gold OASIS.
Such. in brief, is the history OF our cur
practically upon a gold basis since 1894 and
by law since 1873, and the proposition now
presented to the people is whether, We
shall change the standard of value which
has existed for so many years and estab-
lish a new one" 1 think 1 have shown you
by this country at the ratio of Is to !
would not raise the commercial price of
silver to that of gold. but that it would
drive out of circulation what gold we have.
The best proof of this latter fact is that in
no country on earth where there is free
coinage of silver and gold at a different
ratio than the commercial one is there any
gold III circulation. Look at Mexico, China
and South American republics; they all
tries that have silver and gold both in cir
%culation are those which, like our own,
tiles of silver.
MIR. BRYAN'S INCONSISTENCIES.
The chief reason urged by Mr.. Bryan and
his adherents for a change is that we are
having hard times, and that these hard
times are due to the fact that we have de-
monetized silver, that we have not circula-
ton enough for the needs of the people.
They forget that by their own story silver
was demonetized more than twenty years
ago and we have had extraordinarily good
times until within the last two or three
years. They forget the fact that we have
more circulation per capita than ever be-
fore in the history of the country, that we
are using more silver than ever before.
They further forget the fact that In the
year 1895 there was more gold mined and
coined by the word than ever before in its
history, and more than the combined pro-
auction of gold and silver in any one year
previous to 1856. They also overlook the
fact that by the growth of credits the CIV
or money than ever before. in the most
civilized nations 80 per cent. of all the
transactions being settled by credits with
out the use of money.
The panic of 1893 was caused, as have
previously ~intimated. by our attempt to
much, issued too many certificates, and,
like many individuals who put out too many
notes, our creditors became frightened and
the panic of 1893. With the %stoppage of the
purchases Of silver after the liquidation
have had better times and business un-
doubleday would have improved had IL rot
continued and pernicious assaults upon our
national credit by the free-siiver and Pop
nlist leaders. We had a change of admin
istration,, and my Democratic friends, or
rather the Populist ring OF that party. con-
GUIDED they would make a new tariff law,
and they made one which would not pro-
duce enough revenue to run the govern
ment. The result was that we had a de-
ficiency, and when the gold reserve began
to go down these gentlemen refused to pass
a law that would aid in the sale of bonds.
The Populist thought then he saw the hour
TO destroy. the credit of the government
and force his scheme, and had it not been
for the noble stand of that honest man
Grover Eteveiand they would have ruined
the credit OF this country. l never was a
great admirer OF his, but I pay my tribute
to him since the day. when he said the
upheld. The moment Mr.. Cleveland made
his bond sale in that fateful February. 1926,
business began to improve. You men who
work in the shops and in the stores know it.
CAUSE OF THE HARE TIMES.
The spring and summer and fall of 1895
saw a fairly good business. and it was in
creasing all the time. What stopped it?
Why, in the winter of 1856 this same reve-
nue. bill failed to produce enough revenue:
the treasury was getting empty and the
same Populist Senators, in pursuance of the
conspiracy that they had made to ruin this
country or force the free coinage of silver.
refused any remedial legislation, and the
whole world took alarm, and the result was
a panic commenced which has increased,
and 1T will Increase and grow until this
OiA1S ~ all LIld IL CllT-
rency shall be honest.
Let me give you an instance. Suppose
you had mere a MANUFACTURER company
with one hundred stockholders and EN-.
ploying 1.C00 men: that such a company wa
Dorrowlng money largely of the banks and
trust companies and enjoying good credit
and Its workmen We're we'll paid. with
plenty OF employment suppose in an evil
hour a portion of these stockholders should
think they had discovered a way by which
they could pay their debts at 80 cents ON
the dollar and they should announce that
tney. proposed to force such corporation 10
pay It's debts for money it had borrowed or
shouid borrow at 90 cents on the dollar,
what would be the result? The banks ana
trust companies would lend such cornora'
ions no more money, and they would
oplige them, as fast as they could. TO nav
what they had borrowed. and the busipess
OF that corporation would be crippled men
would be discharged. and instead of EN-
pioying 1000 men they would be fortunate
IL they could employ 500. There would he
no prosperity for that company until the
other stockholders turr.ed out the dishonest
one and said to the banks and trust com
panies: Our credit is good. and such dol
lars as We borrow we will pay you back, ,,
The same reasoning applies to our govern
ment. We have had a large BODY of DoIi-
ticianS and statesmen. who have devised n
way by which they think the government
can pay Its honest debts at so cents on the
dollar. They have made it their policy to
force the government to do this. and have
advocated 1T at any and all times, and the
result is that they have injured our cred
1t, capitalists have become frightened. have
refused to lend money and have demanded
payment, as far as they could. of what they
have already loaned, and we will not get
good times again until we turn down these