The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1897-12-09
CURRENCY REFORM.

Iarlff legislation having been settled
oy the extra session of congress. the
question next pressing for consideration
IS that of the currency.
Inc work OF putting our finances upon
a sound basis, difficult as it NAV seem
VIII appear easier when we recall IKE
financial operations of the government
since 1866. On the 30th day of June of
.hat year we had outstanding demand
liabilities in the sum of SIPS, ,S6S, Al Al,
~ the LIST of January, 1897 these lia-
hllltles had been reduced to S43 ,SSg,-
49o.SS. Of our interest bearing obliga
tions the figures are even more strikinr
On July 1, 1866. the principal of the in
erest-bearing debt of the government
was S2333322 33}1 POS. On the 1st day of
July. 1913. this sum had been reduced
TO NoSJ,O3I 100. or an aggregate reduc-
tion of S1,747 .294, 10S The interest
bearing debt of the United States on
the first day of December, 1897. was
SS41 ,3G5.62 The government money
now outstanding December u consis S
of S346.6S1 ,01G of United States Lotes.
SlOI, ,I93,2S0 of treasury notes issued by
authority of the law of 1890. $3S4 .9G3.-
5O4 of silver certificates and SGT, $50, ,I61
of standard silver dollars.
With the great resources ind with
tiiN iichpitbic VI ltlt IuSJ De-
fore us, we ought not to hesitate to enter
upon II currency revision which will
make our demand obligatio less oner-
GUS to the government and relieve our
financial laws from ambiguity and doubt
The brief review of what was accom-
plished from the close of The war to
1893 makes unreasonable and grouLd-
less any distrust, either of our financial
ability or soundness, while the situation
from 1893 to 1897 must admonish con-
gress of the immediate necessity of SO
legislating rs to make the return of The
conditions then prevailing impossible.
There are many plans proposed ms Il
remedy for the evil. Before I'VE can find
the trlle remedy we must appreciate the
real evil. 1t is not that our currency of
of it is gOod-guaranteed by the govern
ment's pledge to keep it sO-and that
pledge will not be broken. However,
the guaranty of our purpose to keep the
pledge will be best shown by advancing
towards its fulfllment.
The Existing Evil.
The evil of the present system is found
in the great cost to the government of
maintaining the parity. of our. different
forms of money. that is, keeping all of
them at par with gold. We surely can
not be longer needless of the burden this
imposes upon the people, even under
fairly prosperous conditions, while the
past four years have demonstrated that
it is not only an expensive charge upon
the government hut dangerous menace
to the national credit.
1t is manifest that we must devise
some plan to protect the government
against bond issues for repealed redemp-
tions. We must either curtail the Op-
portunity for speculation, made easy by
the multiplied redemption of our demand
obligations. or increase the gold reserve
for their redemption. We have $780,
100000 of currency, which the govern
ment. by solemn enactment. has under
taken to keep at par with gold. Nobody
is obliged 10 redeem i'll gold but the gov
The banks are not required
to redeem in gold. The government
is obliged to keep equal with gold all
its outstanding currency and coin obliga-
tions while its receipts are not required
to be paid in gold. They are paid in
every kind of money but gold. and the
only means by which the government can
with certainty get gold by bor-
rowing. 1t can get it i'll no
other way when it most needs it.
and the government. without any fixed
gold revenue is pledged to maintain gold
which it has steadily and
done, and which. under the
now given. it will continue to