Perrysburg journal. (Perrysburg, Wood Co., O. [Ohio]) 186?-1965, 1897-12-11
CURRENCY LEGISLATION.
Congress Should Not Hesitate to EN-
ter Upon Revision.

CURRENCY LEGISLATlON.
Congress should Not Hesitate to en-
ter Upon Revision.
Tarifr legislation having been settled by
the extra session of congress, the question
next pressing for consideration is that Of
FINANCES upon a sound basis, difficult as it
may seem, will appear easier when we re-
ment s sinee iS6S IN the 9th day lay Of June
liabilities in the sum OF SIPS, ,S6S. .4474l. Or
been reduced to $44S. $50, 1855. or our in
terest-bearing obligations. the figures are
principal of the interest-bearing debt Of
the government was ~ SS2. SSl, 2OS, on tho
reduced to s5S5 Gsi, 100, or an aggregate re-
ing debt of the United States on the first
day of December, 1884, was $S47, go The
government money now outstanding (De-
cember u consists of $3iG. .6Sl Ol6 of United
issued by authority of the law of 1890, $751;
e6S50S OF silver certificates. and s6l,2SO 7Gl
of standard silver dollars.
With the great resources of the govern
ment, and with the honorable example of
the past before us. we ought not to hest
tate to enter upon currency revision
which will make our demand obliga tions
less onerous TO the government, and relieve
our financial laws from ambiguity and
doubt.
No Ground for Distrust
The brief review of what was accom-
makes unreasonable and grounCless any
distrust either OF our financial aDiIIty or
soununesS, while the situation from 1893
TO 1897 must admonish congress of the inn
mediate necessity of SO legislating as to
make the return Of the conditions then
prevailing impossible. There are many
plans proposed as "a remedy for the eV!i.
Before We can lind the true remedy we
must appreciate the real evil. 1t is not
that our currency OF every kind is not good,
for every dollar of 1t is good: good because
the government pledge is out TO keep it
SO. and that pledge will not be broken
Eesn hs me edss @ OF & our purpose to
advancing toward its fulhllment.
EVIL of the Present system.
The evil of the present system is found in
the great cost TO the government of main
tainins the parity OF our different forms OF
with gold. We surely cannot be longer
needless OF the burden this imposes upon
the people, even under FAIRLY prosperous
conditions, while the past four years have
demonstrated that IL is not only an ex-
pensive charge upon the government but
dangerous menace TO the national credit.
Must Provide Agninut bond Issues.
II is manifest that we must devise some
plan to protect the government against
bond issues tor repeated reuemptoAs. We
must either curtall the opportunity for
speculation, made easy by, the multiplied
redemptions OF our demand Obligations, or
tion. We have 500 O.UOO,OOO OF currency
which the government by solemn enact
gold. Nobody is obliged TO redeem in gold
but the government The banks are no.
required 10 redeem in gold. The govern
ment Is obliged to keep equal with gold all
its outstanding currency and coin obligu-
tions, while its receipts are not required
kind OF money but gold. and the only means
by which the government can with GER
4 in no other way when 1t most needs it.
The government without any fixed gold
revenue is pledged TO maintain gold re-
demption, which II has steadily and faith
fully done, and which under the authori-
~ now given 1t will continue to do.
The law which requires the government
after having redeemed its United States
funds demands constant repienishment
of the gold reserve. This is especially So
In times OF business panic, and when the
revenues are lhsuilclent 10 meet the eX-
the government has no other way TO sun
ply Its deficit and maintain redemption Dut
through the lngrease OF its bonded debt us
during the adminstra tion of my predeces-
sor. when S262,3l5,iO0 OF 41a per cent, bonus
TO pay the expenses OF the guvernment in
excess exec OF the revenues and sustain The
greater part of the proceeds Of these honns
was USED TO supply deficient revenues, d
com Sonsidheranie portion was required TO main
With our revenues equal to our expenses
there would be no deficit requiring Inc is
falls below SlOOO0O.UOU how viii it be re-.
2lenlshed except by selling more bonds
existing law? The serious question them undst is
Shall We continue the policy that has been
reserve reaches the point OF danger SSH
more more ponds and supply the needed gold or
shall shall we provide other means TO Prevent
these recurring drains upon the gold re-.
serVeI IL no further legislation is had and
the the policy Of selling bonds is to be conIin-
tary of the treasury authority 10 sell bonds
az long or short periods. bearing less ale
OF interest than is now authorized by law,
An Obvious Duty.
receipts OF The government are quite Sill
y hcient 10 pay all the expenses OIL the gov
esrnmsnt s,a,a mat when any Of the United
In gold and are redeemed in gold such tes
shall be Kept anu set apart and only PAID
yious duty. II the holder OF The united
States note prefers the gold and gels il
back from the government United States
note rSn without sd payiins geld gold in exchange Tor
more apparent whe,' the government ISSUES
for he deP 10 gld
q noninterest-bea'ing debt. surely n
should not Pay yr 'asd out again eXeeE OH
in ANY other way they may reiurn e atsin paI OUT
be followed by ancher bond issue TO re-
Deem theh-another interest bearing debt
to redeem noninterest-bearingd debt.
IndOrses Secretary Gage'A Plan.
The secretary OF the treasury has out
lined plan In great detail for the purpose
of removing the threatened recurrence OF
future embarrassment on that account To
this plan invite your careful consldera-
tion. / concur with the secretary OF the
treasury in his recommendation that na.
tional banks be allowed to issue notes to
the face value of the bonds which they
have deposited for circulation, and that liz
tax on circulating notes secured by deposit
AiOf such bonds be reduced TO one -nalf of one
tper cent. per annum. i also Join him in
recommending that authority be given for
the establishment of national banks with
minimum capital of $4,000. This will
ena 10 the smaller villages and agricultural
regions OF the country to be supplied with
currency to meet their needs | recommend
that the isAue of at!onal hank / oteA ne re-