Herald and news. [volume] (West Randolph, Vt.) 1878-1943, 1897-12-09
THE MESSAGE.

sembled in regular session at the seat OF
government, with many of whose sena'
tors and representatives l have been as
ISOLATED in the legislative service. Theli
meeting occurs under felicitous condi.
lions. justifying sincere congratulation ano
calling forth our grateful acknoWledg'
ment to a benefcent providence, which
has so signally blessed and prospered us
a nation.
Peace and good will with all the ma
lions of the earth. continue unbroken. A
matter of genuine satisfaction is the
growing feeling of fraternal regard and
unification of all sections of our country
the incompleteness of which has too long
delayed realization of the highest bless
ings of the union. The spirit of patriot
ism is universal and is ever increasing In
fervor. The public questions which now
most engross us are lifted far above
either partisanship, prejudice or former
sectional differences. They affect every
part of our common country alike, and
permit of no division on ancient lines.
Questions of foreign policy, of revenue,
the soundness of the currency, the invio-
liability of national obligations, the i'm
provement of the public service, appeal
20 the individual conscience Of every ear
nest citizen to whatever party he belongs
or in whatever section of the country he
may reside.
The extra session of this Congress
which closed during July last enacted
important legislation, and while its full
effect has not yet been realized, what
It has already accomplished assures us
of its timeliness and wisdom. To test
its permanent value further time viii
be required, and the people, satisfied
with its operation and results thus far,
are in no mind to withhold from II a
fair trial. Tariff legislation having been
settled by the extra session Of Congress,
n
Grafton is that of the currency.
SOUND BASIS FOR CURRENCY.
The work Of putting our finances upon
a sound basis. difficult as it may seem.
will appear easier when we recall the
financial operations of the government
since 1866. On the goth day of June Of
that year we had outstanding demand
liabilities I'm the sum of $72S, SOS. Az Al on
the first of January 1879 these liabilities
had been reduced to SAB $50, 1858. OF our
Understanding obligations. the figures
are even more striking. On July /. 1856
the principal of the interest bearing debt
of the government was s.. 1872. 33l POS on
the first day of July 1898. this sum had
been reduced to $3.50 OBJ 100 or an aggre-
gate reduction Of $l.747 2941OS. The inter-
est-bearing debt Of the United States on
the first day of December, 1897. was $780,
365, $40. The government mony now out
standing dec. u consists of S3i6,6Sl, Ole
Of United States notes S107. 1893 $50 of treas
ury notes issued by authority of the law
of 1890 1884 1868. 5q of silver certificates.
and $G31 $50 761 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
hesitate to enter upon a currency re-
vision which will make our demand obli-
cations less onerous to the government
and relieve our financial laws from am
biguity and doubt.
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, but a dangerous menace
10 the national credit. II Is manifest that
we must devise some plan to protect the
government against bond issues for re-
peated redemptions We must either cur
tail the opportunity for speculation made
easy by the multiplied redemption of our
demand obligations. or Increase the gold
reserve for their redemption. We have
5000 900 600 Of currency, which the govern
ment, by solemn enactment. has under
taken to keep at par with gold. Nobody
is obliged to redeem In gold but the
government. 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 is by borrowing.
1t can get II no other way when It must
f4
fixed gold revenue. is pledged to maintain
gold redemption, which It has steadily and
faithfully done. and which under the au-
thority now given IT, 1t will continue TO
do.
With our revenues equal to our ex-
penses, there would be no deficit requir-
ing the issuance of bonds. but IL the
gold reserve falls below 500 co., 900 how
viii 1t be replenished except by selling
more bonds? Is there any other way
practicable under existing law? The
serious question then is shall we con
tinue the policy that has been pursued
in the past, that is when the gold re-
serve reaches the point of danger issue
more bonds and supply the needed gold;
or shall we provide other means to pre-
vent these recurring drains upon the
gold reserve? II no further legislation
is had. and the policy OF selling bonds is
TO be continued. then congress should
give the secretary OF the treasury Hu-
thority TO sell bonds at long or short
periods. bearing a less rate Of interest
than Is now authorized by law.
/ earnestly recommend. as soon as the
receipts Of the government are quite
sufficient 20 pay all the expenses Of the /
government, that when any OF the
United States notes are presented for
redemption in gold and are redeemed in
gold, such notes shall be kept and
set apart, and only paid out In
exchange for gold. This Is an obvious
duty. II the holder OF the United States
note prefers the gold and gets Il from the +
government, he should not receive back I
from the government a United States 4
note without paying gold in exchange for 4
II. The reason for this Is made all the 4
more apparent when the government is 1
sues an Understanding debt to provide .
gold for the redemption OF United States !
nofes-a non-interest bearing debt. Sure 1
~ it should not pay them out again eX- /
rept on demand and for gold. II they are 4
put out in any other way they may re- I
turn again. TO be followed by another is &
sue to redeem thermometer Interest," I
bearing debt TO redeem a non-interest-
bearing debt
In my view Il is Of the utmost import
uurss that rnr-4srf, Fy1araf ahas4gaN hfs