Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1897-12-18
Mr.. GAGE RESUMES.
rur SINGLE GOLD STANDARD AND
THE ST. LOUIS PLATFORM.
POLITICS As WELL As FINANCE
m. Sccrctnry's idea of BImetaIIism.
The Discrimination Against silver.
cotd Contracts The endless
chaiu"-Raids on the Treasury, Etc.

WASHINGTON, December I.-Secre-
+.-r GAGE resumed his explanation OF his
,rmrr. hensive currency bill to-day be-
far, the Banking and Currency Commit
-ss Chairman Walker had left the city.
and lIr. Brosius, Of Pennsylvania, pre-
aied.
Before the bill proper was taken up
som semi-political questions were asked.
Nr. Hm Republican). Of Connecticut,
called Mt Cages attention TO the state
rsrt made yesterday that the first pur-
pose OF the bill was to commit the coun-
fry 10 The gold standard
.Y0I are recognized as a Republican"
said Mr. Hin, addressing the Secretary.
"ard YOU are familiar with the financial
PLATFORM Of the Republican National
Convention az st. Louis. DO you con-
s5ar that this purpose of more firmly
fixing the gold standard on the country
conflicts with the principles of the st.
Louis PLATFORM
NO. sir" responded Mr.. Gage, mot
as ] look at the principle OF bimetallism.
R.metailism must mean one of two
things. Either ii is two kinds of money,
Of unequal value, circulating side by side,
ty reason OF the exchange Of the less
valuable for that Of greater value or
else two kinds of money, of such intrin-
sic equality Of value that they will cir
cGate naturally side by side We have
d bmetallic currency in the United
states now. A firm establishment Of the
a0d standard, with such Interchange
ability with silver as will make the lat
ter acceptable on an equality with gold,
viii maintain this bimetallism the same
as 90 has existed for the last eighteen
years"
The Secretary went on to state that
this In no way prejudiced any steps that
might be taken &c bring silver up to a
higher standard Of value. The bill, how
ever was designed TO give such conh-
L5nce in the financial ability of the gov
eminent that the discrimination against
silver would largely decrease.
Mr. Cox OemocraD, of Tennessee,
asked II the result Of the Gage bill
eventually would not lead to one KIND,
Of paper-money bank notes and no sill
YER exc spt subsidiary silver.
There is nothing in the plan 10 ope-
rae TO that extent now" answered the
Secretary. 1T is in that direction, ana
vnh further legislation developing H.
% might ultimately lead to such result
But ] would not say that silver would be
restricted TO subsidiary silver l would
say a system of silver which would De
subordinate. 1t is subordinate now"
THE ISSUE OF NOTES.
After this diversion TO the silver ques-
ton. the consideration Of the bill by sec
tons was resumed at section I, where the
discussion closed yesterday. This section
Il g.afF 10
trk Of United States bonds, United
States notes. Treasury notes of lSS0 or
silver certificates 70 an amount Of Lot
lass than 90 per cent. of its capital II
shall receive national bank notes, IN ad-
....5u 10 the 80 per cent. otherwise pro-
uleI. TO the amount Of p per cent. OF
such deuosit. these additional notes not
being secured by the deposit of bonds OF
notes. but by the assets OF the bank ana
be government guaranty.
Mr. Gage referred 20 the ADVANTAGE OF
tbs additional unsecured circulation, III
giving an elasticity 10 the currency az
POINTS where IL was most needed. In an
sWer 10 questions by Mr. Newlands, OF
Nevada, the Secretary said that the
amount OF refunding bonds under the Dill
would reach Sl,l3S.O0OCCO. II all OF them
we're issued. These bonds being the oasis
i5T circulation. bank notes could be issued
% that amount. Beside these. the auuI-
tJnI p per cent. Of unsecured clrcula-
ton would give further issue OF pdhh
notes Of about S300.J.9.OO0 but t'at vast
issue was merely the creation of spec
TIE and was not a reality. The banks
could not get all the bonds and use them
i1r issuing bank notes. on the contrary
government bonds are always taken
largely by private investors, trust COM
i4Ui,s Insurance companies, and partles
across the water.
Ar NeWlands referred 10 gold CON
tracts" and asked the Secretaiys view
Of Jhem Mr.. Gage said he did not CON
sler it desirable 10 interfere with private
contracts Of this character any more man
was necessary.
DRAINS on GOVERNMENT" COLI.
The extent TO which drains on the gov
eminent stock Of gold would result under
The operations OF the bill excited much
discussion
Mr. Gage stated that all redemptions
would be- made in gold or its equivalent
Proceeding 20 section 8. which proViuea
iof a deposit by the banks Of sum eQuaI
70 I'D per cent. Of circulation, and aiso
pledges the faith Of the United States to-
ne redemption Of the bank notes, MT
Gage said the latter feature was merely
70 make clear the same pledge that the
sgfernment gives now TO the integrity
Of bank notes.
On section O. providing that issues q
national bank notes shall be I'm denon'-
le'.0ns above so. Mr.. Gage said that 'he
purpose Of this was TO give the govern
heAt monopoly Ct small bills in most
common use.
When section T.. providing for the ie-
stmpnon Of bank notes at the Kew YORK
suD-iteasury and other designated points
vas reached Mr. Cox asked Mr. Gage
why be did not specify that reden~'oh
should be in gold or other legal money.
The Secretary answered that the less
ascrtuonary power imposed in an execu-
I'VE ohcer IN the execution Of principle
me better for sometimes executive ofil-
et's might have indiscretion and do fool
hh things. Moreover this discretion OK
hicd now
NE "ENDLESS-CHAIN" ARGUMENT.
"hen the remainder Of the bill mao
oeen read general discussion began. In
answer 20 a crOss-fire OF questions, Mr.
cage said the bill could not result In a
'aio on the Treasury by bank-notes. IL
was not the substitution OF an "endless
ehaln' Of greenbacks for another end
less chain" OF bank-notes. The banks
would have 10 redeem their own notes
ana II would be 20 their advantage 10 DO
90 on they would be closed. But so long
az a dollar OF demand obligation Was
outstanding 80 long this endless chain
would 80 on. He said: This btu Is sim
pp q step In the right direction, and
most important step. II would give the
government S32J.OoO.O00 Of the very liapiii-