The Coalville times. [volume] (Coalville, Utah) 1894-1923, 1897-12-10

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stendny and faithfully done and which
I under the authority now given. II will
| continue 20 DO.
GETTING GOLD WITH BONDS.
! Tho law which requires the govern.
ment, after having redeemed DE notes.
/ 90 pay them ont again az current
| funds, demands "a constant reploulHh-
mcnt ~ tho gold reserve. This ls ca-
Tcclnlly Ho in times ~ business panic
and when the revenues are inHum
Client to meet the expenses ~ the gov
/ eminent A. such times the govern
meut has no other way 10 supply its
deficit and maintain redemption but
through the Increase ~ H. bonded debt.
np nt the urgent administration of my
predecessor when f2G2.llh. 800 81 flu,
and oue.hnlf per cent bonds were
isHued ana sold. and the proceeds sold
90 pay the expenses ~ the government
in excess ~ the revenues and sustain
the gold reserve. While II IL true that
the greater part ~ the proceeds ~
these bonds were used 60 supply de-
felt revenues, a considerable portion
was required to maintain the gold re-
serve.
ONE WAY TO CHANGE.
with our revenues equal 10 our OK
pcuHoH, there would be no diniculty re-
qulrinE the Issuance Of bonds. But N
the gold reserve falls below 500 900. 900.
how win n De rcplonished except by
selling more hpnda7 ~ there any other
way practicable under existing law
The serious question then ~. shall we
continue the policy that has been pur.
sued In the past; that ~. when the
gold reserve reaches the point of dam
ger. Issue more bonds and supply the
needed gold. or shall we provide other
ma 80 NFH
drains upon the gold rcBcrvc7 n no
further legislation In had. and the pol
Icy Of selling bonds ~ 90 be- continued.
then Congress should give the score
thry of the treasury authority ~ sell
bonds at long or short periods. bear
Ink "a less rate Of interest than iH now
authorized by law. earnestly rec
ommend ~ soon no the receipts of the
government are quite sufficient 10 pay
all the expenses ~ the government,
that when any OF the United states
notes arr presented for redemption IN
gold and are redeemed In gold such
notes shall BE- Kept and ret apart ana
only paid out In exchange for gold
This II an obvious duty. n the holder
n the United states note prefers the
gold ana gets II from the government
he should receive back from the gov
eminent ~ United States note without
paying sold Ia exchange for a. The
ifMNhN Tor fNlN ~ NlNUt MI NNN fUhif
apparent when the government issues
an Interest bearing debt TO provide
Hnld Tor the redemption ~ United ]
States notcH-n non-intercHt bearing |
debt. Surely. II should not pay them
out again except on demand nnd Tor /
gold. n they nrc put out In any other /
way they may return again 20 be- FOL. ]
lowed by another bond issue 90 redeem /
thcm-nnothcr interest bearing debt /
20 redeem u non-lntorcHt bearing debt /
STRAIN ON THE GOVERNMENT. |
In my view, II ~ NJ the utmost Inn |
portRnce that the government shonld |
be relieved from the business ~ pro- |
vldlng FOR all the gold required FOR |
exchanges ana export. This RESPONSE
biity II alone borne bv the government |
Without any ~ the usual and npceH-
Hary banking powers TO help itself 'rhe
bank do not feel the strain of the gold
The whole strain rests up-
m the government ana the size 81 the
gold reserve In the treasury has come
10 be, with or without reason the signal |
nf danger or ~ security. This ought
10 be stopped
n we are to have an era Of pros
pefity In the country with sufficient
receipts Tor the expenses Of the gov
'rnment. we may feel no immediate
embarrassment from our present cur
rency; but the danger stlil exists and
WIZ w fN'N liNNNnNt hfNhNlnE wv M \
ong M the existing system continues.
And. besides, Il IN In times Of adequate
revenues ana business tranquility that /
The government should prepare for the |
worst. We cannot avoid. without Heri- /
Gus consequences, the wise ConHidera- ]
tlon ana prompt solution OF this qucH- /
ton.
SECRETARY CAGES PLAN.
The secretary OF the treasury has ]
outlined a plan In great detail for the b
purpose OF removing threatened recur-
renee of depleted gold reserve, and /
ave ua from future embarrassment on
hat account. To this plan / invite
FOUR careful consideration.
I concur with the secretary ~ tha
treasury IN HIS recommendation that
national banks be allowed To issue
notes 10 the face value Of the bonds
which they have deposited for circula- .
Hon and that the tax ON circulating /
notes secured by the deposit ~ such .
bonds be- reduced to one half Of one /
per cent per unnum. I also Join him In I
recommending that authority be given .
Tor the establishment OF national banks /
with minimum capital of $4,000. /
This will enable the smaller villages .
and agricultural regions ~ the country f.
10 be- supplied with currency to meet 7
heir demands. I recommend that the /
Hsuc u national bank notes be rcstrict- .
ri To the denomination ~ ten dollars /
and upwards. II the suggestions | /
have herein made shall have the np- .
-.