The copper country evening news. [volume] (Calumet, Mich.) 18??-1907, 1897-04-02


in this city on a recent day will indicate
their relative importance in that direc-
ton:
Gold coin. OBSERVATION-DISCLOSURES, S9,es5
Silver coin Observation-Disclosures. l5.S26
Gold certificates. Observation-Disclosures. 4,O40
silver certincates ............,,........ tS, ~
Legal tender notes and greenbacks... 81, li2
treasury notes .,........,..........,... So,4SO
National bank notes ............,...... 34,2G3
Total cash ........................... Sos. SIG
Checks, drafts, bills Of exchange ... IS, 3gS,9i5
Percentage of cash to total credits
per cent
1.-THE lesson TO 'o drawn from these
figures is this:
Much the larger part Of all our COM
mercial exchanges are carried on by
bank checks on other instruments of pri-
waite credit These instruments all relate
TO a certain form of money, in place of
which they for the moment stand. If
uncertainty intervene as to what this
related thing-this moncy--is, or is 60
be, distrust and confusion enter in.
The mighty agency of personal credit is
shaken Commercial exchanges fall off,
trade lnguishes and industry declines.
"The greenbaclI was issued to pay
debts, not to acquire value, or, if value
was received, such value was either con-
sumed or converted into value not avail
able in the market The greenback paid
soldiers and government employees; it
bought powder aud munitions of war
! The existence of greenback is the evil
/ dence Of a debt not paid Ii is lien
upon the future.
"a national bank note, on the con-
trary, is the evidence of some existing
value which lies somewhere as collateral
for its redemption. To transfer such
values is the only ordinary and proper
occasion which calls for their issue. The
volume in which they will appear
marks the rise in prices or an increasing
quantity of existing things. Like the
bank check, they will be in active serv-
ice when trade and commerce are active.
Thus they enjoy the principle of elias
ITCHY, wholly lacking in any possible
form of direct government issue. The
method of their retirement is wholly
different and subjects the trade and COM
merce Of the country to less dangerous
strain.
''There is no reason why the govern
ment should act as warehouseman for
either gold or silver. Such function is
outside its proper limit of action. But
we are faced by the condition, and it is
the bette noire of the treasury. The
enormous amount of $500, 900, 600 OF
silver, represented by 1898, 600, 600 III
silver certificates, added to the $3.50,
600, 600 purchased by the government
under the Sherman act, constitutes q
standing menace to every business inter
est
"Our whole monetary system is the
resultant of makeshift legislation and
unscientific compromises. 1t is time that
reform began / do not assume to Offer
more final remedies. In my own opinion
the greenbacks should be permanently
retired. The silver purchased under the
Sherman act should be gradually sold
and the treasury notes redeemed ano
Cancelled Some well guarded system OF
bank note circulation, broader and moro
elastic than the present national bank
act provides, should be inaugurated
Such bank notes should be redeemabl'
at a central place and be redeemable IL
gold only.
"To sum up, the defects of our pres
ent currency system are: /. "A confusing
heterogeneity which needs simplifica
ton. 2. The greenback controverts tn
principle of paper money-viz, that ev
cry note injected into the commercial
system should represent an existing
commercial value. 3. The treasury not
is standing evidence of foolish opera
ton, the creation of debt for the pur
chase Oh falling market of commodit.
for which the purchaser has no USE
lies open to the just charge OF being boil
idiotic and immoral. 4. The nationa
bank note nearly conforms to the tru
principle of paper money, but the un
reasonable requirements for securit.
paralyze its efficiency and operate t
,, destroy its elasticity. 8. The silver Ger
,, tificate encourages the use OF silver to
larger extent than consists with the SAT
preservation of that metal on parit
with gold. j..
Would national commission he'll
. to promote reform? There is reason
hope that it would be of great service u
that direction. Such commission, ]
rightly selected, would throw flood Q
light upon these involved questions
The information it might gather woul
be of immense value to all our peopl
: and would guide us to wise Legislation
Emotion and sentiment are not saf
guides in matters of science. A ciea
. apprehension of true principles Will lea
:, TO correct action.