The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1897-12-10
CURRENCY LEGISLATION.

Now the Tariff is Out of the Way, That
Is of First Importance.
The extra session of this congress which
closed July last enacted important lsgis-
lation, and, while its full effect has not
yet been realized, what it has already &C
complished assures us of it's timeliness and
wisdom. To test it's value further time
will be required, and the people, satisfied
with its operation and results thus far,
are in no mind to withhold from it fair
trial.
Tariff legislation having been settled by
the extra session of congress, the question
next pressing for consideration is that of
the currency.
Review of Past Financial Operations.
The work of putting our finances upon
sound basis, difficult as it may seem, will
appear easier when we recall the financial
operations of the government since 1866.
On the 30th day of June of that year we
had outstanding demand liabilities in the
sum of SIPS, 1868, AT Al. On the LIST of Jan
uary, 1879, these liabilities had been re-
duced to $443, 1886, 1883. Of our interest
bearing obligations the figures are even
more striking. On July l, 1866, the
principal of the interest bearing debt of
the government was s., 332, 331 ,2OS On
the LIST day of July, 1893, this sum had
been reduced to $685., O37, 100, or an aggre-
gate reduction of Sl,747,294, 1Os. The in
terest bearing debt of the United States
on the 1st day of December, 1897, was
$S47, S65, 500. The government money now
outstanding (Dec. u consists of S346, $751;
016 of United States notes, $1O7, 793, $50 of
treasury notes issued by authority of the
g. - M. 80 Ill.
Gates and Sol, 230, 731 of standard silver
dollars.
Ought Not to Hesitate.
With the great resources of the govern
xnent 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 obligations
less onerous to the government and re-
tieve our financial laws from ambiguity
and doubt. The brief review of what was
accomplished from the close of the war to
1893 makes unreasonable and groundless
any distrust either Of our financial abil-
tty or soundness; while the situation
from 1898 to 1897 must admonish congress
OF the immediate necessity of so legislat-
ing as to make the return of the conGi-
lions then prevailing impossible
A Correct Diagnosis the First Thing.
There are many plans proposed as a
remedy for the evil. Before we can find
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 governments
pledge is out to keep it so, and that pledge
will not be broken. However, the guar
anty OF our purpose to keep the pledge
will be best shown by advancing toward
its fulfillment.
The evil of the present system is found
In the great cost 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 dangerous menace to
the national credit.
CurtaiI Obligations or Increase Reserve.
It is manifest that we must devise some
plon to protect the government against
bond issues for repeated redemptions. We
must either curtail the opportunity for
speculation, made easy by the multiplied
redemptions of our demand obligations,
or increase the gold reserve for their re-
demption. We have 5000, 100000 of cur
rency which the government by solemn
enact4l. Mt has undertaken 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