The Stark County Democrat. [volume] (Canton, Ohio) 1833-1912, 1897-05-20
W. J. BRYAN
WRITES CONCERNING THE RE
PUBLICAN PLANS.
He Touches Upon the Ding'ey Bill and
Alec Talks of the International
Agree ement and What Is

liam JBnDlnRS bryan, III but JuuIhuii
discusses the Dingley bill rs followsi
lincoln, Neb., May 10, 1907.
Chairman Diugley, Of the Ways and
Means ommittee, in his Interview pre-
pared for the Journal reiterates the
charge frequently made by the Republi-
cans during the past four years-namely,
that the bonds were issued becaute Of
deficit in the revenues, and he holds
out the hope that the drain upon the gold
reserve will cease when the deficit ceases.
~ do not believe that bis theory will
explain the drain upon the gold reserve,
nor do think thst his hopes are we'll
founded. While it is true that a large
part of the money received from the sale
Of the bonds was used In making good
time did the deficit cause the issue of
bonds.
Instead Of being an injury the deficit
was during that period benefit, be-
cause the money which accumulated
from the sale Of bonds could not have
returned into the channels Of commerce,
but for the deficit. II, as is probable,
the gold would have been drawn out,
even If the revenues Of the government
had equalsd It's expenses, then that money
would have been held in the treasury
and business would have been crippled
more than it was.
The fact that gold Withdrawals began
before there was deficit AMI ceased
while the deficit was increasing shows
that there is no necessity or intimate
conr ectioD between the venues and
Withdrawals. II gold is needed for ex-
port it Will be drawn out, no matter
whether there is ourrept deficit or sur
plus, 50 long as he treasury stands ready
to furnish gold on demand The recent
Withdrawals Of gold took place just at
a time when, for the first time in several
years, the revenues exceeded the expendi-
lures.
The press dispatches did not attri-
butte the late Withdrawals to a deficit,
nor did they attribute them to a loss of
confidence. The reason given was that
a new demand for gold had sprung up
in japan and Austria.
IF gold is desired for boarding, or for
the purpose Of forcing an issue of bonds,
it will be withdrawn, whether there is
a surplus or deficit, unless the secretary
protects the government by exercising
his option and redeening in silver.
When falling prices made ordinary
losrs unsafe and orc 6iDary investments
unproftsblP the holders of idle capital
are apt to advocate an issue of bonds for
the purpose Of securing safe investment
ana when the desire fer bonds become
strong enough they can draw gold from
the treasury by presenting greenbacbs
and treasury notes and then use the gold |
to purchase the bonds issued.
" That such a plan has been contem
plated by New York fnanci rs cannot
be doubted. Some three or four years
ago one Of the New York dsilies declared
in case congress refused to retire the |
greenbACks with an issue of gold bonds |
the people who wanted greenbacks re-
tired should Systematically present them !
for redemption until they were all locked
upon the treasury.
That New York flnanciers have used |
their power to discredit government
paper is evident from the fact that when
an attempt WAS being made to repeal the
Sherman law they presented treasury
notes for redemption. When they desired
10 force retiremen Of greenbacks they
presented greenbscks for redemption.
surrsnders to the holders Of government
paper the right to choose the coin in
which payment is to be made, so long
will 1t be possible for the flnsnciers to
present either treasury notes or green
backs and draw out the gold.
Mr.. Dingley is in error in supposing
that the redemption Of $50, 900 900 Of
greenbacks or treasury notes would make
such a scarcity of small notes as to pre-
vent further Withdrawals OF gold. We
have sometimes had during the last
four years considerably more than $780,
0OO, 900 Of these L notes locked up, and yet
gold has been Withdrawn.
"TheIe has been a welI-founded suspi
cion that much of the gold drawn out by
the presentation Of gresnbacks and
treasury notes WAS for the purpose OF fore
ing TetiremeuU of all government paper
If the fnanCiers conclude to bring their
influence to bear upon the present ad-
ministration as they did upon the last
they will have no difficulty in forcing
an issue of bonds, unless the new secre-
tary of the treasury shows more power
Of resistance than the last one
IF the national banks succeed in se-
curing the law which they have sdvo-
Gated for some years-namely, the law
permitting the issue Of bank notes up
to par, and reducing the tax on circu-
lation from one per cent TO quarter of
one per cent, they may become inter
ssted in having more bonds issued to for
Fish basis for bank notes. II they do the
process is very easy. All they have to
10 Is to present greenbaoks and treasury
notes and draw uown the gold reserve,
then raj SO the alarm and proclaim that
the credit is in danger
"If the secretary Of the treasury yields,