The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1897-12-18

eminent stock would result under the
operations of the bill excited much dis
cussion
Mr.. Gage stated that all redemptions
would be made in gold or its equivalent.
MIR. Fowler of New Jersey said this
opened serinus question and inquired IT
silver certificates would not be deposited
and their place he taken BY National bank
notes thus increasing the drain on our
gold surply.
Mr.. Gage answered that 1t was easy to
conjure I'D hypotnetioai objections, but
he did not look at this one as serious.
Any secretary Of the treasury, on re
cciving silver certificates, would swap
them for ggeenhacks treasury notes aud
other forms Of demand notes, which
served to drain the gold and thus build
up tho redemption fund,
Regarding seation 8. which pledged the
faith OF tlie United states TO The redelnp-
tion Of bank notes. Mr.. Gage said this WAS
merely TO make clear the same pledge as
the government nov gave 10 the integrity
of bank notes. He did not agree with the
objection suggested that tue IL per cent
deposit required OF the bunRs by this see
tion and the per cent tax on them for
safety FUND would make IT Improbable
for them to issue circulation. There We're
other advantages secured g them when
offset this objection. The pJrpose OF Sec
iion Q, providing that issues Of National
$40. was TO give the government the
monopoly on small bills in most common
| use.
| When section 10, providing for the re
1 demption OF bank notes at the New fok
subtrcasury ard other designated pOlut2
was reached Mr. Cos asked Mr. Gage why
he did not specify that the redemption
should be in gold or other legal money
The secretary answered that the lcSs
discretionary powers conferred upon an
executive power in the execution OF the
| law the better for the legislature. TINS
discretion existed now.
When the rema inder of the bill had been
read a general discussion began In an
swer TO a cross fire OF questions. Mr.. Gage
| said the bill could not result IN RAID on
| the treasury by bank notes. II was not
tho substitution OF an "endless chain n
green bat ks for another endless chain OF
bank notes Banks would have TO redeem
their owr notes, ana 1t Woul1 he 20 u ~
interest to do so or hoy would be clcsed
But so long as a dollar CT demand obliga-
tions was outstanding so long this 'eAd-
less chain" would 20 on.
This bill Is simply a step in the right
direction, and a most important step. 1t
would give the goVeram nj $40 ,epU ~
the very liabilities which are most likely
10 be brought against II. OF this Sl2j.-
900 Gao Is in gold. Then, with the further
measure. recommended by the president
giving authority for a loan up TO SlO0.-
ZOO 600 whom required, the government
would be atronE enough in time OF emery
ency TO resist any stress. Faiih Would he
established ard people would not come 10
the treasury for lack Of faith. but only
from necessity.
This brought on an interesting aud
amusing discussion Of politics. Mt.
Brosius asked II the secretary felt that me
bill would obyiate any probability OF the
country being forced TO a silver basis
The secretary thought il would. beyond
question
I'm 4 house OF representatives favorable IA
free silver?" asked Mr. Fowler thepl.
'ard free silver bill was passed by the
houee and senate. Now"
~ object 4" interposed Mr. Hill fRepJ,
"as that is not even hypothetical pos
1T is certainty" declared Mr.. Cox
DcmD amid laughter, In which Secretary
Gage joined
'Between 1893. when this free silver
measure might be passed By congress- AID
io0D when the advocates Of sound money
returned 10 power. could the country ~
on a silver basis?
Mr.. Cages answer brought another round
OF laughter and applause. In view OF thf
absolute certainty OF presidential veto.
sad he II think we could pull through.
This clored Mr.. Cages hearing and be
WAS given a vote OF thanks. Several mem
hers sought 10 have another hearing dur
ing the holidays. but there was strenu-
ons objection To this --d the original p
Y as adopted Ct adj urnil until JanuarS u
wben the Gage bill. the monetary conie
ence bin and the other financial measrrr'
will be taken M.