The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1897-08-19

medium at one time and the forced con
traction through the operation Of Inc sub
treasury system at another. Its only source
OF strength lies In the believed forebear-
ance OF attack upon its solvency by those
who hold its obligations. Designing to
have banks. created under II and subject
10 governmental supervision, supply the
currency needs Of the country, Il sim in
eists on competing with them in their note
issuing function and prevents through
taA ana other barriers which the law erect
| accomplishing the very purpose for which
| tney were brought into being.
N9 stronger evidence can be had that the
whole system is radically wrong and
weaktning to cur financial world than the
TACT mat here and everywhere, as 1t now
stands. 1t is the one great subject OF dis
cussior and debate. The private citizen
IN business. the National legislator and
executive officers of the government are
all coniessing by their daily acts and con-
sersatlon that this one FIRST essential to n
peopies prosperity. SO far from being
sound. Is absolutely weak and dangerous
IL would be foolish to undertake to cen
ceai that the source of our difficulties
winch has blighted the past confr,nts tie
| nresent and threatens the future. lies in
the rear that the Un2ted States can not In
the face OF existing laws maintain I'M
| sweryingly the gold standard as its unit Of
Value, The faintest suspicion that II will
| not be able now or in the future to meet
It's ooligations In conformity with that fine
sense OF financial integrity which has here
tofore been observed would again give the
business world such a shock as to cause
ueadening OF reviving industry and de-
stroy returning prosperity. There Is no
renei from this situation In the great in
dividual wealth of the individual citizen
nor in his individual desire to maintain his
credit Tho unlimited resources OF the
n n n lad r;.ap,
people are equally unayailing in giving aid
and comfort. The fault lies In the gov
ernments financial system and not in the
| rule of conduct which guides the individ-
| ual as an individual. Until the National
fault is eradicated the citizen must CO n
tinue to suffer for his country's folly. 10th
| In purse and In reputation. The bonstful
plea OF the sustaining power Of patriotism
as applied to the country's currency is
sues. in time of financial stress. Is of no
avail. great governments fiscal opera
tions can not be conducted simply upon pa
triofism. nor can they be based upon SEN
timent.
The citizen who notes the trend Of events
must see that the cloud upon the beautiful
horizon. which we count as already ours,
is the ambiguity in governmental contracts
introduced by the legal tender issres.
These issues arc condemned by the stu
dent Of finance familiar with the worlds
monetary history. and with equal emphasis
by the man Of affairs trained In tie school
OF business.
Those who now assert that they are
patriotic emblem OF the wan and unchanged
must remain the peoples money" should
study the history OF their creation and their
| effect upon the countrys welfare. They
| are demand obligations never retired
| Welding to no ordinary r,Nes OF trade re-
cesslties in expansion or contraction In
| volume. In the very terms OF the contract
tnt. tc fr,~
| tainty and doubt, causing from their in
| ceptiun less and expense to the people
| They at once enhanced the cost Of the
| civil war and prematurely drove the ooun-
| try from q specie basis to one. for many
| years, of irredeemable paper. At the time
| they We're first sent forth their most ar
dent advocate apologized for their issue
and promised a quick payment and can
collation.. AS an earnest of the then formed
and announced intention they We're for
time made convertible into an interest
bearing bond Had it not been for the
untoward circumstances surrounding the
| government not dozen votes could have
been obtained in either the senate or the
| house for the legal tender principle which
| they embodied. Secretary Chase was drag
ooned through what he mistakably believed
to be dire necessity into giving official
sanction 10 them. He fatty declined to
advocate their issue In his report to con-
| eress. and in his capacity of chief justice
OF the supreme court Of the United States
repudiated as unconstitutional the legal
tender quality attaching to them.
Tho temporary issues Of that day, de-
spite tho appeals Of the chief executives
and secretaries of the treasury are yet
part OF the fixed volume OF our currency.
From first to last they have been the great
est burden and most expensive debt ever
placed upon the government The less 10
the people through speculation engendcred
,fnl bar pfnS n uTh tah
they have given birth. the damage to IN
div.silal business enterprise and credit
through the recurring doubt as to the
ability or willingness OF the govef1m.h NJ
to maintain their payment IN gold can not
be reckoned In figures. But every panic
we have had and every stagnation In busi-
ness which has come upon us IN recent
wears mark their distinctive influence
1t is asserted that when the revenues o.
the government exceed Its necessary en-
pendtures no further trouble Will ioliaw'
and the argument based upon former con-
ditions under plethora OF money III the
treasury is advanced IN support Vi tiic
contention.
The difficulty is more far-reaching
one than mere lack Of revenue. II touches
the vital point in trenching upon the con-
fidence of those dealing with US In our
ability ard continuing determination 10
maintain gold payments. Complete con-
fdence can not be restored by increasing
the governmental income. but even II IL
could there would be no guarantee against
future Impairment OF 1t through the same
cause. That danger can only be eliminated
by rendering II impossible to have the
treasury the one source OF gold supply Tor
the people CT every nation, II Is not SUI
fcent to have our currency good touay.
but an earnest must be given that u VIII
be good tomorrow and throughout the III,
ture That promise can not be accepted
unless legislative action once for all es-
tablish beyond the peradyenture OF dount
that ours is gold standard country with
! laws establishing the fact 50 piain tha'
he who runs may read and with treas
ury SO equipped and resouroefnl as TO be
unmoyed. no matter how strongly assailed.
II will not be fully credited as long as IL
is hut the policy OF an executive ofncer.
and not the uncontradicted expression Oh
statutory law.
am aware that all this can not pc
| brought about without a struggle IL rests
with nations law making powers TO say
whether the people shall be freed from ms