The morning news. [volume] (Savannah, Ga.) 1887-1900, 1897-08-19
THE CURRENCY CRITICISED.


| singular spectacle of nine diff
ferent kinds Of currency, all except
two of which are directly or ind-
rectly dependent upon the credit of the
! United States. The treasury department
established by 1t is the greatest banking
institution in the land, clothed with the
! least powers for self-preservation and
| beneficial action.
By the operation of the Biand-Allison
| act was caused the coming of many mill
| ions of silver dollars at a value far more
| than the commercial value of the silver
metal in them and of far less value than
| the metal in the gold dollar, with which il
| is provided they shall be of equal legal
| tender value and alongside of which they
| are expected to circulate And as il to
| add the browning act TO a series of COM
plications already perpleXing to an un-
| heard of degree, the Sherman law has
! given us still other silver dollars and
| treasury notes to burden an already over
| burdened gold reserve without in the
| smallest measure adding to its safe
| guards. We search in vain to find some
| solid foundation upon which all this
| structure rests, but the statute books re-
veal nothing, save that there is drawn
| about il what is deemed "the sacred cir
| Gle" of governmental protection, in the
| declaration ostentatiously made that it
| is The established policy of the United
| states TO maintain the two metals at
parity with each other upon the present
| legal ratio or such ratio as may be pro-
| vided by law" The declaration Is made
| and then 10 proclaim the sham and pre-
tense OF it the Secretary OF the Treasury
| is denied the full and adequate powers
necessary to enable him under any and
| all circumstances to enforce that policy
| TO the credit of the nation and with the
least expense to the citizen.
No one is decrying cur form of govern
ment, because all recognize the inherent
hi oh,
| il rests. our system of Jurisprudence is
| beyond question, and neither in legislative
| hall nor in the columns of the press is it
assailed But the private citizen in bust
ness, the national legislator and eXecu-
tive officers of the government are all con-
| Tossing by their daily acts and converse
| tiCn that this one first essential to peo-
| pies prosperity, so far from being sound,
| is absolutely weak and dangerous. 1t
| would be foolish to undertake TO conceal
! that the source of our difficulties which
has blighted the past confronts the pres
ent and threatens the future, lies in the
| fear that the United States cannot in the
face of existing laws maintain unswerv-
| ingly the gold standard as its unit of val
| ue. The fantest suspicion that it will not
be able or in the future to meet its
obligations 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
deadening of reviving industry and destroy
returning prosperity.
The citizen who notes the trend of events
must see that the cloud upon the beautiful
horizon, which we count already ours,
is the ambiguity in government contracts
introduced by the Legal tender issues. These
issues are condemned by the student of
finance familiar with the worlds mOneta-
ry history and with equal emphasis by the
man of affairs trained in the school Of
| business. In their operation they consti-
tute the strongest hope of the advocates of
the free coinage of silver thus working a
double hindrance to the return of COM
plete and lasting prosperity. The advo-
cate of the free coinage of silver believes
that through them a silver basis must Ill
timately be reached and because Of this re-
sists their payment and cancellation, IN
less silver dollars at a ratio of 16 to ! be
substituted in their stead. He protests
with equal vehemence against their con-
version into absolute gold certificates in
explicit terms. In their present position
and treatment they compel the interests
of trade and the cause of labor. the under
takings of the manufacturer, all to give
hostage to fortune"
| |, myself, have never in the past Waver-
ed in the belief, nor do | now, that in
the end we will be possessed of a banking
and currency system so strong as to make
impregnable the country's credit It's
attained after tremendous loss to capital
and injury to labor. 1t was the misery
and distress entailed by the assignats and
mandates of the French revolution that
placed France upon the solid rock of sound
| finance. 1t took the threatened starva-
ton of the peasantry of a great nation
TO wipe out the corn laws of England. but
the victory when obtained was complete
And thus, in conformity with the course
of history, it is possible that before the
nations financial structure rests upon
foundation firm as the eternal hills" the
American people Will be called upon to
pass through the awful experience and
loss which would follow in the wake of
unchecked paper and silver fiatism. But
at last no matter how prolonged the
struggle or great the suffering, with the
| acquiesence of all, the monetary principles
which accord with the worlds business
! experience, all financial research, and ev-
cry dictate of common honesty, will here
| prevail in complete and enduring triumph.
Interesting discussions of practical
| banking questions followed Mr.. Eckels'
address. rs a credit bureau or bureau
of information, to prevent loses from bad
debts possible among banks?' was the
subject Of the first paper, read by John II.
| feathers of Louisville. Ky.
John p. Branch, president Of the Mer-
chants National Bank, Richmond, Va, IN
| discussing the question, what exchange
|
said: ! maintain that our currency
should be the best. Nothing short of the
best will serve the higher and large inter-
ests of the country. Its value should be
fixed and stable. Il should be adequate
to the needs of the country IL should ex-
| pand and contract. automatically IL
should be simple and uniform Il should
be 70 distributed throughout the territory
that every man entitled 10 credit should
be able to obtain It's use at fair rate. A
| competent non-partisan currency commits
sion should be appointed. and II seems
TO me, they should advocate. first, the
final adoption OF the gold standard.
3 The gradual cancellation Of govern
| ment demand notes, said cancellation 10 be
| not further than new currency issued by
the banks; the deposit Of government reve
nues IN the banks Of the country. and the
retirement Of the government bank ng bus
| mess.
8. They should advocate the repeal OF
|