Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1897-01-26
Make cnSGnEss MOVE.


writer on currency Elasticity proves
clearly by n series of diagrams. we "'e
told. that IN the case OK the N"''"''"'
Scotch. end Irish banks, English Jo'n'-
stock and private banks. Bank OF Den
,oark Rank OF AustrIa-Hungary' o"'hs'
and German banks. there Is u" "''"O
perfect adjustment of currency S"pfiS
currency wants; while other Oon''"S''''''
systems are not far behind
The New York Journal of Commerce. -
commenting on this. says:
Turning to the United states, hoWes.,,
we lind precisely the contrary. MOI on's
are the banks unable probably 10 eNp 49,.
their circulation when additional cu' 49,.
IS required. but they actually hhu - -.
profitable to do so when money pe00 IN,
more pIenty and rates OF interest," '".''
Tho result IS circulation almost 'O
slant i'm amount as compared with my
more elastic systems prevailing III o'"e'
countries"
As far back as 1890 Secretary of-the-
Treasury Window recognized the sre"'
evil In our currency system above poii'eu
out, and in referring to 1t In his an'''"'
report said:
"In nv Judgment the gravest defect III
our present financial system Is It's lack y,
elasticity. The demand for none!
I'm this country Is so irregular that an
amount OF circulation which VIII be am
nile during ten months OF the year VIII
freoueutlv prove so deficient during the
other two months as TO cause strinsehc9
and commercial disaster. The crops vi
the country have reached proportions 30
immense that their movement 10 market
in August and September annually CAUSES
a dangerous absorption OF money. Inc
lack of a sufficient supply 10 meet the III
creased demands during those months may
entail heavy losses upon the agricultural
as well as upon other business interests.
Surely in the light of the experience OF
countries where automatic systems obtain
and work safely and satisfactorily, Con-
gress ought to be able to reform our cur
rency system along lines that would meet
the necessities of the agricultural com
munity and the general business interests
of the country. Indeed, from the various
automatic" or elastic systems in vogue
Congress ought to be able to evolve sys-
TEN much more satisfactory and much
safer than any one Of them.
Nay. more. We risk nothing in amend
ing our propositions and making them
much stronger We risk nothing in say
ing there is no doubt as to the ability OF
Congress to give us the currency reform
needed, and without which it is idle 10
look for general and permanent prospect
1t would be grave reflection upon the
brain of Congress to assume that with the
facts regarding the operations Of the eas-
tic system i'm Canada and in Europe be-
fore it, with the advice OF the business
bodies of the country to draw from, and
with the demonstrated glazing defects Of
our present currency and banking laws
staring it in the face, the body is unequal
to the task Of solving the currency prob
lem, even more efectually than it has
been solved across our northern border
and across the ocean.
The plain truth is that il is not a lack
Of congressional ability; but. rather
lack Of congressional inclination, that
stands in the way OF the country's being
given a safe, sound, elastic currency,
and a monetary system based on business
experience. and which would adjust itself
to the fluctuating demands of business
and agricultural conditions Our present
banking and currency laws, owing to
causes well understood, have long since
practically ceased to fulfil any other
mission than that of financial class le-
gislation. The financial class these laws
IN, faxr Of r.rin w &c oil
identified, not only in a business sense
but largely in a political sense. with the
class that is now forcing forward the
tariff TO the virtual exclusion Of all other
issues. The political community OF in
terest referred to was most strikingly
shown in the last presidential campaign,
when practically the whole power Of the
national banks and of Wall street was
behind the Republican party-the party OF
protection.
The logic Of the situation. therefore,
is that, under the influence Of this pow
erful combination, Congress will pursue
a course of inaction regarding the finan-
cial question, unless compelled TO exer-
else its ability to give reform. Wherein,
then, is there hope? In the compelling
power of public sentiment; in steady,
persistent, aggressive pressure for
change from the masses; in the adoption
by the masses Of the policy suggested
by Congressman Walker, in his address
in this city last week-that Of giving
Congress no rest until currency reform
shall have been accomplished. Unless
the people make up their minds to adopt
this policy and pursue it vigorously, they
would. we fear as well dismiss all eX-
pectation Of securing, for long time to
come, any Improvement upon the exist
ing currency and banking system. The
people must make Congress move in this
matter by moving on Congress.