Pullman herald. [volume] (Pullman, W.T. [Wash.]) 1888-1989, 1897-12-11
FOR CURRENCY REVISION
when GreenbncI1s Are Redeemed
They should BE Reissued Only
for Gold.

Tariff legislation having been settled by
the extra session of congress the question
next pressing for consideration Is that OF
the currency. The work of putting our
finances upon a sound basis. difficult as IT
nay seem will appear easier when we
recall the financial operations or the gov
eminent since 1866
on the 30th day of June of that year
we had outstanding demand liabilities n
the sum of $72S SOS, 4i74l. On the first OF
July 1897, these liabilities had been re-
duced to S4B,S 1885. OF our interest
bearing obligations the figures are even
more striking On July l, 1866. the prin-
cipal of the interest-bearing debt OF the
government was 81, 1872 33l, 2OS. ON the irSt
day of July 1893, this sum had been re-
duced to $685. 037, 100, or an aggregate reduc-
ton of 81 IA .294, 10S. The interest-beaFinS
debt of the United States on the hrSt day
of December, 1897, was $S4I $50, go. me gov
eminent money now outstanding (Decem-
br ID consists of $346 6S Ole of United
States notes; $ll7793,2S0 of treasury
notes, issued by authority of the law OF
1880; 1884 1868 04 of silver ceruhGates' ana
SCI. $50, 76l of standard silver dollars.
With the great resources of the gov
ernment and with the time-honored eX-
ample of the past before us, we ought not
hesitate to enter upon currency revision
which will make our demand obligations
less onerous to the government ana
~elieve our financial laws from ambiguity
cad doubt
The brief review of what was accom-
plished from the close of the war until
1893 makes unrea sonable and GroundleSs
any distrust of either our tnanclal aDllliy
or soundness, while the situation from 1898
TO 1897 must admonish congress OF the I'M"
mediate necessity of so legislatlng as 10
make the return of the conditions then
prevailing impossible.
There are many plans proposed as
remedy for the evil. Before we can i1nd
the true remedy we must appreciate the
real evil. 1t is not that our currency OF
every kind is not good for every dollar
L. hoo nttga l1la Xf4aFn
ments pledge is out to keep ii so and that
pledge will not be broken, However, the
guaranty of our purpose to keep the
pledge will be best shown by advancing
toward it's fulhllment
The evil of the present system is found
in the great cost to the government OF
maintaining the parity of our different
forms of money-that is, keeping all of
them at par with gold. We surely can
not be longer needless of the burden this
imposes upon the people even under fair
" prosperous conditions, while the past
four years have demonstrated that it is
not only an expensive charge upon the
government, but a dangerous menace to
the national credit.
1t is manifest that we must devise some
plan to protect the government against
bond issues for repeated redemptions. We
must either curtail the opportunity for
speculation. made easy by the multiplied
redemptions of our demand obligations,
or increase the gold reserve for their re-
demption.
hhVe SOIus
We have 5000, OO0, 900 of currency, which
the government, by solemn enactment
has undertaken to keep at par with gold
Nobody Is obliged to redeem in gold bu
the government. The banks are not re-
quired TO redeem in gold. The govern
ment is Obliged to keep equal with golC
all its outstanding currency and coin OBJ
legations, while its receipts are not re
CURED 10 be paid in gold. They are paiC
IN every kind of money but gold and tn,
only means by which the government cal
with certainty get gold is by borrowing
II can get 1t in no other way when i
most needs Il. The government withou
any fixed gold revenue, is pledged [
maintain gold redemption, which it ha
steadily and faithfully done and which
under the authority now given, 1t Wi
continue to do.
The law which requires the government
after having redeemed its notes, to pa
them out again as current funds, demand
a constant replenishment of the gold Re
serve. This is especially so in times c
business panic and when the revenue
are insufficient to meet the expenses c
the government. At such times the gov
eminent has no other way to supply II
dehct and maintain redemption bl
through the increase of its bonded deb
as occurred during the administration
my predecessor, when $262, 3l5. 400 of Az pt
cent. bonds were issued and sold and Il
proceeds used to pay the expenses OF Il
government In excess of the revenue
and sustain the gold reserve. w nile II
true that the greater part OF the procee
of these bonds was used TO supply 9
neient revenues, considerable portl
was required TO maintain the gold
With our revenues equal to our exper