The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1898-09-14
WHAT KIND or MONEY?
Question Discussed at Omaha
Monetary Conference.
EDITOR WHITE ARGUES FOR THE
GOLD STANDARD.

Attompts AT bimeSaili5ih nave Dooi
Honest But Futile-Congressma
Bartini Replies Speaking for the
Double Standard.
Omaha, Neb., September 13-One of
the most distinguished gatherings of fin
ancial students that ever assembled,
opened three days session of the none
tary conference at the Nebraska building,
Exposition rounds, today. Hon. J. Ster-
ling Morton is presiding to-day. Messrs
Warner, Towne, Barino, Weaver, Rey-
nolds and other leaders of the silver and
paper money sides took part in the join t
debate today.
called the convention to order and read
a letter from Edward Atkinson.
There was no debate on Atkinson's s
letter, ano Editor Horace White of the
New York Evening Post opened the con-
ference proper with a paper on "The
History of the dEStandard.'
Mr.. White said that.he had treated the
history of the gold standard at the
Worlds Congress of Bankers and Finan-
oiers at Chicago in 1893. bringing 1t down
to that date He should not repeat what
he said then. The wcrld had advanced
in knowledge since that time, and the
subiecU was not so interesting now as it
was then. The history of the gold stand
ard was a narrative of attempts on the
part of governments and peoples to make
two metals, variable in their nature,
stable in reference to each other. These
attempts were honest but futile. The
y,.1 Of ot like the
suit of an ignis fatcus. Tho nations,
one after another, had abandoned it, SO
that in 1898 all countries of any CONNER
cial importance except four had adopted
the single gold standard. The four were
India, Chill, Japan, aud Russia. All
four were then silver standard countries.
All have since adopted the Pold standard
or have taken steps to that end. The
only nation that has gone back from gold
to silver is Spain, and this has been in
consequences of her recent miSfOrtQnes.
Mexico and China are the only countries
Of any magnitude that voluntarily reserve
the silver standard. There were no BIZ.
metallic countries now. AS to inter-
national bimetallism Mr.. White thought
funeral sermon after he came back from
his fruitless mission some six monhs ago.
Mr.. White next considered the common
saying that there is not gold enough in
the world to do the business of the world.
He could prove that there was enough
gold to do our business. At the present
time the banks of New York and Boston
had three dollars of gold Ito one dollar Of
paper in their vaults. The reason for
this was that the West and South had
drawn nearly all their paper currency
away from them. Gold had flowed in
from abroad to take its place. If the
West and South thought there was not
gold enough to do their buinesss, let
them send this paper back to New York
and ask for gold in exchange. The coun-
tenanoes of the New York bankers would
be wreathed in smiles while handing it
over to them. The reason of this plethora
of gold was easy to understand. The
large crops of the last two years, coincid-
ing with partial failures abroad, had
turned the balance of trade in our favor.
Accordingly we had imported one hum
dred and eleven millions of gold during
the fiscal year ending June 30, 1898. We
had produced fifty eight millions in our
own country which we had retained, and
we had received somewhere from tive to
ten millions from the klondike. Our
stock of1gold has increased about one
hundred and eighty millions in little
more than one year. Our holdings of
gold were now fully eight hundred and
fifty millions, being larger than those of
any other country in tho world, and it
was perfectly absurd to say that there
was not enough gold to do our business
with. But the evidence was overwhelm-
ing that there was enough for other
nations also, The amount added to the
worlds stock during the last eight years
seventy -seven million dollars, and it was
increasing by leaps and bounds.
Mr.. White thought that mora interest
ing subject for discussion would be found
in the present phase Of the currency ques-
tion. That question was grsenbaois VS..
banknote. What was greenback? 1t
says. "the United States will pay the
has decided that dollar is piece of
metal Of certain weight and hneness.
Accordingly, the value of the green back
rests upon the fulfilment of the govern
ment's promise to pay this thing on de-
mand. II the government lacks either
the means or the inclination to fulfil sthis
promise it's credit is impaired, all bust
ness which depends upon its credit is dis
turbed. and the greenback fails OF itsIfrst
and chief attribute, that of an honest and
safe medium of exchange. Mr.. White
then sketohed the several conyulsions of
credit that took place between the years
1888 and 1896, all growing out of doubts
whether the government could if it would
or would if it could, continue to redeem
The various bond issues made for this
purpose amounted to two hundred and
sixty-two million. dollars 1t was due to
good luck rather than to design that the
promise of redemption Of the gresnback
was kept during those years. 1t was
good luck chat we had an administration
which was determined to use all its
powers to that end. 1t was good luck
that there wele laws already on the statute
book which could be used for that pur-
pose, because the Congress then in session
refused to enact any. In short. it depends
upon politics whether the greenback shall
be redeemed or not. One political party
is opposed to redemption in gold. A
third party is opposed to redemption in
anything. The mem bers of both these
parties are honest. Nobody doubts that,
but by threatening to prevent the redemp-
tion OF the green back in gold, or perhaps
in anything, they keep trade and indus
try in hot water.
MIR. White showed that the am ount of
new bonds issued in the two years of
1S94-lS96, and the interest on them to their
maturity, was greater by $3.50, 600, 600 than
fine saving of interest on the gresnbacs
from 1879, the year when specie payments
xvere resumed. The cost of preparing,
renewing and handling the notes was one
million dollars per year additional. The