The diamond drill. (Crystal Falls, Iron County, Mich.) 1887-1996, 1898-06-11
SENATOR STEWARDS IDEA.
An Advocate Of the Imitation and
Debasemcnt Of Our
Currency.

for the coinage OF silver seigniorage TO
the amount OF S42. 900, 900 and the issue
of legal tender notes TO the amount of
$751; 100000. He held that;
1.-THE amount OF money produced from
taxation under the bill would depend large
ly upon the policy adopted relative 10 the
issue OF more money and the issue OF
bonds. He believed that with an Issue OF
bonds Il would require largely more taxa
ton to produce a given sum than Il would
without an issue OF bonds
The senator's contention Is that II
more greenbaclSs are issued there wll
be "more money" i'm the country; that
since there VIE be "more money" not
only will the people find il easier 10
get money" with which 10 pay taxes,
but business win be SO stimulated by
the proposed imitation OF the currency
that a tax on any industry VIII produce
much more than il would il more
money" were not put into circulation.
Consequently the senator holds that IL
"more money" is not issued, but bonds
are sold, the amount OF money in cir
culation viii be reduced, il win be hard
err 20 get money with which 10 pay taxes,
and the productivity Of each and every
tax win be reduced.
This entire argument Of the senator
from the so-called state OF Nevada is
based on the false, ridiculous assumption
that the amount Of money in the
United States depends upon the number
Of dollars" irrespective Of the value or
purchasing power Of each OF those
dollars" The total amount of money
in circulation last month was Sl,756,-
100000, each dollar, whether gold sill
yer or paper, having the purchasing
power Of % Is grains Of gold. II the
purchasing power OF each dollar were
TO be reduced one-half, the number OF
dollars remaining unchanged, Sena-
tor Stewart would contend that there
was just as much money in the country
as before. lie would say the number Of
bills or coins had not been reduced,
and therefore there must be MS much
money. lie will not admit that money
is worth only what it, will buy.
If there were in circulation in the
United States instead Of 1,756.000,O00
gold value dollars, 4000,000,O0O free
coinage sixteen TO one" silver dollars,
each Of them worth 40 cents, and buy
ing 40 cents worth Of any commodity,
Senator Stewart would announce that
the amount Of money" in the country
had more than doubled In reality there
would be less money, for the 100000
600 cheap silver dollars would be the
equivalent OF only 1,G00,0OO,00O gold
value dollars. The number OF pieces
would be increased, but the amount OF
actual money would be decreased.
Stewart wants the United States to
have more money" PROFESSIONALLY
"more money" is a good thing for this
or any other country when il is real
money, not otherwise. During the last
year the United States has added about
$90.O00.0 900 TO its stock Of gold-that is,
Ii has gained that much real money. But
Senator Stewards mode Of giving the
country "more money" is vastly differ
ent. lie proposes TO initiate the cur
rency so as 10 dcprecate its value and
thus reduce the amount Of real money.
He wants TO add $102, 900 900 TO the sill
yer and legal tender circulation i'm the
hope that there will be a slump in the
currency which may reduce the pur-
chasing power Of 81 t00,o00,000 OF sill
YER and paper money fully 80 per cent.
The VALUE Of that money would shrivel
up $40, 100000. The $4,000 900 Stew
art proposes TO issue would represent
only $40, 900 Stewart would still
contend that the country had more
money"
The imitation and debasement OF the
currency which Stewart advocates
would not make il easier for men 20 pay
taxes, nor would they stimulate bust
ness. If congress were TO authorize and
the president TO sanction an addition Of
over 40 per cent. TO the volume Of the
greenbacks, feeling Of uneasiness
would spring up in commercial, manu-
featuring and financial circles which
would depress every industry except
that Of the Spectator. And II that
sudden slump In the currency which
Stewart hopes for were 20 come II would
be accompanied by panic. which would
make II infinitely more difficult 10 get
cheap money for any purpose than II Is
90 get good money now.
Nor is Stewards contention true that
the sale OF bonds will contract the cur
rency" and necessitatc heavier taxation
10 raise given amount OF money. The
bonds will be sold when money Is need
ed, over and above the proceeds Of
taxes, 20 meet current expenses. The
money obtained for the one or two hum
dred million dollars worth Of bonds
which will be sold will not be boarded
up In the treasury. II Will be paid out
and go into circulation again precisely
like the money received for taxes.
There Is but one safe and wise course
for congress 10 pursue az this time. IL
IS 10 authorize the sale OF three per cent.
bonds for which the people will pay full
value in gold value money. IL would be
the height Of folly to take the advice OF
dangerous blatherskite like Stewart
and proceed 20 derange the finances OF
the country and decrease greatly the
amount OF money in circulation by n