New-York tribune., 1898-12-11
CUBA'S MONEY QUESTION.
ALL BUSINESS MEN AGAINST THE ISSUE
OF PAPER.
THE OBJEC-r LESSON OF ''wEYLER's SCRIP AND
THE DANGER OF FORGETTING IT
OvERVAIUED GOLD.
Ha vana- December 4


ovERvALUED GOLD.
Havana December
Adjustment 20 new financial conditions is max
ing satisfactory progress in the business COM
rnunity u Havana. The banking and commercial
houses are divided in their opinions on the
future financial basis Some of them not in
favor - the recommendation made by Special
Commissioner Porter that the imitation be
squeezed out of the Spanish and French gold
coins They are awaiting the coming Of AS
sistant Secretary Vanderlip in order 70 lay their
views befor, him. But in waiting they show no
uneasiness and demonstrate their confidence in
the United States. All the leading banking
houses have notified to deposi;ors that they will
pay back at the rate of Sl1 a gold ounce. 81 30
a Spanish centen. 81 % a Spanish doubloon and
81 81 a French louis This is the artificial rate
that has heretofore been maintained. II has
kept gold in the island. The bankers say it was
one f the means which prevented bad money
from driving out good money" when the Madrid
Government forced the Spanish Bank Of Cuba to
issue the paper money which came 70 be known
rs "Weyler's scrip" The matter IS A compli-
Gated one. but whatever decision is reached by
the Treasury Department Will be accepted as
final settlement Of a vexed question
on one point the merchants and bankers
all agreed They want paper money OF any
kind lssu-d Most q them favor some arrange
rnert hv which the Cuban soldiers can be paid
and the customs receipts be used for that pur-
pos. They favor this as measure OF quiet
and self-ur0tection and means Of insuring
trar0uillitv But they DO not want II done
through means ot a currency issue. II the
United states were the Government 10 issue
notes that would naturally be a different mat
ter Yet il is significant Of the feeling that
many OF the merchants find one objection 70 the
American military occupation. This is that IL
Will make the people familiar with paper cur
rency
AN OBJECT LESSON IN DANGER
After they have had American banknotes
greenbacks and silver certificates circulating on
an equality with gold they might come 10 be-
lev. that the value lies in the notes and not in
the government that issues them. Bankers do
not need To have the difference explained 20
them They have thorough understanding OF
the struggles II has taken 70 make American
sreenbacks and silver certificates as good as
gold They are familiar with the financial legs-
latl0n u the United States from the Civi War
down 10 the present time.
But the common people do not know these
things. They may only half learn the object
lesson and develop a fondness for paper prom
ises 20 pay that may be guaranteed by some
Government less powerful. less firmly established
and less stable than the United States. II is
c-.5ftable 10 the perception Of the Havana busi-
noes men that they see the dangers Of the future
so clearly and seek to avert them now This
financial cloud is OF the things that will
make them support annexation when the time
comes 70 determine that question
7, ,,.ould be a curious circumstance II the cir
culatiou Of United States notes during American
control should destroy the object lesson which
uas alveu the people Of Cuba when the nrst