Hutchinson gazette. [volume] (Hutchinson, Kan.) 1895-1902, 1898-01-13
SLIGHTLY SARCASTIC.
SPAIN is POINTED TO AS AMo0EL
FOR THE UNITED STATES.
Tho Attention Of Gold Bug Congress-
man iS Called to the Banking Law of
Spain "a Being one that Would Suit
our Bankers,
Hon. Charles N. Fowler, Washington,


date November 8, 1897, also copy of
your bill "a B so, 55th Cong.) to amend
the National Bank act; also copy of
your speech in explanation and sup
port of the same have been received
and carefully read and considered In
reply l unhesitatingly say that'I think
your proposed amendment ought to be
fairly satisfactory to the banking
classes Your amendments, however,
are somewhat complicated, and as
some of the provisions are liable to be
misunderstood, especially by the COM
mon people, respectfully call your at
tention to the banking law of spain,
the salient features of which are given
by Del Mar in his "Money and Civili-
zation," (London, 1886 edition. pages
121 to 1913 inclusive.
The Spanish banking law is a model
of simplicity; it is impossible to misun-
derstand or misconstrue it. Again, it
has been tried, and think IL will be
conceded that under it Spain has at
tanned remarkable financial position
among the gold standard nations of
the world, and as we are now about to
follow her example, we should have
the manlincss to acknowledge her as
our financial prototype. If we adopt
the Spanish law we might in all proba-
bility in short time be able to stand
shoulder to shoulder with the great
financial reformer and become in the
same manner as Spain now is one of
the great money centers OF the gold
standard world.
In the adoption of her banking sys-
tenn Spain has no hesitation in declar-
ing herself gold standard country
and providing for the redemption by
the government, on demand, of all of
her token money, not in gold coin, but
in certain weight of fine gold. Your
bill provides for the redemption of our
fduciary money in gold coin. do not
like this do not think it will be sat
isfactory to the banking classes. Such
money should be made redeemable in
a definite weight of fine gold, other
wise dishonest congress might at
some future time reduce the weight Of
the coin, and debase the tinenes of the
metal, and so defraud the honest bank
er. Such contingencies should be
guarded against. The Spanish law is
much safer in this respect than your
proposed amendments
Realizing the fact that your official
duties must keep you constantly en-
ployed, and that you might not nave
in your Immediate possession a copy of
Del Mars money and Civilization" l
quote from it summary of the Span
Ssh banking system hereinbefore refer
red to. 1t may be found on pages III
20 1913 inclusive, and is in the following
words:
"First-All payments shall ultimate
ly be discharged in definite weight of
gold.
"Second-The production Of gold
from native mines; it's Importation,
either coined or uncoined from for.
eign countries; its conversion from
bullion into coin; its reconversion from
coins to bullion; its use in the arts, its
expectation to foreign countries and,
generally speaking, its monopolization,
sequestration and destruction as well
as its use as money, shall be left en-
tirely in the hands of the banking
classes, and the prerogatives OF the
crown shall be limited to the fabrica-
ton of coins at the option and upon
the demand of the bankers, and at the
expense of the public.
"Third-as gold coins of less than
about twenty grains would be incon'
venient to handle, money to represent
small sums should be coined of silver,
nickel or copper, and those shall only
be issued to small extent; they shall
have a limited course" of legal ten
der and among private parties, and
shall be receivable by the government
without limit, thus making them prac-
tically redeemable By the government
in gold coin.
"Fourth-As it may be to the inter-
est Of the banking classes to initiate or
contract the currency more suddenly
than can be done by means of coins,
they shall control the emission of pa
per money by making it payable in the
metal which they are legally empow-
cred to monopolize,
"Fifth-the government shall divest
itself of any possible means of ascer-
tanning the quality of money in circu-
lation, and the dimensions of the
measure of value shall only be known
to the banking classes"
Soon afte- the adoption Of this law
by Spain, Mr.. Andee, American charge
de affaires at Madrid, expressed his
approval of this law, particularly of