The herald., 1898-02-14
M'KINLEY AND GREENBACKS

1t is becoming more and more apparent
that the whole power of the Mckinley
administration is to be enlisted in the
warfare upon greenbacks. The order
has gone forth from the money centers,
and the president dare not disobey. 1t
was distinctively the money power that
elected Mckinley, and he is now no more
than it's bond slave. Lombard street
demands and Wall street re-echoes the
demand that the paper money issued on
the credit of the United States must be
destroyed if there is strength enough in
the successful party to accomplish 1t.
This is, by all odds, the most important
question now before the American peo-
pie. The Cuban and Hawaiian ques-
tions are but trifiing in comparison.
The amount of greenbacks outstand-
ing, including all that have been lost and
destroyed, and all that are on deposit in
the treasury and elsewhere, is trifle be-
low -$347, 900, ,OOO These constitute
portion of the national debt, since they
were issued by the government, as SO
much money in it's ordinary business
transactions. But while evidences of
indebtedness, the greenbacks bear no in
terest. They are, therefore, no burden
to the public, but, on the contrary,
great public convenience, inasmuch as
they serve the very necessary purpose OF
a like quantity of money. They are even
on1nlnf
gold or silver coin, since they are more
easily handled, and are not subject to
loss by abrasion.
To dispense with so large portion of
the circulating medium of the country
without substituting other money for it
would, of course. produce great strin-
gency in the money market, and
create a panic. But it is not proposed
to substitute other money for the green
backs, but to merely confer upon the
national banks the privilege to issue
bank paper when they may see fit to do
so, and not otherwise. But the banks,
as is well known, always haul in their
money in times of stringency or panic,
and let it out only with liberalty when
the demand for it is slack.
The shallow pretext for this movement
of the money power against green
backs is that the government, in pro-
viding and issuing this kind of money,
is engaging in the banking business;
and this, they say, the government
ought not to engage in, but should leave
to the national banks the issuance of all
theory hold that the government in the
matter of providing money for the peo-
pie, should restrict itself to the opera
tions of the mints; but they fail to show
any more of banking business than the
providing of gold, or silver, or nickel, or
copper coins, of which the government
holds complete monopoly. 1t Is argued
declares that: mo state shall make
but gold and silver coin a
tender in payment of debts" therefore
the United States can make money only
impotent conclusion. AS we'll might it
be maintained that the federal govern
ment can make no treaty nor levy a tax
on imports, because the several states
are forbidden to do these things. A
much more consistent Interpretation
would be that the general government,
having assumed the exclusive preroga-
tive of manufacturing the circulating
medium, has prohibited the states from
doing that thing. This view is we'll
sustained by the further constitutional
provision that: Congress shall have
power to provide for the punishment of
counterfeiting the securities and cur
rent coin of the United States" Here
is a clear recognition of the authority
of the general government to create
these greenback securities. If their is
suance were unauthorized, it would
hardly be proper to punish their coun-
terfeiting. Their issuance, therefore
by the federal government is strictly
constitutional.