Abilene weekly reflector. [volume] (Abilene, Kan.) 1888-1935, 1898-01-06
AFINANCIAL SCHEME
The Monetary Commission Makes
Public It's Report
/ SYNOPSIS OF The DOCUMENT.
0eveFnmeat Demand Obligations Danger
ous-GOOd Words for the Bank Note
National Banks Recommended
for small Towns

"
the monetary commission appointed
under authority Of the convention o
business men held in indianapolis las
January has just been made public
Following is synopsis OF the docu
nent:
1t retains practically unchanged the existing
metallic money The existing gold standard
~ which business has been done since 1870 Ia
maintained on the ground that the industrial
interests demand certainty as to what the
standard shall be- To this end, 1t Is urged that
the United States shall remove all uncertainty
- 10 the meaning OF coin In its obligations,
merely saving the taxpayer by the ability to
borrow Of q low rate Of interest No attempt
y made to remove the existing silver dollars,
nor to change their lega,-tender quality, on the
contrary 4 place Is provided for them In the
circulation by torbiddlng the issue Of any paper
money other than silver certificates In denom-
nations below TO-
II Is regarded by the commission Us danger
Gus to maintain the present practice OF using
government demand obligations as money.
They were Issued because there were no re-
sources In the treasury; and so they depreci-
ated, drove out gold, furnished tuctuatlng
standard, increased the national debt enor-
mously. caused change In prices whenever
the credit OF the paper standard fluctuatcd and
BY causing unexpected changes In the level Of
prices gave rise TO extraordinary speculation,
increased the severity OF commercial crises,
ana placed tho small producer ut o dlsadvan-
tage with the large operator.
For these and other reasons the commission
strongly urges the government to withdraw its
demand obligations now used as money decline
To provide gold for exporters and put the bur
den and expense OF maintaining q redeemable
paper circulation upon the banks In order to
meet the demand obligations, the present re-
serves OF gold in the treasury furnish sum
Client sum to be set aside In tho division OF
issue and redemption and to meet possible
contingencies the secretary OF the treasury
10 authorized to sell bonds whenever the re-
serves need replenishment In this way,
Or from surplus revenue. the demand obll-
cations that Is United States notes and
treasury notes OF lS9O) can be removed In such
. way that the cost to the country can be re-
auced; while this will also give the inestimabe
advantage OF ceaslng TO use demand debts as
money simplifying our currency, and adding
70 confidence In the certainty Of our standard.
l3y the plan Of the commission the wjthdrawo,
NJ government nanor /. On arr,r,ad tho, nov,
kraotion cannot nossiblv taka nIoco. 4, I1ni,aa |
States notes nre canccled thar nlaoo ,,i,, ha
laken by gold paid out for them, or by the ex-
psnsion Of bunk notes under the new system
proposed).
The demand obllgatlons NJ tho rrri,ed s,o,,.
we're not n money based IN nronertv, thav wora
umlv debt. IN the othor hind n bor,, 800 ~
,ovor iosroa wro,,d =, oa,,uas .,..s.S 40
,snt for n consideration In negot,ah,s ,ron...u
y enual mr. prenter valne mo honL nat.
,omes forth Nc tbe seouei n a bus,noss ,rnrs
lotion. and IA based IN the actIvo nrorar,r .,
lhe country which Ia nn.sIn, hetwsen rrodro. W
md consumors Th,o ,rnrory, /. a, mn 80, -
liable md alwavs eoua, IN tba dr,y ~ n,ao,,n.
Inc note liability nank notes ars a. so,,nd no
lhs business transactions NJ tho countrv NM
purrency az tho country moroovsr shnu,a Inv
orense as thu transactions ~ NO onnn,s, IN
crease, hence tho rIv,d unchona,na ,sa"o. ~ y,
Ina royernment malte them an inoias,jo ,as. y,
The circulation, while by the very nrocess NJ
their issue bank notes alone can ha automot.
|caly adjusted TO the changing transactions n,
ne business community.
In amending the nresent not,ono, har,,n.
svstem tho commission wos nctuated hy n do
yire to secure absolute safetv 10 the note. hold
M: TO make the notes uniform and ~ o,nni
in nil parts of tho country IN oraota
IN elastic system. which wbile eynnndIro In
response to Increasing transactions sho,,d
,aaitbilv amt nj u,hor ,..,....i.'1 ,,i,