The San Francisco call., 1898-01-10
PLANS FOR CURRENCY REFORM.

the statutory errors in our financial system, which all observers believed had much to do with that calamity Panics come under all systems, but if it be possible to limit and lessen the known causes which produce them, leaving them to entirely natural origin in the impulses which af feet in the to loss of confidence and courage in the future, they will be less frequent less distressing while they last and of less duration
 The sound-money men and the fatsts alike trace either the panic itself its destructive duration errors in our financial legislation These may not have been errors in the beginning, but have become so by lapse of time and the growth of the country. The tailor who cuts a suit for boy should not be held guilty of blundering because it does not fit the owner when he is grown to be man. It is quite the fashion of the iatists to rail at the Re publican party or at the old Democracy which dis appeared in Bryan's shadow, because banking and currency system quite adequate for thirty millions of people Is not ample enough for seventy millions The sound-money men waste no time In accusation, in pointing with pride," viewing with alarm" but have set about finding a remedy, and have pro- posed their plan Between this plan, or some one like it, and the plan of the hatists the people will be called upon to choose next November in the cleo ton of new House of Representatives.
 The plan of the sound-money should be wide y known for the plan of the fatsts Is kept continu ally before the public and gains percentage of .erts because other plan is kept In sight. Cali forna must help in the choice and decision of next November She has in Mr. John P Irish rep resentative on the Executive Committee of the Monetary Conference of the sound-money men, and in MT. Louis A. Garnett a representative on the Commission appointed by that Executive Commit tee which has just reported
 The Commission consists of ex-Senator George F. Edmunds of Vermont, General George E. Leigh ton of Missouri, T. c. Bush of Alabama, w. B. Dean of Minnesota Charles S. Fairchid and Stuy- vesant Fish of New York ]. w. Fries of North Carolina, Louis A. Garnet of California, Professor J. Laurence Laughlin of the Chicago University, C. Stuart Patterson, dean of the Faculty University of Pennsylvania, and Robert s. Taylor of Indiana. Every division of the country being represented it is fair to assume that the needs of each are met and merged in the report.
 The plan reported by this Commission is em- bodied in bill offered in the House by MT. Over street of Indiana It deals with
 First-The standard of value.
 Second-The silver currency.
 Third-The demand obligations of the Govern ment. Fourth-The banking system.
 To-day The Call undertakes to state the plan under the first head and will follow it until it is com pletely before our readers
 The Commission proposes to make silver certi- fcates redeemable in silver dollars The people by their Government, a large stock of silver bull lion silver dollars and silver in the smaller coins and therefore interested in the continued use of silver currency and in the maintenance of the currency at par with gold
 1 The dollar, by reason of its bulk has proved un- suitable and unpopular for circulation. Though transported free by the Government in order to force it into circulation, the highest sum ever in circulation So7ooo,o ,ooo, and at present it amounts 1 to $6o1o6.778.
 There in circulation S354355,o3I in paper notes currency in S1, S2 and S bills, of which SI54o65473 silver certificates and $1oo3So, ,55S greenbacks treasury notes of 1890 and national bank notes
 Retiring all of these small notes except silver cer- thcates and supplying their place with such cer- tfcates in the same denominations will make room for $Ioo38o,558 of such certificates. As there are outstanding in larger denominations silver certif- cates amounting to $22o2o5,o31, their conversion into the smaller bills will leave in circulation of the large bills only $2oS5,473 to be redeemed in silver dollars when presented. The small notes in green backs, national bank currency and treasury notes of 1890, when retired would be replaced by larger notes. When these steps taken the currency of the country of all denominations below $Io will be silver coin and silver certificates redeemable Tn coined dollars of that metal and the $2 so and S gold pieces If it be found that parity is not en- dangered, the whole stock of 452,7I3,7o3 silver dol lars owned by the Government may be issued ir these small notes. If, however, this stock be SC large as to mperil parity and put the standard o value in danger, the stock may be reduced by with drawa and sale of the coins as bullion.
 This part of the plan, like all its parts, is de cared by the Commission to depend upon nflex ble maintenance of the gold standard of value a: the only means of securing an ample and flexible medium of exchange.
 The other features of the report will be consid cred in their order