Evening star., 1898-01-12
A STABLE CURRENCY
Monetary Commission Before a House
Committee.
JUDGE EDMUNDS SPEAKS At LENGTH
A Double STANDARD, He Says, Never
Existed Naturally.
INTEREST IN THE HEARING
JUDGE EDMUNDS SPEAKS 1T LENGTH
INTEREST IN THE HEARING


banking and currency the commissions
bill proposing a comprehensive revision of
the currency.
Ex-senator Edmunds of Vermont, chair
man of the commission headed the delega-
tion. and with him were ex-Secretary of
the Treasury FairchiId of New York j. w
Fries of North Carolina representing the
gold democratic sentiment of the south; T.
J. Push of Alabama and Judge r. 5. Taylor
Of Indiana. representing the middle west.
Secretary Gage was also present, accom-
panied by the solicitor of the treasury
The hearing attracted much interest.
number of the members of the House, ac-
companied by ladies, being present.
The Commission's Aim.
Mr.. Ejmunds was the first speaker. He
said that the fundamental principle which
the commission had felt was to ne consid-
cred in establishing q stable currency was.
first to know what the standard of value
in this country is and is to be. On this
there We're rHany divergent views among
financial authorities Many believed and
he was one of these, that it was impossible
10 nave more than one standard of value.
If this be true. thel the question is. what
is the best standard? The experience of
the world. Mr. Edmunds said. was that the
best standard was the subject to least
change. one to which all other values most
readily adjusted themselves. one which will
he the same when transaction closes as
1t when it opened. The commission
felt that such a thing as a double stand
arG had never existed in the world through
natural operations. There had been double
standards established by law. but never in
fact. When il came to an actual standard.
there could he but one. BY law. the United
States had double standard-a silver coin
ard COLO cuin-establshed on the theory
that they could be maintained exact
eGUauty.
AIR. Edmunds then referred to the ex-
perience If the great nations of the world.
all showing. ne said. that a single standard
meant stability and safety. while legal at
tsupts at double standards meant disaster
ard panic. From this universal experience.
Mr.. Edmunds said. he and his associates
had come to the conclusion that the first
principle on which to base currency was
to have one standard: that gold is the best
standard. because il is the most stable of
all standards of value, subject to the least
huctuation from year 10 year and from
TRY to century. If silver copper or
any other metal had proved to be most
stable by experience then that would be
the best standard. But they We're not, and
therefore. feeling that standard was
essential. and that gold was the best of
these the commission was brought 10 the
gold standard as their first proposition.
That. however, did not exclude the idea
of bimetalhsm. for it did not exclude the
use of silver or any other metal to the
largest extent that they could be maintain
ed on an equality with the one fixed and
inv2riable standard of gold.
4!4dt CONCLUSION was reached, Mr.. Ed
munds added. with no prejudices, with no
private political considerations but solely
from the conviction of those of the com
mission representing the various sections of
the country
Retiring the Greenbacks.
Mr.. Edmunds then took I'D the proposi-
tion of the commissions bill proposing a
retirement of United States notes, explain
ing and urging this on the lines OF the
a u-fth
strong appeal for early action.
The best time to rectify financial evils"
SAID he, is in time of peace and prosperity
lhere can be no great reform al d time of
plhcn- The time to prepare for the storm
Is When the storm Is far off, so that when
II comes the ship of state will be stanch
well-manred and ready
AS MI Ednunds was to be engaged in
the Supreme Court tomorrow he asked
that the committee PROFOUND questions to-
cay This made the discussion general.
Representative Cox, democrat of Ten
neSsee. propoUnded series OF Questions in
tended to bring out that the effect Of tho
blIl would be 10 convert all debts-public
and private-into gold obligations.
Private Debts Not Affected.
Mr. Edmunds answered that 1t would
convert every government obligation. ex-
cept a few of minor form, into gold obIiga-
tonS, and, stated broadly. the effect would
be to make all United States obligations
payable in gold But as to private obliga-
ucns between citizens, Mr. Edmunds an
s"ered emphatically in The negative. say
ing that u proviso in the commissions bill
declared that nothing herein contained
shaL De construed or held 10 effect the
present legal tender quality of the silver
aoIlar or the subsidiary minor coins or
the paper currency of the United States,
Mr.. Cox insisted, however that the Iog-
lcal effect OF compelling silver to be kept
al parity with gold was to convert ali
Obligations.
On this point Mr. Edmunds and Mr.. Cox
offered widely and were not able to recon-
Gle their views.
Mr.. Edmuuds said the commission ronro-
sehted the convection of communities wide
ly scattered. and had presented its ma
,ure conclusions to Congress in effort
10 Siid those interested with the duty of
perlectlnS the laws. but with no purpose
TO forestall or embarrass this committee or
Congress "a
Mr.. Walker said the committee r,jlv an
preciated the efforts of the commission ant,
ol Secretary Gage in seeking to remedy
currency conditions. He asked if the bill
was desicned TO change the legal tender
quaHty OF the standard silver dollar
Effect the silver Dollar.
Mr Edmunds answered that it would not
1he only purpose was to give the silver dol
lar a distinct reference to one fixed stand
ara without naming ratio. Existing con-
cltohs were not changed, but doubts were
removed The present law was open to diff
ferent constructions, and the commission
had felt IL to be duty to make IL so clear
as 10 be beyond doubt differing construc-
tons.
Mr. Walker suggested the question of ex-
pediency in carrying so large a question be-
FORE the House of Representatives. with
3I1 members ready for months OF debate
Was IL desirable he asked Mr. Edmunds
TO invite such conflict many provisions
which are re-enactment Of the present
law. ~
~ II
MI Edmunds replied that 1t depended ON
the degree OF doubt which the bill cleared
up But on the general question OF prac-
ticai expediency. he said the commission
had reported what IL deemed to be essential
ana right to proper adjustment of the
currency, and il desired to stick to that
rIgnt thing despite questions of expediency
Ihls brought round of applause The
iirst OF the day, IN which some OF the mem
bers of the committee Joined.
Contracting the Currency.
Representative NeWlands (Nay discnsa