The midland journal. (Rising Sun, Md.) 1885-1947, 1899-08-11
The Gold Standard.-No. |.

lore COHSIeSS lSXt WluteI THAI NeunSS tnS
financial system finally agreed upon by
the money oligarchy who are striving to
fix OIL the the United States more firmly
the gold standard.
The plan, as far as it has been made
known to the public, is not nearly so
elaborate and filled with details as those
concocted heretofore. To get the green
backs or all legal tender currency of the
government out Of the way and out of cir
culatiou is the first result to be achieved.
This is being satisfactorily done by the
Secretary Of the Treasury, who pays gold
for all legal tenders presented and stores
the currency away i'll the treasury, not to
be again issued except for gold. While
the treasury is in the hands of one of the
gold oligarchy as at present, no special
the plan Of impounding the government
currency aud keeping it out of circulation
claimed as the exclusive preserve Of the
bankers. But one Of the bankers set may
not always be found presiding over the
treasury Of the people of the United
States, and might turn loose the impris-
oned greenbacks into circulation, and
shake the power Of the bank monopoly,
so they are going to make a herculean
effort next session to abolish the law
which makes the greenbacks reasonable
when paid into the treasury
Secretary Gage went the length the
other day Of refusing to exchange $780,
900 in greenbacks with a New York
banker for $50, 900 of new gold coin just
out Of the mint. He would exchange
gold certificates for gold coin, that is gov
eminent currency issued especially
against gold paid into the treasury, which
is treasury gold due-bll, that is destroy
ed whenever returned.
The banks it seems do not care to have
their right to issue currency to the full
face value of the bonds deposited with
the Comptroller to secure circulation.
They are Withdrawing their circulation
instead of issuing to the amount allowed
by law-9o per cent of the face of their
| bonds.
This is opposed to the policy embraced
in the Gage plan, the indianapolis con.
ference bill and other financial plans
heretofore put forth at the suggestion Of
the bankers to feel the public pulse while
familiarizing their scheme of aggression
and tempering the winds to the public
lamb that is to be shorn.
Long they have fought to have the
greenbacks taken out of circulation tc
widen the field for their own currency
but how to redeem their currency III gold
on demand was puzzle that thoughtful
bankers were not competent TO solve tc
their own satisfaction. Trade conditions
for two years have been shaping mat
tiers that seem to offer a satisfactory
solution to the problem. The diminish
ing volume of circulating money In pro-
portion to the increasing volume of com
modities to be exchanged for and dis
tributed by the use of money, reduced
home prices TO the lowest level of the
worlds prices. This tended to stint con
sumption in this country, and throw large
quantities of surplus food products and
manufactured stuff on the export market
at prices SO low that they could be placed
on the markets Of the world at profit tc
exporters.
Our low range Of prices and high duties
OH imports tended TO shut out foreign
goods, so that American trade statistics
for 1898 stood i'll favor ofexports in round
numbers, one billion and a quarter, and
for imports only about six hundred mil,
lions, leaving the balance of trade six
hundred millions i'll our favor This gave
the banking class, through whose hands
all of this exchange business passes, a
pull on the same class on the other side,
! of matter of six hundred million dollars.
TO part with that amount of gold looked
to be little short of visitation of death
to the banking interests of London, and
large blocks Of stocks were sent back to
this country to be sold on the exchanges
and the money applied to settling or
reducing this large balance of trade.
The gold organ newspapers in the early
weeks of 1897 and some time previous to
that, were constantly commenting on the
amount of money in the New York banks
and the low rates of interest at which this
plethora of money was offered, giving
these as evidence that the money in circu.
lation was so plentiful that no addition to
the circulating medium was required. A
great many of their dupes were country
men and farmers whom low prices and
consequent scarcity of money had driven
to the verge of bankruptcy In place of
these signs shown by the banks proving
that money was abundant, they proved
the very opposite.
The scarcity of money In circulation
had driven prices down so far that they
were below the cost of production and
people contracted their business, drew
part or all of their money out of business
and deposited it in the banks for safe
keeping. The banks used this idle money
largely in the purchase of valuable stocks
that were thrown on the home market by
foreign holders and thus saved the stocks
from going down with slump This
return of stocks did not save the gold
boards of the European banks from being
drawn upon by this country quite heavily,
while the annual drain from abroad was
saved to this country.
These results together with the gold
from our own mines have accumulated
large stock of gold in this country. This
increased stock of gold is simply an in.
crease to the money of this country and
the natural result of that would be rise
i'll the level of prices, and would tend to
check exports and increase imports,
which is what the gold standard party do
not want, and to prevent which the banks
return their circulation and fight to
destroy or impound the greenbacks.
BY the medium of low prices in this