The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1899-12-01
THE MONEY QUESTION
CHIEF FEATURES OF THE BILL PRE-
PARED BY THE REPUBLICANS.
THE GOLD DOLLAR AS STANDARD
All Government Bonds and Notes Pay
able I'm Gold - Subsidiary Silver to be
Coined = National Banks to Issue
Notes Up to Par Value OF Bonds.
National Banking Privilege Extend-
ed-A Division OF Issue and Redemp-
tion Added to Treasury Department.


tion Added to Treasury Department.
| the bill and report prepared by the
| republican caucus committee, which
| met at Atlantic City last spring, We're
mailed this evening to the republican
members of the house. The purpose
| of the bill is to remove any doubt that
may exist as to the character of the
| standard. 1t contains a number of dis
! tinct propositions, as follows:
1. The standard unit OF value shall
be the gold dollar.
2. United States bonds United States
| notes and treasury notes, shall be paid
| in gold, and all other public and pri-
vate obligations shall be paid in con-
| formity with the standard.
3. The establishment of a division of
issue and redemption in the treasury
| to separate the note issue from the fis-
| cal operations of the department and
| the creation of a gold reserve equal to
! 25 per cent. of the outstanding United
States notes and treasury notes
4. The sale of per cent. gold bonds
| to maintain the gold reserve.
5. Gold coin may be exchanged for
any other money, when necessary to
maintain the parity, and United States
| notes and treasury notes redeemed in
| gold shall not be disbursed except in
| exchange for gold.
g. Subsidiary silver may be coined
| from any silver bullion purchased un-
| der the act of July Ia, 1890, and treas
ury notes equal to the cost of the bull
| lion contained in such coins shall be
Cancelled.
nd hcid
ary silver coin may be recoined.
8. Silver certificates shall be limited
| in denominations to 81, 81 and SIS.
8. National banks may issue circu :
lation to the par value of the bonds
deposited by them.
10. The tax on national bank circu-
| lation is repealed and tax of one
| fifth of per cent. per annum is placed
! upon the franchise of the banks as
measured by their capital, surplus, and
| undivided profits.
IL. National banks may be organized
with a capital of $4,000 in towns of
| 1000 inhabitants.
The report on the bill has been pre-
pared by Representative Overstreet, of
| Indianapolis, who introduced the origi-
nal bill of the monetary commission
in 1898. Mr. Overstreet frankly admits
| that the committee did not consider
| the general subject of banking, nor did
it seek to arrange complete scheme
| of finance, but confined it's recommen-
dations to those subjects of most press
ing demand, as evidenced by the
pledges of the republican party and
the general policy of the administra-
ton"
1t was felt, the report declares, that
the strengthening of the public credit
by the removal of all doubt concern
ing the policy and practice of the gov
ernment relative to the unit of value,
is of paramount Importance"
The report continues:
The fact is pointed out that the treas
ury at the beginning of October had a
net gold reserve Of more than $3.50, ,O00,-
600; that there is more gold in the
United States now than ever before and
that the present conditions are most
favorable, and the time most oppor-
tune, for the clear and unequivocal
adoption of the gold standard. If un-
der all existing conditions the United
States shall clearly, by law, adopt the
gold standard it will pass the new
condition with even less friction than
was experienced by the redemption of
specie payment.
of issue and redemption is explained
and lit is declared that the different
funds referred ITO such a division, as
they stood on September last, are as
follows:
1. Gold coin and bullion, represented
by outstanding gold certificates, $685.
1,119
by outstanding currency certificates,
s16,1O0, OO0
3. Silver dollars, represented by out
standing silver certificates, s405197, 405.
A. Silver bullion, represented by out
standing treasury notes. $91, 1878
5. Gold coin and bullion, equal to
one-fourth of the United States notes
(s346, 6S1, ,016) and treasury notes (s91,-
167, ,2S0) outstanding, S109, 462, ,074
The first four items enumerate the
special deposits dedicated 10 suecific
payments. AS these obligations arc
met, the deposits are correspondingly
reduced
The scope and purposes of the pro-
visions for maintaining the standard
by the sale of bonds and the exchange
Of money are thus set forth by Mr..
Overssreet:
In the absence of a law providing
protection to the gold reserve, it is
always subject to encroachment in ex-
pendatures to meet the general ex-
penses of the government. Whenever
such encroachment appears probable,
fear has arisen that the government
may not be able to meet it's demand
obligations, and a run upon the re-
serve for the redemption of the je-
mand notes has followed. This situa-
ton is responsible for the so-called
endless chain,
By separating the reserve fund from
the general fund, and prohibiting ITS
use except for redemption of United
States notes and treasury notes, the
dangers to which it has been so great
ly subjected will be removed. These
demandl notes are being redeemed in
gold now, and always have been, and
no additional burden is imposed upon
the government. Il is sought TO simpli-
fy and legalize the practice, and create
a division in the treasury where the
whole business Of issuing and redeem
ing notes may be transacted and 10 es-
tablish complete confidence in the re-
demption OF our demand obligations.
Section 4 OF the bill seeks 20 provide
complete safeguard to guarantee the