The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1899-01-02
TIE NO. ESS CHAIN.
Address by Hon. Charles G. Davis Comp
troller Of the Currency.

Chicago, December 81 Hon. Charles
was the guest OF the Com mercial club
this evening and delivered an address on
currency reform" He said, In part.
''In the election of 1896, the chief issue
b. fore the American people for sett ement
WAS that OF the nainteu ance OF the gold
standard and sound governmental cur.
renoy. The COMMERCIAL crisis of ios9,
with the oonseq uent reduction In govern
mental revenues, had developed an In
hsrent weak ness in our pIesent monetary
81 stem which before that time had been
latent. Ibis was largely due TO two
csuses-first. the disproportion existing
etween demand governmental curre'c
liabilities and the gold held by the treas
Try for their redemption: second. the fact
that these demand clrr-ncY liabilities,
Ike RreenUncks, being once redeemed In
gold could be paid out again tor govsrn-
lpent expenses, thus making possible u
further presentation for gold redemption
and creating 1.-THE endless chain" The
question now tefore Congress IL that OF
the proper in expectation into law of the
voice OF the psople expressed in 1876 In
favor of sound money ana the gold stand
ard. The President has in two success.
sive annual messages to Congress rechm-
mepded a plan by the adoption of which
the government can prot. ct properly It's
outstanding currency liabilities and
break the endless chain without contract
ing the currency or seeking assistance
from private corporations in meeting
ITS obligations of gold redemption.
''lhe lessening Of the disproportion be-
tween the demand currency liabilities
and the gold in the treasury with which
To redeem them, for the accomplishment
of which surplus governmental revenues
seemed one year ago absolutely essential
has been brought about by the nnan
cial operations of the treasury incident
20 the war and by the growing confidence
OF the people in the stability of the god
standard which has led them to freely
deposit gold In the treasury In exchange
FOR notes. The proportion Of net gold
holdings TO demand currency liabilities
of the treasury November /, 1898, was
IS per cent ms compared with 10 sc per
cent on November l, 1897. Recognizing
these conditions the President, in his last
annual message to Congress. makes re-
commendation which II enacted into law
would break the endless ohajn and still
further strengthen the coneition Of gov
ernmental currency alres.dy SO greatly
improved by the treasury Operations Of
the last year. His words are as follows:
In my judgment the present condi-
ton of the treasury justifies the imme-
diate enactment of legislation recommend
ed one year ago under which a portion
Of the gold holdings should b9 placed In
4, trust fund from which green backs
houid tie redeemed upon presentation,
ut should not when opcs redeemed
,here alter be paid ont except for gold
ITO press the consideration of other
proposed remedies at this time will prove
a hinurance and obstruction to the
adoption of this recommendation, which
Is plainly a step in advance. After this
recon endation is enacted into law, those
who have what seems to them q more
complete remedy can then present 1t for
confederation"