Akron daily Democrat. [volume] (Akron, Ohio) 1892-1902, 1900-02-14


WASHINGTON, Feb. l4..-Mr. Allison
Howa), the ranking Republican mem.
Der of the financial committee, addressed
the senate on the financial measure.
He said in part that the pending meas
ure was proposed to deal with the cur
rercy question in large and general
way. Mr.. Allison referred to the senate
substitute for the house bill and snid
there was no proposition to change the
existing currency-gold and silver Ger.
tihcates, greenbacks, treasury notes and
national bank notes.
Mr.. Allison said that from 1893 to 1879
this country had double standard Of
value. He said that since the enactment
of the law Of 1878 there had not passed
current siugle dollar Of any kind Of
United States money that wns not on
absolute parity with the gold dollar.
The passage Of this bill would practi-
cally re-enact the provisions Of the law
Of 1873.
Said he in part: "The present bill
makes tho greenbacks absolutely re-
deemable in gold coin. In no sense does
the bill provide for the elimination of
Rreenbacks from our currency. want to
reiterate that there Is not provision In
the first section of the senate substitute
that Is not now part of the law or that has
not been the practice Of the government since
1879.
Mr.:Iindsay tKy.) inquired whether, In case
there should be q deficit, the gold obtained
from tho sale Of bonds under the bill could be
used to pay current expenses Of the govern.
ment.
Mr. Allison-Under the provisions Of the SEN
ate substitute, TO WHICH am directing my re-
marks, these bonds for obtaining gold can be
sold only when the reserve falls below $50 000,-
600; and ] want here and now to express my
firm conviction and belief that IL will never be
necessary under the bill to sell bonds for that
purpose. 4,
Mr.. Lindsay-But will not the ultimate re-
suit be tho retirement Of the greenback
Mr., AlBson-Under this bill the greenbacks
cannot be retired. ] want to say that the re-
tirement Of tho greenbaoks. or my other part
Of our money, should never be attempted with
out the most careful scrutiny and the wiscst
consideration Of the legislation providing for
In response to another question by Mr. Lind.
say, Mr.. Allison said thst the greenbacxs,
under the provisions OF the pending bill, prac.
tically would be gold certificate, md he
added "It Is so now"
Mr.. Allison said that the bill did not provide
for the exchange Of silver notes for gold be-
cause the committee did not deem II necessary
10 maintain them at parity, and that pledge
had not broken. We would never disgrace and
degrade ourselves by allowing them to go to
discount,
Further along Mr.. Tillman asked:
Suppose next summer Democratic presi.
dent were elected. know that you think that
impossible, but miracles have happened; sup
pose Democratic president should take 1t into
his head to discriminate agninst gold How
could silver dollars be maintained at parity II
they are not redeemable in gold ?"
You must catch your hare before you can
eat him." replied Mr.. Allison, amid laughter.
This scheme Of finance then rests upon tho
Mot Al all, replied Mr.. Allison. II am
speaking Of silver certificates, not Of the prob.
ability OF the election of q Democratic pres,.
dent"
Mr.. Allen lNebl interposeti to say that his
objection to the bill was that the whole power
to issue money would be turned over to the ma.
tional banks. Mr. Allison replied that under
the bill every dollar OF our currency must and
would remain In circulation. The tail could
not wag the dog
ture Of tho bill, said II was proptious time
to redeem the bonds due IN leO+U7 and '0s.
Tho funding should proceed gradually in order
thst there might be no friction In tho money
market. We could save s22, 900 600 per annu,n
by funding tho bonds now. We could NOT h.
we compelled them to deposit per cent bonds
instead Of 8 pr per cent
Mr., Jones tNev.), in n speech, said In part:
This measure Is tho climax OF efforts that
have been mHdo since 1860 to abolish tho use Of
silver. II IL certain that there will be addi.
tional legislation presented mt some s,lbse.
quent date to retire tho sS46,OOOUo Of green.
backs, The gold standard advocates know
that u would not do to attempt to carry through
all OF their plans at once. That would be
60. he A..,ar
also an ehort In the near future to retire the
treASury notcs
"This will afford tho national banks An IN.
portunity TO regulate the volume Of all monev.
nsye only gold and silver coin Thus an nrrre
estion o' private banking corporations will ex.
crnise tho sovereign function Of issuing money
instead OF that function being vested In tIs
government alone"
Mr.. Jones declared that the measure prov,d.6
clearly for q permanent increase In the bonded
debt OF tho country, and that 1t Ia a monstrous
proposition that my executive officer os tho
government should have the power to bond tho
American people.
Speaking Of the provision Of the bill which
val! enable national banks TO issue currency nm
70 the par value Of bonds deposited, Mr.. Jones
oeomred that the result Of tho authori zation OF
national baniss to issue 90 great an amount OF
currency as tAey woaki be able to issue by the
provisions OF the pending bill would be 10
pinoe IN the bands OF tho banks tho credit Of
tas entiro people and the power In times Of
financial pressure and financial stringency, ab,
soiuteiy To bankrupt thousands Of people bv
caitng in loans In tho regular conduct of thei,
banding business.
This bill places in tho hands OF the national
banks the control of the bonded debt OF the
country said Mr.. Jones. Whenever the
banks see At they can reduce the gold rcsoryo
below the limit and force an issuance OF bonds
and this process can 90 on indefinitely"
Mr. Jones spoke with bitter sarcasm of the