Cameron County press. [volume] (Emporium, Cameron County, Pa.) 1866-1922, 1900-03-22
GOLD STANDARD.
Tt Is Finally Enacted Into the Law
of the Land.
Secretary Gage Explains the Workings
ofthe Financial Bill Just Passed
by Congress-A Redemption
Fund OF SI5O,OOO,OOO in
Gold is "a Prominent
Feature.

NdSnlnSCOn, Adrcn l4.-SecTetdiy
Gage yesterday made the following
statement in explanation of the provi-
sions of the financial bill, which pass
ed the house:
The financial bill which now
awaits only the signature of the presi-
dent to become a law, has for its first
object what it's title indicates, the fix
ing of the standard of value and the
maintaining at parity with that
standard of all forms of money issued
or coined by the United States. 1t re-
atfirms that the unit of value is the
dollar, consisting of 25.S grains of
gold nine-tenthS fine, but from that
point it goes ON to make it the duty OF
the secretary of the treasury to main
tain all forms of money issued or coin
ed at parity with this standard. 1t
puts into the hands of the secretary
ample power to do that. For that pur-
pose the bill provides in the treasury
bureaus of issue and redemption, and
transfers from the general fund of the
treasury's cash $150,00O,000 in gold
coin and bullion to the redemption
fund, this gold to be used for the re-
demptiOn of United States and treas
ury notes.
"That fund is henceforth absolutely
cut out of and separated from the
cash balance in the treasury, and the
available cash balance will hereafter
show a reduction of $150000,000 from
the figures that have heretofore pre-
vailed. This S150,0O0,000 redemption
fund is to be used for no other pur-
pose than the redemption of United
States notes and treasury notes, and
those notes so redeemed may be ex-
changed for gold in the general fund,
so that the reserve fund is kept full
with gold to the $15o,00o,0oO limit.
"The secretary is given further
power. If redemptions go on so that
the gold in this reserve fund is reduc-'
sd below $10O,000,000, and he is unable
to build it .up to the $150,000,0O0 mark
by exchange for gold in the general
fund or otherwise, he lis given power to
sell bonds, and it is made his duty 10
replenish the gold to the $150,0O0,00o
mark by such means.
1.-The endless chain is broken by a
provision which prohibits the use OF
notes so redeemed to meet deficiencies
| In the current revenues. The act pro-
vdes for the ultimate retirement OF
all the treasury notes issued in pay
ment for silver bullion under the Sher-
| man act. AS fast as that bullion is
| coined into silver dollars treasury
notes are to be retired, and replaced
with an equal amount of silver certih-
Gates.
1.-The measure authorizes the issue
of gold certificates in exchange for de-
posits of gold coin, the same as at
| present, but suspends that authority
whenever and so long as the gold in
| the redemption fund is below $780,
| DOC, 600.
"The bill provides for a larger issue
of silver certificates, by declaring that
hereafter silver certificates shall be is
sued only in denominations of SO and
under, except as to 10 per cent. of the
| total volume.
"One clause of the bill which the
public will greatly appreciate is the
right that it gives to the secretary to
coin any of the 1890 bullion into SUD-
sidiary silver coins up to limit of
| 800, 100000. There has for years been
a scarcity of subsidiary silver during
periods of active retail trade, but this
provision will give the treasury ample
| opportunity to supply all the subsidi-
arv silver that is needed. Another
provision that the public will appre-
ciate is the authority given to the sec
retary to recoin worn and uncurrent
subsidiary silver now in the treasury
Or hereafter received.
"a distinct feature of the bill is in
reference to refunding the per cent.
Spanish war loan. the per cent
bonds maturing in 1907, and the 5 per
cent. bonds maturing in 1904, a total
of SS39, 200, into new per cent.
bonds. These new 2 per cent. bonds
will not be offered for sale, but will
only be issued in exchange for an
equal amount, face value, of old bonds.
The holders of old bonds will receive
n premium in cash to compensate
them for the sacrifice OF interest
which they make.
National banks that take out crcu-
lation based on the new bonds are to
be taxed only one-half of l per cent.
on the average amount of circulation
outstanding, while those who have
circulation based on Il deposit of old
bonds will be taxed as at present, /
per cent.
"There are some other changes in
the national banking act. The law
permits national banks with spa, 900
capital to be organized in places of
5000 inhabitants or less, whereas
heretofore the minimum capital has
been $4,000. 1t also permits banks TO
issue circulation on all classes of
bonds deposited up to the par value of
the bonds, instead of 80 per cent. of
their face, as heretofore. This ought
TO make an immediate increase in ma
tional bank circulation of something
like $24.OO000O, as the amount of
bonds now deposited to secure circu-
laticn is about $242, 100000. If the
price of the new 2s is not forced 50
high In the market that there is no
profit left to national banks in taking
out circulation, we may also look for
a material increase IL national banl;
circulation based on additional depos.
its of bonds
Steamer Wrecked.
Philadelphia, Pa, March 14.-News
of the loss OF the Norwegian steam