The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1900-09-07
ON THE FINANCIAL QUESTION GIVEN
SECRETARY GAGE
LETTER FROM CARL SCHURZ
the Secretary of the Treasury Re-
garding the Latter's Statement as to
What a Democratic President Could
do I'm the Way of Forcing Silver on
the Governments Creditors Only
Through Republican C~arelessness or
C~onnivance Could IL be Done.

s -
which you were quoted as saying that
there is no doubt Mr.. Bryan Cf elect
ed president) could order his secretary
Of the treasury to make payment in
silver Of all the public debt payable
in coin, and for all current disburse-
ments Of the government as well. which
amount TO 81, 800. 900 to 81, 150,000 per
day; and that he would give such. an
order, too, is very certain, if he is in
the same mind that he was in 1896"
You went on TO say that although Mr..
Bryan would lave great difficulty IN
doing that at once" owing TO the small
silver resources of the government,
yet he might accomplish it in time, as
the mere announcement of such a pur-
pose would stop the inflow OF gold or
at least very largely diminish pay
ments in gold and correspondingly in
crease payments into the treasury OF
silver and silver certificates" that
this would practically put the govern
ment on a silver basis, ruin its credit,
and bring incalculable disaster upon
the business interests Of the COUNTRY
Having for a great many years tax
| en- a OS6p anu SOInSN nat ClAN =
est in the establishment OF a SOUND
monetary system in the United States,
1 may without improperly publicly
address to you a few remarks In reply
to your public statement. l mphat
cally deny, Mr.. Secretary, that the
danger set forth by you in your inter
views really exists, and that any pres
ident will be able to do what you say
might be DONE, unless the republican
party in control of the government IN
both its legislative and executive
branches, prove itself utterly dishonest
in its protested purpose TO MAINTAIN
the gold standard.
This denial is not based upon the
reasoning of those of your critics who
seek to show by figures that a presl-
lent desiring ever so much to put
the country upon a silver basis, would
lack the means for doing so. On the
contrary, for arguments sake, l will
accept all you SAL on that point. But
you omit to mention a fact of decisive
Importance.
If the executive, as you say, possess
es the discretion of paying silver in
settlement of all interest on h public
debt not specifically payable in gold,
and of making it's daily disbursements
to its creditors in silver it is owing
to a flaw in the currency law passed
at the last session of cOngreSS-a law
which, as the spokesman of the repub-
lican party promised, was to put the
gold standard upo an im~pregndDle
basis. 1t was suggested at the time
by some OF its critics that this law
was purposely so manipulated by re-
publican politicians in the senate as
to leave the possibility of the SubVer-
sion of the gold standard by executive
action open in order to enable the re-
publicans in the present presidential
campaign to say that the election or
a ron11hlioan nraSi6pnt WAS absolutely
necessary to save the gold tandard
and to prevent dreadful
disaster. Whether any such scheme
entered into the legislation,I do not as
sumo to determine. Certain 1T is,
however, that this feature of the law
is now so used, and that you, Mr.. Sec
rotary, actually do so use 1t for the
evident purpose of alarming the bust
ness community and the possessing
classes generally.
1 hardly need to say to you that the
spreading of false alarms of this kind
is a very questionable and responsible
thing for anybody, and especially fol
a secretary Of h treasury. And
call your prediction of the possibilities
specified by you and of The disaster:
sure to follow a false alarm for a very
simple reason. Whoever may be elect
ed president on November 6, there viii
be another session of congress befor.
he will take office on March 4, 1901
The republicans will have strong ma
~jorities in both houses of that congress
The executive, too, will be in the1
hands. They will, therefore, be abl
to make such laws as they please
!, They will have full power and ampl
! opportunity before the inauguration
of the next president to pass any legls
; lation required to make it utterly i'm
, possible to any president to brea
, down the gold standard in the wa,
a - d0CnrTha in n
Interview. A simple enactment in tw
!. or three lines substantially providin
= that il shall be the duty of the Secre
tary of the treasury to pay in gold o
silver, at the option of the creditor, a
kinds of Indebtedness Of the Unite
: States now payable in coin, may b
{ sufficient. And if there should be an
: other flaw in the present law danger
Gus TO the gold standard in n othe
. way, you, Mr.. Secretary, able financie
r as you are, will surely detect 1t, an
find a legislative remedy and have
ready in the shape of a well-maturs
e bill to be submitted to congress at th
= opening OF the session. In short, n
republicans, controlling both the legis
s lative and the executive branches {
o the overnmen will, next Winte
h have ample power and opportunity
n do what they ought 10 have done {
II the last sassion-to put the currenc
low Ia eAG g.
= standard cannot possibly be shaker h
Il executive action, no matter who ma
r occupy the presidential chair-ar
n thus remove, to that extent at leas
e the basis of our monetary system fro,
{. the changeful game Of party polite
d Do you see any reason for doubtir
l. hat congress at it's next session W
= do this? 1t is quite evident that.
l. there is any substance at all in yo'
IS predictions of disaster, the REPUBLICAN
le in n refuse to do
: without proving that the professt
l. solicitude OF the republican party f
lie the maintenance of the gold standa,
is arrant hypocrisy. But II there
> any wavering, I am convinced publ
= opinion will, in case OF necessity, cor
=. pei them to take the necessary steps
= You will thus have to admit, N
81 Secretary, that when you sounded yo'
- note of alarm, o had overlooked Il
II most important fact that you al
1 your party friends, that is, the repu'
=, lican majority In congress, led by q
> administration OF which you form
a influential a part, will be able east
=, and Dromptly to remedy the defec