The times. [volume] (Washington [D.C.]) 1897-1901, 1900-01-12
Mr.. STEWART ON MONEY
N.vada's Junior Senator Opposes
the Currency Bill.
Tae Measure Contrndicfory 10 the
Enact Into Law the tsurpntions
of the Treasury Department i'm
Discriminating Against silver.

llCD lDT UlS slttNu bu iAAN NNPA A'HNF '-iA "a
the Senate today, at the close of the regular
routine business. He spoke in part as fol-
lows:
Il am surprised at the proposed legisla-
tion, :he shadows OF which already darhen
the hopes of the conhding victims OF Wall
Street II is so utterly contradictory of the
ST. Louis platform of the Republican party
that it will astonish the country.
THE Senator from Rhode Island, Mr.. AL
drich. in his explanation of the bill under
consideration, said:
Although United States notes and Treasury
notes are by law redeemahe in coin. the inrari-
able practice of the Treasury Department since
lS70 has been TO redeem them in gold coin.
II is to allay the doubts which have been
raised and TO dispel the fears which have been
aroused by the persistent antagonism of the
friends Of the free coinage of silver and the ad-
vocatcs Of a silver standard to all sound monetary
principles that this legislation is iecessaiy.
"The admission of the Senator from
Rhode Island that it is necessary not only
TO violate the platform of the Republican
party, but TO enact into law the usurpa-
tions OF the Treasury Department in dis
eliminating against silver in the payment
of debts shows that the facts and law of
the case are against the contention of the
advocates of gold and that they are under
the necessity TO use the legislative power
OF Congress to silence just criticism.
The Senator from Rhode Island makes
another admission which destroys his
whole contention. He says:
Our own experience and that of other
tries. notably France and Germany. clearly prove
that it is possible 10 keep in circulation at
parity Of value with gold large but limited
amount Of legal-tender silver or notes based
upon such silver without any provision for a COM
pulsory redemption in gold.
THE Senator ignores the fact that the
standard silver money circulating in Ger
many. France, and the United States is a
full legal tender equally with gold. Il
performs all the money functions that
gold can perform, and, OF course, ii re-
mains at par without redemption. 1t
needs no redemption: it is its own re-
deemer as much as gold coin.
THE silver coin an9 the silver certif-
Gates representing coin now in circulation
in the United States are not only as good
as gold coin, but very much better, because
they stay at home and do the business of
the country. The Boer war does not make
them desert this country TO be naturalized
under the mint laws of England TO fight the
Beers, and thereby create panic in New
York. II all our money were silver, sill
Yer certificates. and greenbacks. with no
gold whatever, the Boer war would. not
have disturbed the finances of this coun-
try by depressing prices. destroying val
ues, and creating stagnation in business.
The Senate substitute provides for the
issuance OF an unlimited quantity OF per
cent gold bonds, principal and interest
payable in gold. and also for the refunding |
of the entire national debt into gold bonds |
When that is done. silver will be de-
prived of its debt-paying power. Ii will |
be crippled in the same way that the 4
greenback was crippled in 1862 through
the Vaccinations OF Wall street. by de- |
priying II Of the functions of paying Gus
toms dues and interest on the public debt
The contention that national bank notes
are better money than standard silver coin
or legal tender paper issued directly by the |
Government cannot be maintained. Why 1
does il make money better TO issue IL to I
national banks and guarantee its redemp- I
tion than 10 issue il directly by the Gov |
ernment and cover it into the Treasury, TO I
be paid out in lieu of money obtained from |
taxpayers? IL is very easy TO see how the 1
conversion of a thousand millions OF nom
interest bearing money, consisting OF |
standard silver dollars. greenbacks and /
Treasury notes. into money bearing inter-
est, payable to the banks. would be bene-
ficisl TO the banks, but In what way the
Government or the people are TO be bene-
flied ! am unable to understand.
This enormous and unprecedented out
put OF gold has reduced its purchasing
power. or. what is the same thing. has en-
HANGED the price of property. The wor-
shippers Of gold call attention to the fact
that the country is more prosperous nov
than IL was three years ago. and argue that l
the gold standard has accomplished this re-
suit They overlook our large war expen-
ditures and the fact that while the supply
OF gold was shrinking prices were falling
nad hat r.V.spa - g.f1 7
the supply OF gold was greatly augmented
II they would give this matter a little
thought they would see that II is the GUAM
tity and not the quality of gold which has
given prosperity, because the quality OF
gold during all our years OF adversely WIS
the same as il now is. The check in the fall
of prices and the advance already gained
by the new supply of gold proves the con-
tention OF the silver men. They never pre-
tended that there was anything in the
quality CT silver that would make good
times. but they did contend. and do nov
contend, that an increase in the volume OF
money is what makes good times, and that
silver would accomplish that desirable OBJ
5ect well as gold.
IF am asked how the quantity Of mon
ey can be regulated by law, and honestly
regulated. l Will say that money stamped
on metal or paper. representative OF all
property for sale, clothed with unlimited
legal-tender quality. redeemable in debts |
and taxes. and Of a proper volume. would
be ideal money. IL such money were
established. and the Secretary of the Treas
ury were required TO pay 1t out in lieu of
all other money now in the Treasury. or
hereafter TO be received; IL he were further
required TO destroy all other money OF
whatever description in, or to be in the
Treasury. and to sell. as bullion, all gold
and silver in, or to be paid into, the Treas
ury and TO replace II all with the newly
established money. the volume Of circu-
lation in the country would thereby be
neither increased nor diminished, but IL
would consist of single circulating me-
dium. which. to the exclusion of all other
money would be clothed with the money
function and legal-tender power
"The Secretary OF the Treasury is not SO
absolutely ignorant OF monetary science as
his contention that the value OF gold never
changes would seem TO indicate In his
reply 10 the resolution OF the two houses
OF Congress. representing his transactions
with certain New York banks, he gives as
a reason for depositing the money of the
Government In national banks that II is
to do SO TO avoid contracting the
and that TO keep 1t In the
would disturb the business Of the
1T seems a little strange that the Sec
retary can understand that locking up mon
cy in the Treasury vaults disturbs busf- ,
ness and at the same time thinks 1t is nee
esssry to use only the commodity gold upon
HOS1EITERs ,,;:s .;:s 3 ;::: :::e-.e ::: /: