The evening times. [volume] (Washington, D.C.) 1895-1902, 1901-02-05
THE HILL MONETARY BILL
House to Be Asked to Make 1t a
Special Order.
The Minority Report Filed Against
the Measure to Maintain the Lee
gal Tender Silver Dollar mt Par
ity with the Yellow MefnI-The
Reasons Given by the Opposition.

the Committee on Rules to report spe-
ciaI order for the consideration of the
Hill bill to maintain the legal tender
silver dollar at parity with gold.
The Administration. it is asserted. is
anxious that the bill be passed by the
House, although. of course, it cannot pass
the Senate this Congress.
The minority report on the bill is con-
sidered a strong argument in refutation of
the claims advanced by the ma ority. The
views Of the minority are thus presented
by Representative Shafroth:
The minority of the Committee On
Coinage, Weights and Measures dissent
from the views of the majority expressed
in their report upon the bill CI R. 13.099l
10 maintain the legal tender silver dollar
at parity with gold, and recommend that
it DO not PASS.
The bill provides that the Secretary CT
tie Treasury is directed TO exchange gold
for legai-tender silver dollars whea pre-
scented to the Treasury in sums OF i've dol
lars, OF any multiple thereof
We object TO the passage of this meas
ure-
First. Because it will impose increas-
ed burdens upon the gold reserve Of the
/ Treasury.
TO say that it will not is to deny the
recognized principle OF supply and demand.
I 10 add the see .CGG COS Of silver dollars
which nO8 act as redemption money for
| the silver certificates and are not a charge
upon the gold reserve to the moneys which
are re3ecfnabie IL gold must greatly in
erase tfe burdens upon the Treasury re-
serve
| The law now provides a gold reserve
| Of $3.50 690.6 600. The only moneys which
are nov redeemabIe in gold are the
! United States notes commonly called
! greeHbacks. consisting Of S346. 68I. 616. and
! the Treasury notes issued under the Sher-
! man act. consisting OF S5S. l6G, OG0. which
/ y3Nre issued tor purchases of silver and
| unGer vicious department ruling were
! made redeeemable in gold making total
! charge upon the gold reserve of 500. SAL
/ as To make the $500 5000 OF silver and
/ silver certificates reasonable in gold viii
| more than double the eTarges Upon that re-
serve, and would necessitate doubling the
| same
| Would the Comptroller OF the Currency
I permit national bank, which has deposits
/ sufficient 10 require reserve Of 500. 600.
| 10 become liable for double the deposits
| without doubling that fund?
| 1t cannot be safe for a nation to in
| crease its gold obligations without incress-
| ing its reserve.
Second. Because it will create a new
endless chain upon the gold reserve Of the
| Treasury
The policy of the Government hereto
! fore has been to diminish the obligations
/ redeemabi bic in gold and thereby prevent
! runs upon the Treasury. The gold stand
ard advocates have Unanimously contended
that the greenbacks should be retired, so
as to relieve the Government of the neces-
sity and cost of maintaining a gold re-
serve. They contended that the Govern
ment should go out of the banking bust
ness This means reversal of that pol
! icy II creates new obligations upon the
reserves. 1t plunges the Government
/ deeper into the banking business
/ Third Because 1t facilitates the expOr-
/ tation of gold.
BY making the principal medium of ex-
/ change used by The people redeemable in
gold il becomes much easier for the ex-
/ porter Of gold TO gather up obligations
/ payable in that metal and present them u
the Treasury for exchange. No other ma
tion on earth facilitates the export of
gold The Bank Of England. which is the
! excheQUer OF that Government. even raises
the rate Of discount upon all obligations
in order 10 prevent gold from going
abroad The Bank of France. which is the
treasury Of that nation, often refuses to
give gold for the sole purpose of creating
1 a slight premium on that metal, and
thereby impede its expectation. Why
/ should We increase the means Of getting
gold from the Treasury for shipment
| abroad?
The scramble Of the European nations
| al the present time for gold should dem
! onstrate the necessity for legislation dis
| couraging instead Of encouraging the ex-
portal ton OF that metal
Fourth Because it will produce the
destruction of silver dollars and silver
/ certificates as money
/ When silver dollars are made payable
| in gold they become simply promises TO
/ pay What Government would maintain
/ promises To pay stamped upon as dear ma
! teriaI as silver when they could be print
4 ed upon paper at no appTeciaDle COST
! Would il not be foolish for the nation TO
/ keep invested in promises to pay 1886 00o,-
/ 900 Cthe bullion value OF her silver dol
! larsD when she could print them upon pa
! per and save that amount? Nearly every
! witness that testified before the commit
I Tee admitted that the measure would ulti-
/ Ilately produce a retirement Of the silver
dollars and sale of the same as bullion.
This is a new policy in the treatment
Of the precious metals. No nation on the
! face OF the globe discredits its silver coins
/ by making them simply promises TO pay.
. No Government redeens its silver in gold.
Why should this nation. which pro-
duceg one-tnird of all the silver of the
: world. be the very first to strike down one
i Of its own important industries? These
! facts will be used to justify the Secretary
/ Of the Treasury in melting the silver dol
! lars as this law provides. and thus de-
stroying S50U, 500 900 Of full legal tendss
money.
! Fifth. Because it Will depress tie
I prices Of ali commodities and property.
This measure will make gold DO all the
| work Of basic money now done by 10th
/ gold and silver We cannot thus increase
! the burdens upon gold without increas-
| ing the demand for the same.
! Increased demand means increased
| value Of the thing demanded. Increased
| yaleu Of gold means that il buys more Of
/ commodities and property. and that
! means the seller must yield up more %
! commodities and property TO obtain
| given quantity of gold or money payable
! in that metal; that is, ne must sell q d
| less price. Thus falling prices result.
II Is automatic that falling prices pro-
| duce financial failures aad panics aud
| paraIyze industry and affect every man,
woman. and child IN the world.
| The increase in th9 worlds prOduc-
/ ton Of gold is not sufficient 20 dispIace
! show that more than 30 per cent of the
| gold product is used in the arts or lost
| TO commerce. which leaves only about
| $3.50 Gee, 600 year TO supply the needs of
| all Christ endom. That is less than > per
| cent Of the gold stocks or the world and
/ is no more than the legitimate require
! ments Of an increasing commerce. The
amount thus lost to commerce often rises