The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-01-01
PERIL in TOO MUCH GOLD
CURRENCY INITIATION LEADS TO
0yERExPAysIoN OF BUSINESS.
Address by z. III. Roberts Before Sci
entfsts-Mr. Allies on Treasury OPP
eratfons-Other Conventions.

WASHINGTON, Dec. 31.-To-day's pro-
ceedings Of the convention of the American
Society for the Advancement of Science
consisted almost entirely of meetings OF
the various sections. the general session be-
ing devoted to routine business. The main
interest conferred in the social and economic
science section. United States Treasurer
Roberts discussed the effects OF the inflow
OF gold and George E. Roberts. director Of
the mint, treated on monetary reform. The
former said in part:
THE stock of gold In the United States
shows for four years an annual average
gain of s107, 7S3. 639. In per capita the stock
of gold In this country is greater than any
where else except in France and South At
RIGA. The treasury Of the United States
holds s6l5, 200 and gained SAL, 450,562 in
five years, while all the official banks OF
Europe, taken together in the same period.
lost s37, Al, 102. The inflow of gold has since
July /. 1897, added an average of SIS, 2SS, SIP
every year to our circulation. Here lies
possible peril. Imitation Of currency incites
TO dangerous expansion of business. No
one will suggest that the incoming of gold
shall be stopped, but cannot paper currency
be reduced In dull seasons? Prices Of COM
modities have advanced and wages have
followed little after. How do these con-
difions affect our world relations? Has In
fation Of currency. or prices and wages.
gone so far as to check our exports? In
agriculture. crops at home and abroad de-
mand shipments. Prices and quality con-
troll exports OF manufactures. In the first
ten months og 1902 we sold abroad more
manufactured articles than in any like Pc
Rod except 1900. and they were 32.63 per
cent. of our total exports. The inflow of
gold is not without its hazards. They must
be avoided The American people are sane
enough to make gold not only the symbol
OF prosperity, but its stout defense
Assistant Secretary Allies, of the Treas
ury Department, in paper On the opera
lions of the Treasury Department, said
that for more than half a century IL had
been the established policy of the govern
ment TO relieve the money centers when the
locking up OF money in the treasury caused
stringency- Speaking of what the treasury
had done this autumn, he said: within the
past few months the secretary of the treas
Try, by active efforts, succeeded in stimu-
Iating national banks to take out some $25-
100000 additional circulation. By anticipat-
ing the payment of interest on the public
debt he succeeded in paying out $1,000. OOC
more. with a profit Of over $40 900 to the
treasury, and finally, when the business OF
the country demanded still further relief
he anticipated a portion of the public debt
itself by buying bonds and thus realizing
some $23. 000. 900. BY the time the crop NOV
ing season was over the amount of ca sh
actually locked up in the treasury had beer
reduced by nearly 100000 and there was
l.ft I'm the treasury vaults only little over
>e000.000. which tradition and practice have
established as fair working balance