New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-02-19
PRACTICAL CURRENCY REFORMS.

Whatever their differences on the main ques-
ton of currency reform, all advocates Of larger
schemes for giving elasticity 10 our circulating
medium seem to agree on the utility and prac-
ticability Of the suggestions embodied in the
bill recently reported unanimously by the Sen
ate Finance Committee. These suggestions may
not go 10 the root of the difficulties which have
arisen under our somewhat disjointed and rigid
Treasury system But they remedy certain
specific defects in the working Of that system
and for that reason deserve the consideration
and approval Of Congress. The fact that the
Senate bill, based on a bill which has already
passed the House Of Representatives, has been
indOrsed by the Democratic as well as by the
Republican leaders i'm the Senate encourages the
hope that the present session of Congress Will
not end without some legislation alleviating
currency conditions.
The House bill provides for the issuance of
gold certificates in denominations as low as
$40 and for the reissue of SO silver certificates
IN the form Of 81 and 50 bills. Gold certificates
gre now issued in denominations of from $50
10 $4,000. This practice had a basis in
son. The Treasurys experiences in 1893 1894
and 1895 made it cautious about giving too wide
a distribution 10 its stock of gold demand notes
which could be used 10 deplete a limited gold
redemption fund II preferred TO print notes
Of the higher valuations, SO as TO keep them
Practically il Ine ndn0S or banking lnStltu-
tons equally concerned with the government in
preventing a sudden draft on its gold stock
In accordance with this policy gold certificates
TO the amount of S140.000,O00 are now outstand-
ing in the form Of $4,000 bills certificates TO
the amount Of about $213.OO0OO0 are in bills
OF 500 10 5000 and certificates for only S217-
100000 are in the form of $50 bills. The gold
reserve has been so augmented in the last ten
years that restrictions on the circulation of
certificates are no longer necessary. The Treas
ury has had 10 meet recently most persistent
demand for SO notes, and the House and
Senate measures both seek TO enlarge the SUD-
ply Of currency OF that denomination by nj
lowing the Secretary of the Treasury to issue
gold certificates for So except when the gold
reserve shall fall below SlO0.oOo,000.
II has been the policy Of the Treasury TO
make our silver practically a subsidiary cur
rency, issuing silver notes almost exclusively in
the smaller denominations. OF the silver GER
tthcates outstanding about S44sooOooO are In
81, ~ and s. bills. and only about s28OO0.O00
In bills Of $40 or over. But to enlarge the small
note circulation it is now proposed TO reissue
the larger silver certificates in smaller denomi-
nations and TO increase, at the Sscretary's dis
erection, the issue OF 81, 81 and S. United
States notes commonly known as greenbacks.
Less than s10OOoOO0 Of the greenbacks now
Ia circulation is in S. 81 and 81 bills. The SEN
ate measure purposes further TO abolish the dis
rncron for deposit purposes between the Treas
uys revenue from customs and its revenue
nons internal taxes, and TO raise the limitation