St. Joseph County Independent, Volume 21, Number 20, Walkerton, St. Joseph County, 7 December 1895 — Page 6

ABATIOMFAIBS President Cleveland’s Message to Congress. HIS CURRENCY PLAN. Would Issue Bonds and Retire Greenbacks. Only Way to Break the “Endless Chain’’ Strongly Favors the Gold Standard, but Advocates Silver and Silver Certificates for Domestic Exchange—Parity Must Be Preserved, and Temptation to Speculation Removed—Would Reduce Tax on National Bank Circulation — Foreign Relations Reviewed. President Cleveland's message to the Fifty-fourth Congress was not transmitted until Tuesday forenoon, when it was read before both House and Semite. It was of great length, over 20.000 words; it dealt exhaustively with alt questions which have arisen during the past year, and also with those of current interest. The message opens with a reference to the importance of our foreign relations and the exigencies of the national finances at this time and the consequent determination of the President to confine his message to the subjects. The first subject of importance touched upon is the disordered condition of affairs in China following upon the close -A PKI SIDENT CLEVELAND. of the war with Japan, the consequent weakening of the central authority of the government and the serious outbreaks of the old fanatical spirit against foreigners is discussed. The demands of the United States and other powers for the punishment of the aggressors and the compliance of the Chinese Government are related, as is the demand of the United States -for a special commission to investigate the disturbances where they were first brought out.. “The energetic steps we have thus taken.” says the President, “are all the more likely to result in future safety to our citizens in China, because the imperial government is, I am persuaded, entirely convinced that we desire only the liberty and protection of our own citizens and redress for any wrongs that they may have suffered, and that we have no ulterior designs or objects, political or otherwise.” Os the Waller incident the message says: “The customary cordial relations between this country and France have been undisturbed with the exception that a full explanation of the treatment of Jean L. Waller by the expeditionary military authorities of France still remains to be given.” “The official record of the trial has been furnished this government,” says the message, “but the evidence adduced in impport of the charges—which was not received by the French minister for foreign affairs till the first week in October—has thus far been withheld, the French Government taking the ground that its 1 production in response to our demand would establish a bad precedent. The I efforts of our ambassador to procure it. i however, though retarded by recent ■ changes in the French ministry, have not ] been relaxed, and it is confidently expect- i ’ed that some satisfactory solution of the ! matter will shortly be reached. Mean- ‘ while, it appears that Mr. Waller’s can- i iinement iias every alleviation which the state his health and all the Qther cir- ! Vumstances of the case demand or per- j mit.” P The President points out as a pleasant ’contrast the conclusion of a permanent treaty of arbitration between the two countries. and recommends the acceptance of the invitation to take part in the Faris exposition of 1900. t Our relations with Germany, he says, are influenced by the “delusive doctrine 1 that the internal development of a nation > is promoted and its wealth increased by : a policy which is undertaking to reserve i Us home markets for the exclusive use of .Us o.- n irrodmers. necessarily obstructs their sales in foreign markets, ami pre’vents free access to the products of the world. The desire to retain trade in lime- I worn ruts, regardless of the inexorable i laws of new needs and changed condi- ! fions of demand and supply, and our own ] halting tardiness to inviting a freer ex- ] change of commodities and by this means j ’imperiling our footing to the external j markets naturally open to us, have ere- j -nied a situation somewhat injurious to American import interests, not only in .Germany, where they are perhaps most iiwticeable, but in adjacent countries. The effect of this, particularly on food products ami also on our insurance companies. is pointed out. The necessity for open-handed fairness in dealing with other nations is stated, but it is argued that ft necessary to provide restrictions similar io those from which we suffer in order to guard against unfair discrimination, the way to such a course is easy, (mi should not be lightly entered upon. The vexatious points of the Bering sea ^rulion are referred to ami the failure *>f the arbitration tribunal to provide a wtcans of settlement are pointed out. The .jjMMiSiciency of the British patrol of Hering Sea and the necessity for a more effective enforcement of regulations have, 14 is said, been pointed out to the British Government, if it is hoped to save the seals from extinction. Os the proposal to

pay $125,000 to Great Britain in settlement of British claims for damages, I which was refused by the last Congress. the President recommends that it can again be considered and sanctioned. If this is refused we are bound by every consideration of honor and good faith, ho ; says, to provide for a speedy settlement by arbitration. A treaty of arbitration is. accordingly, to be laid before the Senate. An appropriation for the completion of the Alaska boundary survey, which follows the contour of the coast is earnestly recommended. The importance of an in- , ternational agreement as to the line of the 141st meridian, which forms the rest of the boundary, is dwelt upon. Attention is also called to tiie unsatisfactory condition ( of the boundaries with Canada in the ' great lakes ami the necessity for a joint commission on the subject. The Venezuela Controversy. Os Venezuela the message simply states ( ’that a statement of the interest and pol--1 icy of the United States regarding the boundary dispute was sent to Great Britain in July last. “The general conclusions therein reached and formulated,” says the President, “are in substance that the traditional and established policy of the Government is firmly opposed to forcible increase by any European power of its territorial possessions on this continent; that this policy is as well founded in principle as it is strongly supported by numerous precedents; that as a consequence the United States is bound to protest against Ihe enlargement of the area of British ■ Guiana in derogation of the rights and against the will of Venezuela: that, eon--1 sidering the disparity in strength of Great Britain and Venezuela, the territorial dispute between them can be reasonably settled only by friendly and impartial arbitration, and that the resort to such arbitration should include the whole controversy. and it is not satisfied if one of the powers concerned bo permitted to draw an arbitrary line through the territory in debate and declare that it will submit to arbitration only the portion lying on one side of it. In view of these eon elusions, the dispatch in question called upon the British Government for a deti | nite answer to the question whether it ; would or would not'submit the territorial controversy between itself and Venezue- j la in its entirely to impartial arbitra- | lion. The answer of the British Govern- I ment has not been received, but is expect- J ed shortly, when further communication I on the subject will probably be made to ! the <'ongress. Hawaii is dismissed with a reference to i Ilie uprising hist January, the demands] made upon the Hawaiian Government for the rights of America:) citizens concerned therein, ami the demand for the recall of Minister Thurston. she padrone system is denounced as responsible for such manifestations against helpless aliens as the lynching of Italians in Colorado. Congratulations are offered on our good relations with Japan, in view of her last gains in greatness. Unimportant references are made to our relations with Mexico. Nicaragua and Russia. The recommendation for an abandonment of the Samoan agreement is renewed. Os Cuba the President says the United States must preserve international faith, whatever the sympathy of our citizens with the insurgents. He continues: “Though neither the warmth of our i people's sympathy with th* Cuban insur I gents nor our loss or material damage consequent upon the futile endeavors thus : far made to restore peace and order, nor j any shock our humane sensibilities may 1 have received from the cruelties which ; appear to especially characterize this san- | guinary and fiercely conducted war. have i in the least shaken the determination of the Government to honestly fulfill every international obligation, yet it is to he j earnestly hoped on every ground that the ; devastation <»f armed conflict may speed- i ily be stayed and order ami quiet restored 1 to the distracted island, bringing in their train the activity and thrift of peaceful pursuits.” The Aliianca incident ami Spain's dis- ] avowal of it ami assurances of a non-re- ; currence of similar interferences are stutI ed. The President then expresses his regret that the Turkish Government should have > thwarted the purpose to send to the dis- ■ j turbed quarter of the empire the United | States consul at Sivas in order to invest i- • gate and report. Every effort, he says, is put forth to insure the safety of Amerii can citizens and the United States minister is alert. But. he goes on. several of the most powerful European powers have assumed a duty as agents of the Christian world in Turkey to restrain fanatical bru- : ; tality, and "it is earnestly hoped that ' prompt and effective action on their part ; will not be delayed.” The message recommends at length an ] i improvement in the consular service by i some plan of appointment and control. Delicate Financial Situation. Fully half the message is devoted to a • > discussion of the financial situation. i “By command of the people,” the mes- । sage says, “a customs revenue system de- ; signed for the eirotection ami benefit of ! favored classes at the expense of tne great mass of our countrymen, and which, while inefficient for the purpose of revenue. ] curtailed our trade relations and impeded our entrance to the markets of the world, i has been superseded by a tariff policy which in principle is based upon a denial ! of the right of the government to obstruct j the avenues to our people's cheap living j or lessen their comfort and contentment, ] for the sake of according especial advant- | ages to favorites, and which, while en- ‘ couraging our intercourse ami trade with I other nations, recognizes the fact that j American self-reliance, thrift ami ingenu- j ily can build up our country's industry : and develop its resources more surely than ' i enervating paternalism.” But this and the repeal of the silver- i { purchase law. it is said fall far short of j i curing the financial evils from whieb^he I i suffer. A lengthy review follows of the growth 1 । of our currency, especially the United । States notes and treasury notes, and the consequent endless drain on the gold reserve of the treasury. The President states that “among the causes for this constant and uniform shrinkage in this fund may be mentioned I the great falling off of exports under the operation of the tariff law until recently’ I j in force, which crippled our exchange of j commodities with foreign nations and j necessitated to some extent the payment of our balances in gold; the unnatural infusion of silver into our currency, and । th<‘ increasing agitation for its free and unlimited coinage, which have created i apprehensi as to our disposition or ability to continue gold payments; the । consequent, hoarding of gold at home and the stoppage of investments of foreign capital as well as the return of our securities already sold abroad, and the high rate of foreign exchange, which induced the shipment of our gold to be drawn against as a matter of speculation.” . , . ■ 1

Dealings with Bond Syndicate. The history of the various bond transactions which have been resorted to in order to replenish the gold reserve is reviewed and the constant subsequent fallings off pointed out. Os the last transaction with the syndicate the President says: “The performance of this contract not only restored the reserve, but checked for a time the withdrawals of gold and brought on a period of restored confidence and such peace and quiet in business circles as were of the greatest possible value to every interest that affects our people. I have never had the slightest misgiving concerning the wisdom or propriety of this arrangement, and am quite willing to answer for my full share of responsibility’ for its promotion. I believe it averted a disaster, the imminence of which was fortunately not at the time generally understood by our people.” We are now, the President says, nearly where we started and nearly all of the gold withdrawn has been paid out on United States notes, which still remain uncanceled. Therefore, he says, “I am convinced the only’ thorough and practicable remedy for our troubles is found in the retirement and cancellation of our United States notes, commonly’ called greenbacks, and the outstanding treasury notes issued by the government in payment of silver purchases under the act of 1890.” I believe this could be quite readily ac-, complished by the exchange of these notes! for United States bonds of small as wel|i as large denominations, bearing a rate of'-interest. They should be longS term bonds, thus increasing their desirra bility as investments, and because then? payment could be well postimned to a period far removed from present financial bunions and perplexities, when, with increased prosperity and resources, they would be more easily met. To further insure the cancellation of these notes and also provide away by which gold may be added to our currencyin lieu of them, a feature in the plan should be an authority given to the Secretary of the Treasury to dispose of the I bonds abroad for gold if necessary to com- ] plete the coaicmplated redemption and cancellation, permitting him to use the ' proceeds of such bonds to take up and j cancel any of the notes that may be in the treasury or that may be received by l the Government on any account, The increase of our bonded debt inrolvi cd would be amply compensated by renew- ! cd activity in a’l business circles,' restored i confidence at home, reinstated faith ia i our monetary strength abroad and stim- ] illation of every interest and industry that would follow the cancellation of the gold-demand obligations. In any event, the bonds proposed would stand for the extinguishment of a troublesome imlehf’edness, while in the path we now follow there lurks the menace of unending bonds, with our indebtedness still undischarged and aggravated in every feature. The obligations necessary P» fund this indeh’.slness would not equal in amount those fn;m which we have been relieved since ISS4 by anticipation and payment beyond the requirements of the sinking fund out i of our surplus revenue. The currency withdrawn by the retirement of the United States notes and , treasury notes, amounting to probably less ] than BlNG.imni.ihmi might be supplied by such gold as would bo used in their retirement or by an increase in the circuit.ion of our national banks. Though the aggregate capital of those now in existence amounts to more than *O,OOO, trw i outstanding circulation, based on bend i security, amounts to only about $ UHI.IHM. imh*. They are authorized to issue notes amounting to IM* per cent of the bonds deposited to secure their circulation, but in no event beyond the amount of their ■ capital stock, and they are obliged to pay ] 1 per cent tax on the circulation they is- ] । sue. 1 think they should be allowed to issue I circulation equal to the par value of the I bonds they deposit to secure it, and that ; : the tax on their circulation should lie , ] reduced one-fourth of 1 per cent., which | would meet all the expense Government , incurs on their account. In addition they } should be allowed to substitute or dei»osit, * in lieu o’s the bonds now required as se- I curity for their cin-ulation. those which : would be issued for the purpose of re- i tiring the United States notes and treas- : ury notes. The banks already existing, if they j desired, could issue circulation in addi-l tion to that already outstanding, amount- | ing to s4“S.imni.(HM>, which would nestriy , or quite equal the currency projstsed to ] be cancelled. At any rate, i should eon- I fidently expect to see the existing nation- : al banks, or others to be organized, avail themselves of the proposed encouragements to issue circulation, and promptly fill any vacuum and supply every currency need. It has always scented to me that the provisions of law regarding the capital of national banks which operate as a limitation to their location fail to iimke proper compensation for the suppression of State banks, which came near to the people in all sections of the country and readily furnished them with banking accommodations and facilities. Any inconvenience or embarrassment arising from these restrictions on the location of national banks might well be remedied by better adapting the present system to > the creation of banks in smaller communities or by permitting banks of large capital to establish branches in such localities as would serve the people—-so regulated and restrained ns to secure their safe and conservative control and management. But there might not be the necessity 1 .r such an addition to the eurrewey by new issues of bank circulation as it first I glance is indicated. If we should be relieved from maintaining a gold reserve under conditions that constitute it the barometer of our solvency, and if our treasury should no longer be the foolish I purveyor of cold for nations abroad, or for speculation and hoarding by our citizens at home, I should expect to see gold resume its natural and normal functions in the business affairs of the country and cease to be an object attracting the timid watch of our people and exciting their, sensitive imaginations. Silver Coinage, [ Ido not overlook the fact that the canI collation of the treasury notes issued un- | der the silver-purchasing act of 1890 i would leave 'the treasury in the actual ownership of sufficient silver, including seigniorage, to coin nearly $178,000,000 standard dollars. It is worthy of consideration whether this might not, from time to time, be converted into dollars or fractional coin and slowly put into circulation, as in the judgment of the Secretary of the Treasury the necessities of the country should require. Whatever is attempted should be entered upon fully appreciating the fact that by careless, easy descent we have reached a dangerous depth; our ascent will not be accomplished without laborious toil and struggle. We shall be wise if p e realize

that we are financially ill and that our restoration to health may require heroic treatment and unpleasant remedies. In the present stage of our difficulty it is not easy to understand how the amount of our revenue receipts directly affects it. The important question is not the quantity of money received in revenue payments, but the kind of money we maintain and our ability to continue in sound financial condition. We are considering the Government's holdings of gold,as related to the soundness of our money and as affectingour national credit and monetary ’strength. If the gold reserve had never been impaired; if no bonds had been issued to replenish it; if there had been no question concerning our ability to continue gold payments; if vu r revenues were now paid in gold, and if we could look to our gold receipts as a means of maintaining a safe reserve, the amount of our revenues would be an influential factor in the problem. But unfortunately all the circumstances that might lend weight to this consideration are entirely lacking. No Gohl from Revenues. In our present predicament no gold is received in payment of revenue charges, nor would there be if the revenues were increased. The receipts of the treasury, when not in silver certificates, consist of United States notes and treasury notes issued for silver purchases. These forms of money are only useful to the GovernI ment in paying its current, ordinary exI ponses, and its quantity in Government | possession does not in the least contribi lite toward giving us that kind of safe [financial standing or condition which is built on gold alone. If it is said that these notes, if held by the Government, can be used to obtain gold for our reserve, the answer is easy. The people draw gold from the treasury on demand upon United States notes ami treasury notes, but the proposition that the treasury can on demand draw gold from the people noon them would be regarded in these days with wonder and .amusement. Ami even if this could be done, there is nothing to prevent those thus parting with their gold from regaining it the next day or the next hour by the presentation of the notes they received in exchange for it. The secretary of the treasury might use such not taken from a surplus revenue to buy gold in the market. Os course he could do this without paying a premium. Private holders of gold, and, unlike the Government, having no parity to maintain, would not , bo restraim'll from making the best bargain possible when they furnished gold to the treasury; but the moment the seeretary of the treasury bought gold on any terms above par he would < stablish a general ami universal premium upon it, thus breaking down the parity between gold and silver which the Government is pledged to maintain, and opening the way to new and serious complie d ions. Meantime the premium would not renriin stationarv-, ami the absurd spectacle might be presented of a dealer selling gold to the Government, and with United States or treasury notes in hand immediately clamoring for its return and a resale at a higher premium. It may be < iaimed that a large revenue and redundant receipts might favorably affect the situation under dismission by affording an opportunity of retaining these notes in the treasury when received, ami thus preventing their presentation for j gold. Such retention, to be useful, ought ] to be nt least measurably permanent; and this is precisely what is prohibited, so far ' as I nited States notes are concerned, by gthc law of ls7s forbidding their further retirement. That statute, in so many words, provides that these notes, when received into the treasury and belonging to the I niteii States, shall be "paid out again and kept in circulation.” It will, i moreover, be readily seen that the Gov- | eminent could not refuse to pay out Unit- | ed States notes and treasury notes in curi rent transactions when demanded, and i insist on paying out silver alone and still j : maintain the parity between that metal , ! and the currency representing gold. Be- ; I sides, the accumulation in the treasury <»C I currency of any kind exacted from the : I people through taxation is justly regarded i as an evil ami it cannot proceed far with- ] out vigorous protest against an unjustifi- ; able retention of money from the business j of the country and a denunciation of a ! scheme of taxation which proves itself to ! be unjust when it takes from the earnings । and income of the citizens money so much in excess of the needs of govern- < ment support that large sums can be gath- . ered and kept in the treasury. Such a condition has heretofore, in times of surplus i revenue, led the Government to restore । mrreijcy to the pie by the purchase of its nnmatunsl bonds at a large premium and by a large increase of its deposits in national banks, and we easily remember that the abuse of treasury accumulation has famished a most persuasive argument in favor of legislation radically reducing our tariff taxation. Perhaps it is suppsed that sufficient revenue receipts would in a sentimental way improve the situation, by inspiring confidence in our solvency and allaying the fear of pecuniary exhaustion. And yet. through all our struggles to maintain our gold reserve, there never has been any apprehension as to our ready ability to pay onr way with such money as we had; and the nuestiou whether or not our current receipts met our current expenses has not entered into the estimate of our . sob ency. Os course, the general state pf onr funds, exclusive of gold, was entirely immaterial to the foreign creditor ran i investor, liis debt could only be f.paid’ in gold, and his only concern was lour ability to keep on hand that kind of phoney. ’ On July 1, 1892. more than a year and a । half before the first bonds were issued to. replenish the gold reserve, there was a net balance in the treasury, exclusive of such reserve, of less than $13,000,000; but the gold reserve amounted to more than $114,000,OCX), which was the quieting feature .of the situation. It was when the stock i of gold began rapidly to fall that fright . supervened and our securities held abroad were returned’ for sale and debts owed abroad were pressed for payment. In the meantime, extensive shipments of gold and other unfavorable indications caused restlessness and fright among our people at home. Thereupon the general state of our funds, exclusive of gold, became also immaterial to them, and they, too, drew gold from the treasury for hoarding against all contingencies. This is plainly shown by the large increase in the proportion of gold withdrawn which was retained by our own people as time and threatening incidents progressed. During the fiscal year ending June 30, 1894, nearly $85,000,000 in gold was withdrawn from the treasury and about $77,000,000 was sent abroad, while during the fiscal year ending June 30, 1595. over $117,000,000 was drawn out, of which only about $06,000,000 was shipped, leaving the large balance of such withdrawals to be accounted for by domestic hoarding. (Increased Revenues No Remedy. Inasmuch as the withdrawal of our

gold has resulted largely from fright, ' there is nothing apparent that will pretent its eontinnauce or recurrence with its natural consequences, except such a change in our financial methods as will reassure the frightened and make the desire for gold less intense. Jt is not clear how an increase in revenue, unless it be in gold, can satisfy those whose only anxiety is to gain gold from the Government’s store. It cannot, therefore, be sale to rely upon increased ■•(•venues as a cure for our present troubles. It is possible that the suggestion of increased revenue a.s a remedy for the difficulties we are considering may have originated in an intimation or disrimt allegation that the bonds which have been issued ostensibly to replenish otir 1 gold reserve were really issued to supply insufticient revenue. Nothing can be tur- I ther from the truth. Bonds were issued [ to obtain gold for the maintenance of our , national credit. As has been shown the ] gold thus obtained has been drawn again : from the treasury upon United States ! notes and treasury notes. This operation i would have been promptly prevented, if ] possible, but these notes having thus been passed to the treasury they became the money of the Government, like any other ordinary Government funds, am! there was nothing to do but to use them ! in paying Government expens- s when ! needed. At no time when bonds, have been is- ' st*d has there been any consideration of the question of paying the expenses of ■ Govi'nimrnt with their proceeds. Al ihe ; time of each bond issue we had a safe surplus in the treasury for ordinary operations, exclusive of the gold in our reserve. In February, 1894, when the first issue of bonds was made, such surplus amounted to over $18,000,000; in November, when the second issue was made, it amounted to more than $42,000,000, and in February, 1895. when bonds for the third time were issued, such surplus amounted to $98,072,420.30. Besides all this, the Secretary of the Treasury had no authority whatever to issue bonds to increase the ordinary revenues or pay current expenses. I cannot but think there has be< n B cme confusion of ideas regarding the efforts of the issue of bonds and the results of the withdrawal of gold. It was the latter process and not the former that by substituting in the treasury United States notes and treasury notes for gold increased by their amount the money which was in the first instance subject to. ordinar.v government expenditure. Although the law compelling an increased purchase of silver by the Government was passed on the 14th day of July. 1891*. withdrawals of gold from the treasury upon the notes given iu payment on such purchases did not begin until October. Ix9l. Immediately following that date the withdrawals upon both these noles and United States notes increased very largely, and have continued to such an extent that since the passage of that law there has been more than thirteen times as much gold taken out of the treasury upon United I States notes and treasury notes issued for silver purchases as was thus withdrawn during the eleven and a half years immediately prior thereto am! after the first day of January, 1579, when specie payments were resumed. It is neither unfair nor unjust to charge ■ a large share of our present financial per- ; plexities and dangers to the operation of the laws of IS7S and 1890 compelling the purchase of silver by the Government, I which not only furnishes a new treasury ] obligation upon which its gold could be I withdrawn, but so increased the fear of an overwhelming flood of silver and a forced descent to silver payments that ‘ even the repeal of these laws did not eni tirely cure the evils of their existence. Free Silver Coinage. While 1 was endeavoring to make a , plain statement of the disordered condi- : lion of our currency and the present dan- i . gers menacing our prosperity and to sug- I < gest away which leads to a safer finan- j ■ cia! system, I have constantly had in mind j the fact that many of my countrymen. । । whose sincerity I do not doubt, insist that I the cure for the ills now threatening us I may Is- found in the single and simple j remedy of the free coinage of silver. They contend that our mints shall be at once thrown open to the free, unlimited and indepeudeut 7-oinage of both gold and silver dollars, of full legal tender quality, re- • gardless of the action of any other Govj ernment and in full view of the fact that I the ratio lietween the metals which they ] suggest calls for 160 cents' worth of gold in the gold dollar at the present standard, I and only 50 cents in intrinsic worth of , silver iu the silver dollar. Were ’here infinitely stronger reasons I than can lie adduced for hoping that such i action would secure for us a bimetallic ] currency moving on lines of parity, an exI pe’riment so novel and hazardous as that j proposed might well stagger those who bei lieve that stability is an imperative condition of sound money. No government, no i human contrivance or net of legislation ! has ever been able to hold the two metals i together iu free coinage at a ratio apprei ciably different from that which is es- | tablished in the markets of the world. I Those who believe that our independent ; free coinage of silver at an artificial ■ ratio with gold of 16 to 1 would restore the parity between the metals, and consequently lietwoen the coins, oppose an unsupported and improbable theory to tli<’ general Iwhef and praciice of other nations, and to the teachings of the wisest statesmen and economists of the world, both in the past and present, and, what is far more conclusive, they run counter to their own actual experiences. Twice in onr earlier history our lawmakers, in attempting to establish a bimetallic currency, undertook free coinage m>on a ratio which accidentally varied from the actual relative values of the two metals not more than 3 per cent. In Imth cases, notwithstanding greater difficulties and cost of transportation than now exist, the coins whose intrinsic worth was undervalued in the ratio gradually and surely disappeared from onr circulation and went to other countries, where their real value was better recognized. Acts of Congress were impotent to create equality where natural causes decreed even a slight inequality. '1 wiee in our recent history we have signally failed to raise by legislation the value of silver. Under an act of Congress passed in 1878 the Government was required for more than twelve years to expend annually at least $24,000,000 in the purchase of silver bullion for coinage. The act of July 14. 1890, in a still bolder effort, increased the amount of silver the Government was compelled to pur- • chase, and forced it to become the buyer annually of 54.000,600 ounces, or practically the entire product of our mines. Under both laws silver rapidly ami steadily declined in value. The prophecy, and the expressed hope and expectation of those in the Congress who led in the passage of the last-mentioned act, that ■ I it would re-establish and maintain the

former parity between the two metals ar« still fresh in our memory. In the light of these experiences, which accord with the experiences of other nations. there is certainly no secure ground for the belief that an act ot Congress could now bridge an inequality ot s*) per cent, between gold and silver at our present ratio, nor is there the least possibility that our country. whi<-h has less than one-seventh of the silver money in the ’ orld. could by its action-alone raise not only onr own but all silver to its lost ratio with gold. Our attemjit to accomplish this by the free coinage of silver at a ratio differing widely from actual relative. values would be the signal for the complete departure of gold from our eir- ' culation. the immediate and large conI traction < ( f <mr cir<-u!atiug medium, and a I shrinkage in the real value ami monetary i efficiency of all other forms of currency ] as they settled to the level of silver mono- । metallism. Every one who receives a ' fixed salary and every worker for wages : would find the dollar in his hand ruthless- । ly scaled down Io the point of bitter dis- ] appointment if not to pinching privation. WameJ by History, All history warns us against rash experiments whu h threaten violent changes in our monetary standard and the dograda- । tion of our currency. The past is full of I lessons teaching not only the economie ! dangers, but the national immorality that ’ follows iii the train of such experiments. ; I v ill not I e’icve that American people : can tie persuaded after sober deliberation to jeopardize their nation’s prestige ami. pre;: I standing by encouraging financial nostrums, nor that they will yield to the false allurements of cheap money, when t), P y rr^’ire that it must result in the weak n;ng of that financial integrity and rectitude which thrs fur m cyr history has been so devotedly cherished as one of the traits of true Americanism. ’ Cfl Our country's indebtedness, whether owing by the Government or existing between individuals, has been contracted with reference to our prertat standard. To decree by act of cciigross that these (b bts shall be payable in less valuable dollars than those within thr < ontemplation and intention of the parties when cent • .1* led, would operate to transfer by the fiat of law and without compensation an amount of property and a volume of rights and interests almost incalculaI ble. Those who advocate a blind and headlong plunge to tree coinage in the name of bimetallism and professing the belief contrary to all experience that we could thus establish a double standard and a concurrent circulation of both metals in our coinage are certainly reckoning from a cloudy standpoint. Our present standard of value is the standard of the civilized world, and ]Hrmits the only bimetallism now possible, or at least that is within the independent reach of any single nation. however powerful that nation may be. While the value of gold as a standard is steadied by almost universal commercial and business men. it does not deI spise silver nor seek its banishme.it. M'herever there is at its side in free and unquestioned circulation a volume of silver currency sometimes equaling, sometimes even exceeding it in amount, bot'n are maintained at a parity notwithstamh ing a depreciation or fluctuation in the in* trinsic value of silver. There is a vast difference between a | standard of value and a currency of monetary use. The standard must neces- : sarily be fixed and certain. The currency I may be in divers forms and of various kinds. No silver-standard country has a gold currency in circulation, but an enlightened and wise system of finance secures the benefits of both gold and silver as currency and circulating medium by keeping the standard stable and all other currency nt par with it. Such a system and such a standard also give free scope for the use and expansion of safe and conservative credit, so indispensable to broadl i ami growing commercial transactions and Iso well substituted for the actual use of money. If a fixed and stable standard is maintained. such as the magnitude and safety of our commercial transactions and business require, the use of money itself is ! conveniently minimized. Every dollar of I fixed and stable value has. through the | agency of confident credit, an astonishing ! capacity of multiplying itself in financial work. Every unstable and fluctuating dollar fails as a basis of credit, and in itt use begets gambling, speculation and une Hermines the foundations of honest enterprise. I have ventured to express myself on this subject with earnestness and plainness of speech because 1 cannot rid myself of the belief that there lurks in the proposition for the free coinage of silver, s«s strongly approved and so enthusiastically advocated by tiie multitude of my countryim n. a serious menace t<» onr prosperity and an insidious temptation of oui people to wander from the allegiam« they owe to public and privrle integrity. It is because I do not distrust the goo<i faith and sincerity of those who press this ] scheme that I have imperfectly, but with i zeal, submitted my thoughts upon, this I momentous subject. I cannot refrain from begging them to re examiue their ] views and beliefs in the light of patriotic reason and familiar experience and to weigh again and again the consequence of such legislation as their efforts have invited. Even the continued agitation of tiie subject adds greatly to the diffi- | eulties of a dangerous finam ial situation j silready forced upon us. In conclusion. 1 especially entreat the people's representatives in the Congress, who are charged with the responsibility of inaugurating measures for the safety ami prosperity of our common country^ to promptly ami effectively consider th« ills of our critical financial plight. I have suggested a remedy which my judgment approves. I desire, however, to assure the Congress that I am prepared to co-operate with them in perfecting any , other measure promising thorough ami practical relief and that I will gladly ia- . bor with them in every patriotic endeavor to further the interests and guard tha welfare of our eounirymen whom in oh? respective places of duty we have under* ] taken to serve. Welding Bead. , According to the Revue Industrielle, . M. Blundell has introduced a new method of uniting lead to lead. The two surfaces to be joined are scraped clean and a thin layer of lead amalgam is interposed between them. An ord.nary soldering iron is then passed over tlm line of junction, and the mercury of tha thin sheet of load leaves the finely divided lead to fuse and unite the two surfaces. It Is not bow much we have, but how much we enjoy that makes happiness.