The Algona Upper Des Moines from Algona, Iowa on December 11, 1895 · Page 7
Get access to this page with a Free Trial
Click to view larger version

The Algona Upper Des Moines from Algona, Iowa · Page 7

Algona, Iowa
Issue Date:
Wednesday, December 11, 1895
Page 7
Start Free Trial

Page 7 article text (OCR)

... y<y<*;sSr aAJftjtiii^'ii.'irtfliL'i^aSi^Mll^tort^B^^Mlfr I . , ^^., ^J*^ JLu^-j^^-tLj-ZL^t —tte^.i 2-3 ~«- '. ^ ....,. 7, .**..j' - .,_ JlC^lLi" .J.. j. .._£ ^ ^~ h i il. fan. ..i-»k i- M-ntgnJafaj..^.. ^-^. * al ."H*"..*. .'. ft—T... ../I J:,-? t -jf>f j&Jffig... I''"' -*.' ^ Xi£j5 Hn. "^aiS 1 '^^> ^Ib.g'jj t _3^£''-'*** * * *fe ' ^ ' ""' 1* * *> >-, r «fV> J" ^ ( i E J j-^-^1 *' "£•' *" 7 - ;ifflN>Mnfef* i fftti : fit-rs delivered;to congress to* _bH^resVbf th8 tfhlted Stales Jsent assemblage of the legiS' .lJlRihcn"6f;6«f 6 government fid* . a time when the Interests of our itftd tiHTft&Sda of the country give M prerhihence to the condition of 1 n'felations and the exigencies tl&hal finances, The reports of i df the several administrative Mheftts of the government fully (lainly exhibit What has been ac-, . llshed within the scope of their re- tive duties, and present such reCom- fts of dur situation as related to our y's condition as patriotic and ln- lit.labor ahd observation sugges't. Jlfefdre deem my executive duty lately performed at this time by iing,. to congress the important jfbtithe sltuatlon'as related'-to our Jjurse with foreign nations, and a mtfnt of the financial problems "|i6bhfroht us,, omitting, except as late to these topics, any reference rtmental operations. FOREIGN RELATIONS, i •«»•• ' ;Cnba, England, Spain and Turkey Discussed. , i , IclosVoit i the momentous' strug- tWeen China and Japan, .while re- fb'the "diplomatic agents of. this ftment from the delicate duty they took at the request of both coun- f.of'rendering such .service, to the Bts of either belligerent within the prial limits of the- other ; as .our al.position permitted, developed a jstlo- condition in the Chinese em- ^hich has caused much anxiety,and '.-for prompt and careful attention. Jr as a result of a weak control by central government over the prov al"administrations, following 'ar.dl- i^tlon. of traditional governmental iprlty under the stress of an over- ifmlng national disaster, or as, a Ilfestatlon upon good opportunity fe.aversion of the Chinese popula- fto, all' foreign ways and under- gs, there „ have occurred in widely '!(',provinces of China serious s of the old fanatical spirit .._ st foreigners, which, unchecked the local authorities, if not actually ""ved at by them, have culminated Ob, attacks on foreign missionary is,- causing much destruction of ty and attended with personal in- 8, as well' as loss of life. .The Chinese Missions. hough but one 'American citizen ^reported to have been actually nded, and although the destruction 'p'perty may have fallen more heavi- pO.nV the missionaries of other ,na- tips'than our own, It plainly be- this government to take the t;?prompt i and decided action to "** against similar or perhaps more ^ul calamities befalling the hun- ,• of American mission states jh' have grown up throughout the ".or of China under the temperate 3f toleration, custom and Imperial jet The demands of the United States ft! other, powers for the, degradation a 'punishment of the responsible of- als of the respective cities and'-proves, ,who by neglect or otherwise had irhiitted uprisings, and for the adop- m of stern measures by the emperor's lyernm^nt for the protection of life "d j i'property of foreigners were! fol- by the disgrace and dismissal of tain provincial officials found dere- .,, }n their duty, and the punish- .ent by death of a .number of those 'pund .guilty of actual participation .in jhe 'outrages. , •« l^his'government also'insisted that'a icial American commission should lit-the province where the first dis- " ances occurred, for the purpose of 'estlgation., This latter commission, \d after much opposition, has gone nd from Tientsin, accompanied *%' suitable Chinese escort, and by its im'pn'stra'tion of the readiness ahd abll- => of bur government tp protect its ,,,;pns will act, it is believed, as a ;pst influential deterrent of any sim- outbreaks. ,'e, energetic steps we have thus tak- ,,,,fg,all the more likely to result Jn ;ure safety to our citizens in China, auge ', the Imperial government Is, 0,persuaded,' entirely ponylnced that desire only the liberty and proteo- .^'pf our own citizens and redress for >y'- wrongs they >may have suffered, >fl that we have no ulterior designs :ts, political or otherwise, China _.{' forget either our- kjP.dly gerv T her" citizens during her, late war •'-'.ftirthe.£ fact that,,.while' fujv , all the faqllitles at our oom- ,to/further the, negotiation of a jetween her and *$pan, , we ^..^nj) 1 advantages and interposed £,pu,pgel, The (^pyernments of both ir, n y.^n^ J^rapan-h^ve.|ni gplral dls- i, transmitted through • their re- s' ^diplomatic representatives ex» in't'inpft pleasing manner their '-"-in of, our assistance uring the unhappy fcgje sM.pj the^ value pf pup a i4 in ,_c. ^. way . to the j r yesumptton O f w ittBffiii W-tiflf «6f td SliefttlJ* :ai ift «¥ei«ati6Ui hiflSfaaeei fe tht Went of dtif share df the 16fUiffl&tt t* vafttSg^a of jjfopeF ttaae feiatldtrsi if ah etaminatioh at the situatldfl suggests, such measures eft etii'Aart at Would JftVolVe festflctldfiS tltiAfo* tb those ffdft whldh, we BUffef, tnft w*y~ t8 sueh a course la easy, tt should, haw; erefi bjf fi6 ttie&HI 1)6 lightly eflt upatl, §i»es ,«is -neeesjilty tdf. ftufiifati^fl ^f sueh a, pdii«^ t ^ fftSrelted by the,b6|l,jietttinteiit .&eo«ife add WftaUSeirnatttfciny. Ically* might leap! td c6«seduett6g9 bf the gravest charaetef. , , -.•'•* intimate and Important! have demanded during the past year eveti a greater share of consideration than la usual.. Several vexatious questions''were left Undetermined fay the decision of the Bering sea arbitration tribunal^ Tha application of the principles laid d6wh by that august body has not been followed by the results they were Intended to accomplish, either- because th» principles themselves lacked in breadth and deflhlteness or because • their execution has 'been more or less Imperfect. Mudh correspondence has been exchanged betweeft the two govern- ments.on'the subjeeUof preventing the exterminating slaughter-'Of-.seals. The insufficiency of the BrftislTp'atrol of Bering Sea, under the .regulations agreed on by the two governments has been pointed out, and yet only two British ships have been on police duty during this season in those Waters. ' The need of a more, effective enforcement of existing regulations as well as the adoption of such additional regulations as experience has shown to be absolutely necessary to carry out thw Intent of the 'award have been earnestly Urged upon the British government) but thus far without effective results. In the meantime the depletion of the seal herds by means, of pelagic hunting has so alarmingly progressed that unless their slaughter is at onco effectively checked their extinction within a few years seems to be a matter of absolute Certainty. The understanding by which the United •States was to pay. and Great'Britain tb receive, a lunip sum of $426,000 In full settlement of all British claims for damages arising from our seizure of,Britlsh sealing 'vessels unauthorized under the award of the Paris tribunal of arbitration, was not confirmed by the last Congress, which declined' .to make the necessary appropriation. I am still of the opinion that this arrangement was a judicious and advantageous one for the government,, and I earnestly recommend that it be again •considered and'sanctioned; Alaskan Boundary. The .commissioners appointed to mark the International boundary in Passama- quoddy bay according to the description,of the treaty of Ghent have hot yet fully agreed; The completion of the preliminary survey of that Alaskan boundary which follows the contour of the coast from the southernmost point of Prince cff Wales Island until It strikes the one hun- 'dred and forty-first meridian at Or near the summit of Mount St. Ellas awaits further necessary approp.-latlcn, which . Is .Urgently recommended. This survey ,was undertaken under the provisions of the convention entered Into by this country and Great Britain July 22, 1S92, and the supplementary convention of Feb. 3, 1894. As to the remaining section .of the Ala,Sr. lean boundary, which follows the one .hundred and forty-first meridian northwardly from Mount St. Ellas to,the Frozen ocean, the settlement of which Involves the phy- slcal location :of the meridian mentioned, no ; conventional' agreement has yet been made. , The ascertainment of a given meridian at a particular point Is a work -requiring much time and careful observations and surveys. .Such observations and surveys were undertaken by the United States coast and geodetic survey in 1890 and 1891, while similar work in the same quarters under British auspices are believed to give nearly coincident results; but these surveys have been independently conducted and no international agreement to mark those of any other parts of the one hundred and forty-first meridian by permanent monuments has yet been made., In th,e meantime the valley of the Y^kon is becoming a highway through the hitherto unexplored wilds of, Alaska, and abundant mineral wealth has been discovered in that region, especially at or near the junction of the boundary meridian with the Yukon and its tributaries. In these circumstances it is expedient,, and, Indeed, imperative,,that th,e Jurjsdlctlonal limits of the respective governments in this region be speedily determined, Her Britannic majesty's government has proposed a joint delimitation of the one hundred and forty-first meridian by an international commission of experts, which, if Congress will authorize it and make duo provisions therefor can be accomplished with no unreasonable delay, It Is impossible to overlook the vital importance of continuing. pofencU Monroe Poctrlne. It being 1 apparent that the boundary dispute between Great Britain and the republic of Venezuela concerning the limits pf British Guiana- was approaching an acute stage, a definite statement of the Interest and policy pf the United States as regards the controversy seemed to be required both on Its own account,and in view of its relations with the friendly powers directly ' concerned. In July, jas.t, therefore, a dispatch was addressed tp our ambassador at Condon-for communication to'the British government, in Which tbo< attitude of the United States ,was fvilJy and distinctly set'fpvthY The general eon- eiusipn therein, reached and formulated are in substance that the traditional ani established policy ,qf this f government Is firmly PPpose&'to a.r'|proiiye Increase by any E.uropea.n ppw,er pf its terrltpriai pps« sesslpns on this continent; that th,|s. ppjicy IS as, wejl fpunned,, In prjnp.ip.le as Jt Is strongly l snppprte,4,'by;(nu me rpws dents; that as a pqnssguence ^j w '' ttm foFffii «! w\ti tjfittl thl ts itit kflo*leai» bbtnlftsd ^sriisffeffi tSit tut mu. , riisft mmw t thli gbv*Hi)fi«fit iibtiRdifil --.--__ let filtoIrM to Ihe aiStftete^l J*lftWa< Hltit it: thaif tmin tfis uetivity aird flrst lime fa risefve afiitt. eofttilhihf &{ thai-Safe . ., Is bound to pptesf agftlnst the; enlargement of the area of British Guiana In fatton. of the r\gl(\Si «ftd against the qf Venezuela.," tftat, tsppsi(lerjn«f he 4lapa.rtty- can-he .. Mends, fl,nd impartial Ajpiitiph, ana the, tesqrt to eweh.'ftrbltraflqis.8hpu,j4 jn T the wj&Qie wntrpwh$ « n « It the pswepi cqnoernea any ' ta *! b *tf «& ft/at it ioffi* ihes tra^ , H *tHp 6t SlfteS lli&t UttS, by th* at Ur« k6Sqult6 hitlohi th* teftltof? f*-:, ta th«a itti b«fea the induct f obs go*erii«a by find fssulatlbfi* of the tletmbllfi instsdd of l&«lf.6*fi cUit6«i» afld fe^UlAtlbfig, Uid thUI of & |)Mtil«g« *eoulfed t« - , Of«4t fiHlala bf ilfilifttf 28, 1600, . ' *h« canatd Affaik Aftef this sxtMslofl 6f unlfofm Miear&guitt &dttilhi«Chitibfi tb Use M6s«lult6 stftp, ifaf case df the.firltuh vice-C6h«ul, Match, and of B6veral of hla BbUhtryffieh, who had bfeeu BUmmafil? expallea ff6W Kltiafagila and treated with. cotisldsf able indignity, provoked A claim by Great Britain upon Nicaragua (of fceeunlafy ihaemnity, which) upon Nloar" agua'g refusal to admit liability, wai enforced by Great Britain. While the sovereignty and Jurisdiction ei Nicaragua Was in no Way questioned by Great Britain, the termer** arbitrary conduct in retard to British subjects furnished the ground fof this proceeding, A British naval (dree occupied without resistance the Pacific seaport of Corlntb, but waa soon after Withdrawn upon the promise that the rum demanded would be paid, Throughout this incident tha kindly offices of the United States were Invoked and were employed; in favor of as peaceful a settlement and as much consideration and Indulgence to* ward Nicaragua as were consistent with the nature of the case. Our efforts haVe ilnce been made the subject of appreciative and grateful recognition by Nicaragua, Turkey and Armenia. Occurrences in Turkey have, continued to excite concern. The reported, massacre of Christians in Armenia and the development there and In other districts of a spirit of fanatic hostility to Christian Influences naturally excited apprehension for the safety of the devoted men and women who, as dependents of the foreign missionary societies in the United States, reside in Turkey, under ,the guarantee of 'law and usage and in the legitimate performance of their educational and religious mission: No efforts have been spared in their behalf, and their protection in person and property has been earnestly and vigorously enforced -by every means 'within our power. I regret, however, that an attempt on our part to obtain better information concerning the true condition of affairs in the disturbed quarter of the Ottoman empire, by sending thither the United States consul at' Slvas, to make investigation and report, was thwarted by the objections of the Turkish government. This movement on our part was in 'no sense meant as a gra- .tuitous entanglement of the United States in the so-called Eastern question, ,rtor as an officious interference with the right and duty which belong by treaty to certain great European powers, calling for their intervention in political matters affecting the good government and religious freedom of the non-Mussulman subjects of the sultan, but it arpse solely from our desire to have an accurate knowledge of the conditions in our efforts to care for those entitled to our protection. 'vTho presence of our naval ^vessels, which are •now in, the vicinity of the disturbed localities, affords opportunities to acquire a measure of -familiarity with the condition of affairs, ond .will, enable us to make suitable steps for the protection of any Interests of our countrymen within reach of our ships that might be found Imperiled, The Ottoman government has ; lately Issued an Imperial trade, exempting forever -from taxation an American college for girls at Scutari. Repeated assurances have also .been obtained by our envoy at Constantinople that similar Institutions, maintained and administered by our countrymen, shall be secured In the enjoyment of all rights, 1 and that our citizens throughout the empire shall be protected. The government, however. In view of existing facts, is far ; from relying upon: such as- jsurances as the limit of Its duty. Our minister has been vigilant and alert in affording all possible protection in individual cases where danger threatened or safety was imperiled. Wo have sent ships as far toward the points of actual disturbance as it is possible tor them • to go, where they offer refuge to those obliged to flee, and we have the promise of other powers which have ships in the neighborhood, that our citizens, as well as theirs, will be received and protected on board these ships. On the demand of our minister, orders have been issued by 'the Sultan that Turkish soldiers shall guard and escort to the. coast American refugees, Missionaries Are Safe. These orders have been carried out, and our latest intelligence gives assurance of the present personal safety of 'oujr citizens and missionaries, Though thus far no lives of American citizens have been sacrificed, there can be no doubt that serious, loss and destruction oJ mission property have resumed from riotous conflicts and outrageous attacks. By treaty, several of the most powerful European powers have secured a right and have assuined a duty not only In behalf of ttielr own citizens and In furtherance of their own Interests, but as agents 'of the Christian world. Their right U to enforce such con-' duct of the Turkish government as w>U ret etraln. fanatical brutality, and X this fails, their duty is to so interfere as to insure against such dreadful, occurrences in' Turkey as have lately shocked civilization. The powers declare this right and this duty tq be theirs alone, and it U earnestly hoped that prompt apd, effective action on their part will not be delayed, , i The new consulates -at Byzefoum and Haj> poof, fpr which appropriation was last session, have b?ea k provisionally flUod'i' by trmfefl employes of the department of state, These;appg}ntee,s; though nq?( in Turkey, have ppt yet reeolveo; thefr due m "w», «b»tt, $ «wi»flw, sayiJtotCWtto&ttbft "<?» MS i$? -el Jt. SKV»tt »«,* XhWffKw SBIMWM wjusaft.!*WKSUV.', vhgbfr K WUAC& jr°«f jw!1pBM%i tewttflMKffltcwMw Mte&iB appUes ,*?4^i&!P tr »awfte W$psNw mflsw- fM wsifts* tfeigrtKH| srflwwt to m Sjra **» [$w\mVMy\i ^wr\anf>arl ~artrtt*rl\il . Ttr inn . 1> riittrnan s .sis\»v>*vttml , Cuba is figaln'sej-lou^Jy insu.rre9tiQn, m some Nepeets move }ye , tii&n, the last P?f g?aj»f re. w.hle.h, opjjtlnued. from 186? \9 J878. n»w pxtsts Jin » large piWt'pf t&e extern. J^ terJw.el the Islw*, -menacing • wen gome populations on tfte cQftgtJ Ppsiqlee deranging the pomnjerete} e«SPbanges,,o.f th§ island, flf wb the pjre&pmJnfcBt , oondjjion of jt)99tiUt^fl', by 8rpuj} Sympathy ^nfl , ifsstanee 1 oi ihietfefefiee W iflg Affierieftft ships hai . Mares 8 fast thfe Aiu&n«g. while bound ffom colon w New Y8tft t wifSf tne, SUStfcffSafyt Uttfik- , ftear tfi8 dubatt sttctte, But fh6 thf_e«'mlle Htrilt* Was flrM Vipotl Spanish ifUhbftat, Pc6t«twaB»«iftp made by the United States ftgalnSt this act as not belfif jUetlfled by 4 State of waf, iidf fjefmissibia !n k fespeet ef ves* fielB btt the- UiUdl paths of eomiflerce, nOf tolerable iri View of thd Wanton peril •occasioned to iiinocent life and property, The aet was disavbwedi with Ml expression off egret and assurance df hbn-« recurrence 6f such just cause of com* plaint, while 'the offending office* was •relieved of -his command. Military arrests of citizens of the United States in Cuba have occaslbned frequent reclamations. Where held oh criminal Charges thelf delivery to.the-ordlnafy civil Jurisdiction for trial has been demanded and obtained in conformity with treaty pro* Visions, and where merely detained by way of military precaution under a pro* claimed state of Beige, without formulated accusation, their release or trial has been insisted upon. The right of American consular officers in the island to prefer protests and demands in such cases having been questioned by the Insular authorities, their enjoyment of the privileges stipulated by treaty for the consuls of Germany was claimed under the most favored nation provision of our own convention, and was promptly recognized. FINANCE AND TARIFF. Betlrement of th* Greenbacks Is Burn- eatljr Recommended. , As we turn from a review of our foreign relations to the contemplation of our national financial situation, we are Immediately aware that we approach QI subject of domestic concern more Important than any other that can engage our attention, and one at present in such a perplexing and delicate predicament as to require prompt and wise treatment. We may well be encouraged to earnest effort in this direction when we recall: the steps already taken toward Improving our economic and financial situation, and, when we appreciate how well the way has been prepared for further progress, by an aroused and intelligent popular interest in these, subjects. By command of the people a customs-revenue system, designed for .the protection and benefit of favored classes at the expense of the 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, has been superseded by a tariff policy Which in principle is based upon a denial of the right of the government to obstruct the avenues to our people's cheap Hying or lessen their comfort and contentment for the sake of according .especial advantages to favorites and which, while encouraging our Intercourse and trade with otl er nations, recognizes the fact that American self r reliance, thrift and Ingenuity can build up our country's Industry and develop its resources more surely than enervating paternal- Ism. The Silver Notes. The compulsory purchase and coinage of silver by the government unchecked and unregulated by business conditions and heedless of our currenpy needs,'which for more than fifteen years diluted our circulating medium, undermined confidence abroad in our financial ability, and at last culminated in distress and panic at home, has been recently stopped by the repeal of the laws which forced this reckless scheme upon the country, The things thus accomplished, notwithstanding their extreme Importance and beneficent effects, fall far short of curing the monetary evils from which we suffer as a result of long indulgence In ill-advised financial expedients. The currency denominated United States notes, and commonly known as greenbacks, was Issued In large volume during the late civil war and was Intended originally to meet the exigencies ,of that period. It will be seen by a reference to the de- bfttes in congress at the time the laws were passed authorising the Issue of these notes, that their advocates declared they were Intended fop only temporary use and to meet the emergency of war. In almost if not all the laws relating to them some provision was made contemplating their voluntary or' compulsory retirement.- A Jarge quantity of them, however, were kept on foot and mingled with the currency of the country, so that at the close of the year 1874 they amounted tp $381,999,073.' The Resumption Act, Immediately after £hat dftte, and Jn January, 1876, a law was passed nrovlfllpg for the resumption'of specie payment^ by which the secretary pf the treasury was required, whenever additional clj> cuj^tlpn was Issued to national banks, to retire United States notes equal )n amount to 80 per conf of such additional national tank 'circulation until such notes were, reduced to ,»300,990,0000, ,T.hi8 jaw further provided that on and.after the first day of. January, IS??, the United States nqtes then outstanding should be; redeemed (a qot^, ft nd ,li> order to provide and prepays for such redemption, the secretary,o{ ^e treasury was authorized not only to VBS an^r surplus r?ven«es 9! the government, put to issue bonds of tha>u«lte'S State? anc| dispose of tljem'fpr coim, »j»fl to use the proceeds (or the purposes contemplates by tte statute., IB »fay,,J878, aj>4 before the «ate th«s appoi B t.a,d ^J? fte redemption a n <j retimes* o*H«»? pat? s, 4»9tft9? *toWe was flftsspS, fsrtijfldlflg t)3$r JurWfr papQejlatiop and retirement, gonw Pfthem ha<} ( ,howeY ! Bj', been previously waeemeaaijd. canned' upon the. Issue,,of aaaitjooa.1 pat|onal fcanH Qlroula. Won as peraltted, by th§ law oj t9?5, ge a»ount oufste.B4Jj)K at; the time-of 'fl 8 tt 'Tie ftsyMw (ran any belone t<2 &}§ Wm »WW, W rsttrea, jpwpeneflrgr tptonfa „„„,„,, ™_,, >&8JR$ H *P* ? r^SW: TMlM* Ite JBSRfitioaM affairs 'jrtteiftrit '%&<$'iwwwvMVt yw&iiM ss^msi, ^mmpy^*.k&mM ! m ^Wmw* Ms:ym^m^m9m^A^Am\ ailitiifiaa nateay and row \tfhinlv Bliofivahundftn , , Set hftd Been pttssec! dlfeftting latter gov irnM6htal ffloHthly BUrehwes Bf . SHVSf tMK had been feQtiiftd undgf pfeviSUS law*, and providlftt that IH fjayffifertt.fdr «U6h sllvef treasury holes et the United State* should be issued, payable an de* mahd in gttid of silver coin at the disere*, 'of the secf-etaf y -6f the treauury, it •however', declared in -the act.te be established -Bfllic-y^ of- thl- tinltsd States to maintain the two metals" dn a parity with each ether upon the, present legal ratio, or nuch ratio as may be t»ro> v/dad by law," - -• In view ot this'decl&rallen it was not deemed permissible f of' the secretary 6f the treasury to exdrclse the discretion in terms conferred en him by refusing to pay gold en these notes when demanded, >be« cause by such discrimination in favor of the gold dollar the So-called parity of the two metals wo lid be destroyed and grave and dangerous consequences would be pro* cipltated by affirming or accentuating the constantly widening disparity between their actual values under the existing ratio. It thUs resulted that the treasury notes Issued in payment bf silver purchases under the law of 1S90 were necessarily treated as gold obligations, at the option of the holder. These notes on the 1st day of November, 189$, when the law compelling the monthly purchase of ell- ver was repealed) amounted to more than $1(8,000,000. The notes of this description now outstanding added , to the United States notes still undlminlahed' by redemption or cancellation constitute a volume of gold obligations amounting to nearly fSOO.OOO.OOO. These obligations are the instruments which, ever since we have had a gold reserve, have been used to - deplete • it This reserve, as has been stated, had fallen in April, 1893, to $07,011,330. It has from that time to the present,, with very few and unimportant upward movements, steadily decreased, except as it has been temporarily replenished by the sale of bonds. DIoKInley Bill Blamed. Among the causes for this constant and uniform shrinkage in this fund may be mentioned the great falling off of exports under the operation of the tariff law until recently In force, which crippled our exchange of commodities with foreign nations and some extent, the payment of our balances in gold; the unnatural infusion of silver into our currency, and the increasing agitation for its free and unlimited coinage, which have created apprehension 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.-' In consequence of these, conditions, the gold reserve on the first day of February, 1894, was reduced to $85,438,377, paving lost more than ,$31,000,000 during the preceding nine months, or since April, 1893. Its replenishment being necessary, and no other manner of accomplishing it being possible, resort was had to the issue and sale of bonds provided for by the resumption act of 1S75. Raids on the Gold Reserve. • In February» 1S95, the situation was exceedingly critical, Witti a reserve perilously low'and a refusal of congressional aid, everything Indicated that the end of gol<? payments by the government was Imminent. The result of prior bond Issues had been exceedingly unsatisfactory, and the large withdrawals of gold immediately .succeeding their public sale In open market gave rise to a reasonable suspicion that a large part of the gold paid Into the treasury upon such sales was promptly drawn out figajn by the presentation of United States notes or treasury notes and found its way to the hands of those who had only temporarily -parted with 1 it in the purchase of bonds, , ' In this emergency and in view of Its surrounding perplexities, it became entirely apparent to those upon whom the struggle for safety was devolved,- not- only that our gold reserve must, fpr the third tirrie in less, than thirteen months, be res$oi;ed by another Issue and sale of bonds bearing a high rate J of interest, and badly suited to the purpose; but that-a'plan must be adopted for their disposition promising better're- suits thafi those, realized on previous sales. • An> Agreement was therefore made with a number, of- financiers and. bankers whereby 4t was stipulated that bonds described in the resumption' aot 'P| 1876, payable in. coin thirty years" after their date, bearing interest at the jg.te, bf 4 per ce'nt. p<?r> annum, -and amounting to about' $98,000,000, should b<» exchanged for gold, receivable by Xt t & h v t Al mou . ntlns to ft WUe n»<T e * h an $65,000,000, This gold was to be delivered in such Installments as would complete its delivery . VUWn about < si* , months from the d&te ,of ' the contract, and at tep.8t OM'hay: p^the, amount wp.§ fep he. furnished frpm abrpaO, \-jji. W»B ajgp agreed by those' supplytng.thlsgpJd' that during the contln^aope of the contract they , wpu.Jd byi e,yei>y me^mj Jnt Power Protepl the. government ' fold, withdrawals, ^ > - H The B«nd ContrfVot, ( t The contract HIM provide* 4 that If sopgress would authpri?? tjiaif issije, bonds payable j?y their terms j n goj^ana towing iB^rsst'at the rate p{ ? per cent per annugj might' wjth. in ten dap be.ftubstititfcaa at par pent bonds -fjesorlljea m , -ths day Ms contract w«s. communicated tp congress by » tt*e message, In whlpji H was MUgL wSi?n!nffjr fflifrli fiSifMWaoifi jffdttfmr - »!5«irawpma hj6ttly-c a flsd^lnbaok.l^nd'th'6S^ standing treasury .n6tes% Isitie'ayby,' th«#2 government in paymehrof'iilver DI chases Under the -•»«:«•/PI ^ »B i «B'6 1 beHeve this ebuid be t «iu1t« eojnpllshed by the. e*dhang**of,;tKei4, notes for united States b&nda i of «mall a well as large denominations, -tfearittgyi law rate 6t interest ,a?hey' long term bonds, thus increasing thel*;'deMra blllty as lnvesments ( and' beoaurfe*th«l payment could be well postiSonedaoVa period far removed from preaent.Manclol burdona. and perplexities, ' wh'eti twlthf lh* oreasea prosperity and >; resour'oHUke"* •would be more easily meti" ,' 'i-'/f...'-^ To further, lhsure\ tha "oah^lWtloh"roi- these notes , and also ( prbvldo - a '• way|;by ; which gold' may be' added to 6U^oUrrehdy ih, lieu of them, r a -feature In should be an Authority' glv'ehHo t&ry 'of the treasury 't6 v 1dlspd bonds attroad" for ^gold'tlf-ffaeoessairytd" complete the contemplated , > redemption' j^ifiii«^M?«»j ^^ T ha4. h». PI9Y ; VHTOriirlmfw)— -«is!iM'MfiHr«t! "WWohr e.s* were Wtjwteefl tq those mentioned. R the grass havtag 4e9^ne4 to 19 Assure this ss, and in the, *^y WIG QwoitiUAuuiii^uii uny ;iiCQ0unc«{ ,/& *^VV^§*JK$! ' The currency withdrawn by the>etlre-;r« ment of ' the United ^States'; notes,'ahd- 1 Ijfl treasury 'notes,,amounting 'to,- probably^! less than' $400,000,000, • Vmlghi ":.>Ab«=$p| supplied by, 1 such gpld ""as would£r% be, used on -their . retirement"^oVi'lf by an increase in the'circulation-of ou'rluMl national banks. - Though the'aggre'gaU^fj capital < of those i now l ' in'- existett os^'l amounts'to more .than' J664,OOOiOOO,-thelr,vT £ outstanding circulation, '.based'-'dn bond'v security, amounts to ,onlyrab'out.,$190, (I -*!' ,000,000, They-are authorlzednto'issus.Vv notes amounting to ,90 percent*'of.'the'",' bonds deposited -to secure .their' clrcu,^ 3 latlon, ,but -In" 'no ;'event ^beyondf/thfe amount of thelr'capital stock,;ah'd th'eyi^ are obliged t to payd per cent tax oirtbW* circulation they issue, v ,v. '.•£,^',A$$f<$ ( ' Basis of Bank, Olrqulatlpn.^''?^^!^] I think they should be,'allowed*;tp-'lssuoll'l circulation equal, to- the"'par "va.luo?QfF the bonds they deposit to secure U.'-an'a,' that the tax on, their circulation "'should'; be reduced to one-fdurth of'i;p'er"'Cei which would undoubtedly; meet 4 alirthes?"j expense the government incurs 'on.tnelr^ aqcount. In addition'they Bhould'be^alsCK lowed to substitute'or deposit in, lieu "of, 'M the bonds now seourltyjf p'r 'i their circulation those, which Jf would5.'b«« Issued for the purpose of-—"-*—'" ' ' United'States notes-and The banks already oxlstl sired to avail "thenisBivRf», of the^i . uuuj uu<.Rva.uui4iK.-. ttjuouuHnsr 10 1 ,000,000, .which would -nearly or- < equal the' currency proposed^ t'O be-utufx celled, At-any rate, I should confident-'-' ly expect ,to see the .existing natf - P - J banks or others < themselves of- the proposed t ments to issue circulation, i '' the silver 'puroJiaslnV would leave tho treasury actual I-*-- OF ^AM.vt.fVAf^.4 VUAJI Into.circulation, as v in,1 the secretary of the tre si ties of'the country Bhpuio/ireawr< ^Whatever Is attempteWri'oufd'bi that by careless, easy descent'we reached,a Dangerous deptV.a"' our ascent Vlll, not 'be. * We shall < be w|se if* w we are flnanpjajly - Hi *- mu^ t nB i * restoration^ health Wrautre. ft« treatment and unpleasant',! remei ,an<J If we ppujd Ipek tp our gold receipts' njeans of inajntatning, a R ^ '.Teserye.'^j'tha *¥ amQIjnt-Of qur. revnnilfm irnitlrl ha an «-«.T!.l i I.5'~'(l 1 faotpr;in ,tlw ,,.,„, the circumstance^ qMprwswfgrtftpMft yer,pwfe,has,(is; .iTtawttfi "'"'

Get full access with a Free Trial

Start Free Trial

What members have found on this page