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The President's Message

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President Cleveland's message to the LlIId Congress, assembled in extraordiiwry sesaion, is compara tively brief. Tke message is special rather than nnoral in it charaoter, and is limited io the necS8ities of the financial situation. Mr. O'eveland insiste upon the unconditior repeal of the Sherman lw, and hi attributei toit principally the ilis with which the country is now threataned. The document in full reads as follows: To the Oongreas of the United States: Ihe xiKtenoe of an alnoln( and extraordtnar- bnalueis itutlon, lnrolving the welfar and prosperlty of all oui ptople, has con■tnlned me to oall togethtr In extra session likt peoplt'fl repreftentatlve In C'onjri eH, to the end that, throna;h a wiee and patrlotic cxc rcise ot toe legltlatiye duty wfth whlch they olely r chargtd. premt e-rlls muy be mitlgated ■ad dangers threatenisg the futur raiy te TKted. _ . ... Out unfortunate finnrfl pllgnt n not tn reiult of untoward eveDts nor of oonditions relat od to our natnral resources: nor is it traceable to any of tiie alnictlons whioh frequently check nattouul growth and prosperIty. With plenteous crops, with abundant promlse of retnuncrative productlon and manufacture, with unusual invitation to safe invoitment and with s&ttsfaotory nsnrnnce to bnsinees enterprise. suddenly finoncial distrust and fear have sprnng p on every side. Numerons moneyed institutions have suspended because abundant aasets were not immetUateïy available to meet thO dwniuids of filphtfned depositorg: aurvivinu Corporation and individual are too content to keep in hand the money they are uanally anxious to loan, and those engaged in lecitimate business are surprised to flnd that th eourlties they offer for loans, though heretofore satisfac'ory. are no lonser aocepted. Values 8npD0sed to be ftxod are faet becoming sonjectural, and loss and fallure have iuvaded every branch of business. The Silver Parchaae Law. I believe these thincs.are priucipally charjeable to Congregsional leglslation touohlng tha pnrchasc and coln&ge of gilver by the ceneral lovernmeat. This lepislatiun is embodied in .ütitnta nwned oo the lUh dev of .Toly iQt hich wan the culniinatlon ot much agitatfoa on the ubject involved, and which may be considerad a truce. after the long strutcgle, between the advocates of free sllver col o age and thoee intentiing to be raore couservative. ündonbtedly the monthly purchaaes by the Government of 4..vyj,oiH) ounces of silver, torced under that tatate, were reearded by Uiose isterested m süver production as a certain guaranty of its lncrease in price. The reult, however, has been entirely difterent, for Lmmediately followine a spasmodic and slight riae tbe prlce of silver beiran to fall aftêr the paasaae of the act, and has sinoe reached the lowest point evr known. This dlsappoInthiB result has led to renewed and persistont effort In the direction of fre coinasre. Meanwhile, not only re the evil effeots ol the opcration of the present law ennMautly accnmalating, bui the result to which lts execution munt inevit&bly lead ís becoming palpable to all who give the least heed to financia] subjects. This law provides that In payment for the 4,500,oon unces of stlver bnllion which the Secretary of the Treasury is cummanded to purchase monthly there shall be issued Treasury notes redeemable on demand iu KOld or silver ooin, at the disoretion of tha Secretary of the Troasory. and that said notes may be reissned. It i, however, declared in the act to be "the established policy of the United States to maintaiu the two metáis upon a parity wtth each other upon the present legal ratio or such ratio as may h". provided oy law." This declaration go controla the actioa of the Seoretary of the Treasury as to prevent bis exerclnlng the dlscretion nominally veted In htm, if by such action the paritv between gold aed gilver may be disturbed. Manifeatly a refnaal by the Secretary to pay these Treaaury note in gold. if demanded, would necensarlly result in thelr discredit and depreolation a ohligations payable only in silret, aud wonld dstroy th parity between the two metala by esiabllshingadiscriminatioB in favor of gold. Dp to the isth day of July, 1893. tbcse notes had been laaned iu payment of silver Imihon, porohasod to the amouut of more than tl47,[100,609. While all but a very small quantity of tfais bnlliüQ remaina uucoiuetl aod without sefulBess in the Treasury, uiany oi the notes ei ven in lts purchaae have been paid in old. Thia is illuatraied by the statement that hetwesn the flrst day of May, 1892. and the fifi .eeuth day of July, 1893, the notea of thfs kiud issued in payment for silver bnllion amounted to a Hule more than fifty-fonr milhons of dollars, and that during the same period abont forty-nine milllena of dallara wer paid by the Treasury in gold for the redenption of snch notea. Drsin L pon the Gold Reserve. The policy aeoessarlly adopted of paytnf these notea in gold haa not sparcd the gold reserve of loog ago set aslde by the Government for the redfmption of other note.s, for this fund h&e already been subjeoted to the payment of nsw obliff-atlon amonntlng to about $150,000.ouo on account of uilver pnrchaaes, and has. att a consequenoe, for the flrst time slnce IU crcation. been encroaohed upon. We have thus made the depletion of our gold easy, and have tempted oiJaer and more appreciative nattons to add it to tueir stock. That the opportunity we have offered ha not been neglected is Bhown by thO large atnoanta of gold which have been reoently dia-wn from our Treanury and eiported to increase the finanoial etrengtb of foreign uatiuns. The excesa of exports of gold over lts importa for the year endling Jone 30, 1S93, amounted to more thau eijrhty-seven and a half millions of dollar. Between the flrat day of July, 1W0, and the flfteenth day f July, 1M, the gold coin and bulllon in our Treasary deoreased more thao one hundred aad tiro iuilliuns of dollars, while duna the nam period the sIlTer ooin and bulllon in tlie Treasury inoreaaed more than one buniired and forty-soven millions of dollars Unies Government boads ar to be constsntly issued nd oíd to replenish ar extiauted irold, only to be i#atn eïhausted. ít ín apiaicnt that the operatlon of the Sil ver Pureuase law, now in forcé, leads in the direction of thc catire aub! itutiun of ailveí for the ifold iu the Government Treasury. and that this mant be foüowed by the parment of all Government abllgatieus in depreciated silver. Át tbifs stage trold aud sllver must part company, and the Government must fail in lta establlehed policy to rnninUin the two mctsls on a purity with each other. Given over to the exclusive use of a curreney greatly depreeinted soconllnt to the standard of the comme iLiil world. vvn could no loneer ulaim t place amottg tb nai'nrn o( tbc r-i ,Ui-s nnt o" ii o ., ííoverament claftn a performance of its obllirations, so füj as such an obligatlon has betu imponed u))on Ít, to provlde for the use of the people the baat and afest money. If, as uiany of lts friende clalm, illver ougbt to oocupy a larati plao in our ourreney anC the curreDcy of the world through general International co-operation and agreement, it iebvlous that the Ünlted States wlll aot be Ín poMtion to (íain V hearing In favor of such an arrangement so long aa we are willing to oontinne our attempt to accomplish the resul' ■ingle-handed Rsnltd in a I.ark of Confidenro. The knowledge in business olrcle aroons our own p ople that our Government can oot make lte nat equivalent to intrinco valne, nor keep inferior raoney on a parity with superior money by its own indefiendent efforta, has íesulted in such a ack of nonfidence at home In the stabllity of currency values that capital refoses its aid to new enterprises whilo milllona are actually withdrawn from the channels of trade and comraerce to become id:e ana nnproductive in the hauds of tlmid owner. Foreim investors, equally alert, not on)y decline to purchase American aecuri'ifis but make haste to saorlñce those wliich they already have. It does not meet the ituation to say that apprsbenalon in regard to the future of our finanoes is gronndloss, and that Ihere is no reason for lack of confidenoe in the purposes or power of the Government In the premises. The very existenoe of this apprehension and laok of oonndence. however caused, is a menace whloh ought not fot a moment to be disregardod. Possibly if theandert&king we have in band wr the malntenance of a speoiflc known quant a. y of silver at a parity with gold, our ablllty to io c.o might be eBttniated and ganged, and perhaps, in view f our tinparallelcd growth and resource, might be favorably passed npon. Bat when Oar avowed endeavor ie to maintaln such parlty in regard to au aruount of uilver increalMg at the rate of ifty milllons of dollars yearly, with n nxed tennlnatlon i o sach increase, it can hanily be saidhatjEioblem i preeented wbose eolui.on and ü freeffiom doubt. Tne peopie of the United State are entitled to x sound and stable currency and to money recognized as suoh on every excfaange and in every market of the world. Their GovernnRnt bas no right to injure them by flnancial experiment oppoeed to the pollcy and praetice ol othr civilized states, nor is it justitled in penmtting an exaireerated and unreas-ouable reliance on our national streigth and aollity to jeopardize the squndneB3 of the people's money. This matter rises above the plane of party politics. It vitally concerns every business and calllnat and enters every houeehold in the land. Marmful Effect to the WaLe-Karner. There is one important aspect of the subÍect wiiich especially bhould never be overooked. At times iike the present, when the erila of unsound linance threaten us, the speculator may anticípate a harveat gathered froiu the rotafortunei of othfcrs, the capltalist may protect lilnisnlf by boaxding or may evn flnd profit in the tíactuation oí valnes; but the wage-earner - the flrst to be iujured by a depreciated currency and the lat to röceive the bonelits of it6 correctio - ia practlcally dfeneless. He relies for vrork upon the venturee of contident and contented capital. This lailiug him, his condttion is without alleviation, for he con neither prey oa the misfortnnes of others nor board hm labor. One of the greatwt stateamen our cotmtry haa Icnown, apeakinii rcoie thn flfty yea'r ago. when a der&agement of the currcucy bad caued oonimerciai dlfltrisri, s&ld: "The very man of all othere who haa ths deopfet interest In a sound currency aud who suner by roisohieToas leglslatlon in monetury ntatters is the man who earns hls daiiy breid by his daily tod." These words are as ptvit-ieut now as on the day when tiey were uttered, and oiiRht to impreseivoly remind nu büt a taiiure in tb diacharge of our dnty at thig time must especiaily injure tboae of oar oouctrymes who labor, and who. booAUBft of thetr number and condltien, are cnrhls.l to the most watchful care of their Govarameut. It is of the atraoi. itnportance that suoh relief a Con;ri eau uflord la the existinx sitnation be aOorricit at onoe. The maiim, "He ives twlie wuo elven quickly," is lirect'.y appitcaole. Jt msy be true that the emlmnassnients froui whioh the business of the oouBtry is sufionng arise as mach from evils apprsliea(iea as from those actually existmir. We may hope, too, that culm counsels w;ll prevalí, ad that neither the c&pitalists nor the wage-eamtrs will gire way to unrcnsoninir pañis and sacrifico their property or the:r intPrests under the innuence cf e.iaggerated fears. Neverthelees, every day'a delay in removing one of the plaiu and principal causes of the preseut tate of thinjts enlardes tke mischief already done and inervases the reaponaibility of the Uovernment for its eiistence. Congress Invoked to Act Fromptly. Whatever else peuple bare a right to oxpect from Convresw, they may certatwly uci.i.-iid ibat letfirilatloii coudemned Uy tïic ordeai of t:ireij yers' dinatrous exPTirnco RhaH Iip removed from the statnte Viookn b poon as r.Jteir ipreseutatives can ieKii-iiuateiy deal witü iú. il wan my purpuve i to öuiiiuiüü Cougrcis iu speeiai aeayieu early in the comini' Kt:pt nibrr that w? raight enti i promptlfv mon tlie wors of tarilt reform, wuioli Vlití t,rne intereais oí nie ouuntry cleurly cl ma in, w!,:oli so lare a majorlty of the people, as ehown hy their sufTrago, dtiie and expact, and lo tb accomplisliment of wüifh every effort of the pressnt ïdn.iuistraWon ia pledged. Bnt whlle tariff reform ka lost Dotblng of lts immediat and prttupnt iipnartaoce. and uiUBt in the bau. fufkr ng&n toe attentioa oí uonprens, n hm ■eemed to me that the nnanclal condlttoa of the country should at onoe and bcfure all other eubjeuts be euusideied by your honorable body. l earnestly recomtnend the prompt repeal of tho proTislons of the act passed July U. ImJO, authoriiitiK the purohaaa of slim bnllion, and that other legial&tive actiuu may put beyoud all doubt or miitake the intention ana the ability of the Governmant to fnlfill lts pecaniüry obliKations iu money ïniversaliy recojnized by all civili2ed countriea.


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