| Show PRESIDENT CLEV ELANDS MESSAGE to the Cojo congress gress of the united states the existence of an alarming and extraordinary business busine ei situation lu in evolving the welfare and prosperity of all hiir ur people has baa constrained me to call together in extra session the people peoples eu plea s representatives in con gremp to the end and that through the wise and patriotic exercise of the legislative duty with which they eo emiely ely are charged the present evils may be mitigated and the dangers the future may be averted our unfortunate financial plight is not the result of any untoward eventa even IP nor of conditions related to our natural resources resource nor to la it traceable to any of the afflictions which frequently check the national growth and prosperity with plenteous crops with an abundant promise of remunerative production and manufacture with unusual I 1 invitation tation to safe investment and with satisfactory assurance to business enterprise suddenly financial ancial distrust and fear have sprung up ou every side aide numerous moneyed institutions have suspended because abundant assets were not i immediately available to meet the demands of frightened depositors the surviving corporations and individuals are content to keep in hand the money they are usually anxious to loan anu and those engaged in legitimate bus business inest are surprised to find that the securities they offer for loans though heretofore satisfactory are no do longer accepted values supposed to be fixed are fast becoming conjectural and lose and failure have invaded everi every branch of business THE I 1 believe these chinga are principally chargi chargeable able to congressional legislation touching the purchase and coinage of erlven by the general government this legislation legiel atlon la is embodied in a statute passed on the ath day of july 1890 which was the culmination of 01 much agitation on the subject in evolved and which may be considered a truce after a long struggle between the advocates of free silver coinage and those intending to be more conservative serva tive undoubtedly the monthly purchases by the government of four million five hundred thousand ounces of silver forced under that statute were regarded by those interested antei ested in the sliver silver production as a certain guaranty of its ite increase Inore aee irk in price the result however has been entirely different for immediately follo following tollow winz lne the spasmodic and slight rise the price of silver began to fall after the passage of the not act and has since reached the lowest point ever known this disappointing result has led to a renewed and persistent effort in ID the direction of free silver coinage meanwhile not only are the evil effects of the operations of the present law co scantly accumulating klut but the result to which its execution must inevitably lead are becoming able to all who give the least heed to financial subjects the jaw provides that in payment for the four million live five hundred thousand ounces ot of silver bullion which the secretary ot of the treasury Is ie commanded to purchase monthly there shall be issued treasury notes redeem able on demand in gold or silver coin at the discretion of the meare secretary tary of the treasury and that said notes maybe may be reissued reh sued it Is however declared in the rot act to be the es ee policy of the united states to maintain the two metals upon a parity with each other upon the present legal or much euch ratio as may be provided by law this declaration so controls the action of the secretary of the treasury iss as to prevent his hie exercising the discretion DOMi Lally vested in himl him if by such action the parity between golu and silver may be disturbed manifestly the refusal by the secretary to PRY pay these treasury notes in gold it demanded would necessarily result in their discredit and depreciation as obligations payable only in silat r and would destroy the parity between the two iwo metals by establishing tion jn favor of gold HOW THE GOLD GOES up to the day of july 1393 these notes bad been issued in pov the silver bullion purchased to the amount of more than while all but a very small quantity of his bis bullion remains and alkil without usefulness in the treasury many of the notes given in its pur chase have bave been paid in gold this la is illustrated by me statement that between ane let day of may 1893 1898 and the day of july 1893 the notes of this kind issued in payment for silver bullion amounted to little more than and that during the sanae earne period about were paid by the treasury in gold for the redemption ork of such much notes ane policy necessarily adopted of paying these notes IQ in I 1 gold has not spared the gold reserve of lon long lone g ago set aside by the government 1 for the redemption of other for this fund has already been kub ejected to the pay payment ment of new ne obligations amounting to about on account of silver put pur chase and has as a consequence f for or the first time since its creation been encroached upon we have ibus made depletion 0 of f our cur gold easy and have tempted other anu and more appreciative nations to add it to their stock that the opportunity we have offered K f has not been neglected is shown by the A large amounts of gold which have C been recently drawn from our treasury I 1 4 t and exported to increase the financial 1 i strength of foreign nations the ex 1 cess of exports of gold geld over its imports for the year ending june 30 1898 tt 3 amounts to more than 5 between the lot day of aix july 1890 and the day 1 or pa july 1893 the gold coln coin and bullion U 14 in our treasury decreased more tb than while during the same oame period the silver coin and bullion I 1 in the treasury increased more than unless government bonds bond are to be constantly issued and 1 eold to replenish our exhausted gold only to be again exhausted it is apparent that the operation of th thay silver purchase law now in force Is beadi in the direction of the i tion ot of silver for gold in the govern ment treasury and that this must he followed by the payment of all eminent obligations in depreciated silver k MUST PART OOM COMPANY PANy at this stage gold slid and all ver must part company and the go got must fall fail in its V dished policy to maintain the two metals on a parity with each other othen given over to the exclusive use uee of a 4 currency curr eucy greatly depreciated according to the standard ot of the commercial world we could no longer claim ft a place among the nations of the firsts first class nor could our government clatia claim the performance of its obligation so far as such obligation has been lm im posed upon aitto provide for the use of 1 the people the best beet and safest money if as many of its friends claim silver ought to occupy a larger place in our currency and the currency of the world orld through gener I 1 international operation cooperation co and agreement it is obvious 11 that the united states will not be ole irit a position to gain a hearing to in favor of such arrangement so long willing to continue our attempt as we are to accomplish the result single banded the knowledge in business circles among our own people that our government cannot make its flat fiat equivalent to intrinsic value not keep inferior money on a parity with oud brior 0 1 money armoney by its own independent arl resulted in suen such a 0 efforts 0 r t 8 has lack of confidence at home in the stability of currency values that capital refuses its aid to new enterprises drilled while millions are actually withdrawn from froin the channels of trade and commerce to become idle and un in the hands bands of timid owners profitable table kreige investors Invest orr ore equally alert not only decline to purchase am american se ee haste to sacrifice but make eurit gurnies les those which they already have it does not meet the situation to say that apprehension in regard t to 0 the future of our finances is grounds a that there is no lack of confidence lew 0 a d in the purchases or the power of the government in the premise the very existence of this apprehension AW and the lack jack of confidence however 3 has caused a menace which ought not for h a moment to be disregarded pos poo sol it if she ibe undertaking we have in maintenance of the hand were A specific known quantity of 0 silver liver at a parity with gold goldoni goido oui ui ability be estimated and 50 might to do so and perhaps in view of our growth and resources it unparalleled paralleled up might be favorably passed upon but aben alien our avowed endeavor to is to maintain such ouch parity in regard to an amount of silver it ii creasing at the rate of fifty million dollars yearly with no fixed termination to such ouch increase it can hardly be said th that t a problem is pre whose so solution lution is free from doubt the people of the united unite d entitled to a sound states are tahl currency and to a money 0 n es as such on every exchange x e hs j av and in I 1 every market of the world their government has no right to injure in are them by financial experiments opposed to the policy at aid d of other civilized states nor is fg h in permitting an exaggerate ed edana and unreasonable reliance un our national strength and the ability to jeopardize the tha soundness of the peoples s money NO POLITICS IN IT this I 1 matter mattar rie rises above the plans plane of pany y politics it vitally concerns every business bus business ineis and calling and enters every household in the land there la is one ode important aspect of the subject which chic i b especially should never be overlooked at a time like the present when the evils of unsound finance us the speculator may anticipate pa a harvest gathered from the raft mie fortunes foi of others the capitalist way may protect himself by hoarding boarding or lilai even find profit in the fluctuation of the markets but the wage earner the first aret to be injured by a depreciated currency and the last to receive the benefit of its correction la Is practically aby defenseless he relies for work upon we the ventures of confident and contented capital this falling failing him his condition Is without alleviation for becan he can neither prey on the misfortunes mis fortunee of others nr n r board his labor one of the greatest statesmen state emen our country has known speaking more than fifty years ago age when the derangement of the currency had bad caused commercial distress said the very man of all others who has baa the he deepest interest in a sound currency and who suffers buffers by mischievous legislation jn ju monetary matters is the man who earns his daily bread by his bis daily toil these words are as peTti pertinent nent now as on the day they were uttered an and d ought V to impressively rt remind mind us that a failure in the discharge of our cur u cuty u ty at this ti time me must especially I 1 injure nj u re those of cur countrymen who labor and who because of their heir number and condition are entitled to the most watchful care of government the it is of the utmost importance that such relief as congress can afford in the existing situation be tifford afforded ed at once the maxim maxin he gives twice who gives quickly M la Is directly applicable it may be true that the embar rass ments from which the business of the country is 18 suffering arise as much from evils apprehended as aa from those actually exl existing eting we may hope too that calm counsels will prevail and that neither capitalists nor wage earners will give way to an unreasoning panic and sacrifice their property or their interests under the influence of exaggerated fears nevertheless every days delay in removing one of the plain and principal cavars causes of the present state abate of things enlarges the mischief already done and increases the responsibility of the government for its existence whatever the people have a right to expect from con greep they may certainly demand that legislation condemned by the ordeal of three years disastrous experience shall be removed irom from the statute books as soon as their representatives can legitimately deal with it TARIFF REFORM MUST WAIT it was my purpose to summon con greas in special session early in the coming september that we might enter promptly upon the work of tariff is rift reform which the true interest of the country clearly demands and which so large a majority of the people as abowd by their suffrage desire and expect and to he accomplishment of which every effort ol 01 the present administration is ie pledged but while tariff reform has lost nothing of its immediate and permanent importance and must in we near future engage the attention of congress it has seemed to me that the financial condition ot of the country should at once and before all other subjects be considered by your honorable body REPEAL EARNESTLY ASKED I 1 earnt earnestly atly recommend the prompt repeal ef cf the provisions of the act passed july 14 1890 authorizing the purchase haae of sliver bullion and that other legislative action may put beyond all doubt or mistake the intention and ability of the government to fugill fulfil its pecuniary obligations in the money universally recognized by all civilized countries GROVER CLEVELAND EXECUTIVE MANSION august fth 1893 |
