THE CURRENCY QUESTION. 361 



from a debasement or enhancement of the valne of the coined 

 dollar. 



If the conception of money as a commodity of convenient ex- 

 change should altogether supplant that of an artificial standard 

 of value made by Congress out of its own will, the function of 

 the Government would manifestly be reduced to certifying the 

 weight and quality of precious metal in its coins. If it undertook 

 nothing more than this (except the prohibition of coins not issued 

 by itself), there would be nothing to prevent the free coinage of 

 gold and silver, though a slight charge for the expense of coinage 

 would be proper. And with practically free coinage for both 

 metals it is submitted that the varying needs of the country for 

 currency would be more perfectly met than in any other way, be- 

 cause with every " squeeze " in the money market bullion could 

 at once be converted into coin, and vice versa. This, indeed, is 

 already provided by section 3518 of the Revised Statutes, which 

 says that the owner of gold or silver may have the same cast into 

 bars with a stamp designating the weight and fineness thereof ; 

 but this statute, though no doubt of great use in facilitating the 

 international exchange of bullion, is without the benefit it might 

 have because the bars are not issued in sizes convenient for cur- 

 rency. It is the word " dollar " in existing contracts of indebted- 

 ness that prevents this ; and if by such action as that above men- 

 tioned the word dollar shall be established as the present gold 

 dollar, there would be nothing to prevent a healthy expansion of 

 the currency by the free coinage of silver and the issuance of cer- 

 tificates for the same in any amount desired. 



It would be an unspeakable blessing to have the currency ques- 

 tion removed from the domain of politics. Questions of so com- 

 plex a character are precisely those which the people are most ill 

 qualified to decide. It is the interest of all that as few questions 

 as possible having great financial importance should be decided 

 by the political power ; for therein lies the source of the corrup- 

 tion of the Government, the oppression of the people, the uncer- 

 tainty of business, the possibility of panics, a stimulus of class- 

 prejudice and class-greed, and the obstruction of legitimate public 

 business. 



Mr. Warner* Corporation after corporation, savings-bank 

 after savings-bank, life-insurance company after life-insurance 

 company, have, since the passage of this last act, felt, not that 

 they wanted anything to happen, but compelled, out of due regard 

 for those whose money they were trustees for, to require that in 

 all reinvestments and loans there shall be put a gold clause. That 

 has actually taken place to such an extent that I believe that, 



* Hon. John De Witt Warner, before Congressional Committee, February 16, 1891. 



