minded that to carry on this
astounding financial scheme the Government has incurred a bonded
indebtedness of $95,500,000 in establishing a gold reserve and of
$162,315,400 in efforts to maintain it; that the annual interest charge
on such bonded indebtedness is more than $11,000,000; that a continuance
of our present course may result in further bond issues, and that we
have suffered or are threatened with all this for the sake of supplying
gold for foreign shipment or facilitating its hoarding at home, a
situation is exhibited which certainly ought to arrest attention and
provoke immediate legislative relief.

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 accomplished by the exchange
of these notes for United States bonds, of small as well as large
denominations, bearing a low rate of interest. They should be long-term
bonds, thus increasing their desirability as investments, and because
their payment could be well postponed to a period far removed from
present financial burdens 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 a way
by which gold may be added to our currency in lieu of them, a feature in
the plan should be an authority given to the Secretary of the Treasury
to dispose of the bonds abroad for gold if necessary to complete the
contemplated redemption and cancellation, permitting him to use the
proceeds of such bonds to take up and cancel any of the notes that may
be in the Treasury or that may be received by the Government on any
account.

The increase of our bonded debt involved in this plan would be amply
compensated by renewed activity and enterprise in all business circles,
the restored confidence at home, the reinstated faith in our monetary
strength abroad, and the stimulation of every interest and industry
that would follow the cancellation of the gold-demand obligations now
afflicting us. In any event, the bonds proposed would stand for the
extinguishment of a troublesome indebtedness, while in the path we now
follow there lurks the menace of unending bonds, with our indebtedness
still undischarged and agg