Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1840-04-20
THEREDUCTloN OF THE CURRENCY =
IT'S CONSEQUENCES.

prefer on this occasion to bring another, aud in
some resp lcts batter witness, 10 the stand They
have spoken to us through the agency of the re.
porters 10 the Senate and in speeches which their
friends may say were hastily aud unadvzedly
mnde our present witness can avail himself ONO
such resource he has deliberately penned his MS.
sertions, they have been approved, it is evident,
by the confidential friends of the administration,
and have been given the world in its highes,
organ The Democratic Review" published
ut Washington, is that organ, nnd was especially
established IN give To the public the more clobo.
rate aud laborcd deiences of the governments
which, from their length, are untitled for newspa-
per columns. This oracle has spoken, aud we
call the attention of the reader to its language. I,
thus discourscih Of the
REDUCTION OF THE CURRENCY.
Honor 10 that far sighted and firm statesman,
who was the first to raise his voice, many years
ago. in the halls of the capitol against the corrupt
paper money system, mud in favor Of the stern
specie Stdnddrd
"ro the circulation diffusion, and adoption Of
the principles of Mr. Benton, we look Tor relief
from our present evils. Public opinion in the alb
seGce of positive legislation must curail and re-
strict our paper issues.
sit Iulisl uct upon legislatures and first exter
inmate all bills of small denominations, page 2O2.
"The first practical movement towards INSIDE
sirnble end, us we have already endruvOred to
show, is the suppression ol all bank hoies ct
small denomination. We would proceed slowly
aud gradually, but steadily and With frmueSs.--
We would not stop at the denomination OF fire
dollars, or ten dollars, or t,ceny dollars we would
proceed, before stopping, AT least ms inr rs the ex-
ample presented Ivy France, which is ONE HUN.
DRIED DOLLARS,' page 20S.
"Within these limits we boldly take our stand,
MS the ndvoraes of prompt return TO a PURELY
METALLIC CURRENCY" page @O7.
Thus dislictly is The example Of France set
forth the least at which the country may be
permitted 10 stop; aud The final limit is placed nj
nothing less thun entire destruction of The bank
ing system, aud the substitution of All exclusive
hard money currency. Aud now Tor the means
to carry on this war of determination. We quote
again:
I'VE hope the democracy will keep constantly
up TO this standard, uiaugre the c!umouis OF lle
money changers spectators and bunkers ILL.,
! THE WAR UPON SMALL BILLS BE UN-
! Film CHING, PERStVERlNG, EXTERMlN-
i ATiNG. We must Iook chiefly TO the State Le-
gslaures for this relief; hut ili'. federal govern
Inent may u much in the struggle. Ihe inde-
pendent Treasury hill bears strongly III lavnr OF
the specie standard, aid although probably OF no
very potent effect ITSELF will he We trust, but THE
Precursor OF THE GRADUAL EXTENSION OF TUE
SAME POLICY THROUGHOUT ALI. The
STATES. The rejection Of paper money IN gov
ernmem transactions is Of the first mfo'tance' -
Page 203.
The means, li,on are an unhinchins war upon
small bills by both state legislatures and the Ma
tiouul goverlnlent--ihe sub treasury bi.land the
-,""-io" of it's bard money Ge"'"re- 'hro"sl.o"s
oil the states. Whether these are adequate
to the end is not now the question sufficient for
us is it, that The design is entertained, and that it
will be attempted, if hot nirped in the bud. And
now for the
CONSEQUENCES OF THIS REDUCTION.
I Mr.. Buchanan has shown rome Of the conse-
| quences, by pointing to France and Germany, ms
examples, and by hoIdy admitting The reduction
which must ensue in the price of produce and Ia
hor. Messrs. Davis, Merrick and others have de-
y scrbed and demonstrated The consequences mo e
AT large; but we propose to pass all these. aud
bring up an authority which man - none GER
. tuiuly who preenls to I've II demoerai-wil gain
y say: it is The authority of WM. H. CRAWFORD
= the distinguished fin orite of the old republican
. Iarty, and statesman and fnancier of acknoml-
edged ability. Mr.. CRAWFORD thus writes in his
report to Congress, as Secretary Of the Treasury
in 1890
. 4sudden reduction Of The cur ency, 10y the re
lection of The paper which has been employed
could not fail t. derange oil The relations Of s'c'eiy
+ by diminishing The quantity Of currency, toh'fSf M
articles 10 be trchdnged through as agency 'oou
suffer no such dn,inuiion An inmediate depression
in The prtce # al commodities 10 ntd be The ther'idbt
y consequence Of uu unqualified return 10 II metallic
currency.
n "Al The great interests of society would he mos
;. seriously dsordcred; property OF epery descr'M
peud rapidly + II in value; The rrlnIlonS bet" er'
@ deIor and creditor would be violently ana sud
Of denly changed This change would he greatly IL
= the injury OF the debtor; The properly whici
. would he Necessary TO discharge his debts would
=" exceed that which he had received from hiS cred
&c i,or the one would he ruined without the ln'pu
s tation Of crime, Wills, the other would bo enriched
!, without the semblnnce of merit. Unless the Ell
gagemeuts existing at the moment OF such
change are discharged aud The price Of LABOR an
-, of commodities is reduced TO the proportion whtl
?" il must hear TO the currency employed as the me
n, dunn of their excang enterp Use ferery KIND ioil
cs be ep essed and mise and DIST es' ."v' sdiyp
A: vail.
at will he foreseen that the currency mus
~ appreciate, and that all vlher articles must depre
ne ciute in value"
en- The price of the exportable articles VIII AIS
nv he effected by the reduction in the currency EN-
!. poyrd in cfecling their exchange. IL is eve
~ probable that the quantity Interchangeable article
Is win I've diminished. Whilst the appreciation Q
o. the currency is percepbIy advancing, the manu-
so (aciu er will not hazard IL capital in producin
articles, the price of which is rapidly decl'nln!
e' Pie me chant will abstain from purchasing, undo
r. the apprehension of further reduction If price
is and Of the difficulty ofrevending AT profit. IL
or even probable that the interest of money will tai
whilst the cry of a scarcity of money will he IN
u cessnut Under such circumstances no loans will i
on required, except to meet dents OF immediate urger
~. CIV. None will bo demanded for the prosecnlio