The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1863-11-20

III &9&SAumSUAA W
laet, - nnd letter from Alexander H. II.
Stuart, ESQ, explanatory Of the views upon
Tho sll.eagroeelng subject Of the currency,
addfssosa b. him . abort time since to MI.
ArusGrosg. The propositions Of Mr.. .. are
stated With GreAt clearness, and supported
Win consummaAe ability. The irst sning 10
be done b 20 stop the issue Of more treasury
>oeae. Unless this be done, all farther &C
ton upoa the subject 10 evidently vain; for
n = the redundancy Of the currency that has
raised prices other present fabulous height
ana that having occaSIoned the depreciation
An The drst instance, renders its down-hii'
march inevitable - the volume Increases
The circulation IL now ESQ O0O, O00-the trea-
gary issdes e5O.OO,0o0 month-in year
"a shsll have circulation 81 go, 100000. A
barrel Of -four now sells for e5O--the price
win keep pace with the increase OF volume
and diminutioh In value of the currency-in
a yoar abarrel Of -four win cost 500. Every
thing continues to go up in the same ratio.
No 0oyernment on earth can stand such
system. There must be radical refoi ma
lion or We are done for. 1t belongs to Con-
vress TO make the reform. It must not
ehrink from the task-it must do It speedily
and It must do It effectually.
The printing press having been stopped,
tho next thing 10 to retire all Of the out
standing treasury notes, except about $sOO,-
100000 worth. This might of course be done
by direct tax but Mr.. 8. thinks that would
hear too hard on the people. The estimate
Of Mr.. Memminger (sl5O. 900 ,0Oo) for circula-
tion IA too small. 1t might have done when
nh the business of the country was done by
means OF credit and the machinery 1t EN-
ploys, but will not answer now, when every
thing IL cash. He proposes tax and iorced
loan of twelve per cent. on all the property
real and personal, In that portion Of the
Confederate 6tates which are still avail
able for that purpose, according to the
estimated value of the same recoSded in
the last census of the United States
This estimated value is $,5OO.OOO,OOO spe-
Gle valuation. Twelve per cent would give
As40 600 OQO for the tax, OF which $3.50. OOO,OCV
could be applied to retiring the circnlation'
and $50 OOO, 600 to the Government tor It's
various necessities. The laying OF this tax
and forced loan would have d Immediate
eject upon the currency. Everybody IN
steAd Of trying to shuttle off their treasury
notes vould be saving them, and looking out
for more. in order to get money to pay the
tax. The demand bsng thus prodigiously
increased. the treasury notes would appre'
ciata. In little time the withdrawal OF so
large sum from circulation would occasion
q scarcity. The banks would come forward
to supply the deficiency, and thus treasury
notes and bank notes would be of equal
value. Every article would fall in nomina'
price as the currency appreciated, and we
should soon find ourselves back IN the state
we were IN at the beginning Of the war. II
appears to us that these effects are perfectly
demonstrable.
For the ultimate payment Of the debt thus
incurred, an export duty on cotton, tobacco,
and naval stores is proposed. 1t has been
objected to this, that the cotton States would
not agree to il. 1t is easily demonetrablc
that 1t would do them no injury. 1t has been
argued that 1t would throw the greater por-
ton Of the burthen upon them. This argu-
ment is founded on the assumption that the
producer of the cotton pays the export duty.
This il not true to the full extent of the as
sumption. Who is the producer? Is it the
man who owns the land and plants and cul-
tivates the cotton? To certain extentit is.
But this man must have slaves to work his
land, meat and bread to feed them, and
clothes to hide their nakedness. He must
have, also, hoes, plows, and gins; oxen, mules
and horses; hogs, salt, barns, engines, &c
This tax, then, falling first on the man VINO
cultivated the cotton, in Mississippi or Lou
isiana, would ramify backwards, and spread
itself over the hog raisers and cloth manu-
facturers of Kentucky, the iron workers IN
Tennessee and Virginia-in one word, over
every State which furnished the materials iol
carrying on the work of the plantation
Thus. If It were true that an export duty fell
on the producer, we find that 1t would be
shared by all Who supplied his wants. But
It IL not true, absolutely, at least.
Il has been said that the consumer pays The
duty, 40 It is now said that the producer
pays 1t. Both propositions are true and
both false. If duty be laid upon an article
with which the market is glutted, and fol
which there is little demand, the producer
pays, Of course On the other hand, if 9
duty be laid on an article which is very
scarce, and for which there is q great de
mand, the consumer pays. If the Legisla
ture lay tax OF two dollars ON -four, which
10 greatly In demand and scarce, the holder
charges two dollars more for his -four, and
the consumer pays 1t. On the other hand
were tho same tax laid ON barrel of -four
and, our ports being opened, the quantity
should be increased until it was mere
drug, the producer, being obliged to sell bis
houf at a'lsss, would pay the tax and have
NO means of reimbursiug himself. Now
this y exactly the condition of Southern cot
ton, - the war has proved. Before the wal
the planter was glad to get twelve cents fol
Il. Now Il sells readily In Liverpool and
New York for seveaty-two cents. We have
therefore the entire control Of the market
and no competitors. India, Egypt, South
esn Africa, and the West Indies have all
failed. We can sell our staple always at
what price We plesse, laying on the tax
Thus It cannot fall on the cotton planter
The amount Of cotton exported before the
war vas about 4, OoO, OU0 bales Of 500 pounds
each. Say that loss Of labor will reduce
thst amount one million. Wehave still three
million, and duty Of ten cents pound