Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1863-03-17

occupied Hsrnan5o on Saturday night last. Their fur
Their ovemep are unknoWn, but # is supposed they
have rotrsg aided
Rsinfocements are reported coming down the pass,
sad heavy arrivals Ct troops are reported at Memphis
frem above.
The roads are drying but tbs rivers continue dihieut
to cross. The Taiaaatehle rose eighteen inches In
tNenty-6our hours B.
an Inflated Currency.
From tie New York Herald
The financial measures Of Congress invest
Mr.. Chase with more power than was ever be-
fore con6ded to any finance minister ia any
country Heis empowered u sell, al any price
he plesses, $500, 100000 Of bonds. TO run IS
many years as he pleases, but not less than ten
nor more than forty, and 70 besr any rate Of in
ferest be pleases, hat not over six per cent.
Next. he is authorized to issue $500. GOO, 900 Of
treasury Eotes, 70 run as long as be plssses. but
not more than three wears, to bear any rate Of
interest he pleases, under SIX per cent and to be
legal tender, if be so declares them, OF, if he
prefers, to be merely interchangeable for legal
tender notes on presentation. Finally, be is
allOwed-if he deems it Decessary-tO issue
$50 O00,0 900 more legal tender notes in the or
binary form, including the S100, 100000 lately
authorized BIZ joint resolution. These powers
are IS Arge as could be desired, and wholly re-
lieYe Congress from responsibility in the event
of a failure of the financial administration. It
was clear, some time ago, that nothing short Of
some such wholesale delegation Of power as this
would have rendered the position Of the gov
ernmens ssfe throughout the recess
The main reliance Of the during
the next twelve months must continue to be, as
il has been in The past, upon paper issues. Of
these Congress hiss plseed $4,000 900 more at
the servica of the Treasury sum so small, in
view of the vast expenditures Of the govern
ment, that Il viii require close economy 10 make
it last till July, 1884. This paper has been d.
vided by Congress into legal tender notes, aud
notes convertible into legsl tender, and which
viii become a legal tender themselves whenever
the Secretary chooses TO say they are. But
these distinctions appear to be more fsnciful
than practical To be of use to ihs government
All this psPsr must be, in nsms snd effect,
money: money that can be usei-to pay debts,
buy supplies, and make good q bank account.
If any part Of this paper were so presented to
the public as not to take the form and shspe
and not to fiji the uses Of money, it would fail
in its object Of defraying the cost Of the war.
This IL well understood at the Treasury De-
partment; it is well known there that these new
notes wil be, in name and effect, money, though
ths interest on them may, perhaps, in an easy
money market, tend to impede their free eircu-
alton. 1t seems uuimportant whether they are
made q legal tender or merely interchangeable
for legal tender on demend.
or the 100000, GOO long bonds authorized,
the Secretary will be able to sell a good many
with j%adieious management He might have
sold more if Congress hsd retained the house
amendment to the sub-trsasury act, allowing
him to keep accounts in solvent banks. Under
the present arrangement no loan could be nego-
tisted at present, simply because legal tender
notes.-the only currency receivable BY govern
nent-are too sesrcs to make it safe TO suy
bank OF banker to bid for a million bonds. Bat
if, after issuing fifty or sixty millions Of new
notes, the Secretary then came into the market.
either publicly or privately, with a parcel Of
bonds, they could be hoated, especially if our
armies had achieved some successes. By alter,
natirg between issues of paper and negotiations
Of bonds, and By conducting his department
wisely and discreetly, in view of the interests
Of government, and not in view of the s~pecola-
ions of Wall street or the premium on gold,
the Secretary may, IN the course Of the year,
manage to dispose Of a good many bonds. But
to do this there must be no more such needless
palies created Bs was caused By the last thir-
teen million loan. The good viii of the banks
and bankers is indispensable TO negotiations.
Such, In 3 few words, is the financial pro
granms f0r the year. That it viii involve a
great aud unparalleled expansion of credit and
initiation Of prices is loo clear 20 need dsmOnstTa-
ton. These arc the inevitable draw backs Of
sll great wars, and it is equally idle to complain
nr try 20 prevent them The following table
VIII show the smouut OF currency which We are
going 70 have
AMOUNT OF P4PEs MONEY AFLoAT AND AUTHORIZED
Bank currency now al .sI6z0 600 o6
View bank currency under Chasss sct...-.. 100000 O0C
Legal euder, under sets Of ls62....s...... 300,OOO,00l
Legal tender, under act Of l563-..--..-.,. 10000 OO(
Nrsasury notes convertible into IegI tender 400,O01O05
Postal currency. ..... 50GOQON
Total amount Of paper money---.....sl,3610OOO
This does not include $50, O00,0 600 Of new
legal tender now authorized to be used in con
yerting the treasury notes.
As the totai am3unt Of paper money saoat In
the wbols country before the war was sbou0
S2l5. GOO, 600, it does not need much experience
to perceive what must be the effect even Of a
prospective increase Of paper issues to SI,369,-
GOO, 600; and one cennot but feel amused at The
simplicity Of bankers Wh9 talk about this new
pian making money dear, or OF Legislators who
recommended it to Congress ON The ground Of
its conservatism and It's tendency to check tbs
pending infatiOn. History will probably de.
eide thst, under the circumstance, this was the
best practicable financial scheme, and that Con
gress had no choice but 10 adopt i. as the sec.
rotary viii have no choice but to carry it into
effect. But 9 very few weslcs will probably de-
monslrate the utter G5surdity Of the notion
which has bean ventilated IN Congress and IN
newspaper organs of the government, snd
which 4 IS sill entertained BY soma of our bank
ers and 6nsneiers, that it is calculated to check
expansion, or that it DO anything else than
Initiate, to an enormous extent, prices Of al
kinds.
a Letter from Pert ROyai-An Attack
Soon 20 be made.
Al occasional correspondent Of the Baltimore