The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1864-06-09

+
Loan.
-Four hundred millions Of dollars arc to be
borrowed on coupon OF registered bonds, not
less in denomination than Atty dollars. bearing
six per cent interest, and redeemable within
forty years. We regard this measure as sound
one, financially, and Is Q measure that, II car
ried out, will constitute the Secretary Of the
Treasury public benefactor. Such measure
is the real remedy, and perhaps the only
remedy, for tho unhappy condition In which the
national finances now are.
Intimation has been given by the Secretary
in various ways Of an intention to remedy at
the earliest possible day the present inflated
condition Of the currency, and by judicious
contraction to restore the public money to its
natural value. This purpose cannot be re-
garded IS 9 chimerical one; for, not only ought
our money to be very much nearer in price to
gold than tits, but it is simply preposterous
that, in country 90 rich as ours in all natural
elements Of value, the public currency should
be at ninety or q hundred per cent dis
count. Such fact is entirely at variance
with the history of finance. As we have
hitherto shown, paper in England kept very
near to gold when the British government
our government is immensely richer now than
England was then; and, if we compare the re-
sources Of the two countries with the war ex-
penses of each, we find that there also the CON-
parison is greatly In our favor. Yet our paper
goes sixty per cent lower than English paper
did. We spend, as compared with our ability
to pay, about half what England did, and our
money goes twice as low as hers went. No ex-
PLANTATION of this can be given, except an ex-
PLANTATION drawn from the errors Of our financial
system, and tho opportunity that those errors
have given to spectators.
Secretary Chase's new loan must tend d.
rectly to the desirable contraction Of our cur
rency--that u.s. to remedy this great error and to
restore the government money to its natural
relation with specie. Doubtless some opposi-
ton to the loan will make itself felt for this
very reason; but such opposition will Of course
come from the spectators, who find
their advantage in that condition Of the
finances that, if continued much longer, must
ruin the country. These gentry will be
troubled by this measure, and many of
them will be smashed to pieces by it; but the
country can endure with admirable philosophy
the ruin of few thousand spectators, who
together, have done our cause as much damage
rs might have been done it by rebel army
We can endure the ruin of such fellows, the
more especially as it is merely question Of
the ruin Of the spectators now or OF the whole
people by and by.
From the operation of this loan we may con-
fidently anticipate change in that condition
OF our finances chat has induced so many clear
sighted men to consider that a convulsion by
aud by was inevitable. BY such contraction
rs this measure must induce we will, as the
phrase goes. be let down easy, and The currency
will be brought so near TO the standard Of value
That the resumption Of specie payment will be
very much less difficult. Not only will this
loan tend to obviate a CONFUSION, but it will
have immediately beneficial effect upon
prices. Prices must go down for the burthen
OF difference between government paper and
gold will be taken from the currency and
thrown elsewhere. Government stocks, which
can stand il so much better, will then bear the
load which the necessities OF the people have
lately borne In the great depreciation of
paper money. Beef will be cheaper, and as
| prices improve in this respect the tone Of tae
| popular mind will be healthier