Rutland weekly herald. [volume] (Rutland, Vt.) 1859-1877, 1864-03-31

cent. such being the case, IL Is an add
tlonal reason why men will hold on Z,
these coupons and take their chances
rather than receive the gold on then
now.
Another argument, II understand
The gentlemen Alright, Is that we would
by selling this gold, increase the price o.
gold and stimulate speculation Ia the
market. The gentleman says that I'm,
certainty IL the great element Of specu,
lation. When You CONE ~ "a. -.
speculation that has the characteristic
OF gambling you may legitimately say
that II Is the uncertainty which stimu-
iates the speculation. VIII this bill In.
crease the element of uncertainty /
contend, sir, that IL would diminish 1t /;
ana that by the aggregation of gold
hoarded up you stimulate speculation in
! the article, and make The price of our
currency dependent upon the gold mo-
nopolists In New York. viii illustrate
1t In my humble way. Suppose there
are one hundred thousand bales of cotton
IN New fork--not enough to supply the
demand--and hence speculation CON-
mences and those gentlemen who gam
Die IN wall street, finding but limited
supply In the market, unequal to the
demand, take hold of the article and
speculate in II. What Is the result7 II
goes up, and up far beyond its real val
ue. NOW suppose some man, while the
speculation is raging, imports Atty
thousand bales, and hold it in the mar
ket. According to the gentleman's
theory the holding of this large amount
would enhance the price and increase
the speculation in the cotton already
thrown upon the market for sale.
Would that be the effect7 No, sir.
Because, cotton being above it's real
value, the market would be controlled
by the holder sfthis fifty thousand bales,
because the supply and demand are Just
so much nearer equalized. 1t Is known
to the Spectator that he can throw it
upon the market at any time, and the
market becomes steady under the in
fuence, whether the cotton Is sold or
not. 1fit is present, ready to be thrown
upon the market the unrest and dis
quietude disappear, and the ma2ket
gradually settles TO q state of quietude
When the man who has fifty thousand
bales puts such a portion of it upon the
market as the demand calls for, what is
the effect? Cotton falls, and comes
down approximately to its real value.
The same effect would be produced on
the gambling In gold by holding, with /
the power of sale, the surplus gold in the /
Treasury. Suppose that not pound of |
that cotton is sold, but is merely held |
in the market; as said before, it checks
speculation. -....- -.s.
Now suppose the owner of the fifty |
thousand bales should be enjoined from !
selling what would be the efectl |
Spectators would take advantage of the /
fact, gambling would begin again, aud |
the market would go up. Apply the
same principle to gold. We will say the
demand Is not equal to the supply, and |
that this, in connection with other !
things, such as the condition of the |
country and the expansion of our cur
rency, has brought the price of gold up,
so to speak. Now, the Spectator knows |
there is an accommodating fund in the !
Treasury which cannot be used and !
the more you throw into the Treasury,
and thus diminish the supply, the more
dishonest and reckless the speculator
becomes. Hence they go kitingp in
gold because they see this large amount
is locked up in the Treasury and cannot |
be used Now give the Secretary power
to bring this upon the market, and what
will be tie erect The same as In the
case of cotton; and down will go the
price of gold. Spectators do not know
that it is TO be thrown upon the market;
but as there is power to put it on the
market, speculation in gold will be
regarded as unsafe, and it is measurably
checked. @
Again, the gentleman says, admitting
that this may exercise some influence on
the price of gold, yet that influence will
be temporary, and not permanent, and
that we must legislate for permanent
depreciation Of the price of gold. Now,
I never saw a force put in motion which
would not expend itself. That Is in &C
cordance with the laws Of motion. Ii
the Secretary of the Treasury should
see fit to put 81 600, 900, or more, of gold
on the market, do not pretend it would
have permanent effect on the specula-
ton in gold, but it would have tempo
rary one, and the Secretary having the
power from time to time to produce this
temporary effect upon speculation, it be-
comes finally permanent effect. One
shower of rain does not have perma-
nent effect upon the parchea earth; but
shower after shower brings forth the
bountiful harvest, 900
Now, sir, / must take issue with the
gentleman from Massachusetts,, up
on another point made by him, and do
so with great Difference, as the gentle
man is evidently business man and a
sagacious merchant. He says this bill
will not materially influence the price
| of gold because the price of gold Is gov
| erned by the price of exchange. Now,
| sir. as a man Of common sense, and not
man of financial experience, do. not
see it in that light. The price of gold,
to certain extent regulates the price oil
exchange. The price of exchange is
greater than the price of gold to an
amount about equal to the costs of insu,
rance and transportation. If the gen
| tleman's theory is correct, why is 1t thai
when we passed his amendment golf
went up, and as I understand, to owe
159. but when the amendment OF thu
| co,,to xyac adonted the result was tina