Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1864-04-01
Congressional.
MR.. WooDBRIDGES REMARKS ON
THE GOLD BILL.

hing but little claim to financial experience shall on
" pre- those views which commend themselves 20 my
common sense unbiased by any pct financial theories
aud influenced BY any sympathics with espeouialos
who hucn upon our country dlsifesses
The Committee " WAYS sud cans, 10 whose especial
charge is committed the financial interests Of the coun-
Try. after mature and careful deliberations originally re-.
ported to the House the proposition as Il is nov sent
back 10 MS from the Senate and IL has A. stands,
the approval Of the Secretary u the Treasury And sir
when find that the PROPOSE ion submitted by that Com
mtee comedies with my own Ju lRmen however unsku-
led II may be, shall Of course give my hearty sup
port
The arguments against this bill we're fairly md per
fully embodied in the remarks submitted by the dis
tingushed gentleman from Massachusetts (Mt Bout
wel) yesterday. | always listen to that gentleman
with pleasure; His eanestness, his manly integrity his
cearncts Of perception, his force OF iuHtauon, always
give additional power to the views he presents But,
sir 1t did seem to yesterday that the Argument he US
ed was rather speciuus than sound
The 6fst proposition that the gentleman laid down was
that this bin should pass because 1t would be danger
20 the Government to withdraw and dispose Of any
portion ~ the surplus gold from the Treasury. Sir we
have At the bead Of the Treasury man who has had i'm
posed up % him BY the nation hercuau TASK, and Who
with beneficial results to the country lie is in favor ~
this scheme, and believes il to be perfectly safe TO With
draw certain portions Of The surplus gold from the Treas
ury and dispose Of It in the market accept the judg
ment Of the Secretary upon this point.
1t is further insisted that the GDvernmeu, is under
moral obligation not TO part with this gold because the
law Of 1852 says that the interest upon the public debt
shall bc aid IN gold aud that one per cent Of the pub
tic debt shall be paid provided Tor yearly in gold Such
not the law 1t is not the uteudment Of the act Of
1862 that The gold shall be reserved to buy per cent
OF the entire debt Of the United States par but that
sufficient amount Of the money received for duties
shall De retained 10 hqudAte that debt TO the amount OF
per cent year In other words, Il is establishing
sinking fund whereby certain portion " the debt shan
be paid or retired Ali laws must have practical cen
structon. When a law 10 passed prescribing duty Il
carries with it the power to discharge that duty and that
power Is 10 be exercised in rational way In what con
don would we be If we retained the surplus gold ~ the
Treasury, A. the gentlemen contend We oughtf What
sort Of sinking fund would We create} We would be
the laughing OF hnanciers for We should be con
atantly accumulsting gold in the Treasury which the
Government does need and the business Of the cOun
ny demands and thus by Withdrawing the supply which
the demand calls for inducing speculation. adding
price Of gold in the Market and greatly increasing
The cost OF every article which purchase for army
aud navy Now sir, how can the law providing for he
rerug OF per cent of the public debt annually be
practically carried out To give practical operation TO
the law the Secretary Of the Treasury go into the
market and purchase grecnhaoks with gold That cal
led reputation II Is not reputation nor in any~ise
akin TO IT, II is what honorable have done in their
business IL is what Governments have done and what
Governments have always right 10 do. By purchasing
grccubacks with gold and with them buying and cancel
ling the bonds " the Government would carry out
this law iu its full spirit.
NJ friend from Massachusetts, Mr.. BoutwelD intro.
duced amendment which az first met with my appro
baton but when came 20 reflect upon IL. it struck
that il was not practicable. The substance Of the
ueman amcndmentis that the Secretary Of the Treas
ury shall be authorized 10 anticipate the interest and
the under due coupons with OF without rebate Of n
ierest
Nov, sir, would the men holding coupons present
them az the Treasury and have them paid IN gold pres
entity Would it be for their interest do 50 Would
u be sagaciuus business Transaction Sir, think not
and why Simply because they would that there IL
daily accumua ion Of gold 10 the Treasury which the
Government cannot use, and they would know that
where Che accumulation is boarded. and the supply
sequcnty just much diminished gold would 20 IN
and hence when the interest became due, say the st
OF May they would get an Increased price or the gold
which would more than compensate for the delay IN the
payment. Such, Il strikes me, would be the practical
operation of The amendment proposed by the gentleman
from Massachusetts,
Again I am informed that the interest on money in
The market is only tive per cent such beiug the case,
Il is an additional reason why will hold on 20 these
coupons and take their chances rather than receive the
gold On them
Another argument II l understand the gentlemen
arght Is that would by selling this gold increase the
price u gold and stimulate speculation in the market
The gentleman says that uncertainty is the great element
Of speculation When you come 10 that kind of specua
ton that has the Characteristic Of gambling you may
ultimately say that II is the uncertainty when stimulates
the speculation. win this bill increase the element Of
uncertainty contend. SIR that 1t would diminish IL
and that by the aggregation Of gold boarded up you
stimulate speculation in the article and make the price
New ofk Will illustrate II in my humble way. Sup
pose there hundred thousand bales OF cotton in
New Nofk-not enough TO supply the demand-snd
hence speculation commences and those gentlemen
who gamble in Wall street, finding but limited supply
in the market unequal 20 the demand take hold Of the
article and speculate in IT, What is the resui Il goes
up and up FAR beyond its real value Now suppose
man, while the speculation is raging, imports fifty thou
sand bales and hold II in the market According 10 the
gcutemaHs theory the holding OF this iasge amount
would enhance the price and increase the speculation in
the cotton already thrown upon the market for sala
Would that be the effect No, sir. Because, cotton
being above its real value, the market would be controlled
by the holder 0f this fifty thousand bales because the
supply and demand just much nearer tqualized
IL Is known TO the Spectator that be can throw il up1u
the market at any time, and the market becomes steady
under the influence. whether the cotton is sold
II is present. ready TO be thrown upon the market the
unrest and dsquetude disappear and the market grad
ualy settles TO state of qletude. When the man who
has fifty thousand bales puts such portion Of IL upon
the market as the demand calls for what is the effect
Cotton falls aud comes down approximately 10 It's real
value. The same effect would be produced the gamh
ling IN gold by holding with the power Of sale. the
plus 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.
Now suppose the owner Of the fifty thousand bales
should he enJoned from selling, what would be the cf-
feet Spectators would take advantage Of the fact,
gambling would begin again, and the market would go up
Apply the same principle TO gold. We will say the de-
mAnd not equal 10 the supply, and that this, In
necton with other things, such the condition Of the
country and the expansion o. currency has brought
the price Of gold up to speak Now the speculator
knows there is aocumulating fund in the Treasury
which cannot be used ADD the you throw into the
Treasury. and thus diminish the supply, the dis
honest and reckless the Spectator becomes Hence
they 90 kiting in gold because they this large
amount is locked up in the Treasury and cannot be
used Now give the Secretary power 70 bring this upon
the market, and what will be the ehectl Thesame As in
the Of cotton and down will go the price Of gold
Spectators do not know that is be thrown upon
market; but there is power to put II on the market
speculation IN gold will be regarded unsafe and il is
measurably checked.
Again, the gentleman says, admitting that this may
exercise some influence the price Of gold vet that
huence will be temporary and permanent. and that
we must leyislate for permanent depreciation Of he
price Of gold Now, | never saw force nut in motion
which would not eIpend itself That's in accordance
with the laws OF motion. II the Secretary Of the 1reasu
~ should MT TO put 81 900 000 more Of gold on
the market do not pretend il would have permanent
effect on the speculation in gold but would have
temporary one and the Secretary having the power from
time to time TO produce this temporary effect upon spec
uauon' II becomes finally permanent effect. One
shower Of rain does not have permanent effect upon the
parohed earth but shower after shower brings forth the
bOunuful harvest.
Now, Sir, must take issue with the gentleman from
Massachusetts, upon another point made by him. and
do so with great Difference ae the gentleman evident
ly business man and sAgacious merchant lie says
this bill will not materially influence the price Of gold
because the price Of gold governed by price OF
change Now, sir, as man Of common sense, and not
man Of financial experience, l do nOt Il in that
light The price Of gold 10 certain regulates
the price of exchange. The price Of exchange geat-
than the price Of gold to about equal to
the costs Of insurance and transportation. IL the gen.
ed his amendment gold went up, and understood 10
over 100, but when the dment OF the Senate
/ adopted the result that gold came down 100 49,
The immediate effect OF the passage Of the bill by the
Senate was to bring gold down nine ten cents.
Now, sir, believe n pass this bill, under the oper-
alton Of which gambling In gold will in my judgment be
checked, and IL the Committee Of Ways aud Means will
speedily present bill for revenue whereby the wealth
and property the country will be taxed pay the
pences Of this government hereafter that hencef1r-
ward there will be undue initiation Of the oy
gold will continue TO decline. When spectators see
mat currency Is not TO be inflated when they see
that the property Of the county is to be taxed carry
a. W q near IN 4