The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1865-10-14
Important Speech Of Secretary McCul-
loch on Our Paper Currency.
The Funding Of the Legal Ten
ders Necessity.
Hopes Entertained Of Bringing the Currency
to a Specie Standard Without Incnrring
An, Serious Financial Collapse.
&c. a. Gc

The Casefe publishes a speech L.. 49, - '
loch, the Secretary of the Treasury, x my" 49,
Ind, on Wednesday night, in which he gives 80
national finances
He said he was not OF those who seem 70 repud-
ate coin as a measure OF value and to make secured
paper currency the standard On the contrary he be-
longed TO that class persons Who regarding excIu
svely metallic currency an impracticable thing
among enterprsng and commercial people, nevertheless
look upon irredeemable currency as an evil which
circumstances may for time render necessity, ont
which Is never to be sustained asa policy BY common
consent OF nations gold and silver are the only irue
measures OF value They the necessary regulators
OF trade He favored well secured convertible paper
currency. No other any extent be proper sobi
stitute for coin II is not expected there shall be dol
lar in coin for every dollar paper IN crrua-
ton. This is necessary for all ordinary homo
transactions Paper currency is sufficient but there
are constantly occurring periods when the balance
between countries, and in tho United States between
it, different sections, must be settled In coin These
balances insignificant in amount in comparison with
the transactions out OF which they arise; and when
vicious system OF credit does not long postpone
settlements they arranged without disturbing the
movements Of Whenever specie is needed for this
purpose or any other purpose the paper curTcn'y
OF the country should be convertible into IT, aud cfcu
laiion convertible will not be, and ought boz
repcy Of the United States necessity Of war; but
now that the war has ceased, and the government
ought TO be borrower, this currency should DO
brought up specie standard and he saw way of
doing but by withdrawing portion of IL from circula
ton He had no faith In prosperity which war the
effect Of a deprecated currency could he any
path tread but that which leads 70 specie
ment The exlrcme high prices now prevailing indicate
that the business Of the country is IN an unhealthy con-
dton We are measuring values by false standard We
have circulating medium altogether larger than needed
for legitimate business The excess used specus-
tons The United States today is tho best marks, m
the world for Foreigners sell and among the peorsre
10 buy. The consequence ~, Europe Ia selling NJ moro
than she buys OF us including securities, which
ought 90 abroad and there Is debt rollng ~
against us that must be settled in part at lsaat with
coin The longer the imitation continues tho more ff
cult will IL be for 10 get back 70 specie payment, 70
which return. sooner later II Congress- shall,
early the approaching session. authorize the funding
Of the legal tenders and the work OF reduction IN COM
carefully and prudeny carried on, shall
reach IT, probably, without serious embarrassment TO
legitimate business. II not shall have period of
seductive prosperity resulting widespread bankruptcy
and dsaster
He spoke Of the evil tendencies Of the present imitation
the public morals converting tho business OF tho
\ country into gambling and seriously diminishing tho
labor OF the country Men apparently getting rch,
white morality ianguishes and the productive industry Of
the country Is being demolished He hopeful that
by wise legislation shall escape financial COLLAPSE and
thai the currency may brought specie standard
without those financial troubles which have IN all
countries followed pro,racted and expensive warn