The Indianapolis daily herald., 1865-12-09

This Is very elaboratemJ frank document.
After brief introduction. the Secretary pro-
ccrtis o. tsc di-cn--irn n the crest -ugsests of
a.. Currency the Public Debt and the Rere-
n.e. lie eotamenees with the currency. lie
first discusses the eon-titutionality q the legal
tsnder uotes. and H. declares that such notes
are unauthorized by the Constitution. and that
their issue, when made, could only have been
excused a. war measure Of necessity; and,
hence. that the war having ceased, these notes
should, a. fast a. may -. retire from exist
ence. They are unconstitutional now, at all
events. Hereiterafes the doctrines q his Fort
Wayne speech, that gold and silver are the
proper currency, that they are recognized a.
such by the commercial world, and that our
currency should correspond with that Of other
commercial nations with whom we exchange
products. lie, at the same time, approves Of
a limited amount Of bank paper convertible
into specie AZ the win ofthe holder. He illus
trates the idea that the higher prices are,
the greater must be the volume Of currency. as
II a bushei Of wheat j. ten dollars instead Of
two, it requires the Use Of FIVE timesmore cur
rency In the purchase Of Il. lie j. opposed 70
an extray agant credit system; il tempts TO the
exchange Of the habit Of productive labor, for
that Of unproducfive speculation; economy for
extravaganza, and reckless bargains for safe
ones. An excessive issue ofpaper money pre-
duces the same effect. lie says:
| IL the war could have been prosecuted on a
| specie basis. there would doubtless have been
| a considerable advance IN the prices Of those
| articles which were in demand by the govern
ment; but inasmuch rs in the condition Of our
political affairs extensive credits could not
have been established in Europe, the tendency
/ in this direction would have been kept within
reasonable check by the outflow OF coin To
ether nations. which would have been the ma
| tural result Of the advancing prices in the
| United states. On basis Of paper money, for
which there was no outlet, all articles needed
/ for immediate use, Of which II became the
| measure Of value, felt and responded % the
/ daily increase Of the currency; 20 that rents
| and the prices Of most articles for which there
has been demand, have been, with slight
/ fluctuations, constantly advancing from the
| commencement Of the war, and are higher
! now, with gold at forty-seven per cent. pre-
MUM, than they were when il was at one
hundred and eighty-fiye. Even those which
I were affected by the fall Of gold upon the sur
runder Of the Confederate armies, or by the in
creased supply or diminished demand, are adj
\ ssncing again 10 former If not higher rates.
The expansion has now reached such point
| as TO be absolutely oppressive TO a large por-
ton OF the people, while AT the same time II Is
diminishing labor, and Is becoming subycrsiye
OF good morals
There are no indications Of real and perma-
nent prosperity in our large importations OF
foreign fabrics; i'm the heavy operations at our
commercial martS; in the splendid fortunes re-
ported TO have been made by skillful manipu.
lations at the gold room or the stock board; nc
evidences OF increasing wealth In the facts that
| railroads and steamboats, are crowded with
passengers, and hotels with guests; that cite.
are full 10 Overlooking, and rents and the pri
ces Of the necessities of life, a. well a. luXu
ries, are daily advancing. All these thing,
prove rather that foreign debt j. being crea
ted, that the number Of nOn-produccrs is in
ereasing, and that productive industry Is be
ing diminished. There j. no fact more mani
fest than that the plethora Of paper money i,
not only undermining the morals Of the peopl,
by encouraging waste and extravaganza. bu
l. striking at the root Of our material prosper
ity by diminishing labor. The evil is not n
present beyond the control Of legislation. bu
10 Is daily increasing, and, if not speedily check
! ed, will, at no distant day, eliminate in wide
| spread disaster. The remedy, and the ONLY
remedy within the control of Congress. is, il
the opinion Of the secretary, to be found in til,
| reduction Of the curreh v.
\ The paper circulation Of the United States
ON the 3lst Of October last. was substantially
a follows:
I. United States notes and fractional
currency. f45i 2ls %.
2. Notes cftb ional banks IS5 OsO 900 d
3. Notes OF Sta'e banks, including out
standing Issues Of State banks convert
edtntO1ational banks..... 65, 500 zoo u