The Portland daily press., 1865-11-10
Our National Financial Policy.

Washington, = a fevlsed copy VI 4A i' ~-Tyf
McCULLocH's Fort Wayne speech, deh'efeu
to his old neiehbors and fellow-citizens, on ene
occasion of his visit to his home In that place
ON the 18th of October Mr. McCulioch -
dear to our people, for he was born, educateo'
and stndied his profession in this State, so
that the people of Maine feel degree Oh iauu
able pride in the great succeseful lin''iiciai
nolicv with which he is so closely identl-
fed tits a pleasant thought for the New
Englander, that ever since the re9eliion nrst
revealed ITSELF the Treasury Department, with
all its burdens and unparalleled responsible
ties, and with its marvellous financial schemes
and policies, has been successfully admins
tered by brains moulded and maturedi in the
atmosphere of our eastern hills, Mr.. Chase
having been born and educated among the
granite hills Of New Hampshire, and Messrs.
Fessenden and McCulloch both beng the pro-
duct of Maine. This, however, is a consiuer-
alton of small importance, only as 1t may be
allowed to minister to a laudable local pride
which we ofNew England may be permitted
to indulge in. '-----------
II will be remembered that Mr.. McCulloch
occupied the important position of Comptrol-
Ter of Currency while Mr.. Chase was Secretary
of the Treasury, and our present successful
financial policy may properly be called the
Chase McCulloch system, to which, together
with the Morrill, revenue system, our county
is indebted for its ability to carry ON to sue
cessful issue the most expensive vas of modern
times, without any financial ruin or percepti-
BILE injury.
This system Of finance is a great feature of
the Republican policy, which ifcontinued with
some slight needed notifications, will certain
ly insure continuance of our present pros
porous condition sag cross AaaEd
But enough of this Our object in this ar
ticle was simply to introduce that portion Of
Mr.. McCulloch's speech iniwhich he gives his
views in brief of the financial policy which
alone can bring us safe deliverance from
the troubles, the high prices, the speculations
and the complications financial which have
resulted from the forced sytem imposed by our
protracted and expensive war, Hess
1 am not one of those who seemdisposed to
repudiate coin as a measure OF value, and to
make a secured paper currency the standard
On the contrary, belong to that class of per-
sons, who, regarding an exclusive metallic
currency as an impracticable thing among an
enterprising and commercial people, neverthe-
less look upon an irredeemable currency as an
evil which circumstances may for a time rem
der a necessity, but which is never to be sls-
tanned as a policy. BY common consent of
the nations, gold and silver are the only true
measure of value. They are the necessary
regulators Of trade. I have myself no more
doubt that these metals were prepared by the
Almighty for this very purpose than have
that iron and coal were prepared for the pur-
poses in which they are being used. / favor
a well-secured convertible paper cllrrency-no
other can to any extent be proper substitute
for coin. Of course, it is not expected that
there shall be dollar in coin in reserve for
every dollar of paper in circulation. This is
not necessary. For all ordinary home trans
actions paper currency is sufficient; lbut
there are constantly occurring periods when
balances between countries, and in the Unit
ed States between its different sections, must
be settled by. coin. These balances are insig-
niheant in amount, in comparison with the
transactions out of which theyar and when
a vicious system of credits does not too long
postpone settlements, they are arranged with
out disturbing movements of coin. Whenev-
er specie is needed for such a purpose, or for
any other purpose, the paper currency of the
country should be convertible into It, and
circulation which is not so convertible will
not be, and ought not TO be, long tolerated by
the people. The present inconyertible curren-
cy of the United States was necessity of the
war; but now that the war has ceased, and
the Government ought not to be longer Dor.
rover, this currency should be brought up to
the specie standard, and / see no way Of do
ing this but by withdrawing portion of il
from circulation. rrrroS Eun a0nag I
have no faith in a prosperity which Is the
effect OF deprecated Currency, nor can't see
any safe path for US to tread but that which
leads to specie payment. The extreme high
prices which now prevail in the United States
are an indication that the business of the
country is in an unhealthy condition. We
are measuring values by false standard. We
have a circulating medium altogether larger
than is needed for legitimate business; the ex
cess is used in speculations. The United
States are to-day the best market in the world
for foreigners to sell in, and among the poor
est to buy in. The consequence is that Eu-
rope is selling US more than she buys of us,
Including our securities, which ought not to
go abroadD and there is a debt rolling I'D
against us that must be settled in part at least
with coin. The longer the imitation ,contin-
ues the more difficult will 1t be for us TO get
back to the solid ground of specie payments,
to which we must return sooner OF later. IF
Congress shall early in the approaching lsesI
sion authorize the funding Of legal-tenders,
and the work of reduction is commenced and
carried on resolu.ely, but carefully and prl-
IDENTIFY, we shall reach it probably without Sc
rious embarrassment to legitimate business /:
fnot, we shall have brief period of hollow
and seductive prosperity, resulting In vide
spread bankruptcy and disaster. ID s1isa
There are other objections to the present
lnhation. 1t is, fear, corrupting the public
morals. 1t is converting The, business of the
country into gambling, and seriously dimin-
ishing the labor of the country. This is al
ways the effect of excessive circulation. Tna
kind of gambling which it produces is not
confined to the stock and produce boards
where the very terms which are used by the
operators indicate the nature of the transac-
tions but it is spreading through our towns
and into the rural districts. Men are appar.
emily getting rich, while morality languishes
and the productive industry of the country is
being diminished. Good morals in business,
and sober, perseVering industry, if not at a
discount, are considered too old fogyish .forsthe
present times. But feel that this Is not the
occasion for croaking, and perhaps ought to
apologize for the train of remarks into which
l have been led.
But, while feel anxious about the present
mHdtiou, anu ttS eHects upon the business and
morals OF the country, am hopeful that, BY
wise legislation, we shall escape a financial
collapse, and / am confident that a GRAND fi,-
ture is before the United States i am hone
full that the currency may be brought plto
the specie standard without those financial
troubles which have in all countries followed
protracted and expensive wars. By the ex
perlences of the past lour years, we are led to
the conclusion that our people have a latent
power that always manifests itself when re-
CURED, and is equal to any emergency /
nave faith, sir, that as we have, to the aston
iisnlne9t OF the world, raised immense armies.
larger apprehend than any SINGLE nation or
brought into the field, and met the enor-
nous expenses of the war without borrowing
rom other nations; we shall also he aha
without financial crisis to fund our snrnins
currency and interest bearing notes. BRING irn
back the business to specie STANDARD. and
In ia A.