The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1866-03-26


stabbed last evening by unknown man, whom he de-
tected in his house under suspicious circumstances.
Mr. J. 2. Moore, who lost large amount Of bonds
Friday night has recovered and Identified the tin box In
which they were conta ned, but It had in It Of
the valuabes when found.
The Financial Problem-How It Can BE
Solved.
The question of finance Is one of tho most
difficult subjects which our public men have to
grapple with at this time. Next to the res.ora-
ton of the Southern States il is the most i'm
portant problem that is to be solved at present.
Its final solution hinges, to great extent,
upon that of reconstruction, and depends
in great measure, on the action of Congress
in regard to the latter. But, with I'll the dill
crlties surrounding it, with all the obstacles
which now seem to lie in the way, all that is
necessary to enable tho country to steer clear
of breakers, and secure on early return to a
specie basis, is for those who are called upon
to legislate upon the question to exercise a
Ginning, and greenbacks approaching in value,
f,om the natural results Of the laws of trade,
and any attempt to hasten them, either by legis-
lation in Congress or contraction by the Secre-
tary of the Treasury, will, in the end, delay
rather than hasten the return to specie pay
ments. Nor will the plan of forcing resump-
ton of specie payments by Withdrawing the
greenbacks and funding them into bonds &C
complish the object 1t will interfere and clog
the business of the country without securing
the object aimed at We cannot resume specie
payments as long as our purchases abroad OK
coed our exports to the extent that they have
for the last three years. Oae great cause for
the fall of gold at this time Is the large amount
Of cotton which Is being shipped, which re-
duces the demand for gold 10 pay our for ign
indebtedness The legislation OF Washington
may bring about fall in the metal now and
then, through the simple fact that the brokers
in Wall street, acting upon the belief that 1t
must 60 down, manage to lower the
quotations, but this is only temporary and Is
liable to o reaction the moment that the furry
is over. But let the country raise and send to
Europe sufficient cotton, or any other product,
to more than pay for our purchases abroad, and
there will DO no longer foreign demand for
gold, and specie payments will come in spite of
legislation.
This fact, we think, is Of itself tho great
key to the solution Of our present financial
problem. If the members of Congress can tell
when we shall export cotton and other products
sufficient to pay our debts and our purchases
abroad, they can then fix the day when We con
resume specie payments, and all attempts to
force 1t sooner than that will only bring upon
us disaster as punishment for our folly. The
restoration Of the South, in order that capital
may be invested for tho development Of that
section, and to increase the supply Of the great
staple, cotton, is, therefore, one of the most i'm
portant steps towards o resumption OF specie
payments. Instead Of Withdrawing tho green
backs and forcing specie payments agains! the
natural laws of trade, oil legislation on this
subject should be based on the laws of COM
merce. II was this course that enabled England
TO resume specie payments after the war with
Napoleon. II took that nation several years to
reach specie basis, but II the radicals in
Congress will only permit the country to
be restored, We can, beyond o doubt, reach
specie payments in one or two years with
out any contraction Of the non-interest-
bearing notes. All that Is necessary for
Congress to do on this question Is to decide
when II Is probable that the exports of pro-
ducts will be equal in value to our i'm
ports, and fix that as the time when specie
payments shall be resumed. Then make
the greenbacks redeemable in coin on de-
mand at the Treasury and Sub-Treasuries
throughout the country. In addition to this
enact law compelling the national banks to
redeem their currency In greenbacks, and you
have complete system, which viii adapt itself
to the demands of trade and commerce, and
prevent q rapid imitation of currency or sudden
depreciation of values. Tho greenbacks will
then be TO this country what the notes Of the
Bank Of England are to that The notes Of that
bank are as good as gold the world over, and
there is no reason why our government green
backs may not reach the same standard.
In order to make this system complete II
would no doubt be necessary 10 make the New
York bank clearing house Q sort Of auxiliary
to the government, controlling board over
the currency, which could, like the Bank of
England, hold in check the banks Of the coun-
try. In this manner perfect system could be
formed that IN a short time, would, with the de-
velopmcnis Of our commerce, make this coun-
try, instead OF England, the financial centre Of
the world. Specie payment reached in this
way would be permanent, and II could be &C
complished without disastrous effect upon the
business OF the country. Why viii no. Con-