The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1866-11-10


From the Herald
We have been informed through our Washing
ton correspondence that Mr.. McCulloch is so
intently engaged in preparing his annual report
to Congress- that he has transferred his other
duties to bis assistant, Mr.. Chandler, who will
be Acting Secretary OF the Treasury for the time
being. We are glad TO see Mr.. McCulloch engaged
so earnestlyj for there never was In the history
of thsCountry, and perhaps of any other, such
important labor for man In his position to per-
form; that is, if he comprehends the duties of
his situation. He has made mistakes heretofore
through not having comprehensive states
manlike view of national finance, and through
conducting the business of his department as if
he we're simply managing bank Tor the benefit
of a small corporation.
He began by prOclaiming the theory of the
Old British bulliouists--tLe speedy resumption
of specie payments. without any regard TO the
disastrous experience of England under the
application OF that theory, or to our.own pecu.
liar circumstances, Whether influenced or not
by the bondholders, whose power lies mainly ia
the national banks we cannot say: but it is GER
tain hls financial policy was in favor OF that class,
while his tendency was to ruin everybody else.
Fortunately, however, he learned afterwards
that the views he enunCiated in public we're
not practicable, and in time he ceased to urge
them.
Another mistake he made was in allowing
gimselt to be controlled or humbugged by the
hold spectators, when he foolishly attempted
TO reduce the premium on gold BY selling a
large amount out of the Treasury. This as
every one knows, caused for a time great
fluctuations IN the market, stimulated gold and
stock gambling, and seriously disarranged the
business OF the country, and then, at last the
premium rose again to the old rate, after the
bullion traders oil Europe had drawn way the
amount he threw upon the market. We have
reason to hope, however, that ne learned wis
dom by this experience, Tor he has not repeated
the foolish act since.
But We have something against Mr.. McCul-
loch for his sins OF omission as well as blame
Tor those he has committed AS the finance
minister OF the republic 1t was his duty to in
augurate measures to raise the credit OF the
Government, TO give us a uniform and steady
currency to break up the infamous and dan
gerous national bank monopoly established bv
MIR. Chase, and to provide tor a permanent sink
ing fund to hquidale the national deOt in a
progressive and safe manner. These things he
has not done. STILL he may be educating him.
sell up to these great satesmanke measures.
1t s not too late to commence upon them, and
we hope his next report win give Us higher
OPINION OF ms ability than his previous official
acts have given.
First, the Secretary ought to dissipa.e all
false views and unreasonable expectations about
immediate resumption of specie payments The
"On to Richmond, CRY OF our Contemporaries
and the politicians in Washington in the early
part OF the war, was not q bit more ridiculous
and impracticable than the cry Of on to speedy
resumption made now by the same class Of
visionary theorists The attempt to carry out
their theories about specie payments would be
as disastrous as were those with regard to the
war The unparalleled resources OF the country
their great and constant Increase, aud the won
deriul progress of business from year to year.
will soon absorb mere than the present volume
OF currency. We shall grow up, as we have
said repeatedly, to specie payments within as
short time as il will be safe or healthful TO
come to that The great thing for the Secretary
TO attend to, as far as the functions of his Office
go, is to keep the currency--the circulating
medium-aS steady as possible, and TO avoid
violent fluctuations so as not TO disturb existing
values or the business OF the country Specie
Is an article OF commerce, the same as gram,
corn, OF cotton the currency is not, and it is of
little consequence whether gold be worth ffty
per cent. premium or at par with paper, so long
as all business, all values, and all contracts be
based on steady and safe paper currency.
The currency should be uniform and based !
directly upon the credit of the Government !
not Indirectly. as is that of the national banks |
We should have nothing but legatenders ali OF |
one character though of different denomina- |
tons. Banks under proper regulations mig ht |
use these for their circulation. The people |
would have perfect confidence in them. There !
would be no powerful banking monopoly like |
that of the national banks. The Government |
would save twenty millions year or more by |
issuing legal tenders in place of the national !
bank currency; Tor it would buy up the interest
bearing bonds now deposited by the banks as |
security for their issue, and the country would !
have better and more reliable currency.
Inc Secretary should recommend Congress by !
"a
uonal banke out of existence. independent of !
these banks having the profits of a circulation |
which the Government ought to take for the !
benefit of the people, they are dangerous to the J
industry and political institutions of the repub.
lie. In time they would absorb and control
all the profits of labor and trade and be the
ceived.
He should also lay down plan for consoli-
dating the debt in one form, bearing q unilorm
interest; Ihs interest ought tnott to be higher than
five. The various forms of the debt, much of
which has but a short time to run, could be
bought up by longtime bonds at this rate with
out a great advance in the market price.
Besides, it is no more than Just 10 the people
the taXpayers-that the interest should be re-
duced There is no good reason why they should
pay to the bondholders double the amount, or
more than those bondholders paid for the debt
This would have the effect of keeping our bonds
at home, and preventing drain OF gold to paw
the interest abroad.
Then we should establish a permanent and
inviolable sinking fund to liquidate the whole
debt within a reasonable and given time. This
would inspire confidence, prevent moneyed
oligarchy from controlling the destinles OF the
republic, and set our hands free, with the high.
est credit and most abundant means, to defy
the whole world, If our honor and interests
should call upon us to do so.
In the meantime our superabundant revenue
can be reduced. Nearly half the present taxes
may be taken of. The duties which are now
bearing so heavily upon the agrlculturists and
the general industry of the country, and enrich
ing enormously few manufacturers, ought 10
be reduced at once. A rigid economy in every
department of the Government should be en-
forced; for this will lessen our taxes; and
nothing tends more to preserve the virtue OF
nation.
These are the important questions, over.
shadowing all others, which Mr.. McCull0ch II
he has any claim to statesmanship, VIII take up
4 -. .uaaI. a. 20 No.