The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1866-03-27

i
that it is not in excess, then certainly no rea-
| son exists for its contraction; if it can be
shown that it is the safest and best paper cur
rency ever put in circulation, that is another
argument against its contraction; and if 1t be
shown that the population and wealth OF the
natlon is increasing SO rapidly that in less
elah niteen years the amount OF currency
per Gapstd VIII be only one-half what 1t now
10, .neh tnat IS another reason why we shOnld
hesitate before we agree upon pcllcy for an
.:g n:nnatlng currency which every days expe-
rience estaDnshes more and more firmly in
the confidence ofthe people. 0sd r -
Let us examine first the relation which the
amount OF gold has held to the amount of cur
rency IN circulation. The amount afioat on
tne Isl OF Juiy, 1854, when the price of gold
was at its highest point-260 to 2SO-was, in
elusive of State bank circulation and exclusive
OF compound-interest notes, according to the
books of the Treasury Department, S577 ,579,-
$50. On the 1st day of November, 1865, one
year and four months later, with the price of
gold down to 145, the currency had increased
to $704 ,21SO38, or a net increase of S127 ,000,-
600; while at the present time, with gold in
the vicinity of 100, the currency, exclusive of
cOmpound-interest notes, is equal to $725, 5,OO0,-
600. Thus it is plain that if the price Of gold
depended upon the imitation or contraction of
the currency, then it ought, taking the price
on the LIST of July, 1864, as a basis, to be now
over three hundred per cent, and if gold has
declined from one hundred and eighty to thir-
ty per cent premium under an actual and
considerable increase of the currency, what
should prevent it from going to par within
the present year, thereby enabling the Govern
ment itself to reseme specie payments, and as
consequence carrying with it in due time
similar resumption by the banks Of the coun-
try? aa ,g7fs97l Srll i 77IT-iSoS Sdi N-q
In addition to the many advantages and
great superiority possessed by the legal-tender
currency as circulating medium, there is an
other advantage accruing to the Government
from its use, and to this point wish to call
the attention Of the gentleman from Ohio,
Mr.. Gartield,l who thinks 4 the Government
should withdraw its circulation and leave the
entire currency Of the country in the hands Of
the banks. So long as the Government issues
currency Of this character it can control the
matter OF specie payments, and the danger
which attends it when left entirely in the con
trol OF the banks Is removed. If the banks
control the entire circulation we can never re-
Y upon the perpanency Of specie payments;
they Will inevitably consult their own inter-
,ests, and they will suspend whenever dangers
threaten them, no matter what laws may be
passed regulating the subject, fer the laws, of
the country must conform TO the laws Of trade
Give the banks the entire circulation and they
might laugh at an attempt to close them up
on account Of a suspension; they are smas-
tiers oil the situation| the country cannot
get on without currency. 10 st1 aSDo1at bss|
But the apermanency Of specie payments
may be greatly increased If the Government 4
stands ready, anchored in the confidence of
the people, to pay its paper dollar for dollar in
gold and this simple knowledge on the part
Of the people that the greenback passing
through their hands day after day is the posi-
tive equivalent Of a dollar in gold IN the Treas
ury will make that circulation one Of the
greatest blessings which could be conferred
upon the people. This sentiment is even
now rapidly growing. Let us once reach
specie standard for the greenbacks ofthe coun- |
try and the people will never consent to have
withdrawn from circulation currency SO well |
adapted to all their wants and so wen ground |
ed in the first principles of security and conf
dence. a0I Il FfluIE-gg FGiil'il aoff1i,IO |
Thepracticability Of an early resumption Of |
specie payments and the road thereto involve |
many serious considerations. . II has been and
is strongly urged that there isno way of reach
ing such result except through the policy of |
contraction; that by making money scarce and |
dear you will approximate a specie standard |
more certainly than in any other way, / ones |
tion the correctness Of this theory 9hi-l5
20 As has already been shown, gold has declinl |
ed 1t from tEQ h!}nqged end eiShAteH eiShAteH tsarfmosdure
increase of the currency. VIII some one give |
me sound reason why the decline should |
stop at this particular point? VIII not the |
same reasons which have forced it from its |
highest altitude to its present point operate to |
drive it still lower? If we should double our |
imports tomorrow would not the price of gold |
advance, even though at the same time we |
withdraw one hundred millions of greenbacks |
from circulation? If, on the contrary, we |
should reduce our imports and double our ex-
ports, would not the price of gold decline |
without contracting our currency single |
dollar? Is there any more certain way of \
paying our debt abroad or of keeping our gold |
at home than by increasing our exports? And |
is there any more certain way of increasing |
our exports than by stimulating production? |
And is there any mere certain way of stimu-
lating production than by employing this very
circulation, the capital of the country, in de- |
veloping its vast resources of every character;
in cheapening the price Of food by increasing
the production of food; in inducing immigra-
tion by opening new and vast fields for devel-
opment, and in adding to the production Of
the country SO rapidly that few years viii |
give us a monopoly of the leadil4 agricultural l
staples, bringing the whole world TO our doors
to buy what we have to sell, and keeping the I
balance of trade as constantly in our favor in
the future as it has so uniformly been In favor
of England in the past? Instead of disturb
ing the entire business interests Of the coun-
Try ny an atteInpU 10 compress the currency |
into channels in which it was employed prior |
to its increase, would it not be more natural, |
much easier, and far safer to enlarge those |
channels to suit its present volume? The |
business interests of the country are fast ac-
,commodating themse yes to its new financial !
condition; already are matters so settled that I
contraction can scarcely be talked of without |
advancing the rate of interest one or two per
cent', anu ASK tne n1elnen wnicn Is tne
true Poncy Ior tne deveopment OF inns coun-
Sf, y, ~ naAo lnoioy uoa. "a 70 cneapen
Mhcn most stinaia1es tne empioyment OF
iaoor nd tne aeyeiopmens Oh capital, ana
lnus auus inost 70 tne wealth. OIL the country, country,
], 80 r IL .1f1-Sass ~ .Iti.a sdr .noiI
Mr. speaker, u regard 70 our f9Apces we, |
nave received anu Deileved IN the old and long
estaDhsneu preGeusnts oLsne nauons 1o of Europe
because e II IoSkI Great, brlsaln many years to