The New York herald., 1866-05-09

u
won by CoTrr after forty.nine rounds Bolster broke
| his hand in che ninth round, and was badly beaten,
while Collier came out Of ths ring almost unscathed
On the return Of she party to- Washington a shooting
| ARRAY took place ON the steamboat, in which a man
named Donnely was said to be fatally wounded.
Three large buildings in Chicago destroyed by fire
| on Monday. The loss Is estimated at $l70OO0
The murderen of John L. Campbell were sentenced
yesterday at Herkmer N r., TO seven years imprson-
| ment at Auburn.
Senator Shermnn's Proposition to Com.
solidate the National Debt.
1t is gratifying to notice occasionally some
thing sensible proposed in Congress. Amid
the dreary waste of proftless discussion about
the everlasting negro, there does appear some
times an intelligent and patriotic man who
endeavors to bring Congress to consider some
thing practical and useful for the country.
Mr.. Sherman, of Ohio, has on several occa-
sions lately raised himself out of the mire Of
radical partisan politics and has taken up
with correct views generally the important
| questions pertaining to our finances. currency
and national debt. On Wednesday he intro
duced in the Senate bill "to reduce the rate
of interest ON the national debt, and for fund
ing the same" 1t provides, as the Senator
remarked in his explanatory statement, for
five per cent thirty years. loan, in the usual
form, to be called the consolidated Debt of
| the United States" and to be disposed of at
not less than par, and to be applied to the
payment of the existing national debt other
than United States notes, commonly known as
| greenbacks. These few words state cOncisely
The object and substance of the bill. 1t is
most important measure, and the introduction
OF it now shows that sound practical ideas
on this subject are making their way in
Congress.
In an editorial article in the HERALD of April
I6, on the subject of 'the financial problem of
the country" we used this language:-"The
next step should be to consolidate the whole
debt and make uniform and reduced rate
of interest. A sinking fund, looking to
| the extinguishment of the debt in forty
| or fifty years should also be established.
This would give stability and confidence, and
would tighten the burdens of the people," We
have been urging the same views all along
during the last few months. We saw that the
Jay Cooke theory of q national debt being
national blessing and the powerful combined
efforts of the bondholders, backed by the
monstrous moneyed monopoly of the national
banks, to increase and perpetuate a ruinous
financial system, must be strenuously resisted.
We have opposed, too, the visionary notions of
| the currency quacks as to contracting our legal
| tender circulation. Mr.. McCulloch and the
whole Treasury Department, the Chase and Jay
Cooke financiers, the host of bondholders, the
national banks, which are making fifteen per
cent on their capital and out of the people,
| and the radical press Of the country in the in
terest of this powerful combination-all were
advocating the most impracticable and de-
structive theories. II is now the more crafty
ing, therefore, to see one of the ablest and
most influential Senators adopt our views, both
on the question of the currency as well as on
that Of funding the debt. Mr.. Sherman, in his
proposition to fund the debt and reduce the in
terest, excepts the Notwithstanding debt in
| the form of greenbacks. These are no burden
upon the country, and are evidently and
properly regarded by this Senator as our safe,
healthy and proper currency. II is reported
that the Secretary Of the Treasury approves Of
the bill introduced by Mr.. Sherman. We hope
it may be so, and il 1t be, we congratulate Mr..
McCulloch on the progress he is making and
the good sense he shows.
The funding Of the debt, reducing the inter-
est and making it uniform, and creating sink
ing fund for the extinguishment of the debt
ought to be provided for at one and the same
time. It would be best, perhaps, to do it all
in one bill The consolidation of the debt, ell
Of 1t having long time to run, say thirty or
forty years, gives it the character of . perma-
nent security, and raises its value accordingly.
Old United States skies oflong date always were
quoted higher than those Of shorter date. II
would be so with the new debt. Six or seven per
cent bonds having only few years to run would
really not be worth more than American consols
bearing five per cent interest running thirty or
forty years. In no sense, consequently, does
the proposed bill Of Mr.. Sherman squint at re-
pudiation or injustice to the bondholders.
There is not only the precedent set by all gov
ernments in this respect to justify us In doing
the same, but we should not be doing any one
wrong or breaking faith with the public credit
ors. We have been legislating enough for the
benefit Of the bondholders and a moreyed
monopoly; II is necessary now to Tighten the
burdens Of the people as much as possible and
look more to the general interests Of the coun-
try. At the same time that a consolidated
debt for long period would enhance the value
Of the debt as . permanent security, sinking
fund for the ultimate extinguishment Of IL
would raise the credit Of the government, in.
spire confidence, and make its securities the
best in the world. Though this, at Hrst sight,
may seem to be an anomaly, it 10 nevertheless
true that both long time debt and the GER
tainty Of payment increase is value. There,
ought, then, TO be . permanent sinking fund
created at the time the debt may be consoli.