The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1867-11-05

Paying the National Debt lin Currency
Speech OF General w. A. German at
Rochester, Mimi, October 80.
After few preliminary remarks General Cor
man sald:-
Allow me now to call your attention to another
means OF relieving the people from part OF the
great burden of taxation. Your national debt
now Embellishments to about $2,500, 600, 900.
This amount will be probably increased about
$500, ,000, 900. There is, by the report of the
Secretary OF the Treasury, about $9S2 900 900 OF
what is known as Five-twenty United States
bonds bearing six per cent, interest In golu, out
the principal IS not by the terms OF the contract
payable in gold. These bonds are payable at
any time after five years, at the option OF the
Government.
About four hundred millions of these bonds
are now deposited as the basis of the national
banks, upon which the people are taxed to pay
twenty-tour million dollars annually IN gold
This is the favorte financial measure of the Re-
publican party. If the law had In terms re-
qHred their payment In gold, we would say,
Keep the faith, and SO pay them; bot the law
does not require their payment in gold except
the interest. Therefore we say, let the Govern
ment pay off this four hundred million OF five
twenties bonds in legal-tender currency, aud
withdraw the national bank currency. by which
we will save tWentytoul milton dollars, and
place four hundred millions on the tax list
thereby saving the people annually twenty-our
millions, and giving them tour hundred mil
lions more taxable property.
Thus the bonds are not now taxable Tor State
or any other purpose, but when converted into
legaltender currency they will be taxable for
all purposes. This policy will not, you see, in.
crease the volume of the currency, but will
swell the taxable property four hundred mil
lions of dollars. This policy will diminish the
demand for gold to the extent of twenty-tour
million dollars annually, and thereby lessen the
premium on it. And in the proportion that 1t
lessons the premium on gold 1t brings the legal
tender currency nearer to par. And further
the law now requires all the tariff tax on i'm
ports to be paid in gold, and by saving this
twenty-four million dollars interest on the
fVetwenties we can reduce the tariff
tax on imports to an amonnt equal 10
this tWenty-four million dollars, and thereby
further diminish the demand for that branch Of
taxation, and to that extent cheaper the cost of
our articles of consumption. The Republican
policy is to convert the legal-tender notes, which
draw no interest, and which do not, therefore,
put q tax on the people, into bonds that do dra W
SIX per cent interest in gold, and pay no tax.
Their policy taxes the people. Our policy does
not tax the people. Their policy runs up the
premium on gold, while our policy brings il
down, and brings greenbacks nearer to par. We
collect now about one hundred and eighty-6ve
million dollars on imports annually, in gold.
This, OF course, creates demand for gold to pay
il, and every gold interest bearing bond creates
further demand for coin, The more we lessen
the public debt the less demand for gold.
BY our policy we think gold will be brought
down to par, or nearly so, and then the bond
holder will not care whether he Is paid in legal
lender currency or in gold. Therefore, from
time to time, as we can reduce the national ex-
extent and reduce taxes. Abolish the Freed
mems Bureau and save millions Of dollars to the
people and from year to year pay off the tive
twenty bonds with currency, gradually thereby
substituting non-interest bearing note which
pays taxes Tor gold Understanding note which
pays no taxes. We know that If we issue more
currency @ than the wants of commerce demand,
me inCieaee tho premium on gold, and con
IS ISqben'5y qba cause this currency to deprecate. Bu
a. we southean States were promptly restored
GSn al tnelr practical relations to the National
ana consequently to a state OF full
na Sa prosperity, it would create de
manu- manu- lor more currency 70 move their produc
lions 10 @ Ine great markets of the world. Til,
legal-tepder tor all debts, public and nr;Ssto
Now, why shoutd t the Republican party compe
people to pay the holder of FivetWentv9 NJ, wv
gold Is this justice Is It. not protecting @ capi
tai and taxing H3or Is N not creating a.
labor OF the countryY
Why do the Republicans insist on exemptlA
national bonds lTOm taxation, when they kno