Belmont chronicle. [volume] (St. Clairsville, Ohio) 1855-1973, 1867-08-29
Speech of Senator Sherman.

Senator Sherman addressed an inn
mense audience at Canton, Ohio, on the
Goth inst. After nm argument In favor
of negro suffrage, he turned his atten-
tion to the National finances, as follows:
There are some questions not specially
involved in this canvass, but which are
very important. l can only allude to
some of them very briefly, and chiefly
i'm reply to what Judge Ranney said to
you the other day. They are financial
! questions growing out of the war. You
will observe that their doctors do not
agree at all. Judge Thurman, Judge
Ranney, MIR. Vallandigham,a and no doubt
1 many others, talk about debt and taxes
and banks merely. to excite opposition,
but the Democratic party have not and
dare not take definite positions OH any Of
them. Until the last "nigger" Is ex-
hausted they will not meet fairly these
great questions. Judge Ranney Is OPP
posed to an increase of paper money,
while Thurman wants to pay off our
bonds in more greenbacks, or more rags,
as he calls them, and Vallandigham Is
In favor Of paying the whole debt BY an
issue of greenbacks. The question with
you will be whether the Union party,
which IL entitled TO the credit of the
wonderful success of our financial meas.
ures, can best solve all new problems as
they rise, or whether the public credit
can he safely committed to a party that
during the war tried all they could to
destroy our credit. Let us look at some
of these matters. They talk of our large
public debt. Very well, our debt is large,
but what caused it? A Democratic re-
bellion. We had to choose between n
great war with its inevitable incidents,
debt and taxation, or, on the other hand,
the overthrow of the National Govern
ment. The Union party preferred war,
debt, and taxes, to disunion. Did the
Upion party unnecessarily increase the
debt, or impose unequal or unjust taxes?
On the contrary our financial measures
were as successful as our military meas
ures. While all the efforts of the Demo-
cratic party impaired our credit, made it
difficult to negotiate loans, prolonged the
war and increased the debt; and now
that the war is over what party is likely
, to increase the debt. We have the fact
before us that the Union party has not
only prevented an increase OF the debt,
: but its reduction has been steady and
rapid. On the 3lst day of August, 1885,
Z IL was 50, ,757 500, ,6S6 on the LIST day of
November, 1866. it was 81, ,55l ,424, III, or
n reduction of S2O6, ,370, $685. on the lst
, day of August, 1857, it was 81, ,5ll ,306. .436,
or a total reduction of S246, 497 $50, in less
than two years. and during these two
= wears we paid off beside an immense
: amount of floating debt, the debris of the
a war. Suppose the Democratic party
now i'm power, who does not know that
; the debt would he largely increased p
1 The only sure Democratic States, Ken
:. tucky, Maryland. and Delaware, are now
demanding untold millions as pay for
their slaves. Every Democrat is com
mitted to their payment. All over the
South they are preparing claims for in
iuries during the war. A Democratic
Congress would grant them all. Nearly
every Democratic Senator or Member
will add to your debt $500, 100000 to 81 :
OOO, ,OOo, 900. For this reason they con-
stantly exaggerate the amount of the
: public debt. Let us see what it ia. 1t is
I iiquidated, and we know to dollar the
Y amount. read from the last official
d statement of the Secretary of the Treas
G ury. The aggregate debt, August l, was
S2,5l1 ,3O6, ,436, but of this 1897, 7l9, ,5S3 Is
( in greenbacks and fractional currency.
c not paying interest, leaving the interest
/ bearing debt l4,0O0,0O0. Now if I
= have my way this debt will not he in
z creased one dollar on any pretense what
d ever, but will surely and gradually be
l. paid Off 1t Is said that this debt Is not
subject to taxes, and this discrimination
t Is unjust to other taxpayers. Now, this
= debt or property in income held by our
II citizens Is subject to taxes by the United
s States. Congress may impose taxes on
Y it as 1t does on other property or income
. These bonds now pay income tax; But
:, true, but whose fault is it? Did the
q Union party make this exemption? Not
l. Mt all. 1t ismade by the Constitution q
), the United States for which our Demo
Y cratic friends, when 1t suits their pur
G poses, profess such profound Difference
e The Supreme Court of the United States
Il as early as 1919 decided that bonds of the
United States are not subject to any tax
d by or under State authority. This de
n cision has been followed in multitud,
r. OF cases since. 1t 80 happens that every
e Judge that has sat on the Supreme Benci
from 1910 to this time has had this ques
ton before him. and each one concurs n
Is the same opinion. The principle IL ob
Is vous that the power of Congress to Dor
~ row money is paramount and cannot b,
t. taxed or interfered with without destroy
" ing 1t. TO allow State to tax nationa
loans may enable State to prevent tn,
nation from borrowing money. Now
ii these decisions are very well known /,
> as good lawyers as Thurman or Ranney
Al hut, instead of stating them fairly. they
)f blame the Union party for eXemptin.
N the bonds, while all United States bond
Df have been exempt from local taxes sine
ct the foundation of the Government h,
n the Constitution itself, and has been nc
le quiesced I'm by every Administration
rt The first loans during the war contane,
N no reference to this constitutional ex
r emption, but In subsequent laws, after
W recent decision by Judge Taney, in DE
In cember, 1862, that United States bond
10 could not be taxed, we inserted declara
ton in one of our loan laws that Unite,
~ States bonds were not taxable by or un
(. der State authority. They did not chang
Of the law, but simply declared the law. :
is In view of this very question, and of tn
30 certainty that when the war was over ou
n restored credit would enable us to borrow
l money on more favorable terms, we al
st ways kept In view. In issuing bonds, tn
In principle OF "redeemability" at the pleas
or ure of the United States, In ashort time
ID This was a fixed policy of your financa
III agents. This IL the reason of your $40
no and l0-40s. The United States may pa
ne of any portion of our debt within shol
DO time, either by taxes or by borrOwin
20 money on favorable terms. Nothingno,
3d stands In the way except Treasury note
ao ha xuhi mil