The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1867-11-19


Since the question Of paying the national
measures have begun to attract public attsn-
ton, the bondholders and their organs CRY out
more Justify for immediate specie paymcnts-
These parties, who gave only forty or fifty per
cent in currency for the bonds and have since
been drawing six per cent interest In gold,.
now clamor for specie payments in order thas
they may get the full amount Of their bonds in
gold. Shylock-like, they must have their pound
OF flesh though the country bleed to death
under the operation. They do not want to DO
paid in the same money they gave for the bonds
bat demand forty or ifty per centmore. They
believe their interest lies in the perpetuat0n Of
the debt and do not wish to see It extnguisheds
and their policy, If carried out would assuredly
fasten II upon the country ~ perpetually -
the debt Of England IL fastened upon Ia
British people. Seeing the growth Of public
opinion against contraction Of the currency
and forcing specie payments, and in favor Of
paying the debt while money Is plentiful, they
have become alarmed for their anticipated
cent per cent profit t
The monstrous fallacy Of The bondholderss
organs IL that we can reach specie payments
at once, and while the debt rem lins undimin-
ished. It took England years to reach that
after the prolonged war in Europe ended In
1915, and then she only reached it through
alarming revulsions and universal distress.
Forcing specie payments there resulted in
frightful disasters, in burdening the people
~vskh an nuc~vvns,a Hnht -h1nh can unv~~ -
paid, and, while it erected bloated bondhold-
ing oligarchy, in reducing the mass Of the
laboring population to psuperism. Yet this h
the example we are urged to follow We might
possibly como to the same result in the course
Of . fsw years If Mr.. McCulloch's ruinous
policy OF contraction were to be carried ouk.
But who besides the bondholders and THAR
tospecie payment theorists imagine thaf
we can jump at once to specie basis by tho
fat OF the Secretary Of the Treasury. They
have but one idea, and. like all insane people,
can see nothing except through that They learn
nothing from history or actual experiences.
They lose sight Of the taxpayers and the future
In their eagerness to benefit the bondholdera.
It's neither practicable nor desirable to forcs
specie payments now. The first thing to ba
done is TO pay OF the bulk Of the debt willis
money is abundant and the currency depFe-
ciated. The bohdholden pretend TO call this
Reputation. It is, in fact, the way to prevent
reputation; for If the people Of this country
continued to be weighed down by an enormous
debt and oppressive taxation they would soon
elect q Congress that would take of the burden
in one way or another. But the proper and
shortest way to arrive at specie payments b 10
reduce the debt Suppose the three hundred
millions Of national bank currency were with
drawn and legal tenders issued in their place,
and with these three hundred millions OF he
interest bearing debt were 70 be bought up and
cancelled, would not that tend to bring down
the premium on golaf Suppose Mr.. McCulloch
were to pay on two hundred millions more with
that amount Of surplus money which he has all
the time lying idle in the Treasury, thus 70
ducing the interest bearing debt I've hundred
millions in all, would not that bring down gold
still furtheri Then, again, with economy and
proper administration of the revenue laws
hundred millions year could DO applied 10
the liquidation Of the debt Thus, in Eve years
thousand millions, or about half the interest
bearing debt could be paid. Who can doubts
the effect OF this upon the market value Of
specie Il Is the enormous debt which hindsrs
us from returning to specie payments. Tho
rapid liquidation of IL In the manner suggested
would soon bring down gold and restore .
specie currency. No other course can be pur-
sued without producing frightful revulsions
and distress and saddling the country viii -
vast and perpetual debt.