Prescott journal. [volume] (Prescott, Wis.) 1861-1871, 1867-12-14

agreed, nor eau il be controlled by
legislation, but must be left to the ir-
revocable laws which evefYwhere reeu-
late commerce and -t4ade The
circulating medium will sver irfesist-
ably flow to the points where 1T Is in
the greatest demand. Tue Law of
demand and supply is as unerring Is
that which regulates the tides OF the
ocean; aud indeed currency, like the
tides, has its Gibbs aud flows throu ghont
the commercial world
at the beginning OF the rebellion the
bank note circulation of the country
amounted TO not much more than 500,
0UO, 600 Row the circulation OF 9be Ma
tional. bank notes and those known as
$ legal-tenders" is nearly seven hundred
millions. While it is urged by some that
this amount should be increased. others
contend that decided reduction is abso
utely essential to the best interests
of the country, In view of these diverse
opinions, il may be we'll 10 ascertain the
real value Of our paper issues when COM
pared with a metallic or convertible CuTTeH-
cy. For this purpose, let us inquire how
much gold and silver could be purchased
by the seven hundred millions Of paper
money now in circulation. Probably
not more than halt the amount of
the latter showing that when our pa
per currency Is compared with gold
and silver, its commercial value is
compressed into three hundred and
fifty millions. This striking fact
makes il the obvious duty of the Gov
ernment as early as may be consistent
with the principles of sound political
economy, TO take such measures as will
enable the holder of its notes, and those
Sc IL hE~E- - IL.
without loss, into specie or its equivalent.
A reduction OF our paper circulating me;
dunn need not necessarily follow this
however, we depend upon the daw of de-
mand and supply, though it should be
horne in mind that by making egal-Ienders
and bank notes convertible into coin, or
its equivalent, their present specie value
ia the hands of their holders would be en-
HANGED one hundred per cent. Legislation
for accomplishing a result so desirable is
demanded by the highest public considera-
tons
The Constitution cOntemplates that the
circulating medium Of the country shall be
uniform 10 quantity and value. AT the
time of the formation of that instrument.
The country had just emerged from the war
/ OF revolution. and was suffering from the
| effects OF a redundant and worthless paper
1 GuAiCAtLNr HIT bAEC5 VI that BEAIAfu hCAE
anxious to protect their posterity from the
evils which they themselves had expert
enced. Hence in providing that the in
| tegrity Of the Union ought to be preserved,
/ it should at the same time observe good
| faith with the great masses of the people
/ who, having rescued the Union from the
| peTiis Of rebellion, now bear the burdens
| of taxation, that the Government may be
able to fulfill its engagements. There is no
reason which will be accepted as sat
| isfactory by the people, why those who
| defend us on land and protect US on sea;
the pensioners upon the gratitude Of the
nations bearing scars and wounds received
while in its service public servants in
! various departments Of the government
the farmers who provide supplies the
soldiers Of the army and sailors of the
navy the artizan who tolls in the Nations
workshop the mechanics and laboreTs
who build the edifices and construct its
forts and vessels of war, should, in pay
ment of their just and hard earned dues
receive deprecated paper, while another
class OF their cOuntTymen, no more de-
serving, are paid ia gold and silver. Equal
and exact Justice requires that all creditors
of the Government should be paid in cur
rencY possessing a uniform value This
can only be accomplished by the restOra-
ton OF the currency to the standard
established by the Constitution and by
this means we would remove discrimina
ton which may, if it has not already, do
20 great a prejudice, that may become
deep-rOOted and widespread, and inSperil
the National credit.
The feasibility of making our currency
correspond with the constitutional stand
arc, may be seen by reference TO few facts
derived from orr commercial EfqfIgftpE
The production of precious metals ia the
United States from l649 to 1867 inclusive,
amounted to S579, 900, 600 from 1859 TO
1860, inclusive, to S157, 800, 900; and from
1861 to 1867, inclusive, to S457 500, 600,
making 81 grand aggregate Of products
since 1649, of 81, ia 100000, The amount
OF specie coined from lS49 to 1857, inclu-
siVe was S43s, 900, 000 from 1858 to 1860,
inclusive, S25 900 900, and from 1851 to
1867, inclusive, S3I0, 900, 00O-making the
total coinage since 1919 1884, 900, 900.
From Is49 To 1857, inclusive, the net ex-
ports of specie amounted to S271, 600, 900;
from 1858 to 1860, inclusive, to Sl48, 000,
900, and from 1861 to 1857, inclusive,
1922, 600, 000 - making a total aggre-
gate OF net exports since lS49, ! 74l, OOO,OO
These figures show an excess of products
Of 1888, 100000.
in coin. Something more than $40, 700, 900
are in circulation on the Pacific coast, and
few millions in the National and other
banks-in all about 500 100000. How
ever, take into account specie in the coun-
try to 1864, leaves more than $500, 100000
not accounted for by expectation, and
which, therefore may yet remain IN the
country These are important facts, and
show completely how an inferior currency
will supercede the better, forcing it from
circulation among the masses, and causing
il to be exported as a mereiarticle of trade,
to add to the money capital OF foreign
lands. They show the necessity Of reliev-
ing our paper money, that return OF
geld and silver to the avenues Of trade may
be invited, and demand created which
will cause q reaction at home OF at least
so much of the production of our rich and
inexhaustable gold-bearing fields, as may
be sufficient for purposes Of circulation.
1t is unreasonable to expect return to
sound currency so long as Governments
continues to issue irredeemable notes
to fill the channels of circulation with de-
preciated paper. Notwithstanding coinage
by our mints since I849, of eight hundred
and seVenty-four million dollars, the poo-
pie are now strangers to the currency
which was designed for their use and bene-
fit, and specimens of the precious metals,
bearing the national device are seldom
seen, except when produced to satisfy the
interest excited by their novelty. If de-
preciated paper is to be continued as the
permanent currency OF the country, and
all our coin is TO become mere article of
traffic aud speculation, to the enhance
ment in price of all that is indispensable
to the comfort of the people, it would be
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