The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1867-12-02
he Finances as Considered by Robert
J.. Walker.

WE regret that the extreme length OF the letter
of Hon. Robert ]. Walker and the crowded
condition of our columns prevent us placing
that able document in full before our readers
Whatever Mr.. Walker says on the subject Of
our financial condition is entitled to respect
full attention. Throughout the entire war he
was abroad as the agent OF the United States
Government for the purpose Of negotiating our
loans in the European markets, and from direct
contact with great part of the subscribers, is
able to bear witness to their feelings and ex
peotatiOns at the time they gave their money
to our country. We will, therefore, do the
next best thing to publishing his letter in full,
and endeavOr to give a synopsis Of his views
on the various financial questions which are
to-day agitating the country. At the outbreak
OF the war he was sent abroad, with letters
from Secretary Chase and President Lincoln,
for the purpose of acting as the United
States agent in Europe and Great Britain. While
there he published numerous essays, which
were not oontradicted by the United States, in
Shich he represented the certainty of the pay
hent of the principal and interest on the Five
penty loan in qold." When he arrived abroad
found that the Governments of France and
Ingland were so opposed to our nation as to
lender the negotiation of our loans in those
countries almost impossible, so he appealed to
The people of Germany, and, as he states,
f'the result was that the people Of Germany,
emphatically the great mass of the people,
took several hundred millions at the same rate
Ps our own citizens" At that time the Gov
ernment was in great danger; confidence was
felt neither at home nor abroad. Mr..
Walker says the discount at which they were
received was warranted by the exigencies and
the risk the purchasers ran, and adds
f'These German and other loans, based upon
these United States Five-twenties constituted,
to vast extent, the price zoe agreed to pay to
enable US to maintain the Government and
preserve the Union. And, now, shall we
hesitate about the full payment of such loans
as thesef But especially can I, on whose
representations so many hundred millions of
these loans were taken, now, whilst the great
Issues are being discussed, and soon to be
decided, without burning sense of shame
and dishonor, remain longer silent 2"
Mr. Walker is emphatically in favor of a
payment in gold, and certainly has justice on
his eide as well as great ability. But he con-
eiders that question one which may be settled
in the future. What at present needs atten-
tiOn is resumption of specie payments. To
do this he considers loan of $3.50, 600, 900 in
gold to be necessary. There are now $751;
O00, 900 Of legal-tenders issued. There is in the
Treasury $11l, 900, 600 in gold and $23, 900, 900
of legal-tenders. By contracting new loan
of $780, 000, 900, all the outstanding legal-ten-
Hers could be absorbed and specie payments
Iesumed, without risking the danger Of a
Budden running up of the premium on gold.
TO secure this new loan he favors a resort to
foreign markets. He says
"Why should our people be thus oppressed
and racked and tortured by forced conCrac
o9T D Sse WGy this Constant dTsnSSe
all the veins and arteries OF our industrial
"I, then. am for foreign loan, so as at once
TO supply the vacuum, TO replenish our ex-
hausted resources, and resume specie pay
ments, with all its incalculable benefits to our
faith, our credit, and our industry.
"What real objection is there to a foreign
loan2 Did Washington and the patriots OF rs
object 10 1t when Franklin negotiated our first
foreign loan In Holland? Did not Mr.. Lincoln,
concurriDg with Mr. Chase, warmly advocate
It, when we obtained the necessary mo ney to
Teplenish an exhausted treasury during the
at is certain, on resumption, that this whole
loan SOOltid De taken on the m uses Of The people OF
eTnlGny at par, higher IN gOLd for sin per cent.
bonds We borrowed $3.50 ,0O0, ,00O from the Ger
mans In 1904 10 carry on tue war then. And
would open the new foreign loan at Hamburg,
Berlin and Frank fort, aided by Count Bismark,
who Is as great a friend OF American as he ls OF
German unity"
In this paragraph is found the kernel Of the
entire letter. 1t is long argument for the
resumption Of specie payments by the immedi
ate negotiation of foreign loan. He speak
with certainty of its success, and there ar
Iewwho are 80 well qualified by experience
md theoretical knowledge to express al
opinion. By this means he thinks we cOul'
wOid the threatened difficulties of the ultimst
payment of the debt, and forever drive ou
he spirit Of repudiation. The proposition is
vast one, and merits careful consideration.
Mr.. Walker is opposed to the present pay
ment to any considerable extent of the natiOna
debt, and wisely argues that the longer
remains unpaid the great er win be the asset
on hand to pay it when due. By aOures h
shows that our rate of increase of wealth from
1850 to 1860 was 81 per cent, and gives us th
following table of increase until 1900, at tn
aame rate:--
l59 GIG OF
1870 81 093 4SO 81
''''''' os on2 ,o0S u
20 ol tootz
'''''''' iso ooJ ~
''''''''4oo, ,ooo, ,aoS |
Thus, our wealth in thirty-three yea
would be more than Quadruple that of En