The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1867-12-12
FInanciaI QuestIons in Congress.

From the N. Y. Tribune.
Among the financial propositions introduced
into Congress are some so absurd as to pro-
woke smile. Witness Mr.. Bromwell's pro-
posal to authorize the Secretary of the Trea-
sury to add to the "ForCed Loan" or legal
tender notes, four millions month, and to
issue them at that rate in redeeming the long
bonds into which considerable portion of the
debt is now funded. Such proposition defes
argument. That a Government can, during
peace levy forced loans and issue irredeem-
able paper as means of restoring its credit,
is lunacy. That it should reverse the funding
system by changing its long bonds into notes
payable on demand, is insanity. But that it
should combine the two policies, levy a
"forced loan' in order to take up and pay off
a voluntary one, and issue deprecated, unse-
cured, and irredeemable paper as means Of
taking up its funded Indebtedness is climax
of financial dementia which deserves medical
treatment. We commend it's author to a
course of ipecac, aloes, Turkish baths, and
a straight Jacket. Mr.. Lynch, Of Maine, pro-
poses to resume specie payments by re-
deeming all United States notes in new
legal-tender notes payable in one year in
coin; by allowing the Secretary, after specie
payments have been resumed, to issue notes
payable in coin (Pray, in what but coin viii
any notes be payable after specie payments
shall be resumed p; and by allowing the
Secretary 'tO purchase coin to redeem bonds,
not exceeding S50,000,000 %. EWith what
but bonds is he to purchase the coin and if
he purchases with bonds coin with which to
redeem bonds, what is he doing but giving
bonds for bonds Why need the coin inter-
! Vene In the transaction The first clause of
the proposition amounts to a promise to re-
sumo specie payments one year from date.
But in what way will the Government be in
better position to resume in one year than
1t is now VIII it have more gold or fewer
! demands upon its gold Will the premium
on gold be less and if not, how will it be
easier to pay these notes one year from date,
in gold, than it now is to pay those OF which
they are now to take the place. Mr.. Lynch
! has also proposed a new three hundred mil
lion loan, payable, the principal in lawful
money, and the interest at Eve per cent. in
| coin. We have sixteen different forms oi
! loan already. Why add a seventeenth, when
consolidation and simplifcation, not soattera-
tion and complication, are sought after by
! our creditors, and are essential to the reduc-
| tion of our rates of interest
Mr. Hubbard, of West Virginia, has intro
| duced a resolution, the aim of which is sound
and practical, instructing the Committee on
Banking and Currency to inquire into the ex
! pedienoy of amending the National Currency
law so as to restrict the issuing of bank notes
to two-thirds of the capital of the bank, anc
extend its advantages to all persons who viii
comply with its provisions With the pre-
sent premium on gold, this would be equiva
Sto isnt 70 requiring the gold value of the bonds
eeposi'ed eeps as security for the circulation t.
exceed by ten per cent, the amount of bondi
onoI,t % net though at present the banks
~ Tugne 70 pe required TO put up more security
~ P'opoiuoh 70 their circulation, probably
law fegniIl9s them TO deposit atty per cent
lban hoi ToViu hoUe es ioand excessive after w
sh"l n"'e ie'"ineu 70 specie payments