The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1867-09-19
our National Honor.

viduals, and not as party leaders, they nave
proclaimed doctrines which, if uttered by
any business man, would not only weaken, but
absolutely ruin his credit. 1t would be grossly
unjust to hold either of the great parties of
the country responsible for the sentiments de-
clared by members not authorized to speak in
their behalf; yet, even when not binding
party it is greatly injurious to the national
credit, and to the personal honor of the
speakers, to hold such views as those ex-
pressed by either Mr.. Pendleton or General
Butler Let us look for a moment at the doc
trine taught by each. Mr.. Pendleton proposes
the payment of the outstanding loans by issuing
greenbacks to the extent of 50, 200, 900, ,0OOi
thus relieving the nation from the payment
of interest on the bonds, and flooding the
country with promises to pay, which it would
be impossible to redeem. In such an event
we would renew the days of Continental cur
rency, when a breakfast cost $500 in shin
plasters.
So long have the people been accus
toned to paper money, that party
leaders seek to impress them with
the idea that specie is merely an article
of merchandise, valuable when needed for pay
ment of importations, and useless as a domestic
medium of exchange. Credit must be based
upon some sound foundation. One will not
lend his neighbor large sum of money with
out a security bond upon that neighbours pro-
perty, such as land or houses, ships, produce
or cattle, raw material or manufactured goods.
And even upon these, with the exception of
land, there is a perishable risk that must be
covered by insurance.
The United States Government, in order to
preserve its existence, borrowed large sums of
money, no matter from whom, whether from
its own citizens or from foreign capitalists. 1t
gave in return its own bonds secured by the
resources of the nation public lands revenue
imports, and, above all, by the honor of the
American people, to redeem these bonds at
certain periods. 1t Issued promises to pay on
demand in the shape of greenbacks, and
pledged its reputation for their payment.
AS such payments cannot be made in kind,
specie is the only medium used in civil
lized nations. High rates may have been
paid for these loans. The merchant frequently
is obliged to pay one-and-a-half per
cent. per month for money, while legal
interest is only half per cent. month--but
what of that? 1t relieves him from present
embarrassment, and enables him to fulfil his
obligations, and to reach a prosperous posi-
ton in his business. So this nation was in
great danger from intestine enemies. 1t could
not perform the obligation of preserving its
existence without money to buy arms and am
munition and food and raiment for its brave
soldiers. The value of the American Union
to expend in its defense. No mathema-
tician could calculate it's worth. And now
that the war is over, who, for the sake of
avoiding the payment of the debt, would be
willing to place us in the condition we must
have been had the Rebels succeeded? Our
very blood boils at the thought. Could terms
of condemnation be found sufficiently strong,
if patient whose life had been saved by the
skill of his physician refused to pay the
compensation due for such service, although
fully competent to do sol Shall we, after the
victory is gained-the triumph achieved
and the proud position before the world we
have obtained-degrade our manhood by re-
pudiating in any form the obligations we have
incurred in reaching this apex So much for
the proposition from the Democratic leaders.
General Butler advises the consolidation O
the national bonds into one conglomerate, and
obliging the holders to receive the interest in
greenbacks. This is but shade less dark
than Mr.. Pendleton's plan of reputation. AS
before stated, the obligation to pay the "prin
cipal in specie, or its equivalent, is binding,
and if so, certainly the interest must be paid
in the same Although no admirer of English
craftsmanship generally, we must say that
the British system of consolidation, adopted
after the wars with Napoleon, would be much
more honorable and practicable. That is,
offer the holders at maturity of the bonds the
option of taking back the principal in coin or
of accepting in lieu new bond of the United
States, payable at distant period, with a
lower rate of interest-say four per cent
both payable in specie.
1t may be asserted that we have not the
means with which to pay those who might
refuse the new loan and demand specie pay
ment. Such an emergency would not occur,
as nearly all the foreign holders would gladly
accept the proposal-for they could not obtain
as high a rate on long loan in Europe-and
the status of Americas credit would be so