The Hancock Jeffersonian. [volume] (Findlay, Ohio) 1857-1870, 1867-12-13

if not Indispensable:
1st. The funding or the paying ot
the balance of the interest bearing
notes, and the continual contraction
of the currency.
I'd. The maintenance of the pub.
lie faith in regard to the fund debt.
Sd. The restoration Of the South.
erp States to their proper relation to
Federal Government.
The Secretary urges that the Ma
tional Banks should be sustained, as
they could not be destroyed without
precipitating upon the country finan-
cial troubles, which it is now in nc
condition to meet. At some more
propitious period it may be wise fol
Congress to consider whether the
National Banking system may not be
dispensed with, and that the National
system with its limited and secured
circulation and restricted provisions
by suspending the State system has
prevented financial crisis there can
be but little doubt. For this it ID
entitled to credit, and for this and
other reasons suggested it should be
sustained until better system shall
be devised or the country in con-
dition to dispense with bank issues
Regarding as he does the issue Of
United States notes in the first in'
stance as having been misfortune
and their continuance as circulating
medium, unless the volume shall be
steadily redeemed, as fraught with
mischief, the Secretary can con-
ceive no circumstance that would
justify further issue of these de-
,preciated but legal tender notes.
Notwithstanding the reduction thai
has taken place they will stand in the
way of return to specie payments
A substitution OF them for bank notes
would be regarded by him and the
country as a declaration that the re-
sumption had been indefinitely post
pOned III those now outstanding
shall be retired at the rate of 4, 4,OOO,-
900 per month, the amount in actua
circulation will soon be reduced sc
that they may seriously retard res
tOration 70 the true measure of value
If, on the contrary, under any pre-
tense or for any purpose whatever
their value should be increased, es
pecially if they should be made tht
sole paper circulation of the country,
false measure of value will be con
tinued speculation will be continued
industry will decline, and great risk
be incurred. That financial health
will be only obtained by q revulsion
the effect of which upon the material
interests and credit of the country nc
one can estimate. Such a revulsior
the Secretary is most anxious tC
prevent, and therefore he cannot ap
prove of the proposition for substitu
ting notes of the United States fol
notes of National Banks issues, bu
recommends that the policy of con
traction be continued. The mex
subject to be considered in connec
ton with the permanent resumption
of specie payments is the mainten
ance of the public faith, which in
wolves the necessity of wise and
stable revenue law impartially en-
forced, economy in the public expen
ditures, aud recognition of obli
cation of the Government to pay It's
bonds in accordance with the under
standing under which they were
issued. To tax wisely so as to raise
large revenues without expressing in
dustry, is one Of the most difficult
which ever devolved upon law ma
king power. Taxation can never bt
otherwise than burdensOme, and ii
becomes especially so when subject
to frequent changes. 1t is therefore
of great Importance that the revenue
laws shonld be stable. The present
tariff, although q high one, has not
proved to be protective, while for the
past two years it has been highly
productive of revenue; but its failure
TO protect those interests for whose
benefit it was in a great measure
framed and the large revenues which
has been derived from it, do no
prove tito be in any just sense reve
nue. tariff, it has failed to give Amer
ican manufacturers the protection il
intended to afford, and it has yielded
a much larger revenue than antici
pated, because the high prices pre-
vaiIing in the United States have
stimulated importation. 1t does no
follow because it is producing larg'
revenue now, that it will continue t.
do so when the business and th'
country shall be restored to healthy
condition. In order that the presen
tariff should be a revenue tariff, i'm
portant notifications will be neces
sary, which cannot now be intelli
gently made until business ceases t.
be subject to arrangement by IRE
deemable currency.
! The Secretary does not therefore
recommend complete revision o
the. tariff at the present session, bu
there are some features of it and som
matters connected with it which re
quire early attention. The system
of specific duties appears to hav
given much satisfaction to honorabl
dealers and the officers of customs
Without recommending an exclusiv
adoption of specific duties, the Sec
retary would suggest for the consid
: Grafton of Congress whether the sys
tenn might not with propriety be ex
tended to all commodities on whicl
/ duty bears large proportion to tn
value or of which the foreign marke
: price is subject to fluctuation or i
: from other causes with difficulty as
: certained. The Secretary argues tina
! the United States is pledged to pa,
its bonds, principal and interest il
l gold, saying these were negotiate'
J, with that understanding in good faith
E and public honor requires that thes
e contracts should be complied with i
: the spirit in which they were made
9 that the holders of our bonds at hom
and abroad, who understand tn
character of the people of the Unite
e States and the greatness OF our ms
Y tional resources, might not need a
t assurance that they will be compile
Y with. The importance Of the reste
t ration of the Southern States to the
d proper relation with the Federal Coy
o eminent are not to be over estimated
t A eurtaiIment of the currency an