North Iowa times. [volume] (McGregor, Iowa) 1867-current, 1867-12-11


iss question upon which political econo.
inists have not agreed, nor can it be con.
trolled by legislation, but must be left to
the irrevocable laws which everywhere
regulate commerce. and trade. The circu
lating medium will ever irresistibly flow tc
the points where it is in the greatest de-
mand The law of demand and supply il
MS unerring as that which regulates the
tides of the ocean; and, indeed, currency
like the tides, has its Gibbs and flows
throughout the commercial world.
at the beginning of The rebellion, the
bank note circulation of the country
amounted to not much more than 5000, 000,
600; now the circulation of national bank
notes and those known as legal-tcnders is
nearly 500, 100000 While it is urged by
some that this amount should be increased
others contend that decided reduction is
absolutely essential to the best interests of
the country. In view of these divers
opinions, it may be well to ascertain the
real value Of our paper issues when com.
pared with the metallic OF convertible eur.
rency. -a1
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 half of the amount of the latter. show
ing that when our paper currency is COM
pared with gold and silver. its commercial
value is compressed into 500, 5000 This
striking fact makes it the obvious duty OF
the Government as early as may be consis-
tent with the principles of sound political
economy, to take measures that will enable
the holder of its notes and those of the Ma
tional Banks to convert them, without loss
isto species or its equivalent. A reduction
of our paper circulating medium need not
necessarily follow this. However. we de-
pend upon the law Of demand and supply,
it should be borne in mind that by max
ing legal tenders and bank notes converti-
Tie into coin. or equivalent, their present
specie value would be enhanced loo per
cent. Legislation for accomplishing re.
suit so desirable is demanded by the high
est public considerations.
The Constitution contemplates that the
circulating medium of the country shall
bs uniform in quality and value. AT the
time of the formation Of that instrument
che country had just emerged from war
OF Revolution. and suffering from the eff
fects of redundant and worthless paper
currency. The sages of that period were
anxious to protect their posterity from the
evils which they themselves had expert
enced, hence in providing that the integri-
ty of the union ought to be preserved, it
should ut the same time observe good faith
with the great masses of the people who,
having rescued the Union from the perils
of rebellion, now bear the burdens of tax
alton that the government may be able to
fulfil its engagements. There is no reason
which will be accepted as satisfactory bv
the people, why those who defend us on
land and protect us on the sea the pen
sioners on the gratituds Of the nation bear
ing scars and wounds received while in
its service public servants in various de.
partments Of the government the farmers
who provide the supplies the soldiers of
the army and sailors of the navy the ar
titan who tolls in the nations workshop !:
the mechanics and laborers who build the
etliGces and construct the forts and vessels
of war, should, in payment Of their just
aud hard-earned dues receive deprecated
paper, while another class Of their coun-
trymen, no moro deserving. are paid in
gold and silver. Equal and exact Justice
requires that all creditors of the Govern
mcnt should be paid in currency to the
standard established by the Constitution
and by this means would remove dis
elimination which may, ii it has not al
ready, do so great prejudice, that it may
imperil the nation credit
The feasibility of making our currency
correspond with the constitutional stand
ard may be seen by reference to few
facts derived from our commercial statis-
tics. The production of precious metals
in the United States from lS45 to 1857 in
elusive, amounted to S579,000,00o from
1858 to 1860 inclusive, to Sl57 900, 900;
and from 1861 to 1867, inclusive, to s457,-
500 900, making grand aggregate of pro-
ducts since l849, of 81 1914, 100000. The
amount Of specie coined from IS49 to 1857
inclusive, was S43S ,O00,0o9: from 1853 to
lS6Qinclusiye, S255, 100000; and from 1861
to 1867, inclusive, 10000, 000-making
the total coinage since 1859 1881 600, 900
From lS49 to 1857, inclusive, the net ex-
ports of specie amounted to S27 100000
from 1858 to 1860, inclusive. to Sl4S ,00O,-
900, and from 1861 to 1867, inclusive, |
1922 ZOO, O00-making total aggregate of
net exports since lS49, Of s74l 100000.
These figures show an excess of products
Of S423, 100000.
There are in the Treasury Slll,0O0. 900
in coin. Something more than 10000
600 are in circulation on the Pacific coast,
and few millions in the National and |
other banks---in all about 500, 600, 900. |
However, take into account specie in the
country to 1864, leaves more than $780,
10000 not accounted for by expectation
and which therefore, may yet remain in
the country. These are important facts,
and show completely how an inferior cur
rency will superceed the better, forcing it
from circulation among the masses, and
causing it to be exported as mere article
Of trade, to add to the money capital Of
foreign lands. They show the necessity
OF relieving our paper money, that re-
turn Of gold and silver to the avenues of
trade may be invited, and demand crea-
ted which will cause reaction at home Of
ut least so much Of the production of our
rich and inexbaustablc. gold-bearing fields,
AS may be sufficient for purposes of circu-
lation. 1t is unreasonable to expect re-
turn 70 sound currency SO long as the
Government continues to issue irredeema-
bic notes to fill the channels of circulation
with deprecated paper. Notwithstanding
coinage by our minis since lS49, of eight
hundred and seventy-four million dollars,
the people are now strangers to tho cur
rency which was designed for their use
and benefit, and specimens Of the precious
metals, bearing the national device are
seldom seen, except when produced to sat |
isfy the interest excited by their novelty.
If deprecated paper is to be continued as
the permanent currency Of the country,
aud all our coin is to become a mere arti-
Gle Of traffic and speculation, to the en-
hancement in price of all that is indispen-
sable TO the comfort Of the people, it wo'd
be wise economy to abolish our mints, thus
saving the nation the care and expense. IN
cident to such establishments, and let all