The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1867-11-20

some obvious errors which we attribute to
slips of the tongue in the warmth of extern
poraneous speaking, or to the haste and care
lessDess of reporters. The following passage
expresses Mr.. Pendleton's sense of loyalty to
the national engagements:-
The public debt OF the United States, as
stated TO You before, amounts TO S3,OOO,OOOOOO
S22OO 700 GOO or more Is in liquldated form, and
backs and unliquidated claims, aud bears no
interest. This is an enormous amount and
yet gentlemen, believe, and L think the
Democratic party believes, that 1t should be
paid, every dollar of IL, principal and interest,
at the time IL comes due, exactly In accordance
with the terms of the contract under which the
loans were made" loud applause.)
We shall reproduce no part of Mr.. Pendle-
toms reasoning on the main question, hoping
to dispose of that hereafter. The subjoined
exposition of his plan for paying the debt
proves that he is no infationist:-
"And now 1 say not only that these bonds
are payable In legal-tender, but that they ought
to be paid as soon as 1t is possible to do SO. 1
do not know that 1t Is possible to pay these
bonds as fast as they mature, even in currency;
but do know tnat every possible effort ought
"But at this point am met with the state.
ment that this policy will issue an immense
currency as TO destroy Its value, and bring dis
aster upon the country. Now, gentlemen, let
me examine this objection. Mr. MoCullooh In
his last monthly report stated that the public
debt which bears interest Is comprised in
three kinds; that three hundred millions Of
that three hundred millions more could not be
redeemed before 1881; and that the rest of the
debt amounting TO nearly seventeen hundred
millions of dollars is comprised In five-twen-
ties and bonds which bear interestin currency.
Seventeen hundred millions of hve-twenties
and bonds which bear interest in currency will
fall due within the next five years. cannot
state TO you the exact time nor the exact pro-
portions in which these bonds fall due. mean
these ive-twenties Their very name Implies
that when five years shall eiaPse & after ter tneif d
not pay them until twenty years have elapsed
Now. gentlemen, maintain that these five
twenty bonds should be paid as far as IL is )s-
sible to do SO without Initiating the currency
beyond a safe and just point And IL is my
| business now to show you how rapidly that can
! be done. The unliquidated debt of the United
! States consists of greenbacks and claims whlcn
| have not been adjusted and amounts to eight
| hundred millions OF dollars 1t pays no ln-
"Three hundred and thirty.eight millions of
| these bonds are by the report OF The Secretary
of the Treasury, deposited to-day as security In
millions of bank paper is issued on the faith of
| these bonds. Now, gentlemen, maintain tnaJ
bonds oueh to be redeemed with legal-tenders,
| which Will take the place of that bank circula-
',WhatwouId be the effect of this? The seven
teen hundred millions of interest bearing bonds
! would be reduced to fourteen hundred millions;
and twenty millions OF dollars would be saved
to TIE Government from the interest which 1 cl Is
| have deposited. (CheeTs0
"Now, then, suppose you take these twenty
| millions of interest which is saved and add it
TO the forty eight millions of dollars which
| these gentlemen say they can pay from the
currency revenue, and you have sixty eight
| convert that sum into greenbacks, at l40, you
have q hundred millions of dollars year,
| you can payof the whole debt in less than tif-
| teen years, without adding one dollar to your
taiXauon; or one dollar to the circulating me-
Bear in mind that am not arguing propo-
sltlon mat these bonds can be paid in green
! backs without Initiating the currency. Bear in
| mlnd This can be complished in twelve or
| fourteen years without the addition OF one
| dollar TO your taxation, or one dollar to your
! circulating medium. Aud now bear in mind
| also, that have not touched the revenues OF
Re GoVernment, which, In 1865, amounted to
| We hpndred and sixty millions of liars; nor
ave atiocked the expenditures OF that year
| But now set the radical refOrmer to work.
OF MN cut on every extraVagance-loD off
cry unnecessary expenditure. Let him reduce
| current expenses OF the Government TO
| the Interest on the public debt though 10
| ught to be reduced to 500 900 000 that would
twenty hye millions more than Mr., Bucha-
| year rs Andrew Jackson expended in any OF
| The four years of his administration. But let
| the expenditure be reduced 10 $3.50 900 000 and
what do you have? Sl50,00O000 for current ex
penses, Sl30 000 coo for interest upon the public
debt, and SlOO 900 GOO of sinking fund, as have
dc sclibed, and you have an aggregate of $780,
| O0O0o0; and if you take that from the revenue
OF 1866 which amounted TO $3.50, ,0OO, 600 you have
| ualance of $3.50, 100000 which you may add to
| your sinking fund. and thus bring IL up to
| S2S0,000,000 And with that you can. in Ave
years, pay every cent of the principal and inte.
| rest upon your public deoi, without the addi-
| ton OF adOllar 10 the circulating medium of
| the country. (Applause)
when tive years shall have passed, you can
| reduce $4,000 OOOu0 of your taxation, and yet be
| able TO pay the S3O0.OO0,00O which falls due in
| l6I4. Then you can reduce your taxation
backs as the great burden of taxation is re-
duceu, you will be able To pay the debt matur
ing In 1881, and at the same time TO call in your
| grtenbacks, and return TO the constitutional
| currency of the country.
| "And yet you see that have not proposed 10
increase the taxes or add one farLhipg to the
currency"
1t will be seen that Mr.. Pendleton is no
reckless protector, seeking to disturb the CON
fdence and unsettle the business of the coun-
try by new and desolating inundation of
paper money. He does not propose to add
dollar to the existing currency. He does not
propose even to infict any considerable hard
ship or disappointment on the public creditors,
as We think we can show by a simple and per-
fectly conclusive argument The five-twentes
have been selling in the market for the last
week at about 107. IT, therefore, their hold
ers were paid to-day in currency they would
lose seven per cent. But these bonds have,
on an average, say about three years to run
before the expiration OF the five years, ana
the interest is payable during that Tune
in coin, With gold at l4O, the excess OF in-
ieTest duIing the three years VIII amount 10
seven and twO-tenths per cent, whlcn Is
little more than the premium on the bonds
II is obvious, then, that the person who should
purchase FiVe-twenty bonds today at the
current quotations, ana be paid in currency
three n ears hence, would receive six per
cent, interest and recover the wholai'of has