The Kenosha telegraph. [volume] (Kenosha, Wis.) 1860-1888, 1867-04-11

and to issue bonds in their place bearing
per cent. in gold, which is over per cent
10 currency. Time enough to do this wher
we have to do it, that is, when the notei
come due.
4 4. The 80 notes are soon COMING
due, when. as matters now stand our gold
interest will be $3.50 900, 600 year. Be.
tween now and that time is our opportunity
for strengthening the Treasury in gold; al
ter that, our power to do SO will be in a
great degree, if not entirely, cut off
! D. The holders of the $40 notes have an in
convenient option, to accept $50 bonds or to
demand payment, when they come due They
| cannot be deprived of this option except by
! their own consent. 1t is desirable to have
PROVIDED for at once, before maturity, always
with the consent Of the holders. We must
| pay for such consent. | would offer to take
them all up by funding them at once. But,
with view of guarding the gold revenue as
| long as possible, and keeping it under control
OF the government, | would not offer to fand
them in bonds which bear gold interest.
would offer to exchange them for bonds having
definite term Of years to run-say twenty
years These bonds to bear 7-310 interest, in
currency, with the option of the Government
10 pay, instead of I $40 in paper, 8 per cent.
in gold, after the first three years.
D. | would apply the same class of bonds to
the funding of the compound interest notes,
If any shall need to be funded that is if the
surplus internal revenue should not suffice for
paying them
Z: repeal all laws and parts of laws which
authorize the issue of any class of bonds or
obligation other than shOse above proposed i
SO that the powers Of the the Treasury may be
defined.
| would make no special effort to reduce the
principal Of the debt. | would rather reduce
the taxes as much as possible, and let the
or thn 10
tive burden by our growth in wealth and pop
ulatlon. Simply authorize the Treasury,
when 1t has surplus income to buy the Z $40
bonds these bearing the highest interest.
y. look upon all attempts to negotiate a
five per cent. loan, here or abroad as useless
at present We are every day issuing five,
twenty bonds, on which the interest is |
is six per cent. in coin, and which we cannot
sell at anything near par in gold.
10 The question Of what to do about ia |
king in and cancelling the legal tender notes
may be postponed until we have first |
brought these notes up to par, which will
be Done sooner or later, as the reserve in
the Treasury increases.
II. do not believe any official can de-
eide how much money or currency the PEG
pie need in their business When the non
ey is once made good, that is, equivalent to
the currency Of the world the operations of
trade will solve that question;
II. | would not attempt to force specie I
payments nor to fix time for them, but
leave them to come about naturally,
This is the result Of the best thinking
can give the subject, after examining the |
discussions hich have been had upon it
both at Washington and outside. Il seems
to me this scheme is full, simple, plain, and
direct, and it needs no complicated machin-
cry. 1t will be readily compreheuded by
the people, who are the 'lreasurys creditors.
The treasury has had, since the war, and
las now. no fixed policy. What it means
20 do from day to day is matter of CON
lecture; the result is uncertainty and doubt
II the public mind to a dangerous exteut-
dangerous, because uncertainty, and doubt
nay some day ripen into-distrust.
II II wishes to inspire confidence, the pol
cy OF the treasury must be simple, compre-
lenslve, direct, plain, open, and permanent
This is almost as important as that it should
)e wise.
There is no need of any complicated ma
,hinery such as is commonly known as f.
lanciering. 1t is safe think, to assume is
my scheme for our finances, that if it of
it will work badly.
The simple idea of what propose is this:
That as the Government has a large indebt-
dness, is now in full credit and much of
is Indebtedness is III the shape of short OBJ
lgatlons some of them payable on demand,
should, as an individual or bank would ,
10 in like circumstances, keep a very full t
urse of cash 7
If this scheme be once adopted by the
treasury, it can safely thereafter let things
lone; it will have no occasion to watch the
money market or the price Of stocks. The
'anks and the people will take care of them
elves, if the Treasury will let tue money
market alone and confine itself to strength
ming and guarding its own proper concerns
feel confident that if the policy I have
ndicated could be adopted, not in part but
ntire, the Treasury would every day be
5etting upon more and more solid ground
hat the people would feel this and 90 for 5
ward with confidence III their enterprises a
nd industry, that the credit of the Govern $
nent and prices of its securities would be
onstantly strengthening, that business
would be subject to no check from loss Of
ontidence, and moreover, that as this is r
erfectly smooth and easy way, SO it is the
most rapid way to specie payment
Yours truly, JOHN j. CISCO