The New York herald., 1867-01-31

financial disaster, bankruptcy and ruin both 70
the government and the people. II has refused
to pass the twenty pages Of pending amend-
ments 10 the National Bank act Housc bill No TIL,
OF better In abort, the Senate and House. as
legislative bodies have submitted 70 the Introduction OF
thess injudicous measures to be talked about but as
Va thew have not been unwise enough let any OF
them be passed into further disturb existing
ranRements under already passed, and which to
fsvoabv under moderate contraction Of the oarroncy
in preserving good degree Of steadiness and uniformity
in tho money market, keeping business steady and
ana enabling the Secretary Of the Treasury
70 essbsh moro certainly the public credit q homo and
abroad and make favorable exhibit Of the national
dsbs These arc matters of great eonseSuenoe . the
hasty or indiscreet measures will 0e allowed "a pass
The people OF tho country need rest and IN order 70
poss and mot psss laws al one session bs repealed
tho next We cursed with too much legsauon: ana
am gratiAsd 70 the prsssnt Congress holding back
The act of Conrress passed on the 18th OF April last
seems 70 mo, s . wise and !udclous messurs y
vstwenty gold bonds and with the proceeds 70 retre
per compound interest notes ana the pam
tsadsr gresnback currcncy and other
government but not TO retire than x4OO0VO0 OF
grssnbacks month, or $4,000 900 year bat witn.
out restriction TO the amount Of compound eixes
ss ss wa the ssss q to
sury. Power u given him 70 contract the currency,
but h1 will doubt use this discretionary power pr
IDENTIFY and not rere ether greenbacks or c0mpounos
any faster than il can be done without materially dis
turbing the legitimate business Of the country Hts
object viii oe IN me iuture as mas oecn during
year. TO keep steady and Uniform money maFkeN Ieb
viii be necessity ON his part 70 enable him 70 success
fully carry the fiscal affairs OF the government Under
very stringent and panicky money market, the nve-
twenty bonds would fall below par thereby stopping
conversion of thirty into tho lvetwenty bonds
and this view Of GOO Of thrtes falling
and derange all tho operations Of the Treasury Depart
mont The Secretary Of the Treasury must therefore OF
necessity be moderate aud discreet in contracting the
ri
The secretary will no doubt by moderate and pru-
dent Of contraction ondeavor 70 keep the bus
ness industry OF the nation in prosperous c0ndt
ton, in some degree check Wild speculation gradually
CURRENCY nearer the specie standard On this point
the Secretary in his last annual report makes the
following judicious remarks :-"How rapidly the
United states notes may be retired must depend
business and industry, and be better deter
mined the work progresses No determinate
fars be advisable Tho policy Of contracting the circua
ton Of government notes. should be definitely and un-
changeaby established and the process should go on Just
as rapidly possible without producing financial
crisis or seriously embarrassing those branches Of in
dusry and trade upon which revenues arc depend
ent !" AS the volume Of currency reduced II will in
crease in value, and the specie standard is
reached the natioaa banks will be Obliged TO redeem
their circulating notes in specie. The government can
retire whenever 1t BEST from the field iSsuer
OF paper currency and consequently will not be under
the necessity OF providing gold and silver redeem it.
ana d sver will then be thrown exclusively upon tho
banks that issue It, and they will DO required 70 keep
the necessary reserve Of coin for that purpose.
1t seems that the act OF tho 18th OF April con-
tans all the power for contracting the currency which Is
necessary bring the business Of the country back 70
the specie standard, as It was before me rebellion u
accomplish that result When the old uniform standard
Of gold aud silver % reached and prices and the busncss
OF Che country agau based thereon national banks
will tho place or tho Sao banks in the issue circn
atien and redemption Of the currency necessary 70 carry
Ts.ss1ry y @ T pep.sSs VIII vii Ss rsisysa sro duty isas
was fosred sp0n imperative neocasty during tho
war aAd tho government iet TO perform ts iesitinaie
functiops under. tho consttuto0 tho currency icing
therefore regua,cd by the wants Of trade aud industrial
pursultA ,s ts.ti: ~, :lsat-t. 81
tender acts Aat the issue Of "a rrcdeeabs paper
rency should ever become tho permanent policy OF the
government In the opening spoech I made Ia tho
duced by me. said that tVhe bill beiorO us is
measure: measure cf necessity and not Of choice,
the most pressing demands upon tho treasury 70 sus-
tain tho army ana navy u0til they can MAKE vigorous
advance upon the traitors crush out tho rebellion
These are extraordinary times and extraordinary
urcs must bc reeored 10 order 70 government
ana preserve our nationality"
was brought into immediate reputation and in the most
available FORM 10 provide ways and means for sustan-
ing tho army aud navy crush tho rebellion. II was
mont in most perious period 10 our history and Was
jusd0ed mainly the ground Of imperative necessity
cvgcncy and should not be connucd any longer after
peaos Is restored than seems 10 be necessary 70
duct US safely back 70 that standard Of vaac which
is recognized BY all tho nations Of the world
In tho speech 70 which have above referred further
said "a suspension Of specie payments is greatly to bc
dspored, but not fatal step Ia exigcncy like tho
present
'srhe British government and tho Bank or England
mained uader ssspe.sion Of specie paymens from 1877
70 le2l-22 period of twenty i've years gold s not
valuable tho productions Of the farmer and
chsnic for s not - indispensable a. arc food and raj
nacnt Our army and navy must have what u moro
valuable To them than gold o. silver; they must hAvc
food clothing and The material Of war Treasury nots
issued BY the government the faith o the whole peo
pie will purchase thcse indispensable arclcs and the
war can be prosecuted caforce ooedcaoe 70
the constitutions and laws aud honorable peace BE-
thereby secured. This being accomplished will be
among the s 70 advocate specdy roturn - specie pay
menss and all measures that calcusted 70 preserve
the honor and dignity OF tho government in time OF
peace and which regret mot practicable In tho pros
ecuton OF this war.
TIE National Banking Law. passed 70 continue for
twenty years, intended ~ permanent sysiem- II
intended that u should take Tho place of the State
banks. Furnishing solvent national currency Of uni
form simlitude and value for the whole country rhe
argumonts put forth in the last annual rcpors Of
arf and tbs Socrotary-Of tho Treasury hvOf of