The Evansville journal. [volume] (Evansville, Ind.) 1866-1870, 1868-12-10

rivalled that of the great maratime
powers, has rapidly diminished, and
/ our industrial interests are In a de-
pressed and languishing condition
The development of our inexhaustible
resources is checked, and the fertile
J fields of the South are becoming waste
| for want of means to till them. With
the release of capital new life would
be infused into the paraIized ener-
| gies of our people, and activity
and Vigor impaired to every branch
of industry. Our people received
no encouragement in their efforts
to recover from the effects of
the. rebellion, and of iDjudicious
legislation, and it should be the aim
of the Government to stimulate them
by the prospect of an early release
4 from the burdens which impede their
| prosperity. IF we cannot take the
burdens from their shoulders, we
should at least manifest willingness
to hel p to bear them.
In referring to the condition of the
circulating medium, / shall merely
reiterate substantially that portion Of
my last annual message which re-
lates to that object. The proportion
which the currency of any country
should bear to the whole value
of the annual products circulated by
It's means, is question upon which
political economists are not agreed,
nor can it be controlled by legislation,
4 but must be left to the irrevocable
laws which everywhere regulates COM
merce and trade. The circulating
medium viii ever irresistably flow to
/ those points where it is in greatest
demand. The laws of demand and
supply is as unerrIng as that which
/ regulates the tides of the ocean, and,
/ indeed, currency, like the tides, has its
GIBBS and flows throughout the COM
mercial world. At the beginning of
| the rebellion the bank note circulation
OF the country amounted to not much
more than two hundred millions of
| dollars; now the circulation of the
| National Bank notes and those known
as legal tenders is nearly 800, 000, 600.
While it is urged by some that this
amount should be increased, others
| contend that decided reduction is
absolutely essential to the best inter-
ests of the country In view of these
diverse opinions, it may be well to
ascertain the real value of our paper
issues, when compared with metallic
| or convertible currency. For this
purpose let us inquire how much gold
and silver could be purchased by the
seven hundred millions Of dollars
of paper money now In circulation.
Probably not more than half
the amount of the latter-showing
| that when our paper currency is com
pared with gold and silver its COM
| mercial vplue is compressed into three
hundred and fifty millions. This
striking fact makes it the obvious
duty of the Government, as early as
may be consistent with the principles
of sound political economy, to take
such measures as viii enable the
holder of its notes and those of the
National Banks to convert them with
out loss into specie or IFS equivalent.
1 A reduction OF our paper circulating
medium may not necessarily follow
This, however,would depend upon the
law of demand and supply; though it
should be borne in mind that by max
ing legal tender and bank notes con-
verta Die into coin or its equivalent,
| their present specie value, in the
hands of their holders, would be en-
| HANGED one hundred per cent. Legis-
| lation for the accomplishment of
result so desirable is demanded by
the highest public consideration. The
| Constitution eontemplates that the
circulating medium of the country
shall be uniform in quality and value.
At the time sof the formation of
that institution the country had just
emerged from the war of the Revolu-
ton, and was suffering from the effects
of redundant and worthless paper
currency.
The sages of that period were anx-
ious to protect their posterity from
the evil which they themselves had
experienced; hence, in providing a
circulating medium, they conferred
on Congress the power to coin money
and regulste the value thereof, at the
same time prohibiting the States from
making anything but gold and silver
a tender in the payment of debts.
! The anomalous condition of our cur
rency is in striking contrast with that
which was originally designed. Our
circulation now embraces-frst, notes
of the National Banks, which are
made reeeiya BILE for all dues to Gov
eminent, excluding imports, and by
all its creditors, excepting In pay
ment of interest, upon its bonds, aud
| the securities themselves; second.
| legal tender notes issued by the
| United States, and which the law
requires shall be received as we'll In
I payment of all debts between citizens
as of all Government dues, excepting
imports; and, third, gold and silver
! coin. By the operation of our pres
ent system of finances, however, the
metallic currency, when collected, IS
reserved for only one class of Gov
eminent creditors. who, holding its
| bonds, semi annually receive their III
| terest In coin from the national trea-
sury.
THERE'S no reason which will be
accepted as satisfactory by the people
| Why those who defend US on the land
and protect US on the sea, the pen
sioner upon the gratitude of the ma
| ton, bearing the scars and wounds
received while IN its service; the pub
| lie servants in the various depart
ments of the Government; the farmer
| who supplies the soldiers of the army
and the sailors of the navy; the arti-
| san who coils Ia the nations work
1 shops, or the mechanics and laborers
who build its editces and construct
| its forts and vessels Of war, should in
payment Of their just and hard earned
dues receive deprecated paper, while
another class of their countrymen, no
more deserving, are paid in coin of
gold and silver. Equal and exact jus
tiee requires that all the creditors
Of fhe Government shoald be
paid in currency possessing uniform
value. This can only be accomplish
ed by the restoration of the currency
| 70 TIE standard esta hlishad- hu the