The Evansville journal. [volume] (Evansville, Ind.) 1866-1870, 1868-12-22
Various Plans for Specie Re-
sumption Discussed.
Senator horizons Plan Explained.


by the Government:
Mr.. PRESIDENT: Among the mighty
changes wrought By the war IS the
revolution ia the character OF our
currency. The war found us with
gold and silver a part of the circu
Iating medium, and with convert
ible paper currency, the issues of
local hanks created by authority of
the several States. When it ended,
gold and silver and this bank paper
had been banishcd from the circula-
ton, and Ia their places substituted
the notes of the Government and OF
the national banks.
fs5The great problem now to be solved
IS to reiutroduce iato the currency
gold and silver, which can be done
only by making the notes of the Gov
ernment and of the national banks
convertible into coin at par. These
notes are now greatly deprecated, aud
since the LIST OF July gold has fuctu-
ated between 323 aud 40 cents pre-
MUM. These fluctuations In the
value of the currency affect every
kind of business disastTOusly. The
prices Of provisions, goods, aud labor
change from month to month. Every
branch OF legitimate business which
depends upon small but regular
profits is greatly impaired. With
such fluctuations In the value of the
currency. il tho cost of living, IN the
profits OF business, and the value OF
everything that enters into trade, to-
gether with the painful uncertainty
that hangs over the whole financial
policy Of the country, men hesitate
TO engage in new enterprises or TO
make new Investments in business.
| The prudent capitalist is standing still,
waiting the course of events and the
esta bIishment of some definite hnan-
cial policy by which he can judge of
the future. It is impossible 70 calcu-
late the aggregate loss to the country,
even ia one year. by this state OF
| things, or to estimate the suffering
aud restitution produced by stagna-
ton of business and the want of en-
| ployment for labor; and it is not only
the business, but the imperative duty,
| Of Congress to address itself to the
great work of reform, by adopting
such legislation, if possible, whereby
the currency shall be made good, and
business be made to flow on prosper
| ously through It's regular channels
| The business transactions of the
country, amounting to many thousand
millions oil dollars in t8e course OF
the year, are conducted through the
medium of the currency, and 1T the
currency is deprecated, fiuctuatlng
and deceptive, the prosperity of the
country must inevitably be seriously
injured and its general progress and
| development delayed.
The question to which L invite the
attention of the Senate to-day is
whether such legislation may be had
and plan adopted whereby the cur.
rency can be made good. and the Gov.
| eminent return to specie payments
/ without producing q crash or great
commercial distress.
And first, I will consider some oil
the difficulties which, 1T is urged, will
prevent a return to specie payments
1t is said by many that the currency
| is redundant, and that we cannot re-
turn to specie payments until con trac
ton has taken place, We are referred
to. the fact that before the war, IL
1860, the entire bank circulation was
but $202. COO, 900, and the specie in the
vaults of the banks about SS8, 00O,O 900
making less than 100000, 900. But
at that time gold and silver were il
circulation as part of the currency
and it Is probable that there was more
| than $50 600, 600 In the country be
| side that which was held In the banks
This would bring up the mixed cur
rency to nearly $3.50, 600, 900. The
Director of the Mint in Phila,
delphia, in 1861, estimated the
amount of gold and silver In the
country at 1913, 900, 600, which i:
nearly fifty millions be~ond my esti
mate But there was another form o
currency then much more in use than
now, which must. not be overlooked
in considering the aggregate currency
OF the couotry The paper money
consisted Of the issues of local banks
and was not, current except In the 10.
cality of the banks by which it was
issued. Then the paper OF the North
western, Southern, and Southwestern
States was not current IN New \ OK
and was not received there in pay
ment of debts. The bank notes OF thu
Northern States were not current IL
the Southern States, and Utce UeTsG
Hence the payment of debts and com
mercial transactions between differ
ent parts of the country were conduct
ed BY bills of exchange and promis-
sorry notes, which amounted TO many
hundred millions OF dollars during
the year. This form of currency i;
still used. but not nearly to the same
extent as before the war. Now tbs
greenbacks and national bank notes
are of equal value IN every part of the
United States, and are transmitted II
payment Of debts and transactions 0
business from one part of the country
to another, by means Of express
companies and otherwise, to the
amount of many hundred millions
every year. The books of the ex
press companies show an immenst
transportation of paper money, tn,
amount of which cannot be accurately
ascertained. But it would be mod
crate computation to say that 500,
! 900, COO of our currency are now USED
| In that way, which was, before thu
D war, supplied by bills of exchang
2 and promissory notes. And when WI
consider the progress of the countr.
since 1860, the rapid development AM
! opening up of the Western States ant
Territories, the vast extension of bus
mess, the magnitude of the natlona
: debt, the necessary collection of larg
revenues, and the greatly increased
expense of the Government in it
general administration, we may rea
, sOnably conclude that there is an &C
: tual demand for an increase of tn,
o currency over the wants of 1860 tt
/. the amount of at least $3.50, 900. 600
! Therefore when you add to the actua
currency of 1860 about $3.50, O0O.OOO
l. the amount of currency now used il
e the place of former bills of exchang,
h and promissory notes, and the in
q | craasad dernand for 1.1rrar,n1z III, on.