New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1868-12-08
THE TREASURY REPORT.
WASHINGTON, Dec 1.-THE following Is the
annual report OF the Secretary Of the Treasury

In compliance with the requirements of law the Sec
rotary of the Treasury has the honor to make 10
the following report In his former COMMUNICATIONS 'h
Secretary has expressed fully his views upon the great
subjects of the currency revenues, and the puDho
debt that it may be thought quite unnecessary lor nun
to press them upon the attention OF Congress. IheSe
subjects however, have lost none OF their Importance
on the contrary the public mind, during tho past year
has been turned to their consideration with moro ABSORB
ing interest than at any former period The Secretary
will therefore, he trusts be pardoned for restatlng some
OF the views heretofore presented by him. III there
is any question in finance political economy when can
be pronounced settled by argument and trial. II Is tha
inconvertble and deprecated paper money injurious
public and private interests. positive poltlca anu
financial evil, for which there can be but one
Justification excuse, to witt temporary neces'
sty, arising from unexpected and pressing
emergency, and 1t follows consequently, that such
q circulation should only DO tolerated until, without
financial shock It can be withdrawn made convert
BILE into specie III rredeemable bank note circulation
Is an evidence OF bankrupt badly managed banking
institutions which should be deprived OF their franchises
or compelled to husband and make available their re-
sources order that they may be prepared at the ear
est day practicable to take their dishonored oDga
tons why should not an rredeemable Government cur
rency be regarded evidence OF bad management OF
the national finances, II not national bankruptcy ana
why should not such wise and equal revenue laws be en-
acted and such economy in the Of the public moneys
be effected az will enable the Government either judi
ciously TO nd promptly to redeem its broken prom
isesi The United States notes, although declared by law
10 be lawful money, nevertheless dishonored ana
dlsrepuable currency. The fact that they arc legal
tender possessing such attributes OF money as the statute
can give Them adds nothing TO their real value, but
makes them all the dishonOrabe 20 the Government
and subversve Of good morals. The people are COM
PEELED TO take money what Is not money
and, becoming demoralized by its constantly
In M
that sense OF honor their dealings with Government
and each other which is necessary for the well beng OF
society II is vain 10 expect the part OF the people
faithful ulhlment OF their duties TO the Government as
long as the Government is false TO its own obligations
nor will those who do not hesitate to defraud the public
revenue long continue TO be crupuous In their private
business UNSUITABLE and necessary as the measure was
then regarded ii is apparent that one unfortunate
step was taken when rredeemable promises were issued
as lawful money and especially when they were made
valid tender in payment OF debt contracted when specie
was the legal well as the commercial standard OF
value The legatender notes enabled debtors TO pay
their debts in currency largely Inferior to that Whch
was alone recognized money at the time they were III
cured and thus the validity Of contracts was virtually
IMPAIRED II all creditors had been compelled by law TO
nav into the public treasury 90 per cent 10 per cent
or indeed any portion Of the amounts received by them
from their debtors, such law would have been con-
demned as unequal and UNJUST and yet the effect OF IL
would have been TO lessen to the extent OF the receipts
from this source necessity for other kinds of TAXATION
anc thus relieve in measure tho class uniustly
because unequaliy, taxed. BY the legal
tender acts portion of the property az
one class OF citizens virtually eonhscated for tho
beneht OF another without increase thereby OF the
public revenues and consequently without any compcn
saton 10 the injured class There De 10 doubt that
these acts have tended to blunt and deaden the public
conscience not that they charscable in small de-
gree with the Generalization which so generally prevails
The economical objections 10 these notes rs lawful
money stated length in previous reports OF the secrc
tary may DO thus briefly restatoC They Increased n-
mensey the cost OF the war; and they added largely
the expenses Of the Government since the restoration
Of peace They have caused instability in prices and
unsteadness In trade and put check upon judlcious
enterprises They have driven specie from circulation
and made it merchandise. They have sent to foreign
countries products OF mines and at the same time
European debt has been steadily Increasing and has
now reached such magnitude as to be heavy drausht
ON the national resources and serious obstacle in
tho way OF n return TO specie payments. They
have shaken the public credit by raising dangerous
questions In regard 10 the payment of the public deDt IN
connection with mgh taxes 10 the necessity lor "hCn
they have largely contributed Ihey are preventing
shpbuding, and thereby tho restoration OF the coui-
merco which was destroyed by the war, lhSy are an
excuse for II indeed they 40 not hecessi9te' poltCs
tariffs and yet fail by their calculating value to protect
the American asaissI ms Hisn CoupS
tor They are filling the golfers OF me re Du ny reason
tho high prices which they create ana SUSTAIN ley
language Of one OF Tie greatest men OF lnoueth lV so
often but not too Often quoted Is none 100 SrOhg III lr
DESCRIPTIONS Of the Injustice and the evils OF an icon
vertble currency OF all the conrlVanees Tor cheating
the abOuug classes OF mankind, none mas Deeh moro
efcetual than that which delndes them WIN
paper money Ordinary tyranny, oppression eAesSs',o
aA itlOn-tese bear lightly on the happiness OF mo
mass OF INC soiuniy 40 ,n'it1eS NV Janrrr,tei
currency anu tue iooleil's 'oIlll'Ie' "
paper Our history has recorded Tor orr instruction
enough and moro than enough or the den"al|ing Ten
dency the injustice, and the lntOlersDle oppression on
the vftuou3 and wedisposed OF degraded paper cur
rency authorized or III any way eontenanten Wy %Ga
ernnoht. The experience OF All nations tlat nave uioo
this experiment OF iuconIerllDIe paper lhuuo( MS
proved the truth OF the eloquent words OF Mr. webster
" II orr country - In measure prosperous WIN sueu a
incubus upon H. tls because IL j. - agnlnceh lh cAtc
so diversified In climate, 50 rich IN soil so abundant IN
minerals, with people 50 full Of energy that even e
based currency can only rcta Out not put stop oS
the Secretary st adhcres 10 the opinion frequently
expressed by him that reduction OF the paper ccuIa
ton Of the country until II appreciates 70 ihe Sp.rlo
standard was the true solution o our nnaneh props'
But as this policy was cmphateay condemned Dy Con
grcss aud is now too late TO return to IT, he recon,
menis the following measures rs the next Dest eaoualeu
TO effect the desired result; A.,
Agreements for the payments OF com seem 10 De ire
ONLY ones contrary good morals, the performance
of which cannot be enforced In tho courts Coin con
tracts executed before the passage ol me 3ga lehor
acts. well rs those executed sinee are sasnSu ~ az
the states except California by tho payment OF me
amounts called for In deprecated notes ms Shache
upon commerce, this check upon our hhtloi pr4glesS,
this restriction upon individual rights should no longer
be continued II It he admitted that the condition OF te
country during the war hhd Tor uhe inter its ouSo
created necessity for laws and decisions making pro-
issOry notes hucuatng IN value according 10 he re-
suit OF battles and OF speculative combinations the me
dunn IN which contracts should be DISCHARGED ms ne
cesty longer exists. Steps should now he taken 10
give stability business and security 10 enterprise ana
TO this end specific contracts 10 be executed IN coin
should at once be legalized Perhaps no law could he
passed which would be productive OF better results with
SO little private ar public inconvenience such law
would simply enable the citizen to do what the Govern
ent Is dong in It's receipts for customs and IN the pay
ment OF It's bonded debit would merely authorize the
rn Increment OF contracts voluntarily entered into
coring 10 letter The effect of such law would 10
Ia check tho outflow OF specie 10 other countries by
creating necessity for the use OF t at home Ia
age enterprises extending into the future by removing
all uncertainty regard 10 the value, and show how
Is the apprehension generally existing that
Withdrawal OF deprecnted notes the Appreciation OF