Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1868-12-10
ESTABLISHED MARCH 80. 1886.

y
sc be enjoyed by our citizens rather tha
be used to build up and sustain moneys
tn monopolies in our own and other land
ne Our foreign debt is already computed /
70 the Secretary of the Treasury at $3.50
III 00000e. Citizens of foreign countri,
er receive interest upon a large portion
Of our securities, and American tax. payer
e are made to contribute large sums fc
" their support. ~ Z he idea that such del
e is to become permanent, should at a
S, times be discarded, as involving taxatio
n too heavy to be borne, and payment ono
n in every sixteen years at the present rat
e of interest OF an amount equal to tn
It original sum.
e This vast debt, if permitted to becoml
It permanent and increasing, must eventu
Y ally be gathered into the hands Of few
!. and enable them to erect dangerous
t and controlling power in the affairs o
the government 1.-THE borrowers would
t become servants to the lenders, the lendr
rswould be masters of the people. We
, now pride ourselves upon having given
, freedom 10 100000 of the eolored race.
1t viii then be our shame that 10000, 900
of people, by their own tolerance of
usurpation and profigacy, have suffered
themselves to become enslaYed, and
merely exchange slave owners for new
task.masters, in the shape of bond hold
ers and tax gatherers b sides, perma.
nent debs pertain to monarchial goVern-
ments and tending to monopolies, perpe-
tuities and class legislation, are totally
irreconciliable with free institutions In
trOduced into our republican system
they would gradually but surely sap their
foundations and eventually subvert our
governmental fabric, and erect upon its
ruins money aristooracy.
1t is our sacred duty to transmit un-
impaired to our posterty the blessings of
liberty which were bequeathed to US by
| the founders of the republic, and by our
example to teach those who are to follow
US carefully to avoid the dangers which
threaten a free and independent people
Various plans have been proposed for the
payment of the public debt. However,
they have varied as to the time and mode
in which it should be redeemed, there |
seems to be a general consciousness as to |
the propriety and business of a reduction |
in the present rate Of interest. The |
Secretary of the Treasury in his report |
recommends five per cent. Congress in a
bill passed prior to its adjournment on the
9th Of July last, agreed upon four and
four and half per cent, while by many |
three per cent. has been held to he an
amply sufficient return for the invest
ment. The general impression as to ex-
orbitancy of the existing rate of interest
has led to an inquiry in the public
mind respecting the consideration which
the government has actually received for
its bonds, and the conclusion is becoming
prevalent that the amount which it OBJ
tanned was in real money three or four
hundred per cent. less than the obliga-
ton, which it is said in return cannot be
denied.
Thus We are paying an extrayas
giant price for the money borrowed which
was paper currency, greatly deprecated
below the value Of coin. This fact is !
made apparent when we consider that
bond-holders receive from the Treasury |
upon each dollar they owe upon govern
ment securities & Per cent in gold, which
is quite or nearly equal to 9 per cent in
currency; that the bonds are then con-
verted into capital for National Banks |
upon which those institutions issue their
bearing 8 per cent. interest ;
that they are exempt from taxation by
the government and States and thereby
9 per cent. in the hands of the | :
holders. We thus have an aggregate of
Ii per cent, which may be received ,
upon each dollar by the owners Of gov
ernment securities. A sytem that pro
1uces such results is justly regarded as
aVoring a few ct the expense of the many,
md has led to the further inquiry
whether our bond-holders in view of the
arge profits which they have enjoyed
would themselves be averse to a settle
nent of our indebtedness on plan which
would yield them fair remuneration,
and at the same time be just to the tax {
payers Of the nation.
Our national credit should be sacradly
observed, but in making provision for our
creditors we should not forget what is
due to the masses of the people. 1t may
DO assumed that the holders of our secu~
rites have already received upon their
bonds larger amount than their original
Investment measured by gold standard. !
Upon this statement Of facts it would
seem just and equitable that the six per
cent interest now paid by the govern
nent should be applied to the reduction
Of the principal in semi annual install .
ments, which, in sixteen years and eight !
months, would liquidate the entire ma
tional debt. Six per cent in gold would ;
at present rates be equal to nine per cent ;
in currency, and equivalent TO the pay
nent of the amount in half the time in =
fraction less than seventeen years. This, :
With all the other advantages derived | !
rom the investment, would afford the I
public creditors fair and liberal com /
for the use Of their capital, and .
with this they should be satisfied.
The lessons of the past admOniSh the c
ender that it is not we'll to be over anx- I
Gus in exacting from the borrower rigid '
with the letter of the bond. q
# provision be made for the payment of G
he Indebtedness Of tho government in f
he manner suggested, our country will C
'apidly recover its wonted prosperity.
Its interests require that some measures
should be taken to release the large G
amount of capital invested in securities i
If the government. 1t is not now merely q
but in taxation annually !
consumes Sl50,000000, which would $
otherwise be used by our enterpTising | a
people in adding to the wealth of the '
nation. Our commerce, which at one a
line successfully rivalled that of the b
yreat maratime powers, has rapidly | S
diminished and our industrial interests | t
IRE in depressed and languishing con- d
litioR. t
The development Of our inexhGustible a
'esources is checked, and the fertile fields t
If the South are becoming waste for b
Eant Of means to till them. With the | Il
release Of capital new life would be in ?
used into the paralyzed energies of our o
people and activity and vigor impaired a
% every branch Of industry, our people I
receive encouragement in their efforts P
10 recover from the effect of the rebellion v
md Of injudicious legislation; and it S
should be the aim Of the government to e
stimulate them by the prospect Of an early r
'eIease from the burdens which impede n
heir prosperity. If we cannot take the e
,urdens from their shoulders we should II
It least manifest willingness to help p
pear them. In referring to the condition Of II
he circulating medium, shall merely b
eiterafe substantially that portion of my a
asst annual message which relates to that Is
ubject. The proportion which the cur Il
ency of any country should bear to the e
I