The Plymouth weekly Democrat. (Plymouth, Ind.) 1860-1869, 1868-03-19
mr.. PENDLeToHs FINANCIAL PLAN.


"And now say that not only these
bonds are payable in legal tender, but that
they ought to be paid as soon as it is pos
sible to do so. do not know that it i.
possible to pay these bonds as fast as they
mature, even in currency; but | do know
that every possible effort ought to be made
to do it.
"But at this point am met with the
statement that this policy will issue an I'M
mense amount of paper, and thus so fal
infate the currency as to destroy its value
and bring disaster upon the country
Now, gentlemen, let me examine this OBJ
lection. Mr. McCulloch in his last month
ly report stated that the public debt which
bears interest is comprised in three kinds
that $500, 100000 of this debt could not
be redeemed before 1874; that $500, 900
900 more could not bc redeemed before
1881; and that the rest Of the debt,
amounting to nearly s1,70O,000,O ,OO0 is
comprised in 6ve-twenties and bonds which
bear interest in currency.
Seventeen hundred millions Of 5-20's
and bonds which bear interest in currency
will fall due within the next FIVE years. l
cannot state to you the exact time nor the
exact proportions in which these bonds
f.. due 1 mean these 5-20's. Their
very name implies that, when FIVE years
shall elapse after their issue, the govern
ment may pay them; but need not pay
them until 20 years have elapsed.
Now, gentlemen, maintain that the
500 bonds should be pal as far as it is
possible to do SO without initiating the cur
rency beyond safe and just point. And
it is my business now to show you how rap
idly that can be done. The unliquidated
debt of the United States consists of
greenbacks and claims which have not
been adjusted, aud amounts to 10000
600. 1t pays no interest.
Three hundred and thirty-eight mill
ions of these bonds are, by the report of
the secretary of the treasury, deposited
to-day as security in the vaults of the
treasury. Three hundred millions of bank
paper is Issued on the faith of these bonds.
Now, gentlemen, 1 maintain that this cir
culation ought to be called in that these
bonds ought to be redeemed with legal
tenders, which will take the place Of that
bank circulation. [Applause.l
"What would be the effect of this !?
The s1.70O, 100000 of interest bearing
bonds would be reduced to 81 400, 600, 600;
and s20,O00,0OO would be saved to the
government from the interest which is
paid to the bankers for the bonds which
they have deposited. [Cheers.
Now, then, suppose you take this $50
600, 900 of interest which is saved and
add it to the S4S, 900 900 which these gen.
tlemen say they can pay from the current
revenue, and you have s6s, 900, 900, year
By year, and if you convert that sum into
greenbacks, at 40, you have sl0O, 100000
year. and if this is appropriated as a
sinking fund yon can pay the whole debt
In less than 15 years, without adding 81
to your taxation or 81 to the circulating
medium. [Applause.]
"Bear in mind that | am arguing a
proposition that these bonds can be paid
in greenbacks without initiating the cur
rency Bear in mind this can be accom-
rlished in II or ii years without the ad-
dition Of 81 to your taxation, or 81 to
your circulating medium. And now bear
in mind, also, that have not touched the
revenues Of the government, which, in
1865. amounted to s560,000, 900; nor
have l attacked the expenditures of that
year Of radical administration.
"But now set the reformer to work.
Let him cut of every extravaganza
lop of every unnecessary expenditure
Let him reduce the current expenses of
tn, government to $3.50, 600, 900 year.
/ mean expenses iudependen. of the inter-
est on the public debt,-though it ought
20 be reduced to 800, 100000; that
would be s25 100000 more than Mr.. Bu-
chsnan expended; that would be as much
in one year as Andrew Jackson expended
10 any Of the four years of his administra-
ton. But let the expenditure be reduced
to $3.50, 600, 900, and what do you have
s150, ,00O,O 900 for current expenses, $780,
100000 for interest upon the public debt,
and 500, 900, 900 Of sinking fund, as l
have described, and you have the aggre-
gate of $3.50, 100000, and if you take
that from the revenue of 1866, which
mounted to S560,000,00O, you have a
balance of s1sO.OOO. 900, which you may
I'D to your sinking fund, and thus bring
it up to s280,000,O0O annually. And
with that you can. in FIVE years pay ev-
eTv cent Of the principal and interest up
on your public debt, without the addition
of dollar to the circulating medium Of
the country. Applause.]
"When five years shall have passed, you
can reduce $3.50, 900, 900 of your taxation
and Jet be ablc to pay the $500, 900, ,00C
which falls due in 1874. Then you car
reduce your taxation 5000 ,O0O, 900 more
and, by retiring your greenbacks as the
grelt burden of taxation is reduced, you
will be able to put the debt maturing il
1881, aud at the same time to call in your
greenbacks and return to the constitution
al currency Of the country.
"And yet you see that have not pro
posed to increase the taxes or add one far
thing 70 the currency"
The radical newspapers claim tha: th'
trial of the president will be judicia
and not partisan one. Here is wba