The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1868-07-24


well and Mr.. Sherman wrong, but by no dog
matism can we escape the fact that legislators,
whose desire is to preserve unsullied the ma
tonal integrity, confess the possibility of
doubts as to the precise extent Of the oredi-
tors claim.
The controversy is not simply unfortunate.
1t ought not to have been allowed to arise; nor
would it have arisen had Congress found time
sooner to adjust financial affairs on proper
basis Whatever may be said in regard to
the exact import of the contract, there can be
no doubt that when the issue of bonds was
authorized Congress entertained an honest
hope that before they reached maturity specie
payment will have been resumed. There was
no desire in any quarter TO redeem the bonds
in a deprecated currency, and no expectation
that the psint would ever come up in this
shape for settlement. Nor did anything occur
to neoessitate its consideration. The time
when il will become a necessity is several
years hence; and under ordinary circumstances
the prudent course would have been to leave
the question of paper or gold to be answered
at the maturity of the bonds. Ere then, we
may reasonably suppose, the disappearance of
all difference in value between currency and
coin would obviate everything like the present
dispute.
But wisely or unwisely, the question has
been raised and in one way or another must
be met. How is the query which Congress
Is JrylDg 10 answer WIN an l0QlISrent pros
pect of success. The method originally sug-
gested was the passage of a resolution affirm
ing the obligation to pay the Five-twenties in
gold. But the carrying of such resolution
is clearly impossible. We doubt whether the
Senate would adopt it, and the House we are
sure would not. Equally certain is it that any
proposal to increase the amount of green
backs, with the view of paying off the debt,
would fail For this, at least, let MS be thank
f,,1 ba Op1 To- ab1 nj
is that of funding; and, for many reasons
we trust that the two Houses will not allow
the opportunity to 60 over without an earnest
effort to agree upon some basis that snail re-
move the whole question tiom the arena Of
contention.
Whatever popular feeling exists on the sub
iect may be traced TO impatience under op-
pressive taxation. The O1tcry for taxation
of the bonds i5 undoubtedly attributable to
this circumstance; and So also, to a consde-
Table extent, is the glamor for payment in
greenbaoks. By issuing bonds at i've or four
per cent. interest, according to duration, a
larger saving may be effected than is attain
able by any other measure, while by making
the new bonds specifically payable in coin
sn inducement is offered which prudent
holders of the present bonds should not long
neglect.
A strong effort on the part of both House
and Senate to reach some ground of agreement
is, then, desirable, as well to tighten the bur-
dens of the Taxpayers as to close permanently
a contest which vitally affects the public
credit. 1t is possible thus to reduce the
expenditure on account of interest not less
than One-ith or even one third-say, on an
average, One-fourth-of the present amount.
No other available plan of retrenchment COM
pares with this in ease or efficiency.
Something is due, moreover, to the eXigen-
cies OF the public credit. Just now, two seri-
Gus dangers menace the country. One is the
possible creation of difficulty in the Southern
States by an attempt on the part of the Pres-
dent to carry out the Blair doctrine. The
other is the development of prevailing dis
trust in forms productive of financial disaster.
The former of these contingencies seems to be
realized at Washington, and Congress will
scarcely separate until it has made adequate
provision against anything which Mr. John
son, with the help of the Democracy, may at
tempt. The financial exgency is, however,
little less urgent, and it behOoves Congress to
strengthen public confidence by adjusting the
bond question in a manner mutually advan-
tageous TO the country and its creditors.
Nothing would help repudation half so much
as panic arising from the tears of foreign
bondholders, and the consequent jump in the
gold market. And it is the duty of Congress
to use the means at its command to prevent a
calamity second only to the success of the
Johnson Blair programme. The country can
not afford to keep the bond question open.