The Jackson standard. [volume] (Jackson C.H., Ohio) 1847-1888, 1868-02-13

sinking fund for the payment of a debt is
simple abSurdity; that it were far more wise to
apply the money necessary to establish such a
fund directly to the reduction of the debt there
by accomplishing at once all that could be done.
This proposition has a plausible appearance.
But 1t must be borne in mind that the sum 80 ap-
Piled loses its power to accomplish further val
liable results; whereas If put into q sinking fund,
there TO remain unmolested for given period,
facts and figures prove that 1t will accomplish
precisely the results claimed for it. And while
the country continues to pay the interest alone,
which can scarcely be felt by the masses, (arisng,
as itdoes, mainly from duties on imported luxu-
rles, consumed mostly by the rich.) the princi-
pal OF the debt would be constantly reduced and
absorbed by the operations Of the sinking fund.-
and finally wiped entirely ont. And 1t must not
be forgotten that the accumulative powers of the
fund will be enhanced from one tn ird to one half
by the premium on gold; thus transferring this
large profit from the pockets of the bondholders
through the sinking fund, into the pockets of
the people
But, Mr.. Chairman, this plan will hardly be
honored with respectful examination. II for
no other reasons it will be opposed because 1t
contemplateS continued suspension of specie
payment TO an indefinite period and the issue of
an additional S1O0 900, 900 Of greenbacks Such
propositions cannot be expected to meet the fa-
vor OF gentlemen who are welded TO the doctrine
ofa speedy return to a specie basis and further
curtailment of the currency as necessary to that
end. Capitalists who have invested largely in
Government securities, together with all persons
who live upon fixed salaries or incomes, will
likewise object but in my judgment a very large
majority OF the American people demand some
such measure as am now advocating and be-
fh,A lad a.
ced in all the industrial pursuits since the end of
the war in developing and augmenting the re-
sources OF the country have been such as to JUS
tily further emission Of paper money to the
extent have named.
Stagnation and dullness perVades all branches
of business. The distress existing among the
laboring classes is immense. Hundreds of thous-
ands ofwOrking men are out of employment.
Money throughout the West commands an inter-
est of from ten to twenty-four per cent; and
while further issue would reanimate and en-
courage business OF every kind it is not believed
the rice Of gold would be materially affected,
and if 1t were enhanced five or ten per cent, who
would be hurt? To my mind 1t seems perfectly
obvious that the issuing of 500 200, 600 would
not only be a great relief to the country but
would also greatly aid us in establishinga sink
ing fund which would very much accelerate the
payment Of the public debt
We now have circulation of some 5000 900,
00O while the tax for Government puposes alone
during the fiscal year absorbed $3.50 600 000
leaving but $500, 900, ,O00-a sum far less than the
immense State and munic ipal taxes paid during
the same period-leaVing nothing for the puI-
poses OF commerce until nat lOna State, and
county treasures were unlocked. Prior to the
war, when the volume of currency was limited
the business Of the country was confOrmed and
adapted to the amountin in circulation, much larg-
h1tn MAJ do of In,
cla transactions than currency of any kind; and
in the absence of the use of this private paper
prices must have reached a standard ruinOusly
low to the laborer, producer, and manufacturer.
But since that time, partly in consequence of the
demands incident to the war and partly in con-
sequence of the redundancy of currency, prices
have ranged at figures extremely high. And any
legislation that will tend to the reduction of val
ues while an immense debt contracted on full !
tide prices, remains unproVlded for and unpaid
either in whole or in part will, In my Judgment
be highly reprehensible
/ could wish all the financial views of Secre-
tary McCulloch were Of such character US to
satisfy my concurrence therein as fully as the
following, taken from his last annual report;
"Old debts are hard debts to pay" II
THE longer they are continued the more odious
do tbey become + \ ''Ifthe present
generation should throw the burden of this debt
upon the next it will be likely to be handed down
from one general ion to another, perpetual If |
not constantly increasing burden %a upon the peQ
full of enterprise and resources" y
1.-THE debt will be lightcned every year
with great rapidity by the increase of wealth aud
with a
proper reduction in the expenses of the Govern
ment, and with u revenue system adapted to the |
industry of the country and not depressing it, the
bt uno IA hgtDrp he pf nn
nresent century.n "The
wisdom of policy which shall bring about such
result is Vindicated in advance by the history of
nations whose people are burdened with inherit |
ed debts and with no prospect Of relief for them.
selves or their pOsterity."
Mr.. McCuochs Inconsistency is apparent, !
from the fact that in the same report he recon-
mends continued contraction of the currency, |
the funding Of the debt in long six per cent. gold
bonds, aud speedy return to specie payments.
which recommendations, II carried out 50 far |
from accelerating the payment Of the public debt |
would stand as msurmOuntabe barriers to its |
payment within the next fifty years, If ever. |
Make money scarce In ordert0 facilitate the pay |
nent of debts, take up currency bonds aud give |
Iod ones In order to benefit the holders, come TO
specie basis In order to reduce values, thereby |
tempting the people to repudiate Greater alb |
iurditles and incOngrulties would be hard to lind.
1t Is true that we hayea country ofalmOst un- |
bounded extent, possessing all the elements of |
Individual and national wealth; il Is true that the
resources Of the country are being rapidly devel-
lped and that our population Is increasing ut u |
ate unequaled In the history Of the world; but |
s that any argument why we should not avail |
purse Ives Of the present propltOus times and lay |
such foundation as will insure the payment Of |
our Indebtedness within the next twenty years
without any undue taxation or oppression 10 the |
Deople2 Certainly not
The fertility of our valleys, the richness of our
nines and the extent Of our domain are among |
Inc glories of the American citizen; but, 80 far |
rom having anything In this line lOr sale from
which to pay our debts, an unconquerable desire
seems TO crop out in high places Tor the possess
on of more country, without regard TO It's quail |
y or TO our ability to pay for 1t.