The Richmond palladium. [volume] (Richmond, Ind.) 1855-1875, 1868-12-29
VOL. XXXVIII.s
RESUMPTION.

3k60 " C03 44ON.
speech Of Senator Morton..A Sound Cur.
yency the First and Great Dexideratum..
Evils of a Fluctuating Medium.-EHects
Of the Greenback Debt ON the Public
Credit.-The Obstacles to a Resumption
Considered--varions Objections Answer
ed-.Seaator M0rt0n,s Plan Explained.
From the Washington Chronicle. 3 ysaE
The following is the speech of Senator
Morton on the bill for the resumption
Of specie payments, delivered in the
Senate on Tuesday, December 22st:
Mr.. PREsIDEHr: Among the mighty
changes wrought by the war is the revo
luton in the character of our currency.
The war found US with gold and silver
o part Of the circulating medium, and
with q convertible paper currency, the
issues Of local banks created by author
ity of tho several States. When it end .
ed, gold and silver and this bank paper
had been banished from the circulation.
and in their places substituted the notes
Of the Government and of the national
banks.
The great problem now to be solved
is to re introduce into the currency gold
and silver, which can be done only by
making the notes of the Government
and OF the national banks convertible
into coin at par. These notes are now
greatly deprecated, and since the 1st of
July gold has fuctuated between 324
and 40 cents premium. These fuctua
tions in the value of the currency affect
every kind of business disastrously..
The prices Of provisions. goods, and
labor change from month to month";
Every branch of legitimate business
which depends upon small but regular
profits is greatly impaired. With such
fluctuations in the value Of the currency,
ID the cost Of living. in the profits of
business, and the value of everything
that enters into trade, together with the
painful uncertainty that hangs over the
whole financial policy of the country,
men hesitate to engage in@newy enter
prises or to make new investments in
business. Tho prudent capitalist is
standing still, awaiting the course of
events and the establishment OF some
definite financial policy by which he can
Judge or the future. It is impossible to
calculate the aggregate loss to the coun-
try, even in one year, by this state of
things, or to estimate the suffering and
destitution produced by stagnation OF
business and the want of employment
for labor; and it is not only the business
but the imperative duty, of Congress to
address itself to the great work of re-
form, by adopting such legislation, if
possible, whereby the currency shall. be
made good, and business be made to
dow on prosperously througlrits regular
channels The business transactions of
the country, amounting to many thou
sand dollars in the course Of the year,
are conducted through the medium of
the currency, and if the currency is de
preciated, fuctuating and deceptive, the
prosperity of the country must inevita-
bly, be seriously Injured and IFS general
progress and development delayed
The question to which l invite the at.
tention of the Senate to day is, whether
such legislation may be had, and plan
adopted whereby the currency can be
made good, and the Government return
ed to specie payments without produc.
ing crash, or great commercial dis
tress. @rgs E&
And first, will consider some of the
difficulties which, it is urged, will pre-
vent a return to specie payments
1t is said by many that the currency
is redundant, and that we cannot return
to specie payments until contraction has
taken place We are referred to the
fact that before the war, in 1860, the en-
tire bank circulation was but S202. .000,-
QUO, and the specie in the vaults of the
banks about SS4 100000, making less
than 100000, 900. But at that time
gold and silver were in circulation .s5 IL
part Of the currency, and i, is probable
that there was more than $3.50 90 900
IN the country beside that W is.l was
held in the banks. This would bring up
the mixed currency to nearly $50, ,00O,-
700. The Director of the mint in Phila
ielphia, 1860, estimated the amount of
gold and silver in the country at S775,-
DOC, 900; which is nearly fifty millions be
vond my estimate. But there was an
other form of currency then much more
N use than now, which must not be
overlooked in considering the aggregate
of the country. The paper
money consisted of the issues of local
banks; and was not current except in the
ocaiity of the banks by which it was
ssued. Then the paper money of the
North western, Southern and Southw. st.
,rn States was not current in New York,
md was nOt received there in payment
IF debts. The bank notes of the North
,rn States were not current in the
Southern States, and vice versa Hence
he payment Of debts and commercial
between different parts uf
he country were conducted hy bills Of
Exchange and promissory notes. which
amounted to many hundred millions of
lollars during the year. This form OF |
is still used, but not nearly to /
he same extent as before the war Now |
he greenbacks and national bank notes
re of equal value in every part of the
United States, and are transmitted in I
'ayment of debts and transactions of |
BUSINESS from one part of the country |
o another, by means of express COM t
'anies and otherwise, to the amount of