The Evansville journal. [volume] (Evansville, Ind.) 1866-1870, 1868-12-23

anee of the greenback currency would
be paralyzed. To contract the cur
rency to the extent of funding all the
greenbacks would be financial suicide
would precipitate disaster to the
great industry and prosperity of the
country, for which there is no exam
pie in history. We must E0t return
to specie payments in that way. We
must descend the mountain by easy
slopes and gentle curves, though it
may take much longer. rather than
spring from the top of the precipiec,
| to be dashed in pieces at the bottom.
Bat it is broadly intimated by the
Secretary that the Supreme Court
will decide the laws making the
| greenbacks a legal in payment
| of debts to be unconstitutional, and
therefore void. If the deed is to be
done, let it be by the court, aud not
by Congress. But it would have to
| be a very clear case that would JUS
tify the court in making a decision
| fraught with such terrible calamities
to the country IF there be doubts
hanging about the question they
should be cast in favor of the legis-
lation of Congress and the preserVa-
ton Of the vast interests that are
| dependent on the maintenance of the
law. The Supreme Court, having
jurisdiction over questions involving
vast political, commercial, and social
interests, should be something more
than the rigid expounder of statutes
or collator of precedents, and should
view such questions as statesmen as
we'll as lawyers.
It was Lord Mansfield who plucked
up by the roots the hoary abuses of
the law, however deeply imbedded in
ancient authorities, and who, In the
construction of statutes and settle
ment of great questions, decided them
in accordance with the progress of
the times and the new conditions of
society, and thus rendered himself
immortal in the history of jurispru-
dence.
Believing, as I do, that these laws
are constitutional, and were impera-
lively necessary at the time of their
passage, / should look upon a deci-
sion by which they would be suddenly
destroyed with horror, and the court
making it would descend to history
as the author of the most appalling
financial disaster that ever occurred
in any country. But have full faith
in the learning, ability, and patriot
ism of that august tribunal. and be-
lieve it will not render its decision
until the question has been viewed in
all its bearings and consequences. To
return to specie payments without
crash is thes great destderotupl, and
this can only be done by making the
process gradual. Time is a necessary
element, and the first question to be
considered is the period which should
be fixed by the Government to begin
the redemption of the greenback
notes, and in my bill l have stated
the 1st day Of July, 1871. Fixing
time must be the starting point of
any plan which proposes to bring
about a resumption without crash
and disaster.
In proposing, to give two years
aud a half TO begin the work of
redemption, have several objects in
view.
First. By establishing the period of
: redemption a fixed value is given the
greenback note. Now its gold value
is huctuating and deceptive, some
times varying as much as ten per cent.
sixty days, and scarce ever remain
ng the same for a week at time,
But by fixing time for it's redemp-
ton certain value is given to it. IF
the note is to be paid in gold on the
first of July, 1871, its value can be
determined by the ordinary rules of
discount, and will steadily improve as
the time for its redemption approaches,
and other preparations being properly
made il will be at par on or before
the day fixed for redemption by
gradual appreciation. By fixing the
time for redemption, one chief ele
ment In the value of all commercial
paper is gained-that of certainty in
the time of payment.
Second. By fixing the period Of re-
demption the country Is notified, and
may be prepared for the change. Peo-
pie will have it in view in making
new contracts and arrangements in
business, and debtors, fearing a de-
cline in the price of produce, will
make haste to pay their debts. Dur
ing this two and q half years the
great body of existing debts among
the people will be paid The debts
now contracted, which will not fall
due for two years and half, are very
small, and generally for real estate.
The great difficulty generally attend
ing the improvement In the value of
the currency and the resumption of
specie payments where they have
been suspended, is the reduction in
the nominal prices of property and
labor, which operates injuriously upon
the debtor class. 1t is generally true
that as the purchasing power of the
currency Is increased the nominal
prices of property are diminished.
But this effect is sometimes counter
acted by the increase In the volume
of the currency. The imitation of the
currency, even though it be com
posed of gold and silver exclusively,
increases the nominal prices of prop
erty, of which we have a notable in
stance in the history of Spain. When
resumption takes place, all the gold
and silver will be set free and poured
into the volume of the currency,
thereby Initiating it to considerable
extent, because the whole amount of
gold and silver is very much greater
than the whole amount of greenbacks
that will be presented for redemption
| But, as before stated, the period of
redemption<is postponed so long that
the great body of the existing debt
will be paid before it arrives, and the
decleusion In, the prices of property,
which is likely to be small, would af-
feet but very limited class, andwould
scarcely reach the general business of
the country. The time given is so long
that it viii become stale In the public
mind-al! excitement aud panic will
pass away, and the change come so
gently on that the people will almost
have forgotten 1t when 1t arrives.
Third Rv FIXING the Deriod of re-