New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1868-11-12
EINANCE.

The World copies our latest IemOnstrancc
against Secretary McCulloch's persistence in
boarding $lOO,OOO,0OO or so Of Gold in the
Treasury for the last three years, aud thus
comments:
verbe is founded very partial view OF the subject
1t is inconsistent with the early return to specie pay
every commercial country having sound currency there
IS somewhere great reservoir Of coin or bullion, Ike the
Bank Of England the Bank Of France and the rest In
country when we had specie pay menis, these
reservoirs were numerous coni,ting OF an lhG 9aie
notes. Our present banks are under no Obligation, aud
Treasury should sell all it's gold there would he specie
In the country. IL resumption s to be postponed
for long period there Ia reason why there ShOd he
any and in that case, the reasoning OF TIE 1mBuNE j.
correct The point make IT, that is Two ucnahos-
demand for early return TO specie pay neni' ana
the demand for the dispersion Of the only specie reserve
in the country-cOnilict with each other
Response by The Tribune.
The World does not cOntrovert our statement
that the Treasury has lost $10,0OO0OO and the
country S10OO0,O0O more by the course pursued
by Mr.. McCulloch it only urges that the alter
native we prefer is inconsistent with an early
return to Specie Payments. We strenuously
dissent. The chief obstacle to such return is
the low rate lin COIN at which our Govern
ment Bonds cell in the great money markets
of the globe, our own included. Were our
Secretary of the Treasury able to place at will
new bonds at fair Iatcs-say q twcnty-year
non taxable bond, drawing d. per cent. interest
at per cent. premium-we might resume forth
with, though there were but SlO,OOO,OOO In the
Treasury over and above tho outstanding gold
certificates. All he would have to do would
be to sell the new bonds in open market to
meet any run upon him for the redemption of
Greenbacls. Practically, we believe such runs
would be rare, and for incOnsiderable amounts
Only let it be certain that he was strong
enough to meet any run that could be made
upon him, and his ability would rarely be
tested
For the great bulk of the money in the
country Is employed in its business, because
useful and needed there We, for instance, re-
ceive and pay out more than Sl,OOOOOO per an
mum in transacting our regular business OF
making and selling newspapers. Other bust
ness concerns handle far more than this; while
tens of thousands receive and pay from $4,000
to $750,000 per annum. Hardly one of these
ever requires or receives dollar in specie ex-
cept for change, and would never think Of
sending to the Sub Treasury for coin so long
as the Currency was at par with specie, dollar
for dollar And it is this incessant demand for
money to effect exchanges for values that keeps
our Paper Currency in circulation, and
would not let it be sent in for re-
dempton so long as it was ut par. If some
one would call on us every noon and take all
our paper money, giving us coin at par for
every rag, we could not afford to make the ex-
change, the paper being 80 much more con-
ycnient to keep, to handle, to deposit and TO
pay. If there were no other need OF paper
money than Our own, We should have TO beg
the Government TO issue q currency wherein