New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1869-01-13

culaon being necessity 10 the people, "Vnt H. T Az
tnaons I'm the amount and value OF the currency causeu
by the banks being Obliged TO 70 nees M
fv in business enterprises IL not TO commercial integrity
Itself IN every ten years ana aIge par aetuse
10 redeem their notes In specie and from the necessity
of the case supported in so dong by lega enact
ment No mercantile sagacity In business, no lore
Thought or prudence investment no integrity OF pnr
pose solidty OF capital In the merchant OF CON
ductor OF business enterprises public or private uue
sucb a financial system OF pretended convertibity
could or did prevent commercial failures ana run:
of solvent prudent, enterprslng men were IN
volyed in ruin from causes which 1t was Impossible ior
them 10 foresee control The whole property OF tne
country the scanty provisions for the widow and orphan
the stocks otherwise prosperous enterprises the shares
weaIIb of the country each and all alike, at uncertain
and irregular periods. fuctuaed In price quite one hall
II this condition Of things had been dependent upon the
HABITS OF orr people, upon the productiveness non
productiveness OF industries tho protabeness or
OF commerce business enterprises
or non fine current enactment OF our Legislatures, either
State or national, or all perhaps some remedy might
have been found method OF alienation proposed But
none of these had any effect to hasten or reard these
fluctuations OF commercial VALUES Inc Iaut was III
herent in our financial system, which was, ana whlle
on money convertible into specie must continue to
be- but exaggerated onsho0t OF Inc hnahca systems
of Europe subject the changes the needs the wars
famines and disrsses OF other countries wds in no
American system nor In any OF us paris auapteu
dent people. Many and various were the expedients
resorted to by the General Government 10 remedy
this chronic vacillaton OF money TO the de.
sructon OF the business Of the country But
ali in vain In the endeavor do this the United states,
as have SEEM at first chartered bank, became SUD
scrber its stock and received and paid out us Dis as
money for period Of twenty years sun the erpatS , pI'
Again it refused have anything to do with bank ana
left money the natural laws OF trade for hve years
from 1871 70 1871 Still financial disaster came ana went
turn like the vibrations Of the pendulum but wanting
their regularity In 1916 the Government again tired inc
experiment OF making an unfuctuatng convertible cur
rency by charterng bank Of than three times the
eaPts OF the old one as regulator OF the c and
than The years OF 1929 will ever be meoIa
bic IN the history OF G Dd country DT Jae T6e bank
charter expired in 1895 by It's own Limitation, ana the
Government again divorced itself from all connection
with the OF the country to leave asupposed con
yertibe paper do its work uncontrolled 5aveDy
laws but the financial dlsresses and COMMISSIONS OF
1887 caused all previous ones for the time TO be forgotten
In the endeayor To ind some relief by legislation pOn
upon the dstresses in the business OF the country alone
but change OF administration brought no relief Inc
Government established its affairs firmly on specie
basis in s4O holding aoof from any interference with the
finances OF the country, hoping to give them sap ny
ments in coin, although sometimes issuing treasury
notes like exchequer bills or buying in its own bonds IL
relief TO Commerce and business Still the periodical
visitatons OF commercial disaster aud rum eohtnee
aeled those OF 1927 and 1897 periods or Lancal ais
aster II will be useful further 10 trace the CONNER
years OF such fluctuations OF value Of cOmmerool ruin
and distress from which the country cannot De
merchants the wisdom of its legislators or the industry
and enterprise of its citizens let pause here and ASH
from financial system producing slch results
1t desirable voluntarily to return to III Specially;
ought we to and distress upon the majority OF
the people In order to dot needless for me 10 add
that amid all these commissions and reyuons OF tne
business OF country and its currency and the destrc
ton OF its values, the losses fell at last as they ever
must fall upon the laboring masses Bread riots were
work shops and mills were closed leaving labor unen
poyed and unpaid its value thus lost never Is reganed
by rise i'm prices prosperity for IL is the pc
culiary OF labor, says eminent economist thattls
the only commodity pershes al the nsah, OF pI1uu
the results experience during the LIFETIME , Gf tae
tem 70 conduct the business 81 the country upon
specie payments or. IN other words, win cirSuank
medium supposed to be always INTO NoG a6d I
YER Let Us now examine and see II we may know
why with our currency upon supposed DasIs Oh S1
beyond human power to regulate or control OF
sustain the business finances OF the country IL lsnOt
strument OF exchange have bound our business and
finances hand and foot to the monarchs and bankers OF
which they control at their will, for their purposes and
caprca or or attempt to unset
me az r e pe @ e NJ or
price for gold then our currency based thereon but ex
banded as four TO one Ine shocH III q pro
standards OF value whenever the caprice or some Indian
prince or Chinese merchant chooses TO call Tor silver
ton import from tn East and ,hs;SSy ;ioes 10 20
and silver 60 out. not at the value fixed by us
coin but at the value which they are taken simply
bullion. Gold is still further depressed IN value III
comparison with silver which the sole standard OF the
principal commercial countries OF Europe save Engand
Il thus drawn very rapidly Europe 10 MI the vacuum
caused by the expectation OF silver TO CHINA
Japan and India The extent Of tins drain upon the Sill
yer OF Europe and the necessary rise IN price as CON-
pared with gold and the consequent necessary HOW OF
gold from those countries where IL nv, mas hsed
and this country. where gold 10 the standard
OF value may be seen from data derived from te Doors
OF the Oriental Steam Navigation Company through
whose agency alone the sum OF was transported
to Asia from England solely In 1856 and increased ~ the
following year to $397G6O; TO this add the sum OF s6
76i from the rest Of Europe, have as the
startling elux in silver only from Europe to the East IN
OF ali the siiyer-mnos that supply Europe and Aineri
ca. To this must DO sdded quite one tenth OF
1 M b SOu Observed tsS u half of this amount
OF Silver must be taken each year from the circulation OF
ana both these exports OF specie to the East are indie
pendent Of that shipped directly from America and are
California The most careless consideration OF this lact
will conclusively show the reason why the Bank OF In
aux OF gold FROM that Kingdom. although she altered
her OF discount eight times during The year 1870 ana
in final bankruptcy and suspension in November OF that
year have taken this period for comparison rs h WIS
before of Rebellion and the cotton deaIt when
much affected the finances OF England Inns s,eae
drain still goes on Is II WISE tnereiore ny wScS ali
our values 10 be measured, our productions e4-
and or Industries TO bo governed, the very basis OF
which controlled and huctuated not only by the inter
ests and commerce Of the Christian and civilized world
but by tho trade needs OF the hafeivzed and bar
barous nations Of the East Instead OF TINS money, tue
instrument Of rants, which has wrought all these evils
propose paper currency, admittedly the cheapest ana
most It's value based not only upon the gold
in the country but upon every other and element
the national prosperity omancpated from tho control
all other nations, whether Civilized or DarDarous III IL
the currency for free people strong enough TO maintain
every other OF their Institutions against the world whose
governments they have autagonzedi strong enough 70
sustain the OF their business transactions with
each other independent OF kings the least or bankers,
tho most potent soyereigns in the world II Is one
OF the blessings Of the that enabled Tor the
first time stand alone IN industries and INTERNAL
commerce AS we have institutions IL cannot fail
10 have attracted attention that the only remedy Tor ali
evils brought by currency convertible INTO specie
when distress Is upOn the merchant, ruin upon the man