The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1869-02-02
SENATOR sHERMAN,s PLAN.
From Tho Pntladelphta Ledger.

OF -Sucn COnLEhcLS payAO1e III coin as
may be hereafter made, apPropiates
$40, OOO, 600 out Of the receipts ofcustoms
(coin) for the payment OF the interest
on the reduction of the public debt
authorizes the holders of "green backs''
to the amount of $50, or any multiple OF
$50, to convert said "greenb acks'' into
''ten. forty" bonds, to be hereafter is-
sued, at five per cent. interest, free
from taxation. by any authority,
income tax; authorizes and requires
the Secretary of the Treasury to issue
gold notes payable in coin on demand,
OF denominations not less than $40
receivable for all taxes, duties or debts
payable to the United States, said is
sue not to exceed the amount OF coin
in the Treasury; authorizes the Secre-
tary OF the Treasury to apply, at his
discretion, an amount OF said gold notes
not exceeding the "greebacks" surren-
dered for conversion into ten-forty
bonds, to the purchase In open market
in New York of the six per cent. bonds
OF the United States, and requires the
"GreenbaCks" equal TO the amount OF
bonds so purchased; and authorizes
the national banks, under certain
restrictions, to issue notes payable in
coin, without regard to the present
limitation Of $500. 600. 600, as provided
by the bank act.
Four-fifths of Senator Sherman's mr.
gument was devoted to demonstration
OF the two propositions, viz: that gold
has always been, Is now, and must
continue to be the standard OF value;
and that the way back to aspecie stand
ard being through contraction, that way
is beset by many difficulties. All this
was quite ably done, without the slight
est attem pit at rhetoric, us becomes dis
nd n
breadth of view that shows he has stud
led that part OF the financial problem
carefully and thoroughly. So far the
court of public opinion is undoubtedly
with him, and his argument would
have been received with great attention
but for the knowledge OF the fact that
his opinions of the proper methods OF
contraction are coupled with projects OF
legislation that cannot, or certainly
should not, receive the sanction OF Con-
gress. This, taken together with what
Mr.. w. Z. latham, of this city, In
monograph on finance, very Eptly styles
the "changing temper OF Congress-"
has prevented Senator Sherman's
speech and his bill from making any
permanent impression on the public
mind. People do not believe that the
bill will get through Congress, or If it
does, that Congress will permit it to
stand unchanged long enough to test
whether 1t will produce good or evil re-
suits.
There is but little room for doubt,
than an act legaliZlng contracts made
requisite to the ultimate settling of our
disordered money affairs. This there
is scarcely any dispute about among
experienced business men, or among
bankers whose establishments are con-
Quoted on sound principles; but as to
the rest the bill there is wide diverg-
ence OF opinion, and at'least one simp-
Ter way OF arriving at the result it
seems TO aim at. There are good
many able business men who believe
that there is no impenetrable mystery
in this subject of finance, and, believing
this, they cannot see the necessity for
intricate or doubtful devices 10 bring
about that gradual, easy contraction of
the currency which, in process of time,
operating with the growth of the
country. active industry, and economy
of our resources, will take tho country
forward to the desired goal of the spe-
Gle standard without any sudden and
ruinous shock. The true as we'll as
the simple way seems to them to be IL
steady though moderate withdrawal OF
the currency by fixed sum per month,
according to the plan practiscd a year
or so ago, though perhaps smaller in
amount than four millions per month.
Nor can they sec why all the plans OF
contraction proposed by the Finance
Committee should be confined TO the
''greenback" currency. On the con-
trHry, they can see strong reasons why
such contraction OF the currency as it
Is admitted must be made, should be-
gin with tho National Bank
circulation, and continue on that
line until contraction has reached
the required limit. withdrawing
the ''greenbacks" and issuing
corresponding amount of bonds is on
ly substituting for loan without inter-
est one carrying interest, and thus in
creasinE the burden OF taxes, whilst
the National Bank Curren-
cy involves no such addition to the pub
lie burden. 1t Is remarkable, too, that
while Senator Sherman and those who
agree with him have spent IL great deal
of ttmo i'll preparing funding schemes
and other questionable plans to reduce
the rate of interest on the Government
bonds from six per cent. to five per cent,
neither he nor they look with favor on
the plan that would reduce the interest
on three hundred millions OF the bonds
from six per cent. to nothing. This they
believe can be done by gradual sub
stitutiOn of ''greenbacks" for tho ma
tional bank notes, and retiring the
bonds held by the banks with the pro-
ceeds. 1fthose three hundred millions
of bonds were so substituted and can
celled, it would reduce the amount of
interest now paid annually on the six
per cent. bonds eighteen millions n year,
and this would be exactly equivalent
in its effect on the Treasury to a reduce
ton OF one per cent. on the whole eigh-
teen hundred millions OfsiX per cent.
bonds now in existence; or, in other
words, it would be equivalent in result
to the Treasury to a reduction Of interest
on all the 6vc.tiCentieS from sir per cent.
to JfVc per cent, without injury 10 the
bondholder. These are plain points,
involving noSmyatery, and they are res
pectfulIy submitted to such Senators
and Representatives rs do not believe
the financial questions before them to
be inscrutable problems, which can on
ly be penetrated by almost superhuman
wisdom.
Something RbOut Old Maids.
There is a stigma ofreproach cast up
GI0I6 iIG-f nffoF i0ok.