The New York herald., 1869-09-13

S2oo, 10000 in three years II the reports pub-
sned In the newspapers are ssp oSrrec conss 1ne
ing OF the same two items amounted TO $3.50 ooo
a still further reduction OF $l6000.0o0. But the
cent certificates nearly $l2, ,00O 600, and the com
pound interest notes more than $4,000, OOo Tnese
were used as the reserves OF the banks. III tney
have been thus reduced their places are supplied
with legal tender notes. and these am unts must @ DC
added 70 the oSo so and o thus we nave con-
Why, gentlemen, after the close OF the war IN 1915
the country banks OF Great Britain contracted their
issues seven million pounds, and the JOY produced
by the peace turned into agony by the prospect
- EFFECrs OF CONTRACTION.
Have YOU considered what contraction brings
with itY IL brings universal fan Of prices OF goods
and labor, while debts, taxes and moneyed obliga-
tions remain fixed. The man who has money be-
comes much richer. because his money will pay for
more land, more wheat more labor. But the man
who owes money becomes much poorer, because he
must sell more land, more wheat, and perform
more labor to pay his debts. IL breaks down all
business because, II prices decline, the more busl-
ness man does the greater his losses. 1t produces
unsteadlness and panic and gives rise only to ille
gtnate gambling transactions. And yet In the
presence OF these truths-in the presence OF this
immense taxation and of this crushing public
debt--the administration continues to contract the
currency. This system enhances the value OF the
b0nds-it enhances the value OF the gold nterestit
enhances the value OF money but 1t requires more
wheat from the farmer, more machinery from the
manufacturer, more toll from the labOrer, To raise
the money to pay his taxes and 1t sweeps away the
profits OF years to pay ordinary Indebtedness. We
trying to do what no nation ever did or ever viii
do. We are trying 70 pay war debt AND war taxes
with peace currency. Great Britain made the at
tempt for years after the wars Of Napoleon, but
three times years the distress became great
tnat she expanded the currency, and at last she
funded the debt, abandoned all Idea OF ever paying
the principal and repealed the most onerous taxes.
The system is radically un The debt contracted
on our expanded currency should be paid in the
same currency. The dollar which is paid should be
of the same value as the dollar which was loaned.
No device OF the public creditor, no scheme Of
the Treasury Department, should be permitted
which Will make the dollar which IS paid worth
twice as much and therefore be twice as dificult
for the taxpayer to earn as the dollar which was
loaned. This cry for speecy 'return to specie
paymentsn before the debt-which was incurred ON
an Immensely inflated currency-has been substan-
TALLY reduced is plan to increase the wealth OF the
bondholder forty per cent at the expense OF the
taxpayer-s a device TO cheat labor and to enrich
boarded capitals 1t Is scheme to despol honest In
dustry OF It's rewards and TO heap treasures upon
idleness; 1t Is another instance Of the fact that in
this antemhlennial world ITO him that hathIshan
more be gwen, and from him that hath not shall be
taken away even that which he seemeth sto have"
The administration for the first time in the history
of the republic, has the power to make times
hard or make times g0od-ih other words 1t
has the power to make money plenty or make
money scarce. Who are responsible for the
present hard, and may say deplorable
timesP Why, OF course the administration, which
or In other words the bondhoders control the gov
ernment In favor OF themselves Who are respOnsi-
nle for the acts OF the s EN-
the power to make money plenty or scarce, you have
the power to make the administration do its duty
hint from you in October Will be sufficient. !
regard the sudden contraction which has been
brought about-a contraction which has ruined
thousands Of our best men-One OF the most heart
less and cruel acts ever perpetrated upon people
by their rulers. have SO often expressed my Opin-
ion as to the prOpriety OF dispensing with the
national banks OF the substituting legal tender notes
for their circulation, and thus saving twenty mil
lions of dollars q year in gold, and as to the best
mode OF paying the public debt, that will nOt
weary you here nv their recapltuation.
The whole policy OF the administration should be
rsed. Pay the debt; pay 1t honestly according
to the contracts pay 1t In money as valuable as that
bonds ON which they are founded; save the year ly
interest; use every appliance OF economy and man.
agement In advancing this policy Then when the
debt is paid when taxes are reduced when seventy
five millions suffice for the government. when all
property is subjected to just rule Of taxation If 1t
be advisable to contract the currency and resume
specie payments 1t can be effected without great dis
aster and the inevitable suffering can be borne.