The Elk County advocate. [volume] (Ridgway, Pa.) 1868-1883, 1869-02-05
Specie payments, then, involves contrac-
| tion of thp nurrnrcv

! Specie payments, then, involves contrac
ton OF the currency.
Whether this contraction should take place
in advance, in preparation for, o. follow as
the effect of resumption, DO not care just
here to consider. | am only asserting that
we will have considerable less paper when
we have specie payments than we have now
The effect of this contraction must be fall
in prices. Whenever we are prepared to
submit TO this and take the consequences we
can find ways enough to bring it about -
Many plans have been proposed, all feasible
though perhaps not all equally good One
is to resume ut once. in the belief that gold
will cone into the Trearury as fast as it will
be drawn out The New York Tribune ad-
vocates this way. Possibly this plan would
succeed Possibly the Treasury would re-
ceive as much gold as it would be required to
pay out; but if we did continue to pay spe-
Gle, | am quite sure we would soon reduce
the amount of currency, prices would fall
and the debtor class suffer.
Another plan is to fix time of resump-
ton, and save up enough gold to make it
certain that we will be able to meet all de-
mands. This, think, is Senator Morton s
plan. This would be pretty sure to enable
us to continue specie payments once begun
but it would not, as is supposed, enably us
TO float our present amount of paper. If
we thus secured more gold than would ordi-
narily stay in this country, it would flow
back to its accustomed pools as soon as it
was put upon tap, and we would soon be left
with as much paper currency as our proper
share OF the worlds gold would lloat and no
more. Low prices would follow as before.
Another plan is TO reduce the paper currency
,,,,It
kept ailOat, and then resume. This is Sec
retary McCullock's plan. The plan is good
enodgh, but the effect would be precisely the
same, contracted currency and low prices.
Another plan is to buy in or redeem the cur.
rency, beginning at about its present value
in gold and rising mouthly in price until we
shall finally redeem it at its face In the
meanwhile we would pay out the notes as at
present. This plan was introduced by the
geutlmau from Ohio, (Mr. Garfield and is
as good rs any. 1t avoids the danger Of
compulsory suspension involved in the Tri-
bunes plan, the expense Of boarding involy-
cd in Senator Morton'3 plan, and the uncer-
tainty as TO the amour. to be retired involved
in the Secretary's plan. 1t is as gradual as
any, aud has this advantage over them all,
that it foreteils to the people exactly how
fast prices will fall.
But while this plan is as unobjectionablo
as any, 1t does not avoid the great fault (if
fault it should be caled) of them all, to wit,
an ultimate contraction of the currency. 1t
is because all these plans involve this result
that all are rejected. Weare seeking for a plan
that will keep ahoat our 500, coo, 600 OF pa.
per- and still rnleem it in gold upon demand
We will seek in vain. 1t is not in the DOW.
er of legislation All the plans proposed,
and all that can be proposed, ure only differ
eut roads to the same goal. Como may he
shorter than Others, some mole agreeable
than others; but travel which we will we
come to contraction and low prices at last.
II low prices is the effect of resumption,
when can we encounter them with the least
injury? Most certainly when the people are
least in debt. If nobody was in debt, no.
body would be hurt by the change. To pre-
pare for resumption then, the people should
endeavor to pay their debts while prices are
still high. If Congress should take no steps
toward resumption the Supreme Court may.
The argument over the c0nstitutiOnality of
illegal tengers" has ceased, and the court is
delberating. Nobody, presume, not even
the court ITSELF knows what the decision will
be. The uncertainty of a jury verdict has
passed into a proverb, but l would as leave
bet on the jury as the judge. Who can gness
to what conclusion mind educated in
belligerent logic and professional subtlety,
tempted at least-perhaps swayed by per-
sonal ambition, may come? 1t is quite prob
able however, the court may search out
some theory by which to sustain the action
of Congress, prompted by the terrible ne
cessities of the war; but it is rot so certain
that it will attempt to clothe Congress in all
future time with plehary power over all con-
tracts, past, present aud future, and regard
less Of their terms and stipulations, to satisfy
them with anything valuable or invaluable,
paper, wood, leather, or anything else that
this body in its integrity can invent and call
money While this uncertainty hangs over
the question it behooEes the people every
where to take advantage OF the high prices
and liquidate their debts. Out Of debt out
of danger;
You see, Mr. Speaker, am neither advo-
eating nor opposing these muItitndinous
plans Of resumption. My object in rising at
this time was to prove to the House that
there can be no permanent resumption with
out contraction. and that all feasible plans
Of resumption lead directly or Indirectly to
that result.
l think we had better not act upon any
plan this short session. Standing still is "a
step toward resumpton-a very short step,
will admit; but still it is something Ev-
cry year adds to the worlds stock of gold
and silver Every year, by the increase of
our population, makes our share of it larger
We can therefore float more paper on spe-
sic basis next year than this This furnishes
a small excuse for waiting, but have bet
ter one-my constituents desire it.