New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1869-12-28
Observation-Disclosures.

Federal Government showed n clear excess
over the current expenditures, we have insisted
on Immediate Resumption as required at once
by Justice and benefcence. The Greenbacks
are promises of the American People. through
their Government, to pay the sums borne on
their faces respectively so soon as they shall be
able to do so and we contend that it has been
able to pay--that is, TO resume Specie Payment
ever since the Autumn OF lsG5 and that per-
sistence in Suspension has since been blunder,
and inconsistent with perfect good 1aith
toward the most numerous class OF the Ma
tional creditors. However true it may be that
a currency explicitly payable otherwise than
IN coin-(as, for instance, in United States
COnsol, drawing a specified interest and pay
able at a specified date)-would prove benei-
cent, we contend that this currency is payable
in com whenever the Government shall be
able so to pay it, and that good faith requires
a fulfllment of the pledge. Bring forward
your PAPER schemes and we will dispassion-
ately consider them; but they cannot affect
the obligation to redeem this currency as we
stipulated at the time it was issued and forced
upon the community.
Hence we do not care to discuss the prop
able effect of Resumption upon the volume oil
the Currency, and consequently upon Prices
What we have to say upon that point Is, that'
if the Currency be not redundant, Resumption
will not contract it-that the GreenbackS pre-
scented for redemption will be balanced by the
Coin now locked up and Invested of the char
acter of money which Resumption will llberate
and restore to its natural function. We as
sumo. of course, that dollar will be dollar
after Resumption, and not ~ 20, ~ Az, ana
even 81 CO. rs it has bccn-that Produce ana
Property will sell at steady coin prices and not
ut variable paper prices rs they have done; but
this does not prove that there will be less money
in circulation than now. France has more
money than this country has; yet her currency
is coin or its equivalent and her prices coin
prices. n.
Tlompson's Bank Note and Commercial Re
porter insists that the Currency Will he cr-
handed by Resumption. Hero follow lis rca-
sons for this faith:
property is valued or priced by the amount OF money
III circulation and also mcasurahy by tho state of con
fdcnce IN credits when distrust prevails 1t takes more
money 20 hold up prices than In times OF ath ana con
ndcnce The amount OF money In circulation u nom
nay stationary and has been 30 for several years On'
by spreading the nominal amount great extent OF
,
prices is constantly diminishing. The prices Of more
propcrfy has TO be sustained not sustained on given
volume OF money and hcGce prices give way; and the
decline in prices mpairs confidence aud hence further
decline
The great financial problem OF the hour IT, How TO
sustain prices Nothing short OF restoration OF conf
dence and credits enlarged volume Of currency
will do II.
There are two ways TO sustain prices
"l An enlarged volume OF Paper Currency
90 The making OF Gold aud Silver currency thereby
giving the country metallic currency in addition to the
paper money now IN use.
Gold is property. much 50 as Gram, Pork or
Cotton, and IL ab,OtDs money In holding It,
The Paper Currency is the only money we have. AZ
the present time not less than Twenty Millions OF money
currency used this city N loans gold TIL, shows
that gold instead OF aiding the money market, Is very
large absorbent OF capital After the ls January least
Twenty Millions more gold will have to be carried AS
collateral By banks and money lenders 20 that the more
gold we have the moro money diverted from the chan
uels Of business Foreign Exchange being in our faN
does US good for the importing Of gold only makes the
money market worse.
"The financial problem. then, resolves itself into this
more paper money, a return to a specie standard
I've contend that Resumption is the shortest, safest
and surest way sustain prices Thus
We convert Two Hundred Millions Of gold into cur
rency.
one Hundred Millions OF gold will come from Europe
when II will earn an and be loaned money
here.
carry gold.
This makes aggregate Of Three Hundred and
Fifty Millions OF expansive power In Resumption
"On tho other hand there Is a contracting power TO
extent OF the paper currency that viii be sent In for
redemption.
"On this point, opinion takes a wide range. We have
referred back 10 all the assumptions for forty years and
find that the paper currency outstanding NJ the time Of
Resumption invariably increased instead OF diminishing
after Resumption From this fact feel confident that
safe say shat the paper currency outstanding
will be sent in FOR redemption 10 tho extent OF Fifty
Millions.
1--WE therefore confidently assert that Resumption will
be expansion Of Three Hundred Millions OF dollars"
We print the above ucrbatim, and beg those
who want to sell cOrncr-lOts at twenty five per
cent. advance on last February's prices to derive
all the comfort they can from it. Frankly, we
don't believe that Resumption would directly
enhance prices, whether of fixed or Of movable
property. We think it would be more likely
to depress them still further We do not believe
it practicable to maintain, with currency re-
deemable in Specie, the prices for Labor that
have ruled in our City for several years past.
But this good result we do expect from
Resumption-that it would bring into the
Labor Market class of buyers whom pru-
dence has of late kept out. Solid, wary,
cautious men, who have declined to build houses
when Brick were ranging from $40 to SIC
per thousand and mechanics exacting a to s.
for eight hours work, will say, "Now that we
care down to hard-pan, we will build,' or
drain, or ill in water-lots, or do one of many
things which it was unwsc to undertake when
prices were inflated by an irredeemable cur
rency. This consequence of Resumption might
not be instantly realized it probably would