The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1869-01-29
General Buffers "Slmilitudes."

from The ". Y. Tribune.
General Butler, as a inanoier, has done
better than some; he has added to the stock
of publ, thought, and has wdened the popu-
lar view of our financial situation. 1t is too
early yet to predict whether any of his sug-
gestions will become part OF the financial
policy of the country. We regard his speech
as far more able than his plan. He plans
badly; but the worse his plan the finer the
opportunity for displaying his powers of
speaking well for bad client. He proposes
that the present greenbacks and national bank
notes be withdrawn, and Treasury "certif-
oates of value" or pictures having "simili-
tude to money! not redeemable in gold, but
only receivable for taxes and customs, and
made legal tender in payment of all private
debts, be issued in their place, to the amount,
in disbursements by the Government, of
$3.50, 600, ,O00 and to the further amount, on
the application OF bondholders, OF 80 per cent.
of all the six per cent. bonds outstanding,
provided the holders of those bonds shall
deposit them with the Government as sscu-
rity. and pay 65-l00 per cent. per annum
for their use. Fractional coins are also to be
issued of the intrinsic value of 80 per cent.
of the nominal amount OF the present frac-
tional currency, now worth in specie 70 per
cent fits face. The proposition closes the
national banks as banks of Issue, and con-
yerts the Trearury into one vast national
bank of issue, authorized theoretically to loan
the bondholdsrs, on the security OF 81, 75O,-
900, 900 of six per cent. bonds, volume of
currency amounting to 81 575, 900, 600, which,
with the $3.50, 000 600 OF currency to be iss led
in redemption of the greenbacks and for Gov
ernment expenses, amounts TO grand total
of 81, 925, 000, 600 OF currency thus legally
authorized
The question how much Of this will ever be
issued depends, by the terms OF the bill, not
ON the will of the Government, or of the
Secretary of the Treasury, but on the interests
of the bondholders alone. The principal
bondholders are at preient thu national banks,
savings banks, insurance and trust compa-
MES. and foreign and American capitalists de-
siripo them as a means of investment 1t is
important to bear in mind that very few o.
the bonds are held by the commercial and
business classes. Mr., Butler argues that this
currency will be uniform, sound, cheap, sta
hIe and elastic. He cannot mean, by uniform
that we will not still be compelled, by good
faith law, aud express contract, to pro
vide coin with which to pay the in
terest on our five per cent. and six per cent
bonds. To this extent We must still have one
currency for the Government and lts creditors
and another and deprecated one Tor th
people, In order to provide coin for paylnt
the interest on the bonds, If our customs a
veil as internal taxes are payable in thes'
similitudes, the Government must sell lhe1 u
or it's bonds in the market to get the gold
Either the Government must repudlate th
interest Gas we'll as principally OF the deo'
and its express promise and written law (s
well as its good faith), or it must in som
way receive and pay out about Sl3o. .oV0o"