Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1870-02-17

| SDectlVe values. NOW, WDat can
be greater absurdity than to
leave the two pieces of property to be
worth whatever they win bring, and yet
attempt to fix the third quantity which
has no other power but to represent
values9 Money merely expresses or re-
fleets a value as amirror reflects an object,
and to expect that it will not vary with
the fiuctuation of values is to expect that
capers can be cut before mirror and the
image reflected therein shall remain IN
moved. Look at the question as we will
and the facts give the lie to the law. My
neighbor's corn will certainly be worth five
dollars barrel at Christmas. He sells it
to-day at four dollars barrel to a man
who would gladly lend him the money he
needs. at ten per cent, if the law would
| let him. And yet the same law allows
his crop to be shaved at forty per cent.
| Put another case: A certain diamond in
| Nashville would be worth thousand
pounds in London. Wherein does that
stone differ from a foreignbi of exchange
payable to bearer and accepted At this
day they could be taken to London in the
same time and at the same cost. Yet the
law permits the owner of the diamond to
sell it for what he can get, while it re-
stricts the holder of the bill of exchange
| to fixed price.
What is it to pay interest for the use of
money? 1t is simply to buy money on
credit; and If the matter should be
Analysed forever, no other answer is pos
sible. Now no one denies that by a
present use of money great advantages
may often be secured. The law recog
nizes that by allowing citizen to sell his
property at any sacrifice he pleases.
Yet so soon as the sale is made the law
attempts to fix the value of the money the
property sold for. Can there be a greater
absurdity?
The whole Argument may be expressed
in a word: No man borrows money to
hoard The object of removing restric-
tons is to bring forth boarded money, and
to recall Tennessee money loaned abroad
under more liberal laws.
Mr.. Thompson discussed his position at
length, giving many instances of the high
street price of money, and of large sums
seeking investment in this market having
been repealed.
Mr.. Bate argued against raising the rate
of interest
Mr.. Fentress said the rate of interest
was always regulated by the risks run by
the money lender. He claimed that it was
wrong to incorporate anything in the or
ganic law which people would seek to
nullify. 1t was wrong TO encourage the
breaking of laws.
Mr. Bate claimed that if you increased
the circulation and made money plentier,
yon decreased its value. Double the cir
culatiOn, and the man who received q
salary of 81, 900 year, could receive but
$1,000. He gave examples of how ex-
cess of money value had ruined Spain
how high rate of interest destroyed the
yeomanry of Rome. He closed by urging
the Convention not to change the COnsti
tuition as it now stands.
The amendment of Mr. Jones, of Lin
coin, to the proposition of Mr.. Baxter was
rejected.
The proposition in lieu by Mr.. Porter
was also lost by vote of % to 46.
Mr.. Bakers amendment failed by vote
of SO to SO.
The report of the committee was re-
jected by the following vote:
Ayes-Messrs Allen, Blackburn, Biz
ard, Brown of Davidson, Brown, of Hen
nv. Carroll, Gibson and Madison, Byrne,
Campbell, Cypert, Davenport, Dibrell,
Dohcrty, DrOmgoOle, Fentress, Gardner,
Gaut, Heiskell, House of Williamson,
Mabry, Porter of Haywood, Stephens,
Taylor, Thompson of Davidson, ThOmp-
son of Maury, Turner and Wright-27.
Moes-Messrs. Arledge, Baxter, Bran
son, Brandon, Britton, Brooks, Burkett,
Burton, Carter, Chowning, Coffin, Cum
mings, Deaderick, Fielder, Garner, Gibbs,
Gibson, Gordon, Henderson, Hill of War
ren, Hill of Gibson, House of Davidson,
Robertson and Montgomery, Iyie, Jones
of Lincoln, Jones of Giles, Kennedy,
Key, Kyle, McDougal, McNabb, Martin,
| Morris, Meeks, Nethcriand, Nicholson,
Parker, Sample, Seay, Shepard, Staley,
Waters, Warney, Williamson-44
The section on interest as it now stands
in the present Constitution fixing rate of
interest at per cent. was adopted by the
following vote:
Ayes-Messrs. Allen, Arledge, Bate,
Baxter, Blackburn, Branson, Brandon,
| Britton, Brooks, Burkett, Burton, Carter,
Chowning, Coffin, Cypert, Deaderick,
| Doherty, DrOmgOOle Fielder, Finley,
Garner, Gaut, Gibson, Gordon, Henderson,
| Hill of Warren, Hill of Gibson, House OF
Williamson, House of Davidson, Robert
son and Montgomery, Ivie, Jones of Lin
coin, Jones of Giles, Kennedy, Key,
Kyle, McDOugal, McNabb, Martin, Nor
| ris, Meeks, Netherland, Nicholson, Parker,
Sample, Seay, Staley, Taylor, Thompson
of Maury, Waters, Warren, Williamson
81.
Noes-Messrs. BLIZZARD, Brown, of Da-
wilson, Brown, of Henry, Carroll, Glib
son and Madison, Byrne, Campbell,
Davenport, Dibrell, Fentress, Gardner,
Gibbs, Heiskel, Mabry, Porter, of Hay
wood, Shepard, Stephens, Thompson, OF
Davidson, Turner, Wright-18.
Mr.. Gibbs proposed to amend by add
ing to the section the following:
"But the Legislature may provide by
law for a conventional rate of interest.
This amendment was adopted by a vote
of 80 to 25. - IN -
The Convention took recess.
Afternoon Session.
Mr.. Henderson offered the following
amendment to the section as adopted
'But no person, company or corporation
shall be held liable as security for another
upon any debt, contract or understanding
bearing a higher rate of interest than SIN
per cent per annum.
The amendment was rejected by vote
of 20 to AZ.
Mr.. Cypert Offered the following: ''Pro
vided, the Legislature shall have no powe
to enact any laws authorizing highe
rate of interest than ten per cent per an
num-" Adopted
BONDS TO RAILROADS.
The Convention now proceeded to In
consideration of the proposition OF tn
| Finance Committee on the further issue o
. State bonds. 1t was read as follows:
"No bonds of the State shall be issue
to any railroad company which, at tn
time of its application for the same, sha
: be in default in paying the interest upo
i State bonds previously loaned to it, G
that shall hereafter, and before such ap
plication, sell, or absolutely dispose OF
q any State bonds loaned to it for less tina
par.
Mr.. Williamson opposed the adoption G
+ the amendment. In his view of the cas-
S it was simply prohibiting the issuanc
e of bonds to any railroad hereafter. III
/ State held vast interest in the railroad
e and it might become necessary to say
4 this investment to give further aid
e these roads; under the provisions reporte
|, by the committee this will be found in
/ possible.
G Mr.. Allen said the adoption of the prC