The state rights democrat. [volume] (Albany, Linn County, Oregon) 1865-1900, 1870-02-25
smEna1AN,s FUNDING DII.T..


reception in Republican quarters as to
indicate It's final success. It pro eses
to fund and consolidate the national
debt, extend banking facilities, and
establish specie payment. Itproposos
to issue three classes of bonds to tho
amount of four hundred millions each.
The first to run ton and twenty years
at five per cent. tho second fifteen
and thirty years at four and q half per
cent. and tho third twenty and forty
years Mt four per cent. It also makes
provision to increase tho capital Of ma
tional banks ono hundred millions,
and to withdraw the same amount of
greenbaoks.
The bonded debt of the United
States is 81. .107, ,93s, GOO. s1.6o2. .671.-
600, or littlo more than throo-fourths
of the whole is represented by 6-2O.
bonds. drawing per cont. interest
This is a proposition to make tho dobt
perpetual, and, since reports indicate
the probable passage of the bill. it
amounts to fat contradiction of tho
assumption that the debt is in course
of rapid extinguishrnent. The coun-
try is being constantly told by
tho highest Republican authority
that Mr. Boutwell, il paying the
debt at q rate that will extinguish
it in sixteen years. II these constant
ly repeated assurances be true, then,
why is it desirable to fund at twenty
and forty years? Will some gentle
man be good enough to answer? Tho
introduction of the funding bill is 0
confession by Mr. Sherman, and its
passage will be confession by Con-
gress that the debt IS not being paid Us
claimed; that at the present rate six
teen years will not witness its pay
ment; that tho expectations of the
country are doomed to disappoint-
ment; that monthly statements are
dishonest doyices-humbugging in
venions. The funding bill is full Of
iniquity. It is o proposition to per-
petuate curse. It is O sedative to
quiet the nerves of tho overworked
and tax paying classes. The men
holding large debts do not want them
paid. This is why SO many govern
nent debts are not paid. Those
who own the debt OF England do not
want their principal. There is no In
yestnent Tor these mon of immense
wealth that ofTors such Inducements
in security and interest as government
bonds. Tho bond holdezs~ do moi
want our debt paid ipsi1toen years, OF
in sny nnubeEeS years. They prefer
! 60 draw 500, 600 600, OF even the less
sum that the funding bill viii give
them, in coin annually from the Treas.
ury for all coming time, and exemption
from State and municipal taxation.
Here IS another remarkable feature oi
Ar. Sherman's bill which deserves tc
be considered in connection with other
facts. The bill proposes to increase
the circulation Of National Banks and
to Withdraw that amount of greenbackl
from circulation.
Mr. Boutwell,, in lecture delivered
in Washington, Jan. 10th, for the
benefit of the Grand Army of the Re
public. used this language:
Tho reduction Of the interest account $4,000,
goo yesr viii enable us. II We ehooso to max
this the basis Of sinking fund to pay the priscl
pal Of the interestbearing dobs in IS years, If "
reduce cur revenue to The necessary expenses 0
the Government and the amount needed 10 pa,
the interest at the present rate. That Is to say,
saving of s1s.ooO,oOO annually In the amour. Q
interest. will, In S5 years, with the accumulate,
interest, be equal to tho bonded debt Of tho Uni
ted States"
/ There IS way to raise this SIS, 600,
600 per anuum to insure the iquida
ton of tho debt in 55 years, that is sc
simple and SO certain that tho wondeI
is it has not long since been recognizet
in Gome Of the famous judicial meas
ures pending. Distinguished men il
and out of Congress- haye ably anC
forcibly advocated it. Mr.. Holman
Congressman from Indiana, beine
among the former. The proposition
Is to issue $500, 100000 ndditiona
greenbacks and to redeem with thes,
that amount of the interest-bearine
bonded debt, and let the new issul
take the place of the present Nationa
Bank circulation. This will save ex
: actly s18, COO, 900 per annum interest
which, according to Mr.. Boutwell, vii
wipe out the debt in IS years.
Sherman's bill succeeds, it will ado
500 ,000, 900 to the Bank circulation
Now there is no apparent reason VIII,
the contemplated s40O 600, 900 shoulc
, not be issued directly by the Govern
ment and used in the redemption o
bonds. These National Banks are
: peshlential invention. They are got
ten up IN the interest of capital
: Their paper answers no earthly pur