Tama County Republican. (Toledo, Tama County, Iowa) 1867-1872, 1871-12-21
Resumption OF Specie Payments

The assembling OF Congress, aud
the appearing OF the official reports,
brings up the annua! discussion rs to
tho resumption OF specie payments,
the carrency doctors disagreeing
quite as radically as tho other sort
who have such intimate relations
with the public health.
Mr.. Sumner took field at tho
opening OF the season with distinct
avowal OF his design to bring the two
ends Of paper aud sp Gle together.
His plan ls TO substitute compound
interest notes tor grcenbacks at tho
rate of S10,000,000 q month--tl.e
notes to bear interest at the rate OF )
per cent, Zone account says shreel
and to be convertible, principal and
interest, into five per cent. bonds at
the expiration OF two years. As fast
as the notes are issued greenbacks of
an equal amount TO be cancelled -
the former to be legal tcndcr to the
amour, Of their face value
This plan would retain the present
volume OF currency, if needed, or
contract it by conversion into bonds
il not required. That i: could be car.
RED into effect, without seriovs detri-
mcnt TO the public interests, there
can be no doubt; but would it facili-
ate the resumption OF specie pay.
ments? Possibly; bat it is open to
the objection that it subs,i .utes ) per
cent. notes for non-interest bearing
greenbacks. The government now
has nearly four hundred millions OF
debt thus represented on which it
pays 10 interest.
lion. II. r. Hulburd, Controller
Of the Currency. has also given his
views on this question. He arguese
at considerable length, and attempts
to show that specie payment, in the
ordinary acceptance OF the term, IS
f:.rcc. Payment in specie is not actu-
al, but rests solely upon public conf
dence, and If a panic comes, suspen-
sion invariably results. The reason
is that the volume of specie falls far
short OF the paper in circulation.
Many experienced financers think the
situation is better as it is, and less Ii
able to serious fluctuations.
Mr.. Hulburd, however, sugg sts
method of resumption whichhe thinks
8 practicable. This is, that the bank
circulation be actually redeemed IN
specie, but deposltors to be paid the
same class OF funds which they depos-
it, and the banks to settle clea.ances
IN current funds. With such regula-
tlnn~, and banking to be free, and all
issues OF bank notes TO be balanced by
Withdrawing an equal amount OF
greenbacks, he is satisfied that grad
ual, safe and sure advance will he
made toward resumption.
Mr. Greeley opposes all these nos
trums OF the cunning doctors lie
sticks to his old text that "the way
to resumption is to resume" Let rs
jump the whole distance at once-is
is not as far as it looks, and the bath
will not be as cold as many imagine.
Once in, and all will be over-every
$4,000 worth Of property will be
worth *9,000-except debts, which
will grow as much as property
shrinks. Then we shall rest on hard
pan, and there will be no more vas
cillation in values; every man can
60 ahead without being hampered
with vague tears of sliding scale in
prices. Besides, the gradual schemes
all mean contraction" and thet the
people long ago solcmnly decided
they would not have.
This is about the upshot Of the
question at the opening of Congress.
Will any material change occur be.
fr. the adjournment That is what
can't be told, except by those who
are gifted with the power OF divin.
ing the verdict ola petit jury.-Dar-
export Gazette.