Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1872-06-05

L
the stocks, and most Of tefa seem b be sent int
I hospital quarters i'd our q iferent haxboTs.
am aIpTised Of the fact that tho payment Of
/ the national bonds is no new idea. But IL VIZ
stopped at simple conversion Of the bonds intS
/ currency, we would still have ultimate trouble
/ propose step beyond that am also appriseC
that the banks, the bond-hOlders, and high
tariff advocates confront this policy with f0rmid
able objections The inyiolsbility Of contracts
the tsafion faith, the tlatoual honor are inter
POSED b klaziis shields " the gallant Knights Of
/ know that stand on debateable ground
| but have no time to explore the field and array
the arguments in support Of the policy which
have introduced. My object is to suggest plan
as the basis for reflection and future action AT
| a more propitious opportunity propose to dis
cuss it in its legal and constitutional rotations.
With the view, however, of advancing financial
| theory, shall assume for the present that the
Government has the right 70 convert its bond
debt int currency debit and thus Icy an arrest
upon the havoc which the bond interest Is tfiaka
| ing upon the industries Of the coTaItry.s
| The old financial fogy is ready to exclaim,
sslhis would turn the world upside downl' Not
more so than the present. financial system. But
| to proceed we Rave IN Interest bearing debt of
about 81 90oO09 co., Say that 81 600 600, 600 is In
the hands Of American creditors and $500, 000,-
! 600 in the hands of foreign creditors. Shall we
convert this vast debt into currency and throw
it upon the country at oEce within few yeaTsf
Not at once, but within lew years, 90 as 10 make
the transition easy from one system to the other.
But Il should be BORNE IN lind that the payment
and Cancellation Of the bonds would reault in
winding UP the national banks and the calling iii
of their notes from circulation, aud the Treasury
notes would only be substituted in their place,
the amount being S400, 900 900, and would not in
crease the circulation 70 that extent. Hence, il
Vouldrequire superaddsd circulation Of about
| 81 ,50o.O0o,000I
! Our country has a capacity and demand com
mensurate with the amount. The amount bor-
rOwed from the American creditors would quietly
recede to its old water level from which It was
FnI No ind
date and profitable investment for their pro-
portion, if they were disposed to take the risk.
| The creditors may lend to others and make
interest and usury as they did with the
Government. Our whole country, State govern
ments corporations, and individuals, are In debt.
More money Is needed than viii simply facili-
fund to liquidate all old debts and to meet the
demands Of various enterprising industries. Then
scatter the millions, and they VIII disappear like
water poured upon the ground: The absorbing
capacities of the States, the railroads, manufac-
lures, mining, agriculture, merchandise, brOk-
erage, public and private lands, all invite them
up invest them in Merchantmen and float them
of to play like swans upon the seas. This enor-
nous capital by being thus set free and combin-
ing with the labor Of the country, will revive all
our dropping industries.
But what will we do with the Treasury notes?
By circulation the people will have given their
property for them, and it would not be right to
repudiate them, nor permit them to perish by
usage. What then Redeem them, and redeem
Jne1n IN gold. eS, pay LnSm IN annual iubball-
ments Of Sl25, 600 coo which were reserved ont of
the annual revenue in our calculations for the
purpose. Collect that amount from our custom
duties in gold, and as our importing merchants
are required to deaiin sterling exchange, or other
exchange on a gold basis let them compel Euro
pean restitution in gold through our exports. In
stead of paying it in interest to the bondholder
it will be scattered all over the land to the hold
eTs of the Treasury notes.
These annual payments in gold will brace the
Treasury notes against depreciation, gradually
retire them, improve their value as the amount
in circulation grows less, and at the end OF six
teen years the whole national debt viii be paid;
and instead of having debt of S2,000, 600, 900 in
intel est-bearing bonds, we will have that amount
of gold as a substitute distributed among the
people. s..
Not only so, but the whole structure of high
tariffs, national bonds, and banks would fall in
| like building undermined; not only 50, but the
government would arise and tower in its pride of
! freedom and strength and shake from its limbs
the shakes Of debts tariffs and rings; not only
So but it would be proud of its new-built and re-
constructed Navy, and would not turn aside if il
met the British lion in its path; not only 50, but
! the government could administer equal justice
| to a happy and prosperous people.
Then let the government retTench its extTava-
gance, lay its tariff for revenue alone and with
| benign policy, like the cope Of heaven, span
| every depar tment of industry alike; and while
| the land may tremble with rumbling machinery,
| let the tariff blockades be struck down TO give
vent to our redundant commerce; let our argo-
sizes be turned loose to climb the waves of every
sea, and go touching at every island, landing at
every coast, sweeping every continent, gathering
| up the wealth of the Old World, and returning
to empty their treasures into the lap of our OWL
| country.