, 1873-10-18


that thoy 1nliht violate tllolr constitution any
way willy. flily, And their constitution hun
been vloIntoa to tho oxtont Of putting out from
200 QUO to a0,U0D, QUO, which some good critics
hold nut to bo lawfui money of the roalm,
TIE CAUSE
Of ts nlorttfying business Ia to bo found In tho
Breat Doutwolian fcat Of paying OIL the whole
nhtional dobt Hi aB to havo o good quotation Tor
the IL stump when the Pon1sylyana Dusohmon !a are
manner Of Boutwell, was solling gold IN ordor to
got largo o,lrronoy-balanco In hand with which
to buy bonds and extinguiHh another iuBtall-
mont Of tho debt. This curronoy-balanco was
made up Of the samo kind Of money nj consti-
tnted the Cd, 4,000,00o roaervo aboyo mentioned,
-that III, legal-tenders and not Nnttonal-Datik
notes. Tho uses Of legal-tenders aro somewhat
broader tllan the uBon of National-Bank notoB
The loeal.tonder Ia the aoyerntnont'a own dis
tor Of tho Treasury. Tho Nationa-Dank note is
q circulating certificate that tic bank which
pron,fscH to redeem It In legal-tonlers has do
posted l,l bonds y, Ia o tho C I,e1sury y sufficient @
ean sse nas Is sfs sss msst fGSe Do 1uI srests1
pressure at q givon time for legal-tenslors than
tor Natonal-Bank notos. There nro about a4U0,-
0O0, QUO Of lggal-toudor n0tee mud fractional cur
ronoy while, Of National Bank notcs, thero nre
said to be no more than $3.50, 900, 600. Secretary
Nchardson had
HELPED oREATR THE sTRlNaENoY
in currency by hoarding Rn unusually largo
balance: When the panic struck the country
ho tried his intorferonce-theory Of Government
000 to $20 u00, 900 Of legaltonderH, expecting 10
smash tho panic, and, like tic celebrated Beoro-
tary OF tho nursery-book, put In hia thumb. and
pnll cut plum, and aay what good boy am l.
on 40 many frivolous occasions that this unpar-
allelod release of currency had no cffeot al
though President Grant saya about it that
Tho aid recently rondoled in tho purchase Of
much real US llora. Tho fact ,e, tic money
corporations OF the country had become stati,-
peded, and In turn startled aud stan,pedod tie
whole country. Had not the Treasury aoo1ned
to a,a them ln aome "ay the fright would have
This IL queer sentence, considering that tho
general impression is, that Mr. Richardson not
only failed to accomplish anything, but added to
tho panic by hs failure, al tho country looked
OIL horriiiod to SEQ that tho $40, ,000. 200 Ind no
moro effect than 30 much gun-wad. Goyer1l-
ment cannot put IN end to woll-fouu(lod
general apprehension by any gymnastics, Tho
great pile Of currency which the performer drew
out ct Lis bloovo followed the rest Of it into tho
old curnuagoonB. and, when ho had lrod ali
the groat balance away, tho immediatoly-euc-
ceedng Rtrlngenoy IN his legal-tendors od to such
serious necdh that Mr Richardson had to create
without Inv 9aa 100000 Of counterfeit legal-ton-
ders. OF which 10 las Bpont several millions in
meeting tho daily obligations Of the Goyerument.
Thia IL ono of tho etfocts Of
MANUFACTURING THUNDER
First, the GoYernmcnt must buy its bonds,
which nobody wnntB tu dispose of. aud which ara
to-day quoted Aighor than gold, not only Tor a
ainkiug-fund III tue law provides. but to CON
tin,lo tile advertisements in the Peupeylyania
Dutch country about the wonderful Adninistra-
ton WHICH can pay off go much debt. To buy
tho bonds, the Government il,sonsibly helps the
stringency i'll tho currency; for Alr. Richardson
sayR tint ~ do not remember timo since the
beginning OF this Administration whom the cur
roncy-bnlnnce was ns large as at the beginning
Of the present financial trouble" It is one thing
to help make TUG panic and another thing to try
to stop it with the samo money. Tho 6ecrotary
thought that, if he could ling Ills groat currency
balance back amongst tho people from whom lie
bud gradually and impercoplibly anoaked it away,
he could show his powor, aud also avort the ca
lamity. An act Of government will seldom a.
rest goueral epidemic like monetary panic,
and Mr. Richardson has brought up with All
act Of uRurpation,-th is, emitting money
,i.t3 withont warrant Of lawt which has always been
no" ,goes stop further, and naiyaly tells tho
HerQld reporter to writo AZ followa:
III, i'll the course Of fow days. the an-
nouncemont Of the daily Treasury balance should
000, 900. and no apparent increase in the circula-
tion Of legal-tenders, the public need not be-
alarmed for Secretary Richardson holds tint be
Ian the right to ploce tho whole, or my portion,
NA tuC V33t1uuiUuW lu ul6 EuSH ErGu1t. and an
nouuce. aB usual, the exact amount OF legal
tenders outstanding
Here VIC have another stop in tho interfer-
eence-shoory Of government. Firat, a necessity
il created for more legal-tenders; second, aeye-
raj millions OF money, not legally i'll exstance,
arc applied to this necessity; md third, whom
the Secretary. like our friend Macbeth, resolves
TINT Things bad begun may mako themselves
strong By u he coolly puts the whole 544, ,OO0,-
o00 which Congress had retired, to lis credit.
if TEtt
There are pleuty Of peoplo III the country
ready to inlorBe, on tho ground of expodcn-
cy,, acts like tue above; and, little by
little, tho nice responsibility Of the CO.
sight Of in this way. Congress forfoits the re- re-
apeot Of the people BY Credit.AIoblior aud back
pay legislation aud tho Executive part OF the
Government undertakes to mako laws as we'll aB
to administer them.
The trouble with our Treasury and its mill
agoment is the constant euteayor to do too
many thlngs. Thoro is no great call to be pay
ing OF the national dobt, except from the chicf
motive Of political popularity. Tho national
debt OF the United 9tatoB 10 tho hest investment
man purposes, borne by people telligent, indus
trlous, and powerful, and baoked by a Continent
whose surprising RESOURCES continue to be tue
marvel of tile age. There arc evils as to this
aopt ior m no national debt is blessing but to
meet the interest upon it ia not harl thing to
DO, and 1t IL oil that mankind asks uB to do,
Alr. Boutwell, who is tho author Of tho present
financial syatem, Was bosot With all the narrow
and prov!ncla! projudlcos which it WAS hoped
the Americana wore losing and amongst those
was tho idea that it wa9 somehow dangerous
and belittling to llave
FOREIGNERS HOLDING oun posps,
Ihero aro some mon in tho country who go
about ses saying that II will bo happy day
any article Of manufacture or luxury
but Huoh contamination would bo tic