The New York herald., 1873-10-22
THE BALANCE or TRADE QUESTION.
The Policy Of the Government
Probably Indicated.
Conditions Necessary For
Resumption.
The imitation Of the Currency
Recommended.

VI leCtuTeS was uelVereu last evening TUG
Church of the Disciples, Forthwith street and Mad
fscn avenue. The lecturer was senator George :.
Boutwell, the ex-secretary OF the Treasury, and
the subject Of the lecture was Finance and the
Panic, and its Remedies"
The lecture attracted large and intelligent au-
dience, and unlike the previous Galaxy Course lee
lures, one made up mainly of solid business men,
specially interested in the important themes
to be discussed Passing over the highly
artistic prefaratory music on the organ and the ad-
mirable Introductory speech OF ex-Judge Pierre
pont, we come to the appearance OF Mr.. Boutwell,
An enthusiastic welcome greeted his appearance.
He began his lecture in very low and suDdued
tone OF voice, which with many, no doubt dispelled
the first prepossessons in his favor; but as he ad-
vanced in his subject his voice grew louder and
clearer till, Notwithstanding the natural dryness
of theme so necessarily statistical in its charac-
ter, his thoughts blending strangely, figure
tables and smiles came forth in strain
of impressive eloquence-the eloquence In
separable from earnest growing warmth
IN his subject. The comprehensive scope
and clearness OF his Views the incisive cogency OF
his reasonings and the irrepressible plainness OF
his deductions win be made apparent in the report
Of the lecture as given below. At frequent inter.
ruptions he was loudly applauded. and, though
speaking an hour ana quarter, listened 10 till
the close with the most earnest and undivided at
tention.
Mr.. Boutwell,, after few prefaratory remarks,
said
fought first OF all to say that pivot all the opin-
Ions entertain on the question OF finance, touch
Heightened already beyond that which was de-
sired, upon the idea we are to bring the paper
tincton between the paper value and the eQualiza-
ton OF values in coin. l do not look upon it as
practicable or desirable that the banks OF the
hut \
are passing, or or the s0irs great cities s Of tie tie
severe financial crisis. We have a paper
currency Of more than s7oo It not possible
We are suffering from consequences which / viii
specify in three particulars. During the last five
OF the credit Of the country In 1859 the COIN bonds
OF the United States was 81 on the 100 Under such
circumstances it was not possible that the debts
OF the country could be paid in coin; it was only
possible to pay the interest in coin. During the
last four years this evil has been remedied. We
taneously twenty-year i've per cent bond
with France, who was Offering five per cent
bond. Why should their bonds be sought for
while none were subscribed FOR in moderate sumss
The reason was that the bonds were given to
bankers a. % per cen cent on inc dollar and sold
other circumstance contributing to the present
condition OF things is the volume OF paper cur
rency You may carry paper currency TO great
excess. The balance Of trade has largely been
against us for many years. We have not consd
the four years OF war. There was the withdrawal
OF the cotton crop. The failure OF the banks to
causes. But the inability Of the country to
resume specie payments was due to two causes
the disaster az Chicago and that at Boston-which
swept from the earth $500, ,000,0 900 of property.
Another TACT must be taken into consideration.
You have large specuations In gold on Wall street,
but that speculation is based upon continual
demand OF $3.50, ,0G0, 600 per week. 1t Is impossible
TO resume and maintain specie payments until the
no iaith in any policy except that which develops
the trade OF the country, so that we can export
time. Within the last two years,we have mastered
two proportions which it was supposed during
the war we could not maintain. This was that
the export trade and the shipping interest could
not be developed after the war and under pro-
have been developed. In the matter OF
labor, we have produced revolution.
times we we have commanded &C Commonly " and and
we have produced what are the substantial articles
OF business at a corresponding cost with other
crease OF shipping In the country. During the last
year this trade has given some evidence OF
proportion Of trade done by Americans is seventy
three per cent. which is slight increase.
freight money on all @ goods apd pdV'9
brought into this country and carried out is
sloo Ifso this Is s2s 600 600 paid to Ameri
last year. When we have equalized the trade be-
tween ioreign countries, we shall have reduced
week The duties imposed upon the articles
iur construction OF ships have been removed, and
this is OF great advantage 10 the country.
But there remains TO be considered a policy which
relates TO the shipping interest OF the country.
k ou mSst consider st the aay q naval
For the purpose Of protecting commerce 1t Is need
1g only for US to show. the nag of the country.
The time is near at hand when America win have
The power to enforce justice without recourse to
, war i 4 Id do not err in this the naval armament
may De very much reduced Instead OF the present
Of
thlrty-taree per cent. Two or three years ago
the subject was agtated Of substituting, first, lines
OI steamships 70 various quarters OF the globe and
then generally the construction OF vessels. 1t was
o .nen aseertained ned that subsidy Of $40 per ton
vessels required for all the commerce OF the
country: Now. in consequence Of the increased sesd
which the United ssasss fsssrSns tsaas coussrna5 n
Departing for 1--WE years this fact Is before you thai
during the summer months, when there ts but little
psa, has to the amonn, De-
$4,000 600 sl2 600 ooo and even In one year more
try arelnevitable-the exgencies which are press
ing IN iuOportion to the prosperity Of the coun-
looked for with some apprehension, still they
must be regarded as an incident IN the operation
p h ne snu necessy o. Using the capital when
IN the sum mer months accumuates In the cities In
moving the, crops from thecountry TO the seaboard
using 1t In transporting the crops abroad. This
is the natural condition OF Things. In the ordinary
condition OF things, with proper safeguards, It
ought only to produces pressure on the money
means M its own relief In this, that the
money taken from New York TO be
OF the products OF these sections would be found to
be OF more use, IN New York. Therefore, the pres
sure brings destruction to nobody having means,
the capital OF tie country being temporarily en-
ployed In the purchase and transportation OF pro-
Ducts, ana then the money returned to other
0vn va
IA every one! OF these years--there has
been one cause existing calculated 10 nroduce
panic; In two OF those years IL contrjbufed We nv
largely TO produce q panic--in 1869 and is7a II
grows Out Of the practice tolerated BY law, which
the treasury DepartnSnt az successive times has
must every year produce serious disasters the
nature OF which con be understood but the ex
zen. q wnlcn cannol oe ,Uresoa @ y is The prac