Essex County herald. [volume] (Guildhall, Vt.) 1873-1964, 1873-12-13

that there Will De submitted 10 .t1e Slate-
| Legislatures for ratification such an improve
| meDt in our Constitution.
! ! suggest two others for your consideration:
/ First, TO authorize the Executive 10 approve
/ OF 50 much OF any measure passing the two
Houses OF Congress as his judgment may dlc-
tate, without approving the whole, the ais
| approved pOrtiou or portions TO be suhlected
TO the same rules as now, TO wit 10 be refer
! red back TO tile House ia which the measure
/ or measures originated, aud IL passed by
twOthlrds vote of the two Houses then 70 be
come law without tho approval OF the Presl-
/ deut. | would add TO thls that there should
| be no legislation by Congress during the last
tWenty-tOur hours OF It's sitting except upon
vetOes, in order to give the Executive an Op-
| pOrtunlty TO examine and approve or dlsap-
| prove bills Understandings.
| SecOnd-IO Prov by amendment, that
when Bu extra session OF Congress IS convened
by executive proclamation, Legislation during
the continuance of such extra session shall
be confined to such subjects as the Executive
may bring before IL from time TO time IN writ
ing The advantages TO be gained by these
| two amendments are obvious.
| One session in each year is provided for by
the Constitution, in which there are no restric-
lions as To the subject OF legislation by Con-
gTess; If more are required 1t Is always IN the
power Of Congress during their term of office
to provide for sessions at any time. The hrst
Of these amendments would protect the pubic
against the many abuses and wastes OF pubic
moneys which creep INTO appropriation bills
aud ether important measures passing during
the expirnR hours of Congress, to which 9th
erwlse due consideration cannot be given.
THE TREASURY DEPARTMENT
The receipts of the government from all
| sources for the last fiscal year were s33373S,-
204 a d expenditures on all accounts S29J,S4o,-
945 thus showing an excess OF receipts over
exncnditures of $43,392, 1853; but 1t is not PROB
able that this favorable EXHIBIT WI! DC SHOWN
for the present fiscal year. Ihdeed II is very
| doubtfnl whether, except with great economy
nm tbe mart of Congress ID making approprla-
tions and the same economy In administering
The various departments OF government the
revenues will not fail sholC VI eS ii dotuaI
excuses, including interest on puhIic deDt l
| cnmmend TO CONGRESS such economy, and point
out two sources where IL seems 10 hle ~ lhlghJ
commence, to wit: in the APPROPRIATIONS lot
| public buildings In the many cltles where Worh
| ms NOT heen Commenced, aud i'll the apprO
priatioDs for river aud barbor Improvement In
those localities where the improvements are
Of but little benefit to generaI eolhinerce' anu
| for Notifications.
There is a still more fruitful source of ex-
penditure which Will point OUT La.et III MS
message. / refe' to the easy metuou VI MANU-
| featuring claims for losses incurred III sup
norting the late rebellion would not be un.
derstOOd here as opposing the eFeGtlon oI Eoou
substantial and even Ornamental ouilullEs NY
needed: III fact, I approve of the government
| owning its own buildings in all sectlohs vi Tue
country, and hope the day is not Iar uistanG
when 1t will not only possess them, puG VIII
| erect in the Capitol suitable residences lor aI
persons who now receive Communication for
quarters or rent az government expense ana
| for the Cabinet, u us setting an eAauIple 10
the States which may induce them TO erect
buildings for their Senators; but would nave
this work conducted at time when the rev.
enues Of the country would abundantiy justify
llL
| TIE PANIC AND SPECIE PAYMENTS
The revenues have materially fallen off for
the first five months of the present fiscal year
from what they were expected TO produce,
owing TO the general pane now prevailing,
winch commenced about the middle of Sep
rmber last. The full effect of this disaster
il 1t should not prove a blessing 10 disguise
| IS vet to be demonstrated. In either event 1t
s your duty to heed the lessor, and provide,
Uy wise aud wellconsldered Legislation, as far
IA 1t lies in your power against Its recurrence,
ana to take advantage Of all benefits that may
nave accrued.
My own Judgment is that however much
ind yidualS may have suffered one long step
has been taken towards specie payments; that
we can never have permanent prosperity
until q specie basis is reached and that
specie basis cannot be reached and maintained
until our exports exclusive OF gold pay for our
imports, interest due abroad, and other specie
obi gatIOns, and so nearly so as to leave an ap-
preGlable accumulation of the precious metals
ID the country from the products of our mines.
The development OF the mines of precious
metals during the past year, and The prospec-
tive development OF them for wears TO come,
are gratifying IN their results. Gould but one
lalI OF U0e POlu EXTRACTED from Tue mines DC
retained at home, our advance towards specie
payments wonld be rapid To increase our
exports sutfic ent currency Is required to keep
all the Industries Of the country employed.
Without this, national as well as individual
bankruptcy must ensue. Undue imitation, on
the other hand, while 1t might give temporary
relief, would only lead to initiation of prices,
owing TO the impOssbility of competition IN
our own markets for the products of home.
Skill and labor and repeated rene walls OF pres
ent experiences elasticity to our circulating
medium, therefore, and just enough OF 1T to
transact the legitimate business of the country,
aud to keep all industries employed, is what is
most to be desired.
The exact medium is specie. the recognized
medium of exchange the world over. That
obtained, we shall have currency Of an ex-
act degree of elasticity If there be too much
OF 1t Tor the legitimate purpose of trade and
commerce it will flow out of the country ii
too little the reverse will result. To hold
what we have, and to appreciate our currency
to that standard, is a problem deserving OF
the most serious consideration of Congress.
The experience OF the present panic has
proven that the currency of the country based
as 1t Is upon the credit of the country, is the
best that has ever been devised. Usually, IN
times of such trials the currency has become
worthless, or so muon deprecated in value as
to initiate the values OF all the measures OF
lie as com pared with the currency. Every
one holding 1t has been anxious to dispose OF
II on any terms. Now we witness the reverse.
Holders of currency hoard it as they did gold
in former experience of like nature
IL Is patent to the most casual observer that
much more currency, or money, is required TO
transact the legitimate trade of the country
during the fall and winter months when the
vast crops are beng removed, than during the
balance of the year. With our present system.
me amount IN the country remains the same
throughout the entire year, resulting in all
accumulation of all the surplus capital OF the
country in few centres when not employed
IN the moving of crops. Tempted thereby by
offers of interest on call loans. interest beng
paid, this surplus capital must earn this inter
est paid with profit. Being subject to CALL
1t cannot be loaned only in part at best to the
merchant or manufacturer for fixed term
hence no matter how much currency there
might be in the country 1t would be absorbed,
prices keeping pace with the volume, and
| panlcs, Strlngency and disasters would ever
be recurring with the autumn,
Elasticity IN our monetary system therefore
Is the object to be attained first, and next to
mat, as lar as possible, a prevention OF the
use OF other people q money in stock and other
species OF speculation. To prevent the latter
II seems TO me that one great step would be
taken by prohibiting the national banks from
paying interest on deposits by requiring them
TO mold their reserves iu their own vaults and
by forcing them into resumption, though 1t
would be only in legal.tender notes.
For this purpose | would suggest the estab.
ilshment or clearing houses for your consider
alton. TO secure the former many plans ma We
been suggested, most il not all of winch look
to me NOR like Initiation on the one hand, OF
compelling government on the other to pay In
terest without corresponding benefits upon
the surplus funds of the country during the
seasons when otherwise unemployed.
submit for your consideration whether this
difficulty might not be overcome by authouz
ing the Secretary OF the Treasury to issue at
any time to the national banks OF issue any
amount of their notes below u fixed percent
age OF their issue, say forty per cent, upon
the banks depOsitng with the Treasurer OF
Inc United States an amount OF government
bonds equal to the amount of notes demand
ed the banks to forfeit to the government
say four Der cent. of the interest accruing. OF
the bonds so pledged during the time they re-
main With the l. easury as security for the III
creased CIRCULATION. The bonds SO pledged to
be redeemahle by the hanlls az their pleasure.