National Republican. (Washington City (D.C.)) 1872-1888, 1874-03-23
THE LEGAL TENDERS.

In the house To-Day IL Ii expected tnat
the questions will be raised as to the volume
and status of the legsl-tender notes. What
ever may be done as to volume, let the
action be coupled with redemptory provi-
sion. Take from them the character of a
due-bill without interest. It is beneath the
character and dignity Of great nation,
claiming to be the richest in resources and
enterprises and pride on the face of the
earth. to flood the country with its prom
ises to pay on demand-whati Why GER
tain class of it own debts. No respectable
merchant would be tolerated In, this kind of
thing for single instant He would be
hooted out Of the community in which he
should try it. E5 a- en-
But to make the farce still more broad in
the nations case, we compel our national
banks, who have deposited our own bonds
for security for the prompt payment of their
notes, to redeem them in these due bills.
Such redemption amounts to nothing, as
the notes of the national banks are con-
sidered quite as available as the legal ten
dsB. But if we make our legal tenders re-
dcemable in coin after certain fixed date,
and our national bank notes will then be
redeemable in the equivalent Of gold, we
shall have specie-paying currency.
1t is the opinion of many that it will be
perfectly safe for the Congress to enact that
the Treasury shall redeem these notes in
coin on and after the LIST of January, 1875;
that the accumulation of coin in the hands
Of the Government by that time or sooner
will be sufficient to warrant the promise to
pay in coin all the legal tender notes pre-
scented. 1t is not pretended that they should
then be cancelled or destroyed, but may be
rcissued as the necessities of the Govern
ment may require. Activity of circulation
is what is necessary far beyond an addi-
tion to the volume of the currency. Our
present quantity was parslyzed by the
panic, but when reused to its wonted
activity, or to even greater acceleration of
passage from hand to hand, it is capable of
efecting ten times the exchanges of to-day.
Congress should bear these facts in mind
when legislating upon this subject, and by
authorizing weekly payments of salaries
and monthly payments of pensions set the
example of encouragement of active circu-
lstion of notes. We can all remember the
little brook that drove the mills in the
country where we were born how every
two or three miles, if the country was
rough. 50 as to produce fall enough, q dam
was thrown across and saw and grist-mill
turned. grinding the grain and saving the
lumber for their immediate neighborhood |
The beautiful point about these mills was |
that they were all run by the same stream
and by nearly the same volume of water for
miles and miles, filing its mission of power
until it reaches the sea. Just 80
It is with our currency Use ut
over and over again. 1t never stops
in flush times when every man has conf
dence in his neighbor and business is good
Each pays out the money as fast as he re-
ceives it, full in the faith that it will soon
return again. And 50 it will; and 30 1t does.
But let one of the great dams break away
on the little mill-stream in the freshet and
the flood pass down to the next, and that
will be pretty sure TO 60 too; and there will
be q panic among the people for fear their
stock of bread will give out before the re-
pairs can be made, and each begins to hoard
his meal. Just so it is with the currency.
Let one of our banks that prepare it for cir
culation give way, and it carries others with
it and spreads CONSERVATION, and each one
holds on to what he has and stops the cir
culation right in his own pocket. That is
what makes panic and that is ALL If we
had currency enough last September we
have enough now. and all we require is
such action by the Congress as shall restore
it TO active circulation.