The Somerset press. [volume] (Somerset, Ohio) 1873-1977, 1874-10-23
General Ben. Butler on the Currency
Question.

NOmlDatlon IN the seventh AaS-aCuu-
setts District
What Is the state and condition of
things to-day in the country? An abso-
lutte and total stagnation of business.
The merchant sells no goods; the manu-
facturers are obliged to stop manufac-
turing; real estate in Boston has depre-
ciated twenty per cent. from its value
before the panic. Your workingmen
stand idle at the corners of the streets
when they desire to work, for such has
been the condition Of trade and busi-
ness heretofore that whenever a loss
comes it always strikes the lower strata
first. The manufacturer sells his goods
and takes the profit, so long as there is
a profit, but when there is none he does
not run his mills at loss. but cuts down
either the working time or the pay.
Now, no country can be prosperous, no
country is well governed, no State or
public administration Is correct in which
the workingmen can not find employ
ment whenever he is willing to work at
fair rate of wages. [Applause.l You
may reason, you may spin your theories
as fine as you please, you may have all
the financiers that ever calculated usur-
ers' interest behind a bank counter, you
may have everybody making theories,
but here is this great fact, and every
man knows it. And vet | saw in the
Journal, the other dav, statement that
this could not be true; that there was no
stagnation of business; further said that
the internal revenue taxes were coming
in this year at larger amount than
ever. What blind leaders of the blind.
[Laughter.l Don't they know that the
internal revenue taxes are in the main
almost totally collected upon rum and
tobacco, and that the rum and tobacco
interest is the only prosperous interest
in the country. [Applause.] And is it
tobacco are the solace of men that are
out of employment and can not get any
thing to do? [Laughter.l Now thus I
have looked about for a cause, and on
the floor OF Congress, to be read in the
Congressional Globe, 1 predicted last
spring precisely what has happened, and
for that was denounced in every form
of opprobrium and obloquy that could
well be invented. I undertook to offer
a remedy and / was instantly termed
dishonest, immoral. desiring to perpetu-
ate a lie, and various other evil things
were said, which, if you can not re-
member my words, you can turn to your
newspapers and read them. Laugh
teri What was the remedy proposed?
There were two theories before the coun-
try. We had not recovered from the
panic-the panic which was only allie
waited by the fact that the banks Of the
country issued S10,000,0O0 of their own
paper called certified checks, to take the
place of currency. The question was,
what was to be done? 1 looked abroad;
| saw that there was not, in my judg-
ment, currency enough for the use of
the people. To that / was instantly an
swered: "Why, sir, you have now some
1866, 100000 of currency, and before the
war there was only $300,000,000, and
there has only been so much increase
since the war" But want now to speak
to the representatives of this District
and bring your attention to facts. What
is money used for? 1t is used for the
daily business of retail. The business of
wholesale is done by the bankers check,
the merchants ledger, the draft, bill of
exchange and note. Money is only
needed for everyday life. We have
now 10000 miles of railroad, the bust
ness of which is all done in cash from
day to day. How much does that re-
quire? We had only small amount
before the war. We have then an ex-
press business ramifying all through
this country, all of which is done in
currency. We have then a telegraph
business with its Immense ramifcations,
millions on millions passing through the
hands of the telegraph operators weekly,
and all Of which must be done by mon
ey, and which did not in any considera-
bic degree exist before. Then, again,
we have 100000 of people who never
had a dollar before the war, who are
now substantially the working men of
the South, who are so ignorant as to pre-
fer the greenback to bank notes, and be-
cause they have no banks, hoard them,
and with very small amount to each,
the aggregate would be quite large.
Then great deal of our common bust
ness which used to be done by trust in
our stores, is done now in cash, SO that
there is really a dearth of money. To
illustrate this, l may tell you that a
gentleman from North Carolina, Super
intendent of a railroad, told me that for
want of money to do business with he
had issued his own railroad checks to
the extent of many thousands of dollars,
which were used along the line of the
road TO do geners business with, though
only redeemable in payment for freight
and passengers fares. There were two
propositions brought before me. One
was from these men South and West
where interest was from eighteen to
twenty-four per cent. in the South, and
from ten to fifteen per cent. in the West,
to allow them to establish new banks.
Well that seemed to me to be a measure
of relief. But in order to establish
bank now we have to buy 100000 of
bonds at III, deposits them with the
Treasurer and take out 100000 in bills
for circulation. Well l never could see
why it was not best to circulate the 9TH
er S27, 900, because if they had the mon-
ey to buy the bonds with they were all
right anyway. [Laughter.] But then 1
was dishonest. Laughter Then the 9TH
question was whether we should allow
the whole amount of the S400,000,000
which had been authorized by law and