The Weekly Kansas chief. [volume] (Troy, Kan.) 1872-1918, 1874-04-30

discharge all its obligations to the public credi-
tors, and to settle conflicting questions and inter
pretati0ns of the law by virtue Of which such
obligations have been contracted, it 10 hereby
provided and declared that the faith of the Unit
r,l States is solemnly pledged to the payment ID
coin its equivalent of all the obligations OF
the United States, and of all the interests bear
ing obligations, except in cases wllere the Law
authorizing the issue of any such obligations ha'
expressly provided that the same may he paid in
lawful money or in other currency than gold and
silver; btt none of the said interest bearing oh
legations not already due shall be redeemed er
paid hefore maturity, unless at such times as the
United States notes shall be convertible intf
coin, at the option of the holder or unless at suct
time bonds of the United States bearing Lowell
rate of interest than bonds redeemed can be sold
at par in coin; and the United States also sol
emnly pledges its faith to make provision, at tht
earliest practicable period, for the redemption u
United States notes in coin."
This act still remains as a continuing pledge
of the faith of the United States tn make pro
vision, ut the earliest practicable moment, iol
the redemption of United States notes IN coin.
declaration contained in the act of june ~
1864, created obligation that the total ainonni
of United States notes issued, or to DE issned
should never exceed four hundred millions ol
dollars. The amount in actual circulation was
actually reduced to three hundred and fiffy-siS
millions of dollars, at which point Congress
passed the act Of February 4, 1865, suspending
the further reduction of currency. The forty
four millions have ever been regarded as a re-
serve G. he ns,.tl only in the ease of an emergen
cy, tnch as has occurred on several occasions
and must occur when from any cause revenues
suddenly fall below expenditures, and such a
reserve is necessary because the fractional cur
rency is redermahle Oh call. 1t may be said that
snch a return of fractional currency for redeinp
tiOn is impossible, hut let steps he taken for a
return TO specie basis, and it will be found that
silver will take the place of fractional currency
as rapidly rs it can be supplied.
WHEN FREE RANKING WILL De POSSIBLE.
uL ,h ,.,,;,,, nm ,o,d r.,.b,s .,fs.
;,,.i.. mo p,is. vii. tbs ,,,nnnt of trai,.,l
States notes 10 be issned permanently within
proper limits, and the Treasury 30 strengthened
to be able to redeem them IN coin oil demand,
il will then be safe to inaugurate system of
free banking with such provisions as to make
compulsory redemption OF the circulating notes
of banks in coin Or United States notes them
selves redeemablc, and made equivalent to coin
n measure preparatory to free banking. or for
placing the government in a cOnditisn To redeem
its notes in coin at the earliest practicable mo-
meBt. The revenues of the country should be
increased so as to pay the current expenses, pro-
vide for the sinking fund required 10y law, and
also surplus To be retained in the Treasury
in gold / am not a believer in any artificial
method of making paper money equal 10 csin,
hen coin is not owned or held ready to redeem
the promises to pay, for paper money is noihins