Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1874-04-03
THE PENITENTIARY.
The President and the Finances.

WASHINGTON, April 1.-The entire course of
debate III both the Senate and House OF Repre-.
sentatives on the subject of the finances and
the diverse schemes proposed for the solution
of the financial problem have been carefully fol-
lowed and analysed by the President. There
has been no one subject of Legislation to
which he has given greater attention and closer
study than that now pending, for In it he rea-
lies a question pre- emineuty allied to the
comfort prosperity aud happiness Of every hui
man being within our borders and thousands OF
subjects Of the nations OF the old world, who 10
their faith IN the pern1ancDcy and rapid devel-
opment of the republic In wealth and popua-
tor, have largely Invested their means in gov
ernmcnt aud private securities 10 the Uolted
States.
In conversation respecting the pending 6nan-
clal discussion, aud the prospects OF Imitation
as indicated by the amendments aud the votes
in the Senate particularly the President re-
marked to day that any finance bill which may
be passed by Congress and sent to him for APP
proval will be most closely scrutinized, and with
particular reference to iphation, as he is more
firmly convinced than ever that an expansion Of
the currency, except as dictated by actual and
practical measurement with the wants OF the
people, would not only be projudicial but sui
cda to their best interests. lie observed that
the Interests Of the different sections of a coun-
try SO extensive, ranging through every degree
oil the semi-tropcal and north temperate zones,
must 10 many respects differ; they vary in the
productio of the soil and 10 the pursuits
which engage the labors of the inhabitants,
whether agriculture, manufacturers mining,
commerce or fisheries, each constitutes spe-
cifc source of wealth; there may again be diff
ferences within any one ofthese general branches
as cotton forms the staple of the South, grain
of the West, the mining and manufacture Of
iron employs the people of Pennsylvania aud
Maryland, commerce and agriculture of New
York, and general manufactures of New Eng
land; but he remarked there is one regulating
and governing Influence to ell, and that is
we'll balanced and wise financial policy. 10
and the people, unable to apply their skill aud
enterprise, are soon Impoverished He re.
marked that anything but move towards
specie payment, be the accomplishment near
or remote, would be unwise, and 20 matter
what might be the embarrassment of the mo-
ment it would not be long before the country
would be relieved Of the PRESSURE and then
would be infotely better off. lnhation, he
thought, would be q step Backwards and there
were no attendant circumstances such as war or
famine which would seem to justify such
measure now. Inhltion. be said, would be to
Increase the responsibility of the government,
aud he could not lend his aid to that when
there appeared to him 20 reason for such step.
The President said that any increase of the
volume of legal tenders would be imitation and
should not be contemplated. He does not thiuk
that free banking properly controlled, especi-
ally IN the matter OF redemption, would be 10
fation. He thought that at present the cur
rency might be unequally distributed taken ac-
cordlng to the population and wealth of the
different sections of the country, but it was ev
ident that the true remedy was not to be found
exclusively in legislation. The actual necessi-
ties Of any locality could not be determined nor
regulated By mere theory which could only
establish the probable quantity wanted The
Per capita circulation varies from about thirty
one and one half dollars for the eastern aud
about thirteen dollars in the middle States
down to about three dollars 10 the south aud |
Southwestern aud two aud one halt 10 the west
ern States. In proportion to the increase of
Industry must be the circulation of money, but |
only money based on competent security to
warrant its stability in the matter of value.
The President is of the opinion that an in
suttclency IN the oume Of the currency should
not be met by an Initiation of the circulation of
government paper. He thinks that the whole |
question could be best solved BY the authoriza-
ton OF free banking, with an assurance of re-
demptlon. The establishment Of banks under
this system he thinks would be only as needed,
and the circulation would be governed by SINH