The Morristown gazette. [volume] (Morristown, Tenn.) 1867-1920, 1874-06-17
THE PRESIDENTS REPLY.
EXECUTIVE MANSION,

1LAECG 4AN r 41<AENoAOANs Z
WASHINGTON, D. c., June 4. IA !
DEAR SIR: Your note Of this date
requesting a copy of a memorandum
which l had prepared expressive of
my views upon the financial ques-
ton, and which you with others have
heard read. is received, but at too
late an hour TO comply tonight. ]
will, however, take great pleasure
in furnishing you copy in the morn
ing as soon as can have it copied.
1t is proper that | should state that
these views are reduced to writing,
because l had been consulted on this
question not only by some Of the
members of the Conference Commit
tee but by many other members of
Congress. To avoid any and all
possibility of misunderstanding, |
deemed this course both justifable
and proper. With this explanation
I enclose YOU herewith the memo
randum referred to. Very respect
fully. U. s. GRANT.
To Hon. J. P. JONES, u. S. Senate.
TIE PRESIDENTS MEMORANDUM.
Memorandum Of views entertained
on the subject of desirable legisla-
ton on the finances:
| believe it a high and plain duty
to return to a specie basis at the
earliest practicable day. not only in
compliance with legislative and party
pledges, but as a step indispen-
sable to lasting national prosperity.
| believe further that the time has
come when this can be done, or at
least begun, with less embarrass-
to every branch of industry than at
any future time, after resort has
been had to unstable and temporary
expedients to stimulate unreal pros
perity and speculation on bases 9TH
er than coin as the recognized me-
dunn of exchange throughout the
commercial world. The particular
mode selected to bring about q res
toration of the specie standard is
not of so much consequence as that
some adequate plan be devised, the
time fixed when currency shall be
exchangeable for coin at par, and
the plan adopted rigidly adhered to.
1t is not probable that any legisla-
tion suggested by me would prove
acceptable to both branches of Con-
gross, and, indeed. a full discussion
might shake my own faith in the de-
tails of any plan l might propose.
will, however, venture to state the
general features of the action which
seems to me advisable, and
TIE FINANCIAL PLATFORM
on which I would stand, any depart
ure from which would be in spirit
of concession and harmony in defer
ence to conflicting opinions.
First-I would like to see the le-
gal-tender clause, so-called, repeal.
ed, the repeal to take effect at a fu-
ture time, say July l. 1875. This
would cause all contracts made after
that date for wages, sales. &C., TO be
estimated in coin. 1t would correct
our notions of values. The specie
dollar would be the only dollar
known as the measure of equiva-
lents. When debts afterward con-
tracted were paid in currency, in
stead of calling the paper dollar and
quoting gold at 20 per cent. pre-
MUM, we should think and speak of
paper at so much discount. This
alone would aid greatly in bringing
the two currencies nearer together
at par.
Second-I would like to see a pro-
vision that at fixed day, say July
1, 1876, the currency issued by the
United States should be redeemed
in coin on presentation to any As
sistant Treasrer, and that all the
currency so redeemed should be can
celled and never reissued. To effect
this it would be necessary to author
ize the Issue of bonds, payable in
gold, bearing such interest as would
command par in gold, to be put out
by the Treasury, only in such sums
as should from time to time be
needed for the purpose of redemp-
ton. Such legislation would insure
a return to sound financial princi-
Piles in two years, and would in my
judgment work less hardship to the
debtor interest than is likely to
come from putting off the day Of
final reckoning. It must be borne
in mind. too. that the creditor inter
est had its day OF disadvantage al
so. when our present financial sys-
tenn was brought in by the supreme
needs of the nation at the time.
NOTHING BUT TEN-DoLLAR NOTES.
I would further provide that from
and after the date fixed for redemp-
ton. no bills whether OF national
banks or of the United States, re,
turned TO the treasury to be ex,
changed for new bills should be re
nlaeed nv hills of less denomination