New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1874-02-25
WASHINGTON.
THE FINANCIAL DEBATE.

- ,D,,,,.xr SPEECH BY SENATOR sCHC RI
.T,,c,xs oP TIE IMITATION DOCTRINE
xxposrp-No PROBABILITY OF FINAL WIZ
FOR SEVERAL DAYS
10y TELEGRAPH TO rHE rRlBUsEI
WARRINGTON. Feb. 2i.-The dreary mo"''o"9 VI
tha long debate in the Senate on finance was
h,v broken 10 iay by one Of Senator ocnu'h "oo'
.r;lliant speeChes Once before TINS SESSION. no
forward as the champion of the honest s'.'esn''u-
Ete policy of making some early provision ioi &c
tun to specie payments ana ever 'i"C0 80.
,nAationists as MGssrs Norton ferfy vi 'Hie"D
Ill coon have been hammering away at the SOUND
logic he then gave the country, ana Valh'y uSns W
meet his overwhelming conclusions DuO n'1 n,a'
speecb was made before the deDale OH 'uiS '""',o
had really began. 1t was during 'no '',"0 WV
Senators we're defining their positions J" ','o
t,lIv nrepared speeches, chiefly written our
49,. .to recass and when they had but
few of the arguments of their opponents 10 cot"''
", Routwelps do-nothing policy had then been
.nnnciated and gave MI Schurz at that time an OPP
o,tunitv TO expose its faIacies, but the greatest
go of his sneeob was devoted 10 the laying down
~ fundamental principles and their application 10
the circumstances of the present time. Sinee tha'
.peeoh was made tho Senate has taken hold oil the
,ub,tct in earnest and tho long debate has FURNISHED
srnne material for an orator of Nh. SchuJZs aDlhy
and power -
The galleries were crowded for the first time SINCE
this Congress met, and hundreds went away po
eauso they were unable to find even standhs rooin'
while those who were fortunate enough 10 eeV
within reach of the Senator's voice sat patiently LOT
almost three long hours, and gave nm theH uhui-
idol attention to the close Ii is unnecessary TO
.ttompt to give a summary of Mr.. Schnrzs
sueech: that is done in the General Press
dispatches lie did not attempt TO answer al lne
fallacies OF the nfatOnists, for they could not oe
even enumerated in a single speech OF any ordinary
length: but no took up some of the more speclous
errors, and let such a flood of daylight through
them that they will hardly be of any further use
A striking example of his dealing with the argu
ments of his opponents may be seen in the manner
in which he handled the assumption that the abund-
.nce of money IN the large cities of the West is due
TO the issue of S35O00OO or $260O00oo OF the legal
tender reserve BY comparing tho bank statements
Of Boston, New-York, and philadelphia for last
week with those of the same cities for the CORE
,pouding week OF last year he found that the
amount of currency lying in the vaults of the banks
Of those cities was now almost $95,OO00C0 greater
than it was year ago. In other words the whole
Of this additional S250OOOOO of currency
has been absorbed by the Eastern banks,
and the present abundance of money
in the monetary ceuters of the West due to other
causes. The Senator concluded, therefore, that If
tIe proposed imitation is in the form of legal tenders
the additional currency, instead of going to the
South and West will 90 directly to WGll-st and this
sonjectrre was made certainty by the fact that
there is 10 way TO get tho now greenbacks out of
the Treasury, long our revenues equal our OK
pendituIes except by buying bonds and Wail-st.
alone has the bonds 10 sell.
He disposed Of the argument that an increase of
the National bank currency would make money
plenty in the West and South with equal ease. He
showed that iu order to get the bonds which are TO
form the basis OF circulation for now banks. money
must be taken out OF tho circulation IN tho localities
where the banks arc to be established and carried to
New York whore the bonds arc for sale. One
hundred and twelve dollars Ofcmrency will purchase
q 500 bond and the Treasury viii issue for that $50
IN currency OF that 800 country bank has To
Keen 10 per cent az reserve, that there ~ only
BIS 80 in circulation IN tho West after the new bank
Is established instead of $1l2 as before. The cur
rency hasbeen contracted in the West and South by
the operation and expanded az the money eenters Of
the East.
Senator Schurz'- speech has destroyed all desire
On the pant OF lac nhatOuists to vote on any OF the
proposed amendments for few days at least, 80
that the country may expect TO remain in suspense
bwhe longer before any real indication Of the
Benate's financial policy win be given.