The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1874-04-02
The War Against NEUTRALITY-SUSPICIOUS.
LegislatiOn.

The infationists in the Senate preserve
compact and serried column. Thus far there
has been no break in the ranks. The moderate
measure of Mr.. Sherman, which shows the
discreet conservatism Of its authors character
and is lar from being stringent and just as
we should wish, has been deprived OF its real
value. When it comes from the shearing
process of the Senate it will be as mischievous
as possible and what the extreme inflationists
desire. And yet we have never heard the
saving common sense of the country expressed
with more emphasis than upon this question Of
the currency, although it makes no impression
upon the compact majority. We cannot recall
more than one or two influential or well in
formed journals in favor of imitation. The
moneyed and intellectual centres are opposed
to it The most thoughtful and gifted of
our statesmen antagonize it. So far as We
have had any expression from the democratic
or republican organizations it has been in
favor OF speedy return to specie payments
as the first step towards the consolidation Of
our national credit All the lessons Of history,
as shown in the rise of great commercial Com
monwealths like Genoa Venice, Hamburg,
Frankfort and London, teach us that we can
not establish credit by violation Of the
fundamental laws of honesty. AS Mr. Beecher
eloquently expressed it the other evening:
Anything which weakens public credit i'm
pairs the growth of industry" and it is
Gigantic wickedness" tor the government to
'print lies by the hundred thousand" AS
Mr.. Sumner said, in words which have be-
come, as it were, sanctifed by his death, the
possibility of such a thing as imitation is to
be regarded "with amazement and anxiety"
and its accomplishment will be "a detriment
and shame"
Why is it, then, that in presence of these
instructive and commanding evidences We
should have the Senate resolutely defy public
opinion, ns well as the lessons of history? 1t
is certainly an extraordinary phenomenon,
but not altogether surprising. History shows
that no class of men are more apt to make
mistakes than Legislative bodies. Franklin
said in the last century that ''most of the
statutes, acts, edicts and arrets Of Parliaments,
princes and States for regulating, encouraging
or restraining trade have been either political
blunders or jobs, obtained by artful men
for private advantage under pretence
of public good" This is sweeping
condemnation, and we accept it with reserve.
But one of the most learned and philosophical
writer's of modern times argues that the whole
course of modern legislation in England has
been marked by so much ignorance and care
lessness that if the laws had been obeyed
trade would have been stihed. His reasoning
showed that English commerce was only
saved by the energy and fearlessness of the
smugglers. We saw during our war what
came of the extraordinary effort to collect
tax on whiskey three or four times greater than
the original cost of the article. Whiskey was
openly sold for less cost than the tax; and
all the resources of this imperial Republic,
although sufficient to conquer an armed nation
like the Southern Confederacy, were INSULT
cient to enforce q plain revenue enactment
So we might repeat lesson after lesson from
our own history, from all history, in fact,
demonstrating the incontrovertible PROPOSE
ton that trade and finance cannot be regu-
lated by an arbitrary decree; that the laws
which they obey are the laws of fair dealing,
honesty and respect for national integrity, as
old as the DEGREES Of the Medes and the
Persians.
Therefore it does not surprise us that our
prairie statesmen should impetuously argue
that when money is scarce we should resume
our printing presses; that, in the words of
Mr.. Beecher, we should begin to publish lilies
by the hundred thousand" The country
seems to be passing through period of delu-
sions. Nothing seems palmer to the impul-
/ sive, unthinking mind, the Sierra Nevada
statesman-who drinks in his statesman
ship from the breezes that come from
the calm Pacific seas-than that, when
currency is scarce, the true way is to in
crease the amount of currency. This is GER
tainly logical proposition, and we can see
how crude thinkers would accept it with alac-
rity as in some respects relief from the bur-
dens of the war. But currency is not value
unless when made of metal 1t is only an ex-
preston of value, and we must know what
underlies it before we can approve the issue.
In the present case there is nothing behind the
issue. Congress, exercising an arbitrary, dog
matte and peremptory power, simply says
1--WE shall print 80 many more reams
of decorated paper and call it money. This
will increase the volume of money. 1t will
relieve the South and the West 1t will i'm
prove the crops Of the farmer and add to the
revenues of the business man and laborer.
So we shall enter hand in hand upon new
paths of prosperity and contentment." But
we answer that an increase of currency
does not increase, but decrease, the vol
ume of money. The country is no
richer, but practically poorer. The cur
rency passes into the hands of those who
can afford to buy it, the banking and specu-
lative classes, the adventures in business and
fha ramhlars The nrndncino classas the