New-York tribune., 1874-12-12
COMMENTS ON THE MESSAGE.
REPRESENTATIVE KELLEY ON THE PRESl.
---- = DENTS FINANCIAL POLICY.


PRODUCTIVE AND LABOR SEEKING EMPLOYMENT
AN ELABORATE STATEMENT OF MIR. KELLEYs
vIEws-THE REMEDY TO BE FOUND IN HiS o'oo
BILL NOW BEFORE THE HOUSE.
TFROM SPECIAL CORRESPONDENT OF The rRIBUSEI
WASHINGTON, Dec. THE course OF Judge
Kelley in opposing so strongly as he does the hnanc
policy Of the President occasions much comment herc
In conversation tonight he asked what ne thoueh
Of the Presidents financial views expressed In MS
message and he answered that they showed the eAce
lnce of his purposes But when asked II he approved
Of that part OF the message the Judge answered. by
no Means for think the method he proposes woud eao
to results Numerically opposite to those he ev'de"v
hopes attain. To attempt carry out the Presidents
suggestions would be to produce general bankruptcy
and to ourtail the public revenues as to render o
payment OF interest funded debt Impossible iS
comprehension of the question seems to have been
clearer when he prepared his last annual message tnan
1t Is at this time. He then recognized the part ah
adequate amount Of currency plays In productive in
dustry and the effect Of adverse balance OF trade IN
preventing the resumption OF specie payments or the
maintenance Of such payments II attempted; but no"
to be obyious these points and coniounus
currency with capital"
THE DIFFERENCE BETWEEN CAPITAL AND CURRENCY.
When reminded that his meaning was not very
Clear and asked to wherein the difference between
capital and currency consisted and how the President
confounded them. the Judge continued: "Currcncy Is
q circulating medium and representative Of values its
office. Bonamy Price says, is to run. to pass from
hand to hand In settlement OF nterchanges OF property
Capital Is accumulated labor In form or other ana
represented bv currency, and the difhculty under
which now laboring Is that our moneyed insttu
ons and capitalists find TO their interest to treat cur
rency capital and to hoard it, to prevent 1t from run
ming and circulating. Thus the Preadent says truly
enough:
"Durns this prostration two essential elements Of
prosperity have been most abundant, LABOR n i'"
capital. Both have been largely uneipployeu
Where security has been undOubted, capital mas been
attainable at very moderate rates. Where labor has
been wanted has been found in abundance at cheap
rates, compared with those AZ which necessares anu
comforts OF life csud be purchased with the wages
demanded. Two great elements OF prosperity there-
fore, have not been denied us.
"Now" continued the Judge, "the that capital
invested in workshops factories machinery and the raw
material OF fabrics and other commodities has been ide
and unproductive while labor was seeking employment
at unremunerative wages, Is that there was no aue-
quate volume OF the medium Of exchange. or currency
sGoOOOO OF Greenbacks deposited without in-
terest in the Treasury. They capital but while they
lie dead the Treasury they not running from hand
to hand as they intended to do when they were
Issued currency. Again, the banks everywhere are
OVERLOOKING with deposits which are placed with them
dead capital because the that by with
holding them from circulation contraction will bring
about day when he buy workshops, factories
mills farms, &C., much below their present price that
have done by collecting interest his funds or invest
ing them in the face OF threatened depreciation Of
prices. SO long contraction proceeds prices must con-
tinue to fal and wishes to produce commodities
TO erect buildings TO sell at constantly depreciang
prices. Thus the laborer robbed lily OF his whole
property to w.t. his ability to labor and by laborng TO
wages OF enterprise who, depending upon
their weestablshed credit, have extended their bus-
beyond their means, being runed by the with
holding OF credits formerly extended to them on the
part OF those capitalists who have locked up their
rency and who expect to buy his productions at nom
iDa prices"
THE REPEAL OF THE LEGAL TENDER CLAUSE A
CRIME.
Judge Kelley was next what he thought OF the
proposition to repeal the legaltender clause and he
swered
"To do so would, in my judgment be to commit a
crime equal TO the partition OF Poland would the
Nervousness OF the transaction be essentially mtgated
by making 1t apply only to contracts made In the future
Nobody estimate the hundreds of millions of dollars
that bavo been borrowed, mortgages which are
overdue The principal and nterestof these are payable
In currency under the Legatender w aud should the
Presidents suggestion be- aed into effect the holders
OF those mortgages would forthwith give notice to tho
mort gagOr that the money required and when the
poor creditor TO protest that In period OF prosra
ton Ike this money could not be raised he would be
mercifuy assured that he could continue to have tho
ment of the principal AMI interest in god and In the
poor hope OF saving their depreciatng property niue
out OF every ten would give the bond, cOacedng not
only the pound OF flesh but the privilege OF drawing the
blood in taking 1t. The President does not appreciate
the inhumauty OF this suggestion or he never would
have made IT. He means harm to nobody but ms
proposition would desOldte hundreds OF thousands of
nomes-housands of which would be those OF the work
mgmen OF Philadelphia whose pride II Is to own the
homes they live and who purchase such homes subject
to mortgages payable IN small Instruments Dut whlch
mstallments are already running Dehindhand for the
want of adequate employment and wages"
&" Do you mud nothing in this part OF the Presidents
message win which at YOU go5 can Gs asree Keo
with his expression OF belief that IL Is IN the power OF
will renew confidence. revive all the industries. start
career OF prosperity to last for MANY years ana
his methods will accomplish these desirable results.
and should legislation tending 10 produce them De
message, his memorandum to SeUat0r Jones' and his
veto encounter his veto, and therefore fail to
prove effective"
{" You mean by Initiating the currency. then -
No, sir have never proposed or adVocated M @ nra an
vidng for an interconvertible loan carrying 36j per
cent would, without any increase OF National or bank
ing confidence 10 the people ana AMI
mate every industry IN the country
AN ELOQUENT TRIBUTE TO TIE THREE-sIxTY-FIVEs.
"How would it accomplish all this Z"
"why, Sir" said the Judge, with much earnestness
"the &5OOOO,OO0 OF greenbacks locked up in the
Treasury which the unwilling to use and OF
which the Government is the mere depositary, and
therefore dare not use would be invested In 6s and
by the Secretary in the purchase redemption Of gold
bearing bonds and thus they would be made to rui-o
use again the language OF BOnamy Prce-tO perform
the functions of circulating medlum. so too OF .he
money now lying Ia apopectc volume tn the vaults OF
banks-it would go into the 1865 bonds and again into
god-bearing bonds, or gold with which to call them.
The world would note the animation IN our Industries,
the emigration Of skilled aborers going so
rapidly from our shores would cease, aud the tide OF
Immigration would again dow In upon US; and. above
ALL that debt debt abroad, which the President truly
says, is the only element that can with sound cur
rency, into affairs to any continued de.
preston IN the Industries and prosperity OF people,
would be In rapid "a process OF liquidation To en-
the hope il would to the