The Daily state journal. [volume] (Alexandria, Va.) 1868-1874, 1874-02-13
speech of Hon Moses w. Field.

"a speech OF Hon. Moses w. Field. ~
We have received very able speech
from the Hon. Moses W. Field, Of Mich.
gan, upon the currency. Its arguments for
enlarsing the volume of the currency are
powerful and unanswerable. We present
our readers with the following extract;
Owing to disturbance in private credits,
commencing with the failure OF Jay Cooke
& Co., shrinkage in discounts began in
September; debts could not be paid by the
usual currency; vast volume of pronis-
sorry notes and bills of exchange became
unavailable and useless for settlements and
exchanges, and great manufacturing and
trading population were compelled to fall
back on the totally inadequate and limited
supply of legalstender and national-bank
currency. The banks in New York and
throughout the country were obliged to
suspend payment in currency and resort to
an illegal issue of clearinghouse checks,
which were used as money to the extent of
$4,000, 600. An increase of our lawful
money was the true and proper remedy for
the crisis, and even knowledge Of the fact
that legal-tender notes could not be had in
exchange for Government bonds would have
resulted in the complete restoration Of con-
fidence and commercial prosperity. as
ALI our bank notes and legal-tenders are
not equal in volume to one in thousand of
other credits used in ordinary times as cur
rency, for the entire circulating power is
the circulating medium of the country. The
rich trader requires, in ordinary times, but
little 1egal.tender currency; he deals in
private credits, such as bank-checks, bills
of exchange, and promissory notes. This
is the currency of wholesale. But the in
dustrious classes, the day.laborer, and many
Others Of small means, must have small
bills for daily use. This is money Of retail.
Unfortunately, our laws fix and limit
the volume of legal currency, which has
been very much contracted since 1865.
In the mean time the business of the coun-
try has vastly increased; paid labor now
fills the Southern states, while the produce
ing classes of the North and Of the great
West have multiplied in public and private
enterprises until the army Of laborers is
counted by millions. The boy Of eight
years ago has now become a man and
must have o mans clothes, else he
will split his garments in every seam.
Money Is made for the use Of producing
classes principally, and its volume should
be increased with the increase of popula-
ton and with the growth of the productive
industry of the country. NM,
Tits manifest that our money or currency
must be increased sufficiently to pay all
classes for their daily labor, or we must
reduce the work and discharge the workers
now employed on our farms, in our mines
and workshops. The question is, shall
the currency be increased with our increase
of labor and business, or shall we reduce
the labor and business Of the country so as
to handle the traffic conveniently with the
volume now in circulation? The factory
employing one hundred mechanics to-day
certainly requires more currency than last
year when only ten We're employed. The
production of wealth by labor has been
more than doubled in eight years in the
meantime our national currency has been
reduced over 81. 300, 000,0 600. While the
demand, therefore, has been increasing, the
supply has been rapidly diminishing, and
the Tightening process finally eliminated
last September in throwing one-half of our
laboring population out Of work. o.
The question is, shall we reduce
the population of the country, keep
tone-half of our productive forces out
of work. and destroy two-thirds of
Z the wealth and property now on hand for
the purpose OF accommodating our condi-
ton to the present volume of the currency
II Congress shall refuse to augment the
currency in order to meet the increasing
needs of growing country, then provision
should be made for the annual destruction
of our wealth. We should burn up Out
corn and cotton, our hominy and our hogs,
to enable us to effect our exchanges, and
thus to suit the views of the ancients on
finance and currency. The amount OF
money required being manifestly proper.
tionate to the number and value of the ex
changes made, it follows that as population
increases domestic commerce enlarges, anC
occupations are diversified, an increase O.
the circulating medium becomes all absc
lutte necessity to growth and prosperity.
The money that will pay one thousand
meniwillnot pay two Thousand unless thu
latter reduce the price of labor one-half
Thus, currency must be increased or wages
reduced. Which of these alternatives, Mr.
Speaker, will you choose2 ilh p aisoa
tt is thus apparent that in this question
of currency lies the conflict between CAPT
tai and labor. II is well-known fact tina
when money is abundant the laborer re
ceives his full reward, and prospers, Blu
when money is scarce the laborer finds Blu
little employment even at starvation
prices. ~" Thus, then, if we unduly re
strict the volume Of currency we oppres
and pauperize labor, while we give capita
more power to deny to the laborer and pre-
Queer fair reward for their toll. An abun
dant supply of currency facilitates and aid
production like tools in the hands OF tn
mechanic, and like oil on the axle, it a.
CELEBRATES and expedites. Its volume sheul
not be fixed by law, for its uses are
changeable and variable as the wants
man.. A single cup Of water may sufit
in winter. but the workman during the he'
and dust of summer may need anoth'
draught; and so it is with currency-mol
is required at one season that at another.