Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1874-01-15
COMPRESSION AL.
Carl Schurz' View of the Finan-
ees.
The Present the Most OppOrtunt
Time for Resumption.
FalIacies of the Infationists.
The West and South Never Ben
Gifted by Imitation.
SENATE

SENATE.
WASHINGTON, d. c., Jan. 14.-Vaiious
unfavorable reports were made by the
Committee on Claims on bills of private
nature, and their further consideration In
definitely postponed.
Mr. Pratt presented petition Of the In
dianapolis Womans' Suffrage Association,
protesting against the passage Of bull Inn
iting suffrage in the territories TO males.
Referred.
Carl Schurs.
The morning hour having expired the
Senate proceeded to the consideration OF
the resolution from the Finance Committee
and Mr.. SchurZ addressed the Senate. lie
said the issue now seemed to be between
resumption and imitation. He thought the
| doctrine of procrastination in redeeming
the legal tenders an alarming and danger
Gus one. lie was surprised TO hear the
statement of the Senator from MasSachu-
sets (BoutwelD about France since the
credit of that country has not been i'm
paired. He (SchurZ) thought the public
credit would be seriously impaired when
the government adopted the doctrine Of the
| gentleman that the government redeems It's
promises to pay only when it pleaseS 10 do
| so. Mr.. Schurz expressed his disapproval
| of reissuing any portion of the fOrty-four
million reserve and went on to give his
views as to the causes of the recent panic
| and continued:
We have neither a foreign war nor do
nestle rebellion at our gates to-day, nor
| any other disaster upon us, to cause an in
crease in our currency. This proposition
to invest the Government with such power
meant it should exercise the power at is
| discretion to issue any amount OF ire
deemable legal tender paper as money, or
III other words it placed all the private br-
| tunes in the country at the mercy OF the
| Federal Government. Did Senators think
the American people would ever invest any
branch of the Government with this great
power?
None but DespOtic Governments
ever claimed such power. 1t was virtually
debasing the coin of the realm, and he
hoped Congress would consider well before
it adopted any such measure. Ii the cur
| rency should be expanded to ten thousand
millions, the people would complain Of in
sufficiency. Why? Because an excessive
| issue generally effected a rise in the prices
of the commodities of living, while a re-
turn to specie payments decreased the
prices of those articles. An irredeemable
currency always diverted capital from le-
| ultimate business enterprises. Hence the
continued and Unsuitable demand for more.
The more the currency is expanded, the
greater will this evil become.
He did not agree with his colleague, Mr..
Bogy, that
New National Banks
should be started in the West, or that the
issue of these should be increased, as he
did not believe the money issued 10y them
would STAY there and benefit that region.
He argued that the relief sought by an in
flation of the currency would be mere il
fusion. Let it be supposed that every III
diyidual in the country could wake up il
the morning and find ten dollars in his
pocket in place of one the day before
What a Jubilee there would be among the
fools. Did any sane man suppose the
wealth of the country would be increased:
Not in the least. Or wealth Of anycitizen tht
greater? Not particle. For, on going tC
market next morning, he would have q
paw ten dollars for what one dollar wOult
have purchased the day before. Every con
sideration of good faith and sound policy
urges us TO put an end to this iniquitou!
system in regard 10 a return TO
Specie Payment.
He said he desired to enter his proteS
against two plans: That presented by th'
Senator from Michigan (FerTy) TO first eX
pand the currency and revive the prosperity
Of the country; and second, that propose,
by the Senator from Massachusetts, (Bout
well) to do nothing, but let things remaiI
as now. Return to specie payment mus
be preceded by severe retTenchment in pub
lie and private expenditures, by prudenc'
in our business enterprises, by recOgni
ton of the truth that honest and productive
labor is the true source of wealth. Ill
thought that if the plan Of the Senate
from Michigan should prevail, It would b.
goodbye retrenchment. Goodbye econO
my! Let imitation prevail As to that O
the gentleman from Massachusetts, (BOut
welD he said it was a dO-nOthing policy
and the country had already seen the evil
of it. The gentleman had adhered to tba
policy faithfully while he was Secretar
of the Treasury, and his successor had fol
; lowed the same course. He (Schurz
thought the country should understan,
these teachings and profit by the lesson
The plan of the Senator from Massachu
sets was the most dangerous, because j
bore some aspect of plausibility, and woul,
present itself as feasible to large class {
people who did not study deeply the queS
ton of finance. 1t was not proper for Con
greSs to stand still and let
! Disease Work its own Cure.
We would present a sorry spectacle I
, the world by hiding our heads inthe sandan
saying we are afraid to move lest we brea
, something when the break down has al
> ready occurred. He declared it to be hi
! candid opinion that the present time is tn
! most Opportune since the close of the wd
= to resume specie payment. If this time b
lost we would have to await another finaI
cial crisis and overcome greater obstacles
Many OF the difficulties in the way of speci
p resumption has been surmOuntedb by the cri
sis. Let it be understood that weare to retur
TO specie payments and every sensible ma
will take care TO run in debt no more tha
is absolutely necessary when he knows tina