The Anderson intelligencer. [volume] (Anderson Court House, S.C.) 1860-1914, 1874-01-29
A Lively Financial Debate in the uhitea
States Senate.

States Senate.
'5''.f--> - WASHINGTON, January, 2l.
Merrimon. of North Carolina, addressed the
Sanate to-day. He said our country enjoyed
the confidence of its people more than any
country on the face of the earth, yet our cur
rency had been less valued than gold by twenty
Der cent. He urged that it was impossible to
make paper currency equal to gold. 1t was
idle and criminal for Congress to undertake to
bring greenbacks up to the standard of gold.
We must put ourselves on level with the
this. we must have gold and silver currency.
Until we establish medium of exchange
based upon gold and silver, we can never have
the advantages of commerce. He advocated
an immediate resumption of specie payment.
The people of the United States had lost twenty
per cent. in all their exchanges from the time
the greenback system began in 1861, till now. Ii
the greenback system continues, depreciation
will continue; and it is the duty of Congress
to rid the country of this. BE was surprised
that not single definite plan by which we
could get back to specie payment had been
proposed. The 4th of July, 1876, would be
Che centennial of our independence, and he
trusted that glorious events would transplre on
that day Let one of them be return to
specie payment, Let gold accumulate in the
to pay interest on the public debt. If that
would not be sufficient put five per cent.
bond on the market, which would bring gold at
par, and on the 4th day of July, 1876, let every
dollar of greenbacks be redeemed in coin. In
the meantime, let the volume of currency be
increased. He computed our present circula-
tion at S760O0O 900, which was not enough, by
at least S100, 10000. The panic was not over
anywhere in the country. New York and New
England were credit States, and had debts
due them from all sections of the country.
Money could be obtained in New York there
was plenty of it there; but to obtain it colat-
eral security equal to the money itself must be
put up. He spoke of the unequal distribution
of the currency, and the pressing needs of the
South on account thereof.
Sherman said the Comptroller of the Curren-
cy had authority now to withdraw S25 ,000,0 900
from New England and give it to the South
and West, or States which have not their prop
er proportion.
Edmunds-How long would it stay there?
Shermon-That is another question.
Merriman said, in reply to the Senator from
Vermont, Edmunds,) that if the money was
down there, it would 60 back very slowly, if
the banks of New York and New England did
not offer interest for it, AS these States pay
interest, the money goes there. He deemed
that the currency was redundant as compared
with the circulation of France and England.
Those countries were densey populated, and
the exchange was small. Another hundred
million dollars put ia circulation would revive
the business of the country Our greenback
system which might be termed bloated, had
many debts contracted under It, The argu-
ments were that these debts should be llqulda'
ted in greenbacks. Now it is proposed to con-
o,,.o,o., ;oh would pnrn mol their
payment in more precious medium than the
one under which they were created. He would
postpone the time for specie resumption till
July 4, 1876, on account of the business of the
country being based on this bloated currency;
but by putting it off till that time, the people,
seeing monetary system devised by Congress,
would regulate business to that end, so that 1t
would adjust itself to the new system OF cur
rency. He was opposed to the national banking
system, and thought it was a vast monopoly,
founded wholly upon credit, and essentially
credit currency, and, therefore, twenty per
cent less valuable than gold. In the next
place, every dollar of the capital stock was in
the United States treasury, and the banks
receive FIVE per cent from the Government on
bonds deposited in the treasury. He next
smoke of the rates of interest, and said he put
it to the Senate-he put it to the word-to
answer. if industry could prosper and pay such
per centage for money. He maintained that
the volume of currency could not be fixed by
law. it could not be controlled by politicians
and statesmen; and Congress should not,
therefore, undertake to regulate it. The mer-
chants and business men of the nation would
fix il. The banks should belong to the people,
and not to the Government. He would like to
see Congress grant charter for a great ma
tional bank. Let the shares be at S25 each, so
the whole people could have stock in it. Let
the capital stock be S100, 100000, and the direc-
tors be in every State. In time of war, such
bank would come to the relief of the Govern,
ment, and be of essential benefit. Sectlonal
interests had once come near destroying the
Government, and unless Congress does some
thing to produce an equilibrium IN industries,
more trouble would be the result.
Edmunds inquired if the gentleman believed
Congress could produce shis equilibrium,
Could it say how many factories there should
be, where located, &C.?
Merrimcn said Congress could improve the
harbors and rivers of the West, open up the
natural advantages, encourage ship building,
and thousands of other things could be done
to produce such equilibrium but not while
we 90 on with this sectional legislation-Cali-
fornia with one interest, New England with
another ard the South with another. When
they come in contact, it will result in the clash
of arms They did it once, and would DO It
again.
Edmunds said he did not rise for the purpose
of continuing this debate, but he thought the
natural tendency Of money was to the pockets
of those having the right to it. He knew of
no contrivance by which Congress could keep
money in any section, unless the circumstances
Of the people in such section should entite
them to keep the money. Every citizen has
the % right to put his money where he thinks he
can make the most out of it. Congress, nor
any other power, could interfere with this right
If the people. Money is always flowing where
it has the right to rest. Granting that $50, ,ooo.
600 more be given to the South and West, it
would go to the pockets of those entitled to 1T.
He did not believe there was dollar more IN