New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1874-04-18
REDEEMABLE PAPER THE BEST MONEY.

REDEEMABLE PAPER THE BEST MONEY.
TIE HON. W. W. GOODRICH ON THE RESUMPTION OF
SPECIE PAYMENrs-THE ADVANTAGES OF a CUR
RENCY GOOD IN EVERY STATE IN THE UNION
-REDEEMABLE PAPER PREFERRED TO GOLD By
EVERY ONE.
To the EdttOr OF The Tribune.
SIR: Entire ignorance of finance and with
drawal from politics qualify and induce me TO express
an opinion on what is evidently the coming pOhtca
ISSUE viz, Imitation. Mr.. Greeley used to saw " Inc
vav 10 resume is--to resume" and wiseacres who
aracted knowledge TO conceal ignorance darkened
wisdom with counsel sneered at the philosopher but
time yilprove histlOctrne 20 be the only sound one
Every one knows that in the days before the war the
spece-paying banks kept reserve of over ten
or fifteen per cent OF their circulation and that they
often actually refused 10 take gold or silver on deposit
greater reserve would have eaten up their profits
and 80 specie became drug. In keeping
thls reserve the banks acted, and acted wisely
upon the doctrine Of averages, the sound calcu'
aton OF that much less than ten per cent
OF bill holders would at any time except in panic
require the payment OF their bills III specie the real iac
was that not one per cent did so require specie.
The sane law OF averages governs all life, marine ana
fire insurance. II you take the statistics Of any line OF
chances for an extended period Of years you may safely
calculate that the facts will repeat themselves In
another equal period. The Northampton tables, FOR
instance state the duration OF life at given
ages so certain has this calculation become that the
value Of ne e7ate7 ~ rs mon tes fables with abso
Lutte assurance OF average justice. Now - II nor eqy
safe 70 conclude that what been IN money matters
shall be again II the holders OF legal tenders
or bank notes we're absolutely certain wa,
at at" auv time demand and receive gold for their
bills at slight discount, they Wol!u noe Mans
gold Who ever did before the war MI MS purse WIN
gold 70 weigh him down and wear out his pockets when
he could at any time step INFO any 6aRk OK SfoAgr
true even with the wildcat currency OF that date When
all bank bills at discount outside OF lne ,Ld
where they were ssued with the present stem Of
sound bank and legaltender currency, admuaDle eI'
cept for being not in fact redeemabie IN gold ana AZ
ways OF equal value all over the country, every one
fakes bs without akug not cling in what state they
were issued and would require goa When he mao
in ,ny state We DO not need gold for ordinary use.
Paper redeemable 10 gold is far superior in convenience
You can carry tens OF thousands o. doaF' ID O easier
From these premises can in my ignorance easily de-
duce this conclusion II the Government would accH,
muate and announce that had rs per cent IN gold
OF the legal tenders, say slO0OOO ana ten announce
that specie payment would be resumed at any definite
period say in one or years, gold and paper would
easily and gradually approximate III Vaue ahu the
matter would be accomplished without panic or revul-
lion. There might be rush for specie Tor Re days
by reason of is novelty but I9ng before the sIpp
yellow One on their hands, ana hasten 10 reoeposi
lions would be added 60 the currency 10 use 9y me Tree
circulation Of the now almost useless goa. NO one
would pay pre- mum ior what ne GouG h d" h esr
The story is old Or the countryinan "no' neaI-
ing that his city banker was lnV9lved hasteheI 70
his banking 70 WltnufaW MS Houey' Ane
banker At counted down the gold upon ithe desk
The astonished depOsifOr scratched Ills head looked
FOOLISH and finally concluded 10 leave his funds where
he was so sure OF obtaining them on Demand saying in
explanation thar the banker were good ne didn't want
the money, and If he nsOlyent he did want IT, HE
story old the moral is II we knew that
the Government could aud would pay gold on demand
we should never call for 1t except on rare occasions
ASIDE from manufactures, Cust0mhouse purposes and
foreign use no one wants gold Paper redeemable In
gold is far superior for the ordinary OF commerce.
The problem Of resumption does very easy % one
who knows nothing about finance but 1t may be that no
one mas put into words exactly what many believe
Netc. YORK, April 49, Is74. WM. W. GOODRICH.