National Republican. (Washington City (D.C.)) 1872-1888, 1874-08-05

I
ply with the second. II the Government can
not Procore TIE gold yherewith 70 redeem
SSe2, 900 900 Of grsenbaeks, the present amount
10 circulation, how viii 4 be able to redeem
the greenbacks when the volume shall have
bsen increased by adding 1854 900, COO more IN
/ plste Of the national bank currency, making
ksiS6, 900 900 Of greenbsetsi The difficulty Of
/ returning 70 specie payments wfll be increased
nearly 100 per cent, and, according "a. the
generally received theories, this will largely
add to the depreciation Of the greenbacks.
THE PLEDeE OF 1884,
In the. act Of 1854 e distinct pledge was
| given 70 the creditors Of the Government that
/ the whole volume. Of gFesnbacks should never
exceed 500, 0o0, 0oo-ths AMOUNT authorized
By the sets Of 1889 and 1888. The recent bill
which passed Congress and was vetoed By the
President assumed this pledge 70 be binding,
and hxed the maximum amount Ct greenbacks
at SO, oo0I 900. ~ - y go sulf5i al 7,
The proposition nov made By the Democracy
TO increase the issue Of greeubacls 1854 000, 900
e beset with dliiculties and contradictions on
every hand. When the gresnback acts were
passed IN 1862 and 1895 they were denounced
/ BY the leaders Of the Democratic party, en-
EbracinQ the Oldest and most Distinguished
members OF this convention, as 1nconsttt utional
upon the ground that Congress had no power
to make anything but gold and silver q legal
tender 10 payment OF debts. VIXEN Chief JUS
tice Chase delivered the opinion Of the majority
Of the Supreme Court TO the effect thet these
acts were unconstitutional, he was sustained
by the leaders Of the Democratic party through
out the United States; and when amer Presi-
dent Grant had appointed two more judges
upon that bench and this decision was reversed
\ and the constitutionalityo OF those acts affirmed,
be was charged BY the politicians and press Of
Of the Democratic party everywhere With hay-
ing packed the Supreme Court Tor the purpose
In vfo1atlaF nf the
Constitution Of the United States. Now, IN q
time Of peace, long after the war e over, we
find portion Of the same politicians urging
that the number Of greenbacks should DO
doubled and that these new greenbacks should
be used in the payment Of the hye-tWenty
bonds Issued and cold BY the Government years
before. The positiono these Democratic leaders
Is subject to this criticism-that during the re-
belliou when the issue Of greenbecks was ne
cessity TO the prosecution Of the war, they de-
MED the power; and now IN time Of peace, 70
gain q political advantage, they assert the
power, though 1t would involve broken pledge,
and Is stripped Of all plea Of necessity.
DOUBLE RBPUDIATIoN.
And this brings me to the consideration Of the
first resolution Of the platform;
That we are N favor of the redemption Of the
hve-twenty bonds in greenbacks, according TO
the law under which they were issued.
The existing greenbAcks were authorized and
issued before the sale by the Government Of the
hye-twenty bonds. The law creating them de-
clares, and upon the back Of every note Is
printed HThis note "a legal tender ct its face
value for all debts public and private, except
duties on imports and interest on the public
debt" II was with these notes that the i've
twenty bonds were purchased at par IRON the
Government by the people, and 1t was commended
with great force that the Government, by the
express term Of the law, had Q right 10 use
these notes in the payment Of those bonds. IL
fact, It was difficult 70 zee how, upon principles
of equity, and the reading Of the law, this
conclusion could Be avoided. Nevertheless, 1t
was strenuously argued that there was an IN
derstanding outside Of the law, and manifest
public policy which required these bonds TO be
paid In coin,
THH PENDLEToN THEORY.
But In 1857, Mr.. Pendleton, distinguished
Democrat, advanced the proposition that years
after tho bonds had been sold Congress had
beyond the 500, 000, 900 authorized BY the
original acts, and 10 make them legal tender
in payment Of those pre-existing bonds, and
that these new Rreeubacks should be issued In
such quantities Is to enable the Government
to pay of the bonds ct . rapid rate, and stop
the interest. To sons this proposition seemed
to involve bad faith and reputation. To re-
quire the holders Of the ive-twenty bonds to
accept in their payment the original green
backs with which the bonds had been bought
from the Government, expressly made legal
tender in payment Of all public debts, except
interest and duties, was equitable, and
measure Of which they had due notice; but 10
require them 70 accept IN payment further
issue of Rreenbacks made long after they had
purchased their bonds would be not only In
violation Of the pledges given in the act Of
1854, bat unsupported by the reasons, necessi-
ties and equities Of the original transaction,
and inconsistent with national faith. This
proposition Of Nj. Pendleton had the support
Of many distinguished leaders Of the Demo-
cratic party in the Western States, and re-
suited 10 . very general and somewhat violent
discussion Of the question.
Soon amer the Inauguration OF General Grant,
IN March, 1859, Congress passed an act declar-
atofy Of the law, intended 70 settle the whole
question, IN which Il was provided that the
hve-tWe1ty bonds were payable only IN coin,
principal and interest," This fact was intended
to DO settlement Of the controversy ~ 70 the
mode Of paying those bonds, and was generally
received as such. accepted Il as hnsl set
Element Of the question, and believe Il must
now be 90 received. Since that time these
bonds have been bought and sold upon the eE-
press declaration Of the Government that they
should be paid In coin, and the Government e
estopled from now asserting the right TO pay
been its right to pay them with the original
greenbacks that was expressly waived BY this
act, and the whole world was invited to deal
in them upon the pledge that they should be
paid IN coin. The Democrats platform, there
fore, involves . double reputation: hrst, by
proposing TO make new issue Of greenbacks
With which to pay the hve-twenty bonds; and
secondly, By proposing TO repeal the pledge
given IN the act Of 1889, upon the faith OF
which those bonds have been bought and sold
for more than i've years.
FINANCIAL CONDITION AND PROSPECT.
It may be safe, therefore, TO predict that the
settlement Of this question BY the act Of 1859
will not be disturbed; that Il VIII not be in the
power OF the Democratic party OF Indiana to
reopen the question, and that the national bank
system VIII not be abolished.
Il may also be assumed that the pledge
contained IN the act Of 1884, that the whole
amount Of greenbaeks should never exceed
S4O0 900 900, will be accepted a. valid and con-
tinuing, and that .he policy Of making an
issue of Rreenbacks beyond the 800, 000, 900,
either as q substitute for national bank notes
or for any other cause, has been abandoned,
and in fact that the volume Of greenbacks will
never exceed $3.50 900 900, the amount now IN
circulation. And the greenbsck problem
of these notes In coin at the earliest practica-
BILE period, as promised by the act Of 1882
That this period is not the present seems to be
conceded by nearly all, and that It will not ar
rive until after the effects Of the panic have
passed away, good times have been restored,
| and the balance Of trade has ceased 10 run 30
strongly against US. While the hfty-fye mil
lions Of national bank currency which the law
provides may be taken from States In the
East, and given 10 those States in the West
and South having less Il an their proportion or
than what they need, may not be taken up
very rapidly, and, in fact, cannot be until there
shall have been q revival of business and pros
perity, yet Il will be taken up at no distant
period, and the demand Siu be renewed, and
finally granted for the establishment Of what
is called free banking and the removal OF the
monopoly feature Of the national banking sys-
TEN, which has ever been its blemish, and has
largely contributed TO whatever Of unpopularity
the system may have.
Notwithstanding al that has been said
against our currency as being deprecated and
fuetuating rag money, everybody knows that
It Is g good currency under which the country
has prospered as It never did before, aud that
its further improvement will be natural,
steady, and healthy. And with these considera-
tons / am content TO await further develop
ments Of the future on the financial question,
CIVIL RIGHTS.
In the seventh resolution the Democratic
convention went upon its knees 70 the preju-
dice against color and the hatred Of negroes.
The bill which passed the Senate making pro-