Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1874-03-17
HAVE WE A RING OF "BEARs" IN
TENNESSEE

State bonds. Of course, the passage
of law providing for the payment of
interest would enhance the market
value of the bonds, while Its failure
would depreciate them. The UNION
AND AMERICAN stood by the motto,
Be Just and fear not; let Tennessee do
her honest duty, regardless of what
SPECTATORS in her misfortunes may be
either benefited or hurt thereby. Of
course the bonds appreciated with the
passage of the funding act. and con-
tinue to appreciate as the time
for resuming the payment of IN
terest approaches, which the
State Treasury finds itself
already in condition to anticipate, and
save the State thousands of dollars by
way of rebate. This fact alone is suf-
ficient to show that the funding act
was wise and timely, as well as honest.
In the face of this fact, the continued
mutterings in various quarters about
the funding act suggests the query
whether there is a ring of Wall street
clears" at work, endeavoring to OBJ
scure a very plain matter, throw doubt
on our credit abroad, and depress the
market price of our bonds. The honest
farmer Will ask, what could they gain
by this? But the process is a simple
one: first depress the bonds, and
buy them up at low prices; then
wait for the inevitable reaction
of Tennessee honesty that viii
be evoked by these would-be repudia-
tors, and the bonds will rebound up
wards, when the clears" can sell outa
the advance. There is no other ration
al explanation for the persistent out
groupings of reputation here and
there. The Memphis Avalanche boldly
assumes that the funding law was pre-
mature by at least two years, in the
faeeof the fact that the State Treasury
is to-day anticipating the interest on
tax Of forty cents. 1t says this has
been made possible only by "unjustly
forcing up the assessment of real es-
tate" 1t is true that the assessment
rolls show more taxable property this
year than last, but the increase is due
to the assessing of property which
hitherto escaped its share of the bur-
den. Is that unjust? Our observation
is that the assessment on real es-
tate is actually less than last
year. The increase comes from
other property hitherto exempt.
Again, the Avalanche fails to tell its
readers that, by pOstpOning the fund
ing measure two years, the debt would
have been increased, according TO It's
figures, between three and four million
dollars-entailing an additional bur-
den of over 100000 interest per
annum for indefinite years. The
Memphis Ledger is much milder,
and more than half answers its
own criticisms. 1t pronounces the
funding law ''the honor of the State, "
but dislikes some features in 1.-The man
ner of its passage, which it fails ut
terly to specify. Still it confesses
"there Is no help for it save in repudi-
alton. which would financially damn
the State for generations to come, and
millions vet unborn would curse the
day of their fathers for such foul
stigma" With such views, it is Diff
cult to understand why the Ledger has
No words of condemnation for the agi-
tators. 1t says Gov. Brown has dealt
more candidly thanothers, declaring that
a tax Of sixty cents was necessary to
carry out the law. Yet it explains that
his estimate was based on the old sys-
TEN. and it begins to believe that forty
cents under the present law will bring
almost as much revenue as sixty cents
formerly" 1t does not suppose that
the funding bill can possibly become an
issue III the pending campaign any
more than the ordinance Of secession /;
yet certain gentlemen may be held
accountable for their action in the
measure" Which measure? Is the
ordinance of secession also to be fought
over in this year Of grace 1874: 1t
concludes that by rigid economy and
close collections forty cents viii proba-
bly be sufficient to meet the interest and
all other legitimate demands, but adds:
s.No money VIII be left over to begin
retiring the bonds after ten years, as
contemplated by the law" In the
next breath it confesses the
possibility that IN ten years
"the taxable value OF property
will increase sufficiently to begin retir-
inc the debt" Allthis looks very much
Ike 6 determination to agitate without
regard either TO premises or conclu-
sions. and shows how utterly groundless
this anti -funding clamor IS. In other
quarters the grrImblers are more eau
tious. and hide their designs under the
plausible plea of low taxes. Now we
are all in favor of low taxation. That
is precisely the Democratic grievance
against Radicalism, that its monopoies,
extravaganza and corruption breed high
taxes. Half the present taxes III Ten
nessec are the heirlooms of Radical
rascalities. The Nashville Banner Of
last week confesses that it "does not
know a single individual, not to say
marty. which desires a tax greater than
to meet the interest on our public debt,
keepup our schools, and pay the current
expenses Of the State" 1t recognizes
tbaexistcnccofac considerable element IN
favor Of a tax lower than viii meet
tbe,r Obligations" What is that but