Buchanan County bulletin. [volume] (Independence, Iowa) 1869-1891, 1874-12-11

nation and the people. Steps to-
ward a return to specie basis arc
the great requisites to this devoutly
to be wished for end. There are others
which l may touch upon hereafter
A nation dealing in a currency be-
low that of specie value labors I'M
der great disadvantages. Having nc
use for the worlds recognized medi.
ums of exchange, gold and silver
these are drawn from the country
because there is no demand for theil
use, and the medium of exchange in
use fluctuates in value; for after all it
is only for just what it will purchase
of gold and silver metals, having an
intrinsic value just in proportion to
the honest labor it takes to pro-
duce them. A large margin must be
allowed for the manufacturer and
producer. 1t is months from the
date Of production to the date of re-
alization. Interest upon the capital
invested must be charged and the
risk of fluctuation in the value of that
which is to be received in payment
added; hence the high prices act as a
protection to the foreign producer,
who receives nothing in exchange for
the product of his skill and labor ex-
cept currency good at staple value
the world over.
1t seems to me that nothing is
clearer than that the greater part OF
the burden of the existing prostra-
ton, for the want of a sound financial
system, falls upon working men, who
must after all produce the wealth,
and the salaries of the men who SUI
perintend and conduct the business.
The burden falls upon them in two
ways: by the deprivation of employ
ment, and by the depressed purchas-
ing power of their salaries.
SUGGESTIONS.
1t is the duty of Congress to devise
the methods of correcting the evils
which are acknowledged to exist, and
not mine; but will venture to sug.
gest two or three things which seem
to me as absolutely necessary to a re-
turn to specie payments. The first
great requisite in a return to pros
perity is that the legal tender clause
to the law authorizing the issue OF
currency by the National Govern
ment should be repealed, to take effect
as to all contracts entered into after q
day fixed in the repeating act-not to
apply, however, to the payment OF
soldiers by the Government, or fol
other expenses provided by law to be
paid in currency. In the interval
pending between the repeal and final
resumption, provision should be
made by which the Secretary Of the
Treasury can obtain gold as it may
become necessary, from time to time,
from the date when specie resumption
commences. TO this might and
should be added a revenue sufficiently
in excess of the expenses to insure an
accumulation of gold in the Treas
ury to sustain the resumption. com
mend this subject to your careful
consideration, believing that favor
able solution is attainable, and that if
reached by this Congress, the present
and future generations will ever
gratefully remember it as their de-
liverer from a thraldom of evil and
disgrace. With the resumption of
specie payments
FREE BANKING
may be authorized with safety, giving
the full protection to bill holders
which they have under the existing
laws. Indeed, I would regard free
banking as essential. 1t would give
proper elasticity to the currency. AS
more currency would be required for
the transaction Of legitimate business
new banks would be started, and in
time the banks would wind up their
business when it was found that
there was superabundance Of cur
rency.
The experience and Judgment of
the people can best decide just how
much currency is required for the
transaction of the business of the
country. 1t is unsafe to leave the
settlement of this question to Con-
gress, the Secretary of the Treasury,
or the Executive. Congress should
make the regulation under which
banks may exist, but shonld not make
banking a monopoly by limiting the
of redeemable paper currency
that shall be authorized. Such inn
portance do 1 attach to this subject,
and so earnestly do | commend it to
your attention, that / give it promi-
nence by introducing it at the begin
ming Of this message.
The Message alludes to the I'M
happy strife yet continuing in Cuba,
and the intestinal dissensions in
Spain, but makes no recommends
tons with reference thereto.
THE REPORT OF THE SECRETARY OF
THE TREASURY
made directly to Congress and form
ing no part of this message, will show
the receipts and expenditures of the
government for the fiscal year, the
amount received, each source of reve-
nue., and the amount paid out for
each OF the departments of govern
ment. 1t will be observed from this
report that the amount of receipts
over expenditures has been but ST.
344, ss2.2O for the fiscal year ending
June 3oth, 1874; and for the cur
rent fiscal year the estimated re-
ceipts over expenditures will not ex-
coed much over s9,OOo,oOO. In view
of the large national debt existing
and the obligations to add one per
cent per annum to the sinking fund,
the sum amounting now to over $34,-
per annum, / submit whether the
revenues should not be increased or
diminished to reach this
of surplus, and to provide
for sinking fund-a partial feature
of all contracts and obligations Of the
government. At the last session of
Congress very considerable reduc-
ton was made in the rates of taxa
ton, and in the number of articles