National Republican. (Washington City (D.C.)) 1872-1888, 1874-12-08

and above which were accepted by the Depart
than par, which were rejected, amounted to
SlO,s2OOOO.
| RESUMPTION OF SPECIE PAYMENTS.
1t is obvious that there can be no resumption
by the Government so long as the volume of
paper currency is largely in excess Of the posi-.
Bile amount Of coin available for that purpose
which may come into the Treasury in any year,
and while no provision is made for the conversion
OF thls paper money into anything having a
Rs1 or soI e eo e nor Is y possible lot the
amount Of irredeemable paper now in circulation
continues to be by law legal tenderfOr ali private
debts with reference both to the mast and the
future. While this state of things lasts gold will
continue to flow from US, and ind employment
| where the natural laws Of trade. unobstructed
dispensabie.
The Secretary, therefore, recommends Congress
20 provide BY law that after an early and fixed
day United States notes shall cease to be legal
tender as to contracts thereafter made. But this
provision should not apply to official salaries or
to other ordinary expenditures of the Govern
ment under then existing contracts or appropria-
tiOns. Between the day thus to be fixed and the
time of final resumption a sufficient period should
elapse to enable the people and banks to prepare
for the latter by such gradual processes In bust
ness as will neither lead to violent contraction in
credit and values, nor suddenly increase the obli
cations Of debtors. The sudden and immediate
appreciation Of the paper dollar to its par value
in gold is not only no necessary element Of re-
demPtion, but as far as practicable, should be
legal-tender acts operated as bankrupt law
compelling creditors to give ac4uittances upon
debts, this is no reason why the law for resump-
ton should now compel debtors at once to pay
essentially more than they have contracted to
The adoption of such measures as Will not sud
denly increase the obligations of debtors, will 90
Iar TO alIay and dIsaTm whatever popular OppO-
sitiOn to resumption Of specie payment may now
exist, and besides would be but just to the debt
or class. The day from which new contracts
must be discharged in coin should be fixed suti-
GENTLY far in advance to give the people and the
banks time to underestimate and TO prepare them
selves for 1t. 1t is believed that not many months
will be necessary for that purpose; but, to avoid
the mischiefs already Indicated, this day should
preeede the day Of final resumption by longer
| The Secretary, be extended beyond three wears.
| and might safely be made as much less as In the
Judgment Of Congress would sufficiently protect |
the interest Of debtors and avoid the evils Of too
Tho law should also authorize the immediate |
conversion of legaltender notes into bonds bear
ing low rate OF interest, which, while inviting
conversion, should not be so high as to appreciate
the legal-tendeE notes rapidly, and thereby ope-
rate OppressiVGly the debtor class. AS an ad- |
dttional inducement tO-the conversion of United |
States notes HtO these bonds at low rate of in
tcrest, authority should be given for making them
security for the circulation of national banks. |
| The law should further provide the means for the |
| redemption of such notes as may be presented for
| that purpose hen the period Of resumption shall
| have been reached. To this end the Secretary |
| should be authorized 10 make loan not exceed |
| ing the total amount of notes remaining uncon- |
verted at the time of resumption less the surplus
revenue TO be made applicable to such resImp-
| 1t is probable that the gradual and continued
revival OF business will so tar increase the rev.
| enues that large loan will not be required for
| this purpose; but IL is advisable that the Secre-
| tary be authorized to make it in order to meet
the contingency OF failure of sufficient surplus
revenues Such lean should be made by fssu-
| ing bonds to run for such time as the wisdom Of
! Congress may suggest, and to be disposed Of
ITOh lllne 70 time as the necessities OF the case
may require. In the opinion Of the Secretary,
! these bonds should run for a long period. and
! should bear interest at rate not exceeding the
| lowest rate which the Government may then be
| paying in refUnding its six per cent securities
| ANY substantial or useful movement for resump-
ton necessarily involves supplying the Treasury
with increased amounts Of coin either by
Increased revenues or an adequate loan. The
present condition Of the credit Of the Govern
adoption Of measures for return to a specie basis |
leaves no room for doubt that loan for such pur-
pose would be readily taken at low rate OF inter
est. Measures should also be adopted requiring
The banks to hold gold reserves preparatory to
resumption On their part.
THE CURRENCY.
The Secretary invites attention to the rcport
and recommendations Of the Comptroller Of the
Currency, already printed in THE NATIoNALRE-
PUBLICAN, and says that facts and statistics show
that there is large amount of currency in excess
Of the legitimate needs of business and should
serve 10 dispcl the.allacy that greater expansion
oftuTrency is the proper remedy for the general
depression and contraction Of the volume Of bust
ness.
COINAGE
The report Of the Director of the Mint presents
in detail the operations Of tho mints and assay
offices and contains valuable information relative
to coinage, foreign moneys, and international ex-
TEs amount y, sulliOp operated upon during
the fiscal YsaS SSa-=
Silver. l5,l22,l5l 81
Total Observation-Disclosures. sa,9s3,74s Is
Deducting rcdeposfts, bars made at one insti-
tuition and deposited at another, the deposits
were
Gold sIo,7zz s11 "a
ii, 4S4e17 IS
The gold coinage. including worn pieces re-
coined, 80 2,69g; silver coinage IS 9s3 COL:
gold bars stamped, 81 sSs silver bars stamped,
Compared y!th the previous year there was an
increase in the gold coinage OF SIS, 1873 so; in
silver coinage, 57, j.Sg: and in gold and silver
bars, Slo,sIt,osd.57.
REVENUE FROM CUSTOMS.
For the year ending June So 1874. the decline
in receipts from the previous year was consider
ablc-talllg OIL from slSS,Os1.j22 to Sl63 l03 $50,
loss OF nearly S25 o00pO0. The receipts for the
hTst quarter OF the current fiscal year were two
and halt millions lSss than for the correspond
ing Iericj Of the last year. The receipts for the
months of Octohsf and November. iS73 were
saI."4L3aG -. For the same months Of the cur
rent year they were s22,I55,sll:
The Cct Of June G. 1872, admitted large classes
Of manufactures 10 . reduction Of ten per cent. of
the duties prescribed by previous statutes. without
designating specifically the articles to which the
reduction should apply, leaving much room for
construction in the praetical application Of the
act 20 articles Of design of particular COM
bihations OF materials. This act was fOlOwsd by
a system OF extreme pressure for reduction.
claimed through changes Of classification Of ar
tclcs. and advantage was sought to be taken Of
every doubtful construction Ofall parts Of the act
During the years ls73 ard 1874 there a good
deal effected in the way OF reduction Of duties
through changes in form or component materials
Of merchandise, intended 10 answer the same
purpose in consumption that articles and fabrics
charged with a higher of duty had previously
answered. Very large substitutiOns of materials
other than wool have been made for fabrics pre-
viCusly paying the duty charged on WoOlens.
SikE. linens and cOttOns have been similarly imi-
tatcu, while the true rate Of duty was avoided in
some cases and sought TO be avoided in others, by
claiming them as subject to rates Of duty pre-
scribcd in the acts Of lsGl-52 as manufactures Of
mixed materials.
Some portions of the reductions thus claimed
are admitted in the revision Of the statutes Of
1874. while others are rejected rs not properly
authorized 1t has been ascertained, as the re-
suit Of careful calculation, that concession Of
the reduced claSsifcatiODs claimed in the large
number Of appeals made to the Secretary during
the year 1874 would have reduced the revenues
so far as to seriously embarrass the Treasury.
This urgency for reduction is not. now so great,
and there is more general acquiescence in reason
able and proper construction of the statutes by
those who would at any time be content with an
equal administration OF such laws. 1t is the pur
pose Of the Department TO render them equal
and uniform in their application. far practi-
cable and consistent With the letter Of the law,
| and to administer them with such energy as shall
leave none In doubt as to their true meaning. In
the application Of the revised statutes questions
! Of construction often arise, but the Department
has freely announced the principles of cOnstrue- |
ton believed to be applicable, and in this it had
| the support of recent decisions of the courts.
No doubt is entertained that the positions as
! sUmcd by the Department in this respect will
bear any test OF review to which they may be sub
| jected-a matter here alluded to only in the hope
! Of Inducing acquiescence in the intent Of laws,
which. IL equally enforced cannot operate preiu-
! dicially against any class or section.
Referring to the suggestions frequently made |
! in favor Of modification Of the laws imposing dU-
| ties on imports, and treating the subject purely
one Of revenue il is not safe to say that any
duction Ofratcs on particular classes of goods can
! be admitted while the demand Of the Government
for gold is as large a. at present. without cOmpen-
! satiOn by increased rates on other classes. EX-
| perience has shown that there is usually great |
| loss and injury 70 individuals in readustment of
duties 70 which the commercial interests have be-
| come accustomed.
! 1t is, however. Undeniable that there are inc
qualities and iRcOngTuties in existing laws i'm |
| posing duties on imports, and that there is de-
Tnand for their revision, which, in many respects,
seems to be worthy the consideration Of Congress.
Should ii lie the pleasure of Congress to enter
upon this work OF revision it is recommended, in
! order TO avoid the difficulties attending hasty
| and partial notifications that provision be made
| by law for the appointment of commission to
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