The Hawaiian gazette., 1874-12-30
HAWAHANGAZETTE
PRESIDENT GRANTS MESSAGE.
Important Legislation Re.
commended.


and he House Of Representatives. Since the
converting of Congress one year ago. the nation
has undergone prostfation in its business and
industries, such as has not been witnessed with
Us for many years. Speculation as to the cause
for this prostration might be INDUCED 10 without
profit, because as many theories would be adj
vunced as there would be independent writers
therefore will call your attention only to the
fact, and to some questions as to which it would
seem there should be no disagreement. During
perity have been most abundant-labor and capt.
tai. Both have been largely unemployed. Where
security has been undOubted, capital has been OBJ
tainable at very moderate rates. Where labor
has been wanted it has been found in abundance
at cheap rates compared with what the accesso-
ries and comforts Of life could be purchased with
the wages demanded. Two great elements of
prosperity, therefore, have not been denied us.
A third might be added: Our soil and climate
are unequalled within the limits of any contigu-
Gus territory under one nationality, for its va
rieties Of products, to feed and clothe people
in the amount Of surplus TO spare to feed less
favored people, Therefore, with these facts in
view, it seems TO me that wise craftsmanship at
this session Of Congress would dictate ignoring
the past and distributing, in proper channels,
these great elements of prosperity to any people.
The debt abroad is the only element that can,
with always sound currency, enter into our af-
fairs to any continued depression in the in
dustries or prosperity. A great conflict for ma
tional existence made necessary for temporary
purposes the raising Of large sum of money
from whatever source attaiDable. 1t was made
necessary, in the wisdom Of Congress-and l do
not doubt their wisdom in the premises regard
ing the necessity Of the times-to devise sys.
TEN Of national currency, which it proved to be
impossible to keep on par with the recognized
currency Of the civilized world. This begot
spirit OF speculation involving an extravaganza
and righteousness notrequired for the happiness or
prosperity of people, and involving both direct
ly and indirectly foreign Indebtedness. The cur
Iency being Of huctuating value, proved to be
unsafe to hold for legitimate transactions requir-
ing money and became a subject Of speculation
in itself. Those two causes, however, have in
volved us in foreign Indebtedness contracted 10
good faith by the borrower and lender, which
should be paid in coin, and according to the bond
agreed upon when the debt was contracted--gold
or its equivalent. The good faith of the Gov
eminent cannot be violated toward creditors
without national disgrace. Our commerce should
be encouraged, American ship-buldiug and car
rying capacity increased, foreign markets made
to seek for the products of the soil and manufac-
lures to the end that we may be able to pay
these debts where market can be created for
the sale Of other products, either of the soil the
mine, or the manufactory-a new means is dis
covered of utilizing our idle capital and labor to
the advantage of the whole people.
WISE LEGISLATION FOR SPECIE RESUMPTION.
In my judgment, the first step toward accom-
plishing this object is to secure good currency
wherever civilization reigns-one which, if it
becomes superintendent with one people, win
find market with some other; currency which
has its basis the labor necessary to produce it
which will give Us value. Gold and silver are
now the recognized mediums of exchange tie
world over and to this we should return with the
least practicable delay. In view of the pledges
of the American Congress when our present le-
gal tender system was adopted, and the debt
contracted, there should be no delay-eertainly
no unnecessary delay, in fixing by legislation
method by which we will return to specie. \
The steps toward the return to a specie basis are
tha - i
for end. There are others which may touch
upon hereafter. A nation dealing in a currency
below that of specie in value, labors under two
great disadvantages.
First-Having no use for the worlds acknowl-
edged medium of exchange, gold and silver.
These are driven out Of the country because there
is no demand for their USE
Second-The mediums of exchange in use be-
ing of auctuatng value for, after all, it is only
worth just what it will purchase of gold and sill
yer, metals having an intrinsic value just in pro-
portion to the honest labor it takes to produce
them. A large margin must be allowed for pro-
ut BY the manufacturers and producers. 1t is |
months from the date of production to date of
realization. Interest upon capital must be
changed, and the risk Of huctuation in the value
of getting that which is to be received in pay
ment added. Hence, high prices act as protec-
ton to the foreign producer, who receives moth.
ing in exchange for the product of his skill and |
labor except q currency good at stable value
the world over. 1t seems to me that nothing is |
clearer than that the greater part of the burthen
OF the existing prostration Of sound financial
system, falls upon the workingman, who must,
after all, produce the wealth. and the saaried
man who superintends and conducts business.
The burthen falls on them in two ways; by the
depreciation Of employment and by the decreas-
ed purchasing power OF their salary. 1t is the
duty of Congress, not mine, to devise the means
Of correcting the evils which are acknowledged
to exist; but will venture to suggest two or
three things which seem to me as absolutely ne
cessary to return to specie payment-the first
great requisite as return to prosperity. The
egal tender clause to the law authorizing the
ssuing Of currency by the National Government
hould be repealed, to take effect as to all con-
racts entered into after day fixed in the re-
,ealing act. This should not apply, however, to
payments Of salaries by the Government, or for
,ther expenses now provided by law to be paid