Watertown republican. [volume] (Watertown, Wis.) 1860-1906, 1874-12-16
NATIONAL AFFAIRS
Annual Message Of Presi-
dent Grant.
A Comprehensive Review Of all Depart
mGntS Of The Government.
Specie Resumption Earnestly
Urged.
The Story of Southern Troubles
Plainly Told.
Sundry Recommendations and Sug-
gestions.

To the Senate and House of Representatives
Since the converting of Congress one year
ago the nation has undergone prostration in
business and industries such as has not been
witnessed with us for many years. Specula-
| tiOn as to the causes for this prostraton might
be INDUCED inwithout profit because as many
theories would be advanced as there would be
independent writers-those who expressed
| their own views, without borrowing upon the
subject, without indulging in theories as to the
cause of this prostitution Therefore I will
call your attention only to the fact and to
some questions as to which it would seem there
should be no disagreement. During this pros
tration two essential elements of prosperity
have been most standardization and capital
Both have been largely unemployed. Where
! security has been undoubted, capital has been
attainable at very moderate rates. Where labor
has been wanted, it has been found in abundance
| at cheap rates, compared with what of neces-
| saries and comforts of life could be purchased
with the wages demanded. Two great ele-
| ments of prosperity, therefore, have not been
denied u.s. A third might be added. Our soil
and climate are unequalled, within the limits
of any contiguous territory under one nation
| atty, for it's varieties of produce to feed and
clothe people, and an amount of surplus to
spare to feed less favored people. Therefore
with these facts In view, It seems time that wise
craftsmanship at this session of Congress
would dictate ignoring the past, distributing in
the proper channels these great elements of
prosperity to any people Debt abroad i sthe
only elements that can, with always sound
currency, enter into our affairs to cause any
continued depression in the industries and
prosperity of our people. A general conflict
for national existence made necessary
for temporary purposes, the raising
! of large sums of money from what
ever source attainable. It made necessity
| in the wisdom of Congress- and 1 do not
doubt their wisdom in the premises, regarding
the necessity of the times, to devise system
of national currency which proved to be inn
possible to keep on par with the recognized
| currency of the civilized world This begot
spirit of speculation, involving an extravaganza
and luxury not required for the happiness or
prosperity of a people, and involving both di
rectly and indirectly, foreign Indebtedness
The currency, being of too fluctuating value to
be unsafe to hold for legitimate transactions
requiring money, became subject of specula-
ton in itself. Those two causes however,
have involved us in a foreign indebtedness,
contracted in good faith by borrower and lend
er, which should be paid in coin and according
to the bond agreedupon when the debt was
contracted or it's equivalent. The good
faith of the government cannot be violated to-
wards creditors at the expense of national dis
grace. Our commerce should beencouraged
American ship-building and carrying capacity
Increased, foreign markets sought for the pro-
ducts of the soil and manufactures, to the
end that we may be able to pay these
debts. Where market eau be created for the
sale of our products, either of the soil, the
NINE or the mandatory, q new means is dis
covered of utilizing our idle capital and labor
to the advantage of the whole country. Is
SPECIE RESUMPTION. 49,. ....
But, in my judgment, the first step towards
accomplishing this object is to secure a cur
rency good wherever civilization reigns, and
which, if it becomes superabundant with one
people, will find market with some other;
currency which has as its basis the labor nee
essary to produce it which will give it's value
Gold and silver are now the recognized medi-
ums of exchange the civilized world over and
to this we should return with the least practi-
cable delay. In view of the pledges of the
American Congress when our present legal ten
der system was adopted and debts contracted.
there should be no delay, certainly no unnec-
essary delay, in fixing by legislation method
by which we will return to specie. To the &C
comphshment of this end invite your atten-
ton. l believe firmly there can be no pros
porous and permanent revival of business and
industries until policy is adopted with legis-
latlon to carry it OUT looking to a return to
specie basis. 1t is easy to conceive that the
debtor and speculator may think it of value
to make a so-called money abundant until
they can throw portion Of their burdens
upon others. But even these, believe, would
be disappointed in the result if course should
be pursued which will keep in doubt the value
of the legaEtender medium of exchange
revival Of productive Industries lis needed by
all classes-by none more than the holders of
property of whatever sort with debts to liqui-
date from realization upon it's sales. But adj
hitting that the two classes of citizens are to
be benefited by expansion, would it be honest
to give it? Would not the general loss be too
great to justify such relief? Would it not be
just as honest and prudent to authorize each
debtor to issue his own legal-tenders to the ex-
tent of his liabilities as to do this Would
it not be safer, for fears of over issues by IN
scrupulous creditors, to say that all debt obi
cations are obllterated In the United States,
and now we commence anew, and each possess
ing all he has at the time free from incum-
brance?
These propositions are too absurd to be en-
tertained for a moment by thinking people.
Every delay in the preparation of final re-
sumption partakes of this dishonesty, and is
only less in degree as the hope is held out that
a convenient season will at last arrive for the
good work Of redeeming our pledges to COM
mence. It will never come, in my opinion
except by positive action by Congress, or by
national disaster, which will destroy for time
at least, the credit OF individuals and the state
at large. A sound currency must be reached,
OF the total bankruptcy of the credit and in
tegrity of the nation, and of Individuals, may
ensue I believe it is in the power of Congress at
this session to devise such legislation as will
renew confidence. revive all Industries, start
us on career of prosperity, to last for many
years, and save the credit of the nation, and
the proper steps toward return to specie
basis are the great requisite, to this devotedly
to be sought for end. There are others which
[ may touch upon hereafter. A nation deal
ing 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 medium of exchange in use be-
ing OF f1uctuating value for after all it is only
worth just what it will purchase of gold and
SILVER metals, having intrinsic value just in
proportion to the honest labor it takes to pro-
duce them, large margin must be allowed for
prom TO the manufacturer and producer. 1t is
montns from the date of production to the date
Of realization. Interest upon capital must be
charged, and risk of fuctuation in the value of
that which is to be received in payment added
Hence high prices, acting as a protection to
the foreign producer, who receives nothing in
exchange for the product of his skill and labor
except q currency good at staple value the
world over. 1t seems to me that nothing is
clearerithan the greater part of the burden of
existing prostration, for the want of a sound
financial system falls I1nOn tho. uorl;,,~,oo,,