Vermont farmer. [volume] (Newport, Orleans County, Vt.) 1870-1877, 1874-12-11
The PRESIDENTS MESSAGE.

and industries, so that the depression cannot
be laid TO any scarcity Of these, Our debt
abroad is the only element that can, with an
always sound currency, enter into our affairs
to cause any continued depression to tho in.
dustries aud prosperity Of our people. A
currency has been created which it has been
found impossible to keep at par, The cur
rency, being Of fluctuating value, and there
fore unsafe to hold for legitimate trade re-
quiring money, became subject Of specula'
ton in itself. These two causes have in
volved us in a foreign Indebtedness, contrac-
ted 10 good faith by 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 government cannot be vio-
lated toward creditors without national dis
grace, but our commerce should be encour-
aged, American ship-building and carrying
increased, foreign markets sought
for the products Of the soil and manufacture
ers, TO the end that we may be able to pay
these debts. Where q new market can be
created for the sale Of our products, either
of the soil, the mine, or the mandatory, n
new means is discovered Of utilizing our idle
capital and labor to the advantage Of the
whole people, it should be done.
But, in my judgment, the first step to-
ward accomplishing this object is to secure
a currency good wherever civilization reigns;
one which, il it becomes superintendent with
one people, will find a market with others
currency which has the basis Of the labor
eecessary TO produce it, and which will give
to it its value. Gold and silver are now the
recognized mediums of exchange the civilized
world over, aud to this we should return with
the least possible delay. 10 view Of the
pledges Of the American Congress when our
present legal tender system was adopted and
our debt contracted, there should be no de-
lay, certainly no unnecessary delay, in fix
ing by legislation method by which we
will return to specie. To the accomplish
ment of this end 1 invite your special attcu-
ton. believe firmly that there can be no
prosperity aud permanent revival oil business
and industries until policy is adopted, with
legislation to carry it out, looking to re-
turn TO specie basis. II Is easy to con.
ceive that the debtor aud speculative classes
may think it Of value to them to use paper
money until they can throw a portion Of
their burden 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 legal tender med
ium Of exchange.
A nation dealing in currency below that
Of specie in value labors under two great dis
Iya EtraA la utVc, Va for tho
worlds acknowledged mediums 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 ia
use being of a fuctuating value-for, after
all, it is only worth just what it will pur.
chase of gold or silver metals, having an ill.,
triusic value just in proportion to the honest
labor it takes to produce them-a larger
margin must be allowed for profit by the
manufacturer and producer. 1t is months
from the date of production to the date oil
realization, interest upon the capital must be
charged, and the risk of fluctuation in the
value Of that which is to be received in pay
ment added Hence high prices, acting as a
protection to the foreign producer, who re.
ceives nothing in exchange for the product
Of his skill and labor except currency goot
at staple valued the world over.
With resumption, free banking may b.
authorized with safety, giving the full pro
lection to bill-holders which they have under
existing laws. JUDGED, | would regard free
banking as essential. 1t would give proper
elasticity to the currency. As more cur,
rcncy should be required for the transaction
Of legitimate business, new banks would b.
started, and in turn banks would wind up
their business when it was found there wa,
a superabundance Of currency. The oxper'
fence and judgment Of the people can bcs
decide just how much currency is required
for the transaction of the business Of til,
country. 1t is unsafe to leave the settle
ment of this question to Congress, the secre
tary Of the treasury or the executive. Con
gress should make the regulations unde
which banks may exist, but should not max
banking monopoly by limiting the amour
of redecmable paper currency that shall b,
authorized. Such Importance do attach Il
this subject, and so earnestly do l common,
it to your attention, that give it promi
hence by introducing it at the beginning o
this message.
Our relations with foreign powers ar
most friendly and cordial, in most cases
With China and japan, though at one tim
trouble between the two nations, the rcsul
Of which to the United States could not b
foretod, was feared, there are the mos
friendly relations. la connection with thi
subject | call the attention of Congress to
generally conceded fact, that the great pro
portion Of the Chinese immigrants who com
TO our shores do not come voluntarily t
make their homes with US and their labo
productive Of general prosperity, but com
under contracts with headmen, who ow
them almost absolutely. In worse iorr
does this apply to Chinese women. Hardl
perceptibe percentage Of them perform an
honorable labor, but they are brought 70
shameful purposes to the disgrace Of til
communities where settled and to the grea
decentralization of the youth of those local.
ties. If this evil practice can be legislate,
against, it will be my pleasure, as we'll a
duty, to enforce any regulation to secure S
desirable an end.
Marauding on the frontiers botwee
Mexico and Texas still frequently take
place, despite the vigilance of the civil an
military authorities in that quarter.
The deplorabe strife in Cuba continue
without any marked change in the relativ
advantages OF the contending forces. Tn
insurrection continues, but Spain has game
no superiority. Six years of strife give tn
insurrec ton significance which cannot b
denied. Its duration and the tenacity of il
adherence, together with the absence
manifested power of suppression on the pal
of Spain, cannot DO controverted, and ma
make como positive steps on the part of otl
er powers matter of selEnecessity. ha
confidently hoped, at this time, to be able I
announce the arrangement Of some of the in
portant questions between this governmeI
and that Of Spain, but the negotiations ha,
been protracted. The unhappy intestir
dissensions of Spain command our proloun
, | syunathv and must ha occantad no Manila,