Gold Hill daily news. [volume] (Gold Hill, N.T. [Nev.]) 1863-1882, 1874-04-23
Veto OF the Imitation Bill.

i return senate Dill NO. VIZ,
untitled "An Act to tx the amount Of
United States notes and the circulation
Of National Banks, aud Tor other pur-
poses" without my approval. In do.
Ing so I must express my regret at'not
being able to give my assent to q meas.
ure which has received the sanction OF
the majority Of the leglslators chosen
by the people to make laws for their
and I have strenuonsly
to find sufficient argument 70
Justify such assent, but unsuccessfuily.
Practically, 1t IL q question whether
the measure under discussion would
give an additional dollar to our lire,
deemablo paper currency or not ana
whether BY requiring three.fourths OF
the reserves to be retained by the banks
and prohibiting interest to DO received
on the balance, 1t might not prove a
contraction, but the fact cannot DO con-
cealsd that Theoretically tho bill
IScnrAsEs PAPER CIRCULATION
500, 900. 900,
Less only the amount Of the reserves
restrained from circulation by consti-
tutlonal provisions. The second sec.
ton OF the measure has been support
cd on the theory that 1t would give an
Increase OF circulation. Il 10 a fair in-
ference, therefore, that II the practice
of tho measure should fail to create
the abundance OF circulation expected
of Il, the friends Of the measure, par
ticularly those out Of Congress, would
clamor for such imitation as would
give the expected relief. The theory,
In my bsllef, 10 q departure frem the
true principles Of finance, the national
Interests, the national obligations to
creditors, Congressional promises, par
ty pledges, and my personal viewi and
promises, made In each Of my inaugu-
raj addresses, and In my annual mes.
sage to Congress, December Is, 1859,
In which the following passage APP
pears: "Among the evils growing out
Of the rebellion, and not yet referred
to, Il that OF irredeemable currency.
It Is an evil which | hope will receive
your most earnest attention. IL Is the
duty, and ono Of the highest duties Of
tho Government, to secure to the clti.
zen q medium OF exchange OF q fixed
and unvarying value. This implies a
return to a specie basis, aud no substi-
tute for 1t can DO devised. IL should
DO commenced now, and reached at
the earliest practicable moment con-
sistent with a fair regard to the inter-
eats OF the debtor class. Immediate
resumption. II practicable. would not
bs desirable. Ii would compel the
debtor class to pay beyond their con-
tracts q premium on gold at the date
Of their purchase. aud would bring
bankruptcy and ruin to thousands.
Fluctuations however, In paper, val
ued by the measure Of all values, gold,
Is detrimental to the Interests Of trade.
Ii makes the man Of business
AN INVOLUNTARY GAMBLER,
for In all sales where future payment Is
to DO made, both parties speculate as to
what will be the value Of currency to
be paid and received. | earnestly re-
commend to you such legislation rs
will insure the gradual return to spo-
clio payment, and put an immediate
stop to the fluctuations In ths value OF
currency" | still adhere to the views
then expressed. As early as Decem-
Der 4, 1866. the House Of Representa-
tiyes passed q resolution, by u vote OF
III to q, concurring la the views Of
the Secretary Of the Treasury In rela-
ton to the necessity Of q contraction
Of the currency, witha view to as early
q resumption Of specie payment as the
business Interests OF the country would
permit, plsdglng cooperative action
to this end rs speedily rs possible.
The iirst Act passed by the Forty.frst
Congress on the 18th OF March, 1869,
was an Act to strengthen the public
credit Of the United States. This Act
still remains as containing the pledge
of the United States to make provision
at tho earliest practicable moment for
the
REDEMPTION or UNITED srATEs NOTES
IN COIN.
The declaration contained In the Act
Of June 20, 1861, created an obligation
that the total amount Of United States
notes Issued, or to he issued, should
never exceed 500, 900, 900. The
amount In actual circulation was ac-
tually reduced to three hundred and
fifty-six millions, at which point Con-
gress passed tho Act OF February 4,
1868, %susPendlng the further reduction
Of the currency. Tho forty-four mill
lions withdrawn have ever been 70.
garded as reserve, to be used only In
case OF emergency, such as has oc.
Cured on several o%ccasionss, aud must
occur when from any causo the reye-
nuss suddenly fall below the expendl-
lures; and such reserve Is necessary
because the fractional currency,
amounting to $50, 900, 900, 10 rsdeema-
BILE in legal tenders on call. 1t may
be said that such return OF fractional
currency for redemption Is improba.
BILE, but let steps be taken for a return
to a specie basis and 1t will be found
that silver will take the place Of frac-
tlonal currency.
As RAPIDLY Az 1T CAN III: SUPPLIED.
When the premium on gold reaches
q sufficiently low point, with the
amount Of the United States notes to
DO issued fixed permanently within
proper limits and the Treasury SO
strengthened As to DO able to redeem
them In cola on demand, 1t will be
then safe to inaugurats n system Of free
banking, with such provisions Nc to
make compulsory tho redemption OF
circulating notes Of banks In coin or
United States notes, themselves re-
deemsble aud made equivalent to coin.
As a measure preparatory to free
banking, or for placing the Govern
msnt In q position to redeem Its notes
In coin at the earliest practicable mo-
ment, tho revenues Of the country
should DO increased so as to pay cur
rent expenses aud provide for a sink
Ing fund as required by law, and also
u surplus to be retained In the Treas
ury In gold. am not a believer In
ANY ARTIFICIAL METmoD OF MAKING
PAPER MONEY EQUAL. TO COIN
When the csin 10 not owned or held
to redeem the promises made to
nav for IL. paDar Nancy Ia NOTHING