Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1874-06-26
A GLANCE OVER THE FIELD.
An Austrian Performance ON the
Currency Question by Congress.

Currency Question by Congress.
New York Tribune, June 3.
The lions skin drops off. The Pres
ident has signed the Iniationists' bill.
l. 1t sanctions the incr ease of the
legal-tender circulation from $685.
0O0, 900 to S3S2, 100000.
2. 1t for the second time since the
war promises that beyond this point
there shall be no imitation, and requires
also that there shall be no reduction
without consent of Congress.
3. 1t substantially abolishes the diff
ference between greenbacks and ma
tional bank notes, since the greenbacks
are no longer required as part of the
bank reserves.
4. It reduces the reserves which the
national banks are required to keep
to five per cent, and thus substanti-
ally adds 10 the active circulation
S30,O0O,OOO.
5. 1t provides for transferring $751;
100000 of the National bank circuia-
ton from Eastern to Western banks.
In December, 1868, Congress re-
stricted the United States Treasury
from paying its legal-tender notes, the
issue having then been reduced to
$3.50, 100000. And now again, in June,
1874, Congress, with the consent Of the
President, once more restricts the
Treasury from owing less than $780,
100000 in notes payable to bearer.
The United States Government is, then,
commanded not to pay its decisive
mean that class of its debts which it
forced upon its creditors during the
war, which we have seen deprecated
sixty per cent. below par, and which
are still at a discount of more than ten
per cent. Since the restriction
of 1868, there have been paid
off S375,O00,000 of interest-bear-
ing indebtedness-we suppose, in
pursuance of the principle cnunciated
IN 1868 In Chicago, that "the national
honor requires the payment of the pub
lie Indebtedness in theuttermost good
faith to all creditors Again, this
Government, in accordance with the
financial policy forced upon the Treas
ury by Congress, whenever it has had
a surplus of coin, or real money, has
not used that money to pay its green
backs according to promise, but has
held an auction and bought back its l.
o. Us. from those who ware willing to
sell at the greatest discount, which !.
o. Us. being legal tender, it has again
paid out to its creditors for full value.
When Gen. Grant, five years and
four months ago, became President,
the legal-tender circulation was $780,
100000; the illegal tender, or bank !
was 1898, 100000, and the |
tag-rag and bobtail, or fractional cur
rency. was 100000, making total |
Of S6S6,00O,000. Now, over thirteen
years since greenbacks were first made |
use of, the legal-tender circulation is
$3.50 200, 900, the semi legal-tender cir |
;ulation $3.50, 900. 900, and the fraction
Il currency S47,000,00O, being in all
S779, 100000. The increase in five
years is S93,000,000, or tourteenp per cent.
Meanwhile we have had decision from
he Supreme Court that anything
s money which the Government
s pleased to call money, and
hat a contract to pay dollars
dollar in former times meant aspecifc
quantity of coined gold or silver, of
certain fneness) is satisfied by paying
whatever substance the Government
nay choose to issue and force into use
is legal tender. What more could
Louis XIV, or the Sultan OF Turkey,
AVE asked? Degradation of Congress;
OF the Supreme Court;
of the Executive; degrade
ion of political and private morals;
of State, municipal, pri-
ate and corporate credit-this is the
.arvest we reap. Those who shame
essly demand that money be made of
ess worth, In order that they may es-
ape the obligations of their contracts,
re now in the ascendant in Congress,
q the courts, and in the White House.
And yet-inestimable bonn!-the
olume of the paper circulation is once
lore .fCed What inhationist does
OF chuckle at the sound of this:
What man who can appreciate the per
s of his country, and feel the nations
is insensible to the sting of
ne sarcasm? Yesterday, at about the
our chosen by the President for low
ring his flag and turning his face
life entered into the body
3.65 Kelley, and, with something of
is old assurance, he requested that
he Sth of December be fixed for the
,nsideration of his plan for providing
with plenty OF money. The
lper circulation fixed? Yes, truly. ,
as the winds and waves,
lie clouds and the lightning.
We are not blind to tie fact that this
II may incidentally do a little good.
at least gives the assurance that the
reasury Department can no longer q
axe aud unmake fortunes in Wall
rect by issuing or retiring a pretend ]
reserve. 1t meets the Western
'mplaint that the East has more than
) fair proportion of circulation. 1t
yes an immediate stimulus to some :
nds of business. But it is a practi-
j abandonment of the fight for steps W
wards specie payments. Austria has lc
,en cursed with paper money for
Indred years, because her rulers had
It the nerve and sagacity to embrace fl
e favorable opportunities for return IL
g to specie payments. This bill is an o..
nstrian performance.