New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1874-06-06

paper dollar dollar and quoting gold at 40 much pre-
MUM, should think and speak of az at 40 much
discount this alone would aid greatly in bringing the
two currencies nearer together at par.
Second / would like a provision that at a fixed
day. July 1876 the currency issued by the United
States should be redeemed coin presentation 70
any assistant treasurer and that all the 40 re-
deemed should be cancelled and never reissued To ef
feet this it would be necessary Authorize the Issue of
bonds payable gold, bearing such interest as would
command par In gold TO he put out oy the Treasury
only In such should from time TO time be needed
for the purpose Of redemption.
such legislation would insure return 70 sound 1nan'
cial principles in years, and would in my Judgment
work less hardship TO the debtor interest, than Is
likely TO from putting off the day Of final reckon
ing II be borne mind that the creditor n-
terest had its day OF disadvantage also when our pres
ent financial system brought In by the supreme
needs Of the nation at the time. would further pro-
vide that from and after the date fixed for
redemption, no bills. whether of National banks
OF OF the United States returned 10 the
Treasury to be exchanged for bills. should be re-
placed by bills OF less denomination than $40 and that
in one year after resumption all bills of less than -
should be withdrawn from circulation and IN two years
all bills than SO should be withdrawn The adj
vantage OF this would be the strength given to the
country against time of depression resulting from war;
failure OF crops any other by keeping always
metals. With all smaller transactions conducted IN
coin many millions Of would be kept IN constant use
and Of prevented from leaving the country I'm
doubtedly poorer currency will always drive the
better out of circulation. With paper legal tender
and at discount gold and silver become
articles OF merchandise much as wheat or
cotton. The surplus will find the best mar
ket IT can With small bills in circulation, there
for coin, except TO keep It IN the vaults OF
banks redeem circulation. During periods OF great
speculation and apparent prosperity, there is little de-
mand for coin, aud then 1t will flow out 70 a market
where IL can be made something which cannot
do while lying idle. Gold like anything else, when not
needed becomes surplus and like every other surplus
IL seeks q market where il can find one. BY giving
active employment to coin. however its presence can
seems 10 me- secured and the pancs and depressons
which have occurred periodically in times of nominal
specie payments II they cannot be wholly prevented
can az least be greatly migated. Indeed, question
whether il would have been found necessary to depart
from the standard OF specie in the trying days which
gave birth first legal tender act had the country
taken the ground Of no small bills early as 1880.
Again. would provide an excess OF revenue over
current expenditures would do this by rigid economy
creased revenue would work a constant reduction OF
debt and interest and would provide coin 70 meet de-
mands on the Treasury the redemption of it's notes.
thereby diminishing the amount OF bonds needed TOT
that purpose All taxes after redemption begins should
be paid United States notes. This would force
redemption on the national banks. With measures Ike
these OF measures which would work out such results,
see no danger authorizing free banking without limit