The Middlebury register. [volume] (Middlebury, Vt.) 1850-1882, 1874-12-15


disadvantages
First-Having no use for the worlds
acknowledged mediums of exchange
gold and silver-these are driven out of
the country because there is no demand
for their use.
i, Second-The medium OF exchange in
use being Of fuotuating value, for after
all it is only worth just what it will pur.
chase of gold and silver metals, having an
intrinsic value just 10 proportion to the
honest labor it takes to produce them.
A longer margin must be allowed for
profit by the manufacturer and producer
It is months from the date Of production
to the date Of realization. Interest upon
capital must be charged aud the risk Of
Huctuation in the value Of that which is
to be received in payment added, hence
high prices acting ss protection to the
foreign producer, who receives nothing 10
exchange for the product of his skill and
labor, except currency, good at a stable
value the world over 1t seems to me
that nothing is clearer than that the
greater part Of the burden Of existing pros.
tration for the want OF sound financial
system. falls upon the working man. who
must after all produce the wealth and the
salaries of the man who superintends and
conducts the business The burden falls
upon them in two ways: by the depriva.
tion Of employment and by the decreased
purchasing power Of their salaries. 1t is
the duty Of Congress to devise the method
Of correcting the evils which are acknowl.
edged to exist. and not mine. But | will
venture to suggest two or three things
which seem to me as an absolute neces.
sity to q return to specie payments.
Tho first great requisite in return to
prosperity is that the legal tender clause
to the law authorizing tho issue Of cur.
renoy by the national government should
be repealed, to take effect as to all con.
tracts entered into after q day fixed in
tho repealing act, not to apply, however.
to payments Of salaries by government or
for other expenditures now provided by
law to be paid in currency. In the in.
terval pending between repeal and final
resumption, provision shall be made by
which tho secretary Of the treasury can
obtain gold, as it may become necessary
from time to time, frem the date when
specie resumption commences. To this
might and should be added revenue
sufficiently 10 excess Of expenses to insure
an accumulation Of gold in the treasury
to sustain redemption. commend this
subject to your careful consideration, be-
liavlng that favorable solution is at.
tainable, and that, if reached by this
Congress, that the present and future
generations will ever gratefully remember
it ~ their dsliverer from thraldom Of
evil and disgrace.
With resumption. free banking may be
authorized with safety, giving full pro.
lection to bill holders. which they have
under existing laws. Indeed, l would
regard free banking a. essential. 1t
would give proper elasticity to the ctr.
rency. AS more currency should be re.
quired for the transaction of legitimate
business, new banks would be started,
and in return banks would wind up their
business When it was found there was a
superabundance Of currency. The expe.
risnce And judgment Of people can best
decide just now how currency is required
for the transaction of the business Of the
country. 1t is unsafe to leave the settle.
ment Of this question to Congress, the
secretary Of the treasury or the sxecu.
tive. Congress should make the regula.
tion under which banks may exist, but
should not make banking . monopoly, by
limiting the amount of redeemable paper
currency that shall be authorized. Such
importance do l attach to this subject,
and 20 earnestly DO l commend it to your
attention. that l give it prominence by
introducing it At the beginning Of this
message.
During the past year nothing has oc.
CURED to disturb the general, friendly
and cordial relations of the United States
with other powers. The correspondence
submitted herewith between this govern.
ment and its diplomatic representatives,
as also with the representatives of other
countries, shows . satisfactory condition
Of all questions between the United
States, the most of those countries and
with few exceptions. to which reference
is hereafter made. the absence Of any
points Of difference to be adjusted.
The notice directed by the resolution
OF Congress Of June II. 1874, to be
given to terminate the convention Of July
IT, 1873, between the United States and
Belgium, has been given, and the treaty
will accordingly terminate on the first
day Of July, 1875. This convention
seemed to give certain Belgian vessels
entering the ports of the United States
exceptional privileges. which are not ac'
corded to our own vessels. Other fea.
', lures OF the convention have proved sat
isfactory, and have tended to the cultiva
tion Of mutually beneficial commercia
relations between the two countries.
. hope that negotiations which have been
invited will result in celebration of an
other treaty which may tend to the 10
, terests Of both countries.
Our relations with China continue Il
be friendly. During the past year, th'
year of hostilities between China ant
0 japan, growing out Of the landing of al
armed force upon the island Of Formos
y by tbs latter. has oocssionsd uneasiness
It is earnestly hoped, however, the diff
culties arising from this cause will be ad
Q justed. aud that the advance Of civiliza
tion in these empires may not be retarde,
Q by . state Of war in consequence Of tn
r part taken by certain citizens Of tn
:. United States. In this expedition ou
10 representatives in those countries hav
IS been instructed to impress upon the gov
It ernmsnts Of China and Japan the 6rl
d intentions Of this country to maintai
l. strict neutrality 10 event Of hostiltiei
l. and to carefully prevent any infraotio
% Of law on the part Of our citizens l
Q. connection with this subject call th
a