The Republican. [volume] (Maryville, Tenn.) 187?-187?, 1874-05-02

| Practically it is a question whether
the measure under discussion would
give an additional dollar TO the ire
deemable paper currency of the
country or not. and whether, by re-
quiring three fourths OF the reserves
to be retained by the banks, and
prohibiting interest to be Received on
the balance, it might not prove a
contraction. But the fact can not be
concealed that, theoretically, the bill
increases the paper circulation one
hundred millions of dollars. less only
the amount of reserves restrained
from circulation by the provisions of
the second section. The measure has
been supported on the theory that it
would give increased circulation.
1t is fsir inference, therefore, that
il, in practice, the measure should
fail 70 create the abundance OF circu-
lation expected of it, the friends of
the measure, particularly those out of
Congress, would clamor for such in
aation as would give the expected
relief
The theory. in my belief, is de-
parture from the true principles Of
finance, national interest, national
obligations to creditors, CongressloA-
al promises, party pledges--on the
part Of both political parties-and of
personal views and promises made by
me in every annual message sent TO
! Congress-, andin each inaugural adj
dress.
In my annual message TO Congress
iii December, 1868, the following
passages appear: Among the evils
growing out of the rebellion, and not
yet referred to, is that of an ire
deemable currency. 1t is an evil
which I hope will receive your most
earnest attention. 1t is a duty and
one of the highest duties of govern
ment to secure to the citizen medi
UNI of exchange of fixed, unvarying
value. This implies n return to n
specie basis, and no substitute for it
can be devised. 1t should be com
menced now, and reached at the
earliest practicable moment consis
tent with a fair regard to the interest
of the debtor class. Immediate re-
sumption, if practicable, would not
be desirable. 1t would compel the
debtor class to pay beyond their
contracts the premium on gold at the
date of their purchase, and would
bring bankruptcy and ruin to thous
sands. Fluctuations, however. in the
paper value of the measure OF all
values (gold) is detrimental to Il e
interests Of trade. 1t makes the man
of business IN involuntary gambler /;
for, in all sales where future payment
is to be made, both parties speculate
! as to what will be the value of the
currency to be paid and received. 1
earnestly recommend to you, then,
such legislation as will insure a
gradual return to specie payments,
and put ON immediate stop to fuctu-
alton in the value Of currency" I
still adhere to the views then ex
pressed.
AS early as December 4, 1865, the
House Of Representatives passed a
resolution by vote of IA yeas to 6
nays eoncuriing 1in the views Of the
Secretary of the Treasury in relation
to the necessity of a contraction of
the currency, with view to as early
a resumption of specie payments as
the business interests of the country
will permit" and pledging "co opera
tive action to this end as speedily as
possible"
The first act passed by the Forty
First Congress, ON the 18th day OF
March, 1869, was az follows:
Gan act to strengthen the public
credit of the United States
"Be it enacted, dc, That in order
to remove any doubt as to the pur-
pose of the Government to discharge
~ it's obligations to the public
creditors, and to settle conflicting
questions and interpretations of the
law, by virtue of which such obliga.
tons have been contracted, it is here
by provided and declared that the
faith of the United States is solemnly
pledged to the payment, in coin or
its equivalent, of all the obligations
of the United States, and of all the
interest bearing obligations, except
| in cases where the law authorizing
the Issue Of any such obligations has
expressly provided that the same may
be paid in lawful money, or in other
currency than in gold and silver but
none of the said interest bearing
obligations, not already due, shall be
redeemed or paid before maturity,
unless at such times as the United
States notes slall be convertible into
coin at the option Of the holder, or
unless at such time bonds of the
United States, bearing lower rate
of interest than the bonds to be re
deemed, can be sold at par in coin.
And the United States also solemnly
pledges its faith to make provision at
the earliest practicable period for the
redemption of the United States
notes in coin"
This act still remains as continu-
ing pledge of the faith of the United
States "to make provision at the
earliest practicable moment for the
80 tbo JTD;taJ Go &C =, ~ nc