New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1875-08-15

improve their quality and bring them to 4
par value; and with them the bank notes
which were redeemsble in greeubacks
When the panic took place believed tina
the period of resumption was necessaril,
postponed for a considerable time and tina
che true remedy and relief from the panic
was that which had been employed in Eng
land for more than 100 years when financia
! panics came-that is moderate increase
! Of the currency; and l advised the Presi
dent to pour into circulation the $44, 900 0O(
| reserve Of greenbacks then in the treasury
The increase in the currency which
sought by legislation was by the extension
OF the national banking system and not b.
further issue Of green backs.
In a speech in the Senate on the seven
teenth Of January, 1874, I said
Il am not speaking of increasing th.
ing the $44, 000,0 900 of reserve, but I au
speaking of increasing the national banl
circulation $44,0OO,O0O or $50 900. OO0 SO ii
to make the States equal, and requiring it tt
be redeemed in greenbacks. That wOulG
not cheaper the greenbacks; it woule
not affect the value of our currency at all
The national bank notes would still have t.
be redeemed in greenbacks, and the number
1 OF greenbacks would not be increased.
submit, therefore, that incre asing the ma
ti0nal bank currency to the amount speal
| OF, which is little enough. would not cheap
en- the value Of greenbacks, and would NOT
increase the premium on gold, would MOI
interfere with the gradual return to specie
payment, that hope for"
That the period has gone by when any
incre ase of the currency would do good in
checking the panic, am tree to say, and
believe it must run it's course until the
| times are relieved by economy, industry
and the operation of general causes.
! NEITHER CONTRACTION NOR EXPANSION.
! The theory Of the bill in another respect
| was, that there should be neither contrac-
ton nor expansion of the currency; that the
| volume should be mainfa ned as nearly az
possible at what it then Was Banking was
made free; that is, the restriction as to the
amount of bank notes that might be issued
! in the aggregate, or in any Of the States,
was repealed, and the people left free to or
| aauize new banks in any of the States or
Territories upon compliance with the terms
and cOndiriO Of the law. To prevent the
expansion Of the currency from this source,
it was provided that for every $1,000 Of
bank notes issued the Secretary OF the
Treasury should retire $4,000 in green
backs, which, added to the green back re-
serve the new banks would be required to
keep in their vaults, would maintain the
volume of currency in circulation about the
same.
Ihad something TO do with the prepare.
ton Of thus bill, voted for it in good faith,
and intend to stand by it until experience
has demonstrated that it is impracticsble or
needs amendment. Its main feature, fixing
day for resumption and providing for it,
had proposed to the Senate six years before,
and whether the time fixed is a proper one
or not, and should have preferred it
year or TWO later, it is the method by which
believe specie payment can and will be
reached. It establishes the policy of free
banking, the slow. gradual, but certain re-
turn to specie paymeats, and no contraction
Of expansion OF the currency until that time.
DEMOCRATIC PLATFORM.
The Columbus Democratic platform de.
msnds immediate abolition Of the national
banking system, and tho substitution tor
national bank notes of new issue of green.
be attended by the most disastrous conse.
quenoes, the extent of which no man can
now toresee. 1, would require the banks
at once to withdraw from the people
$3.50, 600, 900 in loans now outstanding, which
would undoubtedly result in the greatest
distress and the almost total suspension of
business. The greenback circulation would
pc suddenly increas d from 1915 ZOO, 900 to
$3.50 DOC, 900, and would undoubtedly greatly
depreciate. The value Of greentacks now
is maintained by the ability OF the govern
ment to pay them. and by the prospect Of
such payment at NO remote time. and if the
amount was so increased that fhe govern
ment could not pay them, and the prospect
os payment passed entirely away. they
would at once lose the principal part Of
their value. Ii, when there are but $375,-
900. 900 in circulation, and We are within
three years and half Of the time fixed for
redemption. they are worth but eighty eigh.
cents on the dollar. what would be their
value il the amount was increased to $500 :
900 900 or 81 900 900 900, with no hope pos
pect or pretense tt at they would ever he re-
deemed! Let any uan of common sense |
answer. But it is said that the legal tender !
quality, the fact that the debtor can compel !
the creditor to take them in payment of |
debts, will preserve their value even it they |
are never to be redeemed or paid. The |
simple answe 20 this is that when the vol. |
ame of greenbacks is largely increased, and |
ali prospect or pretense OF pay ment is aban.
doned, people will refuse to sell their prop
erty or labor upon credit. knowing that
they can be compelled to receive in pay.
ment deprecated paper never to be re-
deemed.
AN UNAVAILABLE SECURITY.
But We are told that any amount of this
oaper will float, because the faith resources
md credit of the country are pledged for it.
II there be no way to convert the resources
)r credit of the government to the payment
# the notes. what does tho security
mount to! If all the real estate in the
Union were mortgaged for the payment of !
hese notes, but there is no way to fore.
lose, to collect. to convert. what does the
mortgage amount to! Stripped of all dis
.uises and pretenser. the substitution 81
.reenbacks for national bank notes will be |
by the country as declaration
hat these notes will never be redeemed.
HE DEMOCRATIC PARTY THE ENEMY OF ! :
GREENBACKs.
But here unmask this whole fraud and |
mposture. The advocates OF more green. I
acks in place of nominal bank notes are
be enemies Of the greenbacks, as they have i
yer been. They are utterly opposed to
atiOnal currency in every form. When | i,
be greenback currency was first proposed | e
4 1862. and was indispensable to the sup 4
rassion OF the rebellion. and the preserva
on of the Union. the Democratic leaders | {
verywhere denounced it as unconstitu- |
onal. did everything in their power to u
lake it worthless, and TO bring it to dis | a
onOr. This warfare against the cOnstitu.
Onality of greenbacks has never been re- T.
naushed to this hour. When Chief JUS | q
oe Chase, with the majority of the Su. Q
RENE Court, decided that the issue OF ii
reenbacks during the war, under mill D.
'ry necessity to preserve the life of the ma t,
on. was unconstitutional. the decision was
Graded everywhere by the Democratic
arty as the grandest triumph Of constitu-
onal principles known in our history. and
hen, afterward. during the administra ii
on Of General Grant, the membership of fl
lat court having somewhat changed, the Il
'urt decided by majority of one, that the a.
sue OF greenbacks during the war, under | e
'essure of national military necessity, was il
institutional. the Democratic party, with | u