New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-06-29
RESUMPTION A SAFE ROAD.
VILLA RETURN TO GOLD GIVE SHOCK TO
BJSINESSY

THE PAST sUFrERINGs OF MASSACHUSETTS UNDER
DEPRECATED CJIIRENCIis, AND TIE BENEFICIAL
EFFECTS OF RESI- MPTIoN-TIIE LAND BANK AND
TIE SILVER BANK.
TO the Editor Of The Tribune.
SIR: History repeats itself both in politics and
finance for the lessons Of the past are often forgot
fen. To-day We have Deprecated currency Gold
and silver arc rarely seen. 4 large party 1a'ofs
assumptions A few prefer three per cent notes 20
renlace broken promises Some would have more of
Them and thus lessen the value of those afoat
While others, who dare not do right, suggest tlat
rcturn to gold would give check to business, and
that consequently we must await the rhcertaln
ISSUES of the future. What are the lessons OF the
pastI .
During the past century we had in Massachusetts
two depreciated currencies the first beginning
with 1890 and extinguished in 1749 fell to nine
cents on the dollar, running many families, Empower
isbing the Province checking its commerce and nav
ication, and retarding greatly the growth OF its
peope and when resumption came 1t was accom-
panied by an immediate revival of prosperity.
The second experience OF the Province In inc
effects of a deprecated currency was between 1776
and 1850, when specie disappeared and the paper
currency fell from par to nothing, leaving the
Province involved in debts equal to the assessed
yaue of ITS property, large part of which were due
not to the war but to depreciatng currency. nearly
fatal to the success OF ancestors in their struggle
with specic-paying country. Let us recur to the
history of these currences detailed by Douglass
Hutchinson and Felt.
The Loyal Hutchinson tells us that the people of
this Province partoOk of one OF the frailties OF
humanity, disposition to grasp present delight or
relief at the risk of future distress, which involved
them in serious difficulties Their first Issue of bills
of credit or notes of the Province was made in 1890
Checked by England in the coinage Of the pine tree
shilling, they were unable to convince the second
Charles that the pine tree was the royal oak. Re
pressed in their commerce and manufactures. the
Province found its coin disappear in remitances to
England, and after the failure OF its expedition to
Canada in 1890, II yentured to issue tlO,OOO
in bills of credit to pay portion OF the ex-
nenses of the campaign. When the bills were issued
and circulated among the troops the people ut first
distrrsted them, but they made payable in a
year and receivable at the Treasury for duties and
taxes at premium of five per cent. But the issues
increased from year TO year, the premium was dis
continued. and the payments were deferred. Other
provinces also took tho field. Rhode Island
and New Hampshire issued their bills, and the little
Colony of New-York issued hers to q ring Of
officers and they soon flooded the Province OF Massa-
cbusetts with currency. To counteract these, the
Province issued more, and thus depressed the pre-
xions issues. The greater the number of issues the
greater became the scarcity Of money, and then
Massachusetts, issued more not for expenses but as
loans on mortgages bearing to per cent interest,"
and payable in annual nstallments OF per cent As
the bills deprecated others were issued OF different
teuors. payable In silver at 20 TO 40 shillings per
ounce. and Commissioners were appointed to deter
mine the rates at which the falling bills ahould be 70