The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1875-07-12
A Metiiuln-NaaiOna Currency the
Democratic Idea.

The ArcGdian of last week has the follow
ing significant letter from Hon. Benjamin F..
Butler, which we print IN ertcaS0 Tor The
purpose of future reference:
Perhaps the most noticeable event Of the
last month has been the action OF the Demo
cracy in their State Convention in Ohio
upon the question Of the currency. Their re-
solutions recognize the fact thata national, sta.
bic, constitutional currency OF eQuable value
may be made not of the precious metals. To
this it has been objected that such a currency
is not consistent with the true Democratic
principles Of Andrew Jackson. This is Il
mistake. The contest OF Jackson with
the banks was founded upon the
idea that it was the duty OF the Gov
crnment TO issue constitutional cur.
rcucy for the use of the people not to be
controlled or regulated by banks. In the
then state Of the country gold and silver
were the only materials used as currency
omen to him, and Jackson adopted those as
the instruments with which to carry on his
war with the monopoles. The materials to
be stamped with tue governmental value,
however, were but the incident to bis fund,-
mental idea that it was the duty Of the Gov
erument to provide the people with u ma
tional currency.
Our large public debt now provides the
means of giving value without expense to
the Government (but, on the contrary, with
a great saving of interest0 TO constitutional
currency for the use of the people without
using the precious metals, and thus decapi-
talZipg great amounts oil value TO do a work
better done by an inexpensive material.
The bankers idea heretofore has been that
the only stability in value to currency
must come from being redeemable in gold
and silver. But how shall the value Of gold
and silver be made stable which have now
becoese merchandise and prime articles Of
annual. product Of this and other countries:
A note of the Bank of England has value
given to it by being redeemable 10 gold 4; an
amount substantially equal to which is kept
In the vaults of the bank for that purpose.
But upon trial OF this system the question
at once presented itself to the Bank OF Eng.
land, How shall We regulate the value OF
gold so as Is retain the same in our vaults:
The only means that presented themselves
20 do that Yves to vary the rate Of interest ON
discounts according to the demand for
god. The consequence has been that
no more unstable currency in value
for business purposes than the English
was ever known. The rate OF discount at
Vic bAHh vi ouC Jay NC LnO
per eentum, and as gold is called for it is
raised, to prevent the outflow, three, four,
five. and six, and sometimes as high as seven,
eight, and nine per centup, thus dou bling,
trebllug. and quadrupling The rate of inter
est paid by the business of Eugland, causing
most widespread ruin and destruction tn
her merchants and manufacturers. Finally,
to save the bank on four several occasions
within thirty years, this rushing the rate has
from necessity. without warrant
of lag. in making EngIand's bank-notes ire
deemable in specie, thus absolutely nulli,y.
ing and Oyerturning the whole theory OF the
English banking system.
At the present hour there Is no more ex-
tenslve commercial ruin than that which
the business OF England is now undergoing.
We, with our paper-money system, have had
nothing like it whether in amouo OF or eX ent.
The central idea Of those who insist on
i greenback currency is that it shall be
1ade ce$yerlible and recoverable into
Government bond at a low rate of interest.
IL little more than three per cent. interest |
he average geld dollar Of the world Il ut
present. Invested. Now, i we make our
"sabacks convertible 4! !hs ,,..easure Of the