The Ottawa free trader. [volume] (Ottawa, Ill.) 1843-1916, 1875-07-24
A SAD FALL.

We are panied to see our lrlehu l'ou|H'""'
of the .Ioncsboro Gd:ctte in the ranks oil me
paper money delusioniSts. II there was
man in the state whose sound democratic IN
s,incts and hard horse sense would protect
HIM against such a fate, we supposed II
would be Boughton The very fact that he
thus finds himself in company with men IKE
Henry c. Carey Judge Kelly, Ben Butler o.
p. Morton and John A. Logan ought to have
been sufficient TO put him on his guard. More
especially are we astonished to see him raw
ing after this fashion,
Let the next congress resolve to pay the
bonds IN greenbacks, in accordance win lhe
original contract; call them all in, and stop
this and per cent. GOLD Interest TINS VIII
be the first step toward specie payment
WheR the interest stops, there Will be some
hope Tor the principal of our war debt None
but the tools of the national banks, or imam
cial lunatc, will presume to affirm that the
present generation can pay the principal anu
interest of the public debt in gold.
If we are able to understand this at all 1t
is positive iunacy. "Let the next congress
resolve TO pay the bonds in greenbacks,' and
"call them all in,"-that is issue S2,OOOOoo,-
900 of greenbacks and pay them Oft, and this
will be the first step towards specie pay
mcntr, Then, when the interest stops, there
will be some hope for the principal OF our
war dcbt,"-already paid off in greenbacks
Oh, Boughton Boughton!! that you should
come to this
The delusion that the "original contract
with the bondholders was that the bonds
were to be paid in greenbacks instead OF
I gold is unworthy of our Jonesboro friend.
Whatever may have been the understanding
of Thad Stevens and John b. Sherman on
the subject at the time congress authorized
the issue Of part of them-the 5-2Os-the
Secretary of the Treasury who superintended
their sale gave the purchasers very differ
ent assurance, and then congress subsequent
1 ", by the Schenck BILL to settle all doubt on
| the subject, entered up the solemn pledge
of the nation that all bonds should be paid
in gold. After such an act it is inettable
nonsense, to say nothing of the dishonesty of
the thing, to talk of paying the bonds IN any
thing but gold.
| 1t is true this solemn agreement can be
changed in one way. Let the government re-
solve to redeem its greenbacks on presentation
in gold, and then we have no doubt the bond
holders will be quite willing to accept them
IN lieu of the metal.
"But how can congress do this with but a
| hundred million in the country" our friend
may demand. Very easily. Suppose con
gress should say that on and after the 4th day
OF July, 1876, every greenback presented at
the treasury or any subtreasury shall be re
deemed either in gold or L. S. bond worth its
face in gold in the markets of the world :;
! Wouldn't the gIeenbacks from that day be
worth their face in gold? 1t is nonsense to
say the government can't pay specie when
her bonds sell readily at from 6 to 10per cent
premium in gold in the money markets Of the
world.
But such step en- the part OF congress
would at once bring not only the greenbacks up
to level with gold, but all the national bank
bills as they are redeemable in greenbacks
and as the banks would probably have Meth
er greenbacks or gold enough 70 redeem their
paper with, they would be compelled to send
their paper back to Washington and take up
their bonds, and this would cause a fearful
contraction, and ruin everybody. Very like
| ly, and for that reason nobody asks congress
thus hastily to resume. We only state the
case to show that the nation cdH resume al
her will
To resume specie payment doubtless a
more or less protracted process Of prepare
ton is necessary. In spite of the blunder OF
the Ohio democracy by the insertion OF a soft
money plank in their platform, their stump
speakers, like Allen and Pendleton, are
chalking out the true line Of that preparation,
which is, gradually 10 withdraw all the ma
tional bank paper, and fill It's place with
treasury notes, which, as soon as the first pro.
cess is thus completed, the government can
then safely undertake to redeem in gold
bonds or specie. Thus our Jonesboro friend
will see that specie payment is not necessarily
half as far oil as he imagines, and we think il
he will give the subject little earnest
thought, he may arrive at the further couclu.
sion that it can be brought about without
bringing ruin upon everybody or even bring
ing about any extraordinary financial con
vulsion.