, 1875-08-23
Webster's Argument for Hqrd Money
--.Passage Of tho Legsl-Tender
Act.
Xr. McCnlloc}'s Finnncinl Policy.-An
Expclicnt nursng Period
Of Strlngency.
Tho 0utory Against 0ontraotioa-Tho
Dream Of the In1ationists--
Tho Crash.
The Panic Of 1879 Caused by q Ro-
dundnnt Currency.

~ TIA Editor of tht Ste Fork frtsnne:
LosDus, Aug. 4, l37j-Nea'ly forty ycArs ago
Danlol Webster, tho greatest constitutional Law.
yer aud Que Of Tho greatest, II not tbs greatest
ntateAman pur country has produced, uttered
tho following memorable language i'll tho United
Status SunItc:
Mos. nnque.ouab1y these Is no lcRa scatos In th!s
country u,f @ n, ths .ath1sy M Of , S 81
our OWN mint or futcgn cntns st rates regulated "
ConRtetf TILE IL constitutional principle. perfectly
rat anu ef tile vrry highest Importance Tho stAtea
are e1pressy prohibited from making anythinR but
gold aud stlser legal tender In payment u debts,
consress sst ~ coasses. h.s 10 power era;td 10 It
III taa rctpcrt. but IL coin tuonoy aud to regulate tho
value ut 'orssn co'ns, y t,esty hia M 10 Power
tender In payment of dchts s,l 10 discharge Of con.
tr4cts. Congress has exercised this power fully ia
cnue It It bas regulated Tho saluo Of foreign eoiDs,
anu still Requisites tbcir rauc. Tic legal tender.
therefore, tho constitutional s:ahdsrt Of Tane, IL
saunslsI and eannpi be overlh1oWu. 70 oyersLrow
1t would s 10 saaAt tie Ehot sysm. OF AL Tho con-
tssanfes fur thsdtnu he d6or,no e!assts y "anksd,
nnns has been ctuhl than that which deudes
them with tdprr money. Ordinary tyranny, opprss-
sion. cxress!rs ta1Itloa..thcsa bear Lightly OF the
hn1 piusAz Of the Of the community, compared
wsh fraudulent currency, aud ths Tobtdry coultnl-
ted by derrccatcl PAPER. uur own history has re-
euorsu II tl,s .ieoraltsing ten.isucy te 1nustlro
aud tte 'ntocFahte orl'rcssPn ~ ths f,rs'ous ana
'1.u, ~, - 80 ""' w., y. ~ 49,
These Een'a1ks OF sue sssst orator sna states.
man ucrs uochaIlengod Ia tho Senate aud out OF
it nobody thon doubted their correctness. II
must DO borne in mind that Mr. Webster was not
a strict coIssrlctionist OF the Constitution. aud
and yet in this passage hs dcntea the right Of
Congress- to MAXI anythinG but gold and silver
acgal-tcndcr IN payment Of debtb. II will also
be remembered ttns ho favored we'll regulated
and convertible Eaper tu0uer, NhitQ bo de-
.,a.,oe1 =. ,,d;r,s.t t,,or,cn m trco,v,r,;tl.
nonnsea ~ lau,sn.ns .ans use' ~ 'neoAso1''p1e
Ana aepfeclataa cufFeHcf.
WAt MEAs6nE-
In opposition 10 this aplnion OF 1(r. Webster,
and notwithstanding h1a wa,n[ag,-a warning
iustifod y Ina liatnry OF otbor nat,ons An ali a.
y, n,,r 1,s, ~t,onrr"ss undor tl,n nraHsnro n n
great eluefbes'c5 Anut NJ @ @.utilpoiaty anu "aI
measure onJ} III Fenrtsafy le63. paBsad an act
] isSst.tcnser III DAY PAYMENT 10 ~ Of de6ts--tho tho fnii
n1schjcf of Which first stao in III, v1ono d.
Icctlou has nut yet, fear, boon realized.
onue5 ,a .u'a Ana na,S ,o f au,n o ~
, were ishaoaheasls Io ' so,s s;u," q mhch ~
alter Tho trst issne. anil more Than uino yoars
altar tho emergency, which, and which only la
1aTt''u -, u"a -. ~. ~, !, n.,,,,,. ,ocr
49, ~ npsesn ~ ,n ~ to9y, ~.
own policy. anu what lle tiotsht should ho sud
would Ds tho National policy, III tho following
lnhFHIvGs
o." %, r -, ..,,,. ,r,a ...,, T., ~. ,,.nn, ~
an hos on 9ne ~ taoae WIG seem % 70 oe aspoaea %
.eeart;t PAPER currency shs s.mla.a On tho con.
..fy, us.ns totn11 e'ass peesons VIM, regasatns
.aea j.. pso.
m ss a. IN @
al os ~nen t 'x n'aJ sos - e m sseem ~
fsndef hecessy bt w1!en - nessF 20 oe sastanea
~ 1lsy. W G@nmoa e.nsfus Of hs nstton, sold
~ ,"al, ,o ~ n, ~ oy ,t 1t ,n"s. -
ose .aan nase M . ~ J r. H." Ioa. o. rese
,xor ,nu ,s".crn,,T convr,1 ,,nrr e"5s,ncvLnn
o'ncs e1I 10 a"y saei, rtues ,1e. IsIo !. TO- !us
S". WY ~ ~ I..tn t ~ "'eM ~. - @ no
path for Us to tread but !st which le,as to apeclo
III ~ ~ ,,t,ss stt r ~ ~ ,,.r.n tn,;;tnn
HAT ihe business Of Tic rnury Is in al, uuhe1ithy
cudtun, Wu .re mt asurug values by fass stand
aE VIZ hsse crrt.l ,tlhK medium atnxether laEGer
taau - needed t.f ft'>tiatd hiehss: sas excess
Msta III srsc,'t''ons. M ins untea S1a.es TO- sse
ao sao s,a, =, & m ~ ~ ~. ~ .ennnrs ~ % T. ~
a EHru's 10 " seIiuu III ~ ~ more lid aie bu,s Of
u. lin. luny our secu7itios, which ought not to
~ abroad, snd the.o Is a Icbt rolling up
aEsnst rs "htth nast bs rettlct III rart u 'eis with
cpLn. THO Longer tue lhiatlnn ssohh1es tao nlofe
aca ~ oe ~ ~ n m NM. snonrI e.
| eMnrn Il ;:nmsress stal rarly in tbs aNnru.rh.na
sess,on suthutjss ihe iuudiue Of thu JreitenI,rs.
anl the work Of reduction Is Commenced aud carried
sesoateIy. but carefully aud 1tudeuty, we shall
reach u probably without serious eMnaItaasmeht 70
g'ss " ra,'si, ,a.,rr snmm n liz
rersod .n " sesn.r ..p,s,sr' 'a ~ "'o''
ffA Hns viii a,. a' su1Joaa abou, III. rre,.n,
.ni!ation aud .ts effect upon tho business and
thu nsoral1 Of the countsy, nm hopeful
that ~ Wlso lsa'tlastnn wo shat! esca,o
financial cnllnI.e. as hopeful that the currency
sy oS up 10 x hS SsIs ~ y. ao,
tr, f,i1n.eI nrntTssta md t~nen.i,n wsrs III III.
Of the I.. four sea-. Nc are ,s 10 ta con-
csuu that our people have Istsnt power that mani
frals issef whni Required aud olna! to any eines-
geury AaSa t.ith that aa We have TO the sAfon4l'.
ncnt at the world salstd immense ssln'ea-Atgar,
apEtshShd thah auy 4snR!o aanon ever bsonBat lnst
she 6eh-aad met the enormous .1pense os tue VA
without borrowing from other nations, wo sha .lso bt
s oa rs ~ H. .
to snse,o stauIsru snI u.co ths c,edis Of IL,
| country on the must aounl aud ,tablo bass.
| CONTRACTION.
rr,,ts uoeec}, or Al ieast lin financial no,ttor
~ II ~ ,,,,I,,ishcti II, mosI nf lie ner.psnass
and w. ~ fnr A. ,ha sacretsrv coutd imdrn h,
t,,o co,nments uuon il, fsyorshly raceiyed hT th9
nrcaa and lie psnnle. The ylcTa thu. foretI,.d
pae'I Wcr, somawtat alahorstelv nresentad if
| ~. Hrs, rnnort n f,onryrsu nece;nl,nr 1gss l.