The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1875-01-05
THE SENATORSHIP.
Mr.. McDoNALD's POSITION.


A LETTER FROM HIM-HIs VIEWS on THE
FINANoEs-HE REAFFIRMs HIS. WELL
KNOWN SENTIMENTS.
To the Editor of the Sentinel
SIR: 1t has been q matter of surprise to
me that doubts have been expressed in
some quarters as to my position on the
financial question" have supposed that
from the active part had necessarily taken
in the late canvass, and the frequent repeti-
ton of my views upon that as we'll as other
questions which entered into it, that
the people of this state were
we'll informed In regard TO them.
Early in the canvass, in speech made by
me at Greencastle, which was extensively
circulated in the state, in language as free
from ambiguity as L could command, /
stated my position on that and other sub
iecls, and from that day to this / have ut
tered no sentiment at variance with them.
In speaking upon the subject of finances
then said:
But let us seriously consider our financial con-
di ion. do not claim much for myself on this
subject. ] am free to admit that our situation is
one of great difficulty, and its solution not
easily to be arrived at. Yet still L have some
from the democratic principle that were sa:ly
eugrafted into my mind that form for me, a.
least. certain land marks even in so wide a sen
as this. In the first place, IL is clear
TO my mind that the normal candition
of the finances of any commercial country
shou d be a specie oasis. because specie in some
manner forms the standard OF value in all COM
mercial countries. II We had no trade or com
merce with any foreign nation. II would matter
very little what should adopt as the
medium of exchange between ourselves. We are
not MY commercial nation, but we are a
commercial people; and therefore II becomes
necessary to have for our standard of values
something that approx mates the standard used
In other countries. Wecan not afford to always
use deprecated currency, and the moment We
pass our borders the money we use is at ais
count If we disregard the worlds currency in
providing one for ourselves. "A nation driven
out of this normal condition by any extraordi-
nary combination of circumstances, must lose.
to some extent It's position in the marts of the
world, unless it returns to it prac-
ticable. When the causes which haze driven IL
out of the ordinary channels OF financial econ
dency OF trade and business is to restore the
normal condition. When, then. the war enoed
and the necessity for extraordinary expendi
lures ceased, and all apprehensionS 10 our
national destruction had passed away, a
speedy reaction set in, aud the difference
between the value of gold and our paper
circulation was rapidly reduced. That Teduc-
ton has been going on ever since: but the
gap grew smaller, the process of closing up be-
came more difficult, until now il may be almost
said 10 stand still. And the question now is, how
TO bridge over the chasm without serious detri-
ment TO the business interests OF the country,
and what in the meantime we
do in regard to currency: We
lions Of pa er circulation, little more than
one half OF which is made up of treasury nOfeS
and only about one hundred and forty millions
OF specie, aud this is no longer any part
of our circula ting medium, but article of COM
merce like any other commodity. Ii is very
clear tina the government and the banks can
not resume specie payment on so small capital
IN specie, or while the volume of paper to be
kept afOat so far exceeds the amount of specie
available for It's redemption, and any attempt
TO do il would be worse than madness; and TO
attempt to close up the gap by reducing the
the industrial interests of the country
am not much in favor of gov
ernmental interference in any violent form to
change The values or force the channel of trade,
and, therefore, prefer 10 wait until the legiti-
mate business of the country shall enable us to
grow out of the dilemma, keeping constantly in
as a commercial people, until that period is
reached ana there shall be DO longer any differ
dollar. The aid that the government
can properly give 10 bring about this de-
in his able address to the democratic conven-
ton. and consists mainly in stimulating pro-
will come in and remain with us, instead of be-
ing constantly taken away to settle the balance
against as in our trade with other nations.
In 8 still leaves the question of our currency
in he meanwhile, and until specie payment Is
resumed, 10 be settled, and this is as difficult as
any financial problem we have before us: AT
sued by the government and the other by
national banks The national bank system was
OF furnishing market for government bonds.
1t was not designed TO be continued, and the
right of repeal WAS reserved In the act aulhoriZ-
ing IL. AS deInOc at / have ever looked upon
SUI h money ed institutions existing under the au-
thority OF the fe 'eral government as dangerous
willing 10 see the system perpetuated for
any supposed advantage that might spring
from it. and the refore am anxious TO see The
national banks OF this country In the certain
and sure process of liquidation; not in any vio-
lent way, a. that would do harm, but under
the end. / have never been able TO bring my
Sc 10 believe In the legality of the legal tender
ury notes. Notwithstanding IL has been held
by the Supreme Court. L can not believe that
congress possesses the power 70 coin money out
OF paper; yet believe In the fullest manner
in the right of the government to
use her credit in the form of treas
ury notes TO any extent that her creditors will
receive them, and that the people may use them
among themselves az circulating medium,
and while the government is carrying so large
debt, see no reason why she should not, as far
as possible, relieve the people from the burihenS
Of the debt as to interest, by the free use Of
government and at the same time, furnish a
safe circulating medium for the people; but
am decidediy IN favor OF the government pro-
credit designed TO circulate as money, as other
property is taxed.
These views / still entertain, and trust
that those who know me best believe
woald not pretend TO entertain sentiments
United States Senate for life. Since the
election / have been so much engaged in en-
desvoring to bring up my business that had,
to some extent, been neglected during the
canvass, that have had but little time to
think of the senatorship with which
my name has been connected, or to thank
my friends for their earnest efforts in
my behalf; nor have been inclined to enter
into an active canvass tor the position, much
as desire it, as look upon the Office of
United States Senator as one of the highest
in honor and dignity In our land, and only
desirable TO me on account of the honor
attached to it. j. Z. MCDONALD.
An exchange says: The Hon Charles
Foster, who is one of the subcommittee to
investigate Louisiana, Is this sort of man,
to-wit: Last winter when he was preparing
his celebrated speech on the moiety frauds,