New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-09-11

LETTER FROM TX SECRETARY MCCUL-
IOltH

An IRRFDHfMABIH CURRENCY.
To the EdttOr Of The Tribune.
SIR: 4 few days ago asked a gentleman OF largo
experience and caref, obscryaion--a friend Of tho
United States when we had few friends among tho
leading men Of England" When shall We be able
10 borrow nj four per for the purpose # retiring
our Fix per cent Government bouds"
"Wbenr replied he, "you got back to specie pa
ments. Everything hinges upon that. 'gree with
you that the credit of your Government Ought to bo
equal if not superior to that Of any government in
the world, and it will be when you como to your
senses upon tho question Of tho currency. Should
the infatonists succeed in their efforts to increase
the circulation Of irredc enable legal tender notes.
you will rot only he unable - place your fonr per
cent. either of home or IN Europe but yor viii find
even the holders Of your fycs for which there Is
now an active demand at premium disposed to get
rid of them IA speedily as possible. IL the inha-
toniss get the control Of your legislation and renew
the old and foolish experiment Of making money
plentiful by the Use of the printing pres, the credit
OF your great country will sink to the le'el Of that
OF Egypt or Turkey"
TfMfpIiY OF HAED-MOYEY MEv.
This opinion. which | have given in very nearly
the angaqge Of the gentleman who expressed II, Is
tho prevailing sentiment this side of the Atlantic
There is not an intelligent man in all Europe who
has given attention to the subject who dos not
womb at the infaiuatioD. If 1t DO not something
mo-, .han nfatuaton, of The advocates OF IN IRE
dtcn,ahlc currency III the United States, who does
not condemn s irrcsolutiOn Of most If those who
CAIN 10 b., the friends II sound currency. There
/. in fact mere danger TO he apprehented from the
tImidity Of ma0y who are ranked on the side OK
specie, than from the undisgui.cd ion OF those
who favor further issues Of Government notes. Tho
latter ara il earnest and their aim is apparentthe
Al n. u-tk
rectations Every rejecting and intelligent man
must perceive that further issue of irrdeen1abls
notes means further depreciation of those now in
circulation an increase of financial trouble. and ulti
mate rcpmdiation; but the fatal results of the let
alone" policy are not apparent. An immense
majority of our leading politicians of al parties are
sound in theory. but they seem to lack nerve. The
resolutions which they adopt in their conventions
lack the metallic ring of real earEcs;ntss. They
favor return to specie payments. but they do nn5
say how this is TO he effected. They depreoa;e
Continuance of II deprecated currency, bnt they
he,tate to pat their hands upon the prime came OF
mischief the legal tender notes. They seem 70 DO
afraid cf the bGgD"ar of cOniraction ~ II return
to the true measure of value would aft ct values
They seem blind to the sc!f-eydent proposition that
there will 10 no real contraction if the purchasing
power on the currency is increased prop'rtonatcly
ard is TO DO restored something is required than
tho passagc OF milk and water resolutions and acts
of Congress fxing IL day which resumption snail
take place. Unless some decided ard practicable
measures are put into actual operation for tho
restoration OF the specie sandard, we shail go o" as
we have been going for some years past, during
which every day has made Il return 70 the paths VI
SAFETY and real property more dfieVlt. Let -
looh for a mcmont the causes Of the 'Xsiliy eui-
barlassments and plosIatioii in the United States.
and then consider somc OF the Remedies WHOM haVe
been suggested.
CAUSES or IHR DErRi ssl0S.
First the causes. That thore is great stagnation
in al or nearly all branches OF enterprise aau INDUS
try in the United States, that manufactures aio
sadly depressed that very few Of our railroads are
Welding fair returns their actual cost. while a
large part of them are unable to pay the interest on
their bonds that onr shipping interests have 80 do
clined that tie United ) ates which quarter of
contury ago seemed in n fair way to become the inst
IF maritime powers is now not to bo rank Il even
among sccOLd-cass nations in tic foreign carrying
trade; that orr COUNTIES cities, and towns are so
seriously in debt that taXpaFers are looking - ~
lawful measures for relief, AID that for some years
past we as IA pc Uple, have been SO eXIravaG.nt ani
waste Jul tn. . have become a by"oFd throughout
Europe, are facts that can neither he denied nor
disguised. Now. while this depression of our Eani.-
features this uuproitableneSs of our rallrodo5 TINS
decline Of 0ur merchant marine. this inghthl aecu-
mutation of municipal indebtedness tins extraVa-
gance and wastefulness cannot be attributed cAclu-
swell to "a redundant currency, they can IN great
measure b. traced to it, Other cau.es. 1t Ii
true, have TO some extent assisted IN profile
ilg the trouble in which we involved; but, II We
had been on specie basis, ;hs trouble would have
been small in comparison with what it is. Had
there boon no Oyer-emisi0n Of paper money tEe!c
would have still been depression in trade anu manu-
PICTURES but we should not have been overwhelmed
% we have been with debt and bankruptcy. We
Should have felt the effect OF ogorprudlction, rs
Great Britain is feeling it, Enormous - has been
the Increase of consumption in cir il'Scd nations
within tie last 20 years. it has not kept pace Win
production. The world has Of late beer pushed On
too rapidly The wonderful inventions in machinery.
thc o,ntion effected by steam power. ANA the re-
duction of time in international exchanges, have
greatly disturbed old economic laws Production
has been hnmcnstly stimulated by forces which
were no: und. rstood OF ut least were not utilized,
until long after the CONNER cement of the pre- sent
century the result Of which has been over produc-
ton rcact on depression. and these felt IN tho
greatest measure in those countries in which these
forces have been most actively III Use. Ihore
are very few branches OF manufacturing
ia Great Britain, tho greatest rnanufac-
turing nation ia tho world. which are NV
in q prosperous state. simply because there have
been more goods manufactured than there Is Pres
ent demand for Tie same is true III the United
States Why, let me ak. are many of our non
foundcries illcf Why are our WOODEN and cotton
mills running Oh half time. Why are oui lumber
yards oyerstockcd! Why is there 80 little activity
III shipbuildingi Why are our railroads 80 unproi'-
tl.tls al n
out Of cmploymentf Certainly nOt for want 81
u,ouav for non.v popcr money was never so abui'-