Shepherdstown register. [volume] (Shepherdstown, Va. [W. Va.]) 1849-1955, 1875-01-23

CHARLESTON, January Is, 1878.
Gentlemen of the Senate and Of the
House of Delegates-You assemble at
time of general depression in business,
and although You can DO nothing by
legislation, TO mitigate the evils Incl
dent to this state of affairs, yet in COM
municatins to you the condition Of the
State, as required by the Constitution,
/ cannot ignore fact so far reaching
in its effects. The best minds of the
country have inquired into the causes
OF, and remedy for, this peostration in
business, but have reached widely diff
ferent conclusions. The cause is GER
tainly not to be found ir the diminution
of the productions of the country; for
the farmer, manufacturer, and miner
have from year to. year gradually in
creased their products. This was espe-
cially the case in our own State during
the past year, where the crops have
been abundant, and mining and manu-
featuring facilities have been enlarged.
And It is matter" of congratulation,
and at the same time an evidence OF
the Substantial basis and conservative
character of the business of the State,
that as yet there. have" been few, If any
failures among our manufacturers,
bankers aud commercial men, notwith-
standing the general unsatisfactory con-
dition of financial affairs.
Are We to trace the financial depres-
sfon to a falling off in the accustomed
demand for articles produced, or in
other words to the Want of the usual
marketi' Ii is afact that the demand
for the various articles that make the
wealth of the country, has declined,
and many hold to the opinion that this
want of demand, is wholly due to an
insufficient supply of many; that the
circulating medium, of the country is
not large enough to effect the exchanges
between producers and consumers, and
hence stagnation in business. Their
remedy is simply to enlarge the volume
of currency by additional issues of pa
per currency. .--
The amount of money that may be
needed at any given time can never be
accurately estimated; It's quantity and
value are governed 10y the same rules
that apply to all other things of value.
The commerce of the world supplies 1t
where it is insufficient, and take it away
when III excess Commerce alone can
regulate and adjust the relations be-
tween its supply and demand.
Legislation can neither create money,
nor for long period, disturb its natural
relations, or establish artificial values.
The civilized world has accepted gold
and silver as current money, and no
single government can substitute any
thing else for them. No matter what
expedlents may temporarily be resorted
to-, in course of time, allmarket values
must be estimated in the precious
metals; they constitute the. standard by
which all wealth ismeaSured, and paper
currcncy, whether issued by banks or
governments, cannot escape the inexor-
able, inevitable rule OF being measured
by thi. standard. Therefore, no stable
financial system can exist that has not
gold and silver for INSTRUMENTATION; and
any policy that may he adopted, must
look to this end How this Object is
to be accomplished without injustice TO
the debtor class, is the grave problem
that is yet to be solved by the country.
conceive, however, that our present
evils must bc traced to more remote
causes. The necessities OF the general
government during the late civil war,
compeledfit to Issue large number OF
It's note TO circulate as money, and III
order 10 compel their acceptance by the
people, it made themra legal tender for
debts, public and private; they were not
redeemable in specie i'll any definite
time, and this became practically an
enforced loan. The national bank notes
were subsequently issued indirectly,
but substantially for the same purpose.
The enormous mass of these two classes
of notes was far too great to be absorbed
by the regular and legitimate business
of the country The consequence was
not only a rapid rise n,the prices Of all
property and commodities, but with a
large surplus of currency atioat, the
spirit of speculation became rife. Men,
under tie bewildering and bewitching
hope of suddenly acquiring colossal for
tunes, projected vast schemes, which in
ordinary times would require the &C
cumulated means of many years labor
to execute. The ordinary pursuits of
life syrnpathized with the speculative
spirit; people were not content with the
slow old modes of securing competence
or wealth, and embarked in oolder en-
terprises Speculative Investments not
onl y thus kept pace with the large is
sues of currency, and absorbed it from
time to time, but intimately went far
beyond, and sought still larger means
by borrowing abroad, Under these
circumstances the: country seemed to
make rapid strides iu wealth; in a de-
cade' ms res6dftes qiappesred almost
doubled, notwithstanding the existence
of devasting. war. But it is too often
forgotten that in the mean time vast
debts, national. state, county, municipal,
corporate and individual were aecumu-
latinc. And If an account were stated
with the increase of wealth on one side
and. its Indebtedness onthe other, fear
the balance shown would not accord
with current opinions.
But the time came when there were
no more issues of paper currency, and