The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1876-01-07

tom House that everybody VIII ADOPT the same ophlon
and that gold will then az drop SO low IN value
that all who have il win be In haste TO exchange II for
paper With much gravity they even claim this as me
hattering deduction that black white are TO make
silly bullonists following the example OF the crow IN
the fable drop their gold and then, like Esops fox,
we are TO stand ready to snatch up II these honest
men are not mistaken, here is 10 be found a real
KEsUNITIvE BOOMERANG,
which, though OF IN opposite direction, IS 10
whirl around and last smite the rocks rom whlch
Will pour food Of the precious metals confess 70
entire want OF faith IN the boomerang movement
he ridcued at considerable length, the idea promui
gated IN some quarters that must not only keep ana
MAINTAIN volume OF currency equal 10 the wants OF
trade but that II must be nonexportaole currency
claiming that that very doctrine sent our bonds abroad
owning no bonds myself be said, and never eA-
pecng TO own any, yetshould be glad to have Amerl
cans hold them all D." He also ridicued the argument
frequently set up that our only remedy LOT
a currency largely inflated and below par is
TO wait and let the country grow up to IL
The philosopher who waited the banks for the river
TO run by was hardly profound or patient There
way Judge Of the future but by the past The
bank or paper circulation in 1860 with population oil
81 429 SOL 1907 SO2 600 and at time had been
more than So 600 COO above that For all the
wants OF trade So IS per capita appears TO have been
enough In was moi then dreamed that there was any
defciency and il there had been only neces-
sary ask for 20 get IT, but NJ more was asked
for II the amount OF paper money then was sufficient
for our normal condition the amount we now have rs
evidently vastly too much Our population In 1870
was IS, 555, 9SS and the amount OF legal tender and
national bank in August, 1875, was $767 53 323
Assuming the standard oi lSoo ana oil years prior
thereto equal TO the FAIR requirements OF hDan-
unless made larger by the ice OF Alaska-we have now
such OF currency that II wait until the
country grows up TO We must postpone specie re-
sumption until our population rises 10 ll0 90 4Ol,
with a corresponding increase OF the wants OF trade.
EXCESS CIRCULATION.
The speaker showed however, that we did not need
much circulation per capita 1860 for that
time the system OF checks certificates OF deposit
drafts bills OF exchange postal and telegraph orders,
had enormously Increased and rendered less clumsy
the method Of business There should DE no waiting
for generation away and Tor another TO come
ahi
selves than must be ascrbed TO our oreiahers IN
every similar Those who never start are most
unlikely reach the end Of the journey He did
believe that any great amount OF INJURY would fall
mon debtors y raising the value OF the paper dollar to
the par OF specie would property shrink much in
value 1t great deuson To suppose that contrac
tion would benefit the rich and fail heavily upon the
poor, while imitation would operate in the opposite
direction. IL would be much nearer the truth 10 say
the effect would be exactly the reverse He argued at
considerable length against the injustice and bad policy
OF imitation, and reviewed the arguments OF the NINA
nonists He denied that the national banks ought TO
be abolished and that the currency issued by them
should be withdrawn and equal amount issued by
the government OF the United States UP 10 tins time
had deposited over million OF dollars IN excess OF the
amount redeemed by the government Not one OF
them default He warmly praised the national
banking system and said # the banks were only crcu
latng currency convertible par, nearly all their
detects would vanish What most needed after
specie resumption completely remedy financial
condition, more real and absolute capital All the
financial tDkermg in the world would not supply It.
All the cheap expedients tor making money plenty
without earning IT or without giving anything in ex-
change for 1t would result IN dsreputabe failure The
sooner we learn that money cannot be invented, but
must be earned, the better for the country.
debased currency he said, in conclusion, was
demoralizng Tits too apparent that trade is now de-
moralized and there venture warrantable in the
world Of trafhc unaccompanied by wide margin OF
profit 1t is that bargain, even the shortest
time, be squsrey fulfilled, as the fuctuaton OF
paper legal tenders always calls for or less than
what nominated in the bond, and transfers the
profit loss of the transaction from the right side to
the wrong side, 10 the confusion OF all legitimate trade
and of all xact limits to pending contracts Stable
business often leads TO ruin and prodgal adven-
turers here and there suddenly up famous mil
lionnaIres Discretion is robbed OF its merit, and
Chance the bndest of goddesses, rules the day Bulls
and Tears among the stock gamblers rove in their mil
lennium Is It strange that sound morality should be
conounded that, instead of golden virtues, We too
find IN their place nothing but the cheapest pine h.
beck impudently asserting itself TO be better than gold
tried by fire. Certainly this is not the safest training
for the young men OF America
PUBLIC AND PRIVATE EXPENDITURES
too largely based upon imitation, and so long as pay
ments made in the cheapest substitute for money
nothing IN return but cheap equivalents ana cheap ser
vice can be obtained Since the close oil uhe war the
aggregate losses from the uncalculang, headlong use
OF debased currency have been enormous. Public
works, ell private, have been shingled over by
millions OF greenbacks and represent more IN cost than
in real value. Manufacturers are not making new
dollar Tor Did Laborng men have been discon-
tented grudgngiy employed and, like Charles Lamb,
90 work late and to make amends, retire early. All
that has been bought and paid for debt for
already rated large percentage less than nominal
cost Financial investments AL have symptoms OF the
rickets-swoen heads small legs-and
the reductions which may with return
ing health are wholly incompatible, except
where such reductions 70 large extent have already
been realized No permanent restoration of Industrial
prosperity, no permanent employment of work ingmen,
safety 10 working capital can be expected until the
government permits ts own operations, the labor OF
people and the business enterprise OF the country,
be based upon the solid foundations represented by
gold and paper at par with gold, represented
by restored peace and morality, in accordance with the
unbroken experience Of the among nations and IN
harmony with the instincts OF high spirited people
ashamed OF the exploded devices OF paying debts by
renewal OF broken promises and ashamed OF vacllatng
standard of mercantile honor worthy only of bank
rupt people bali maniac and half knave.
May not invoke the aid OF all earnest men in behalf
Of measure designed TO sustain the policy OF return
TO sound currency or Of return 70 the money OF the
Al the conclusion Of his remarks he moved that the
bill be referred TO the Commute Finance. so or
THE PACIFIC RAILROAD COMPANIES
Mr.. SARGEANT, trepl OF Cal, submitted resolution
that the Committee on The judiciary instructed TO
inquire what legislation, any, is necessary secure
indemnity TO the United States for advances Of inter
paid and TO be paid by the government account
Of subsidy bonds issued to the several Pacnc railroad
Companies and 10 secure indemnity against Liability TO
pay the principal OF such bonds by requiring the cea
ton Of sinking iunds OF otherwise, also, whether
the Of the companies mortgage bonds in
Of the amount necessary tue completion OF
said roads and II so, whether such issues are nrs
lien upon the roads also, whether OF the bonds OF
the United States issued aid OF roads frst
lien same, and that the committee report by bill or
otherwise Agreed to-
The CHAIR lad before the Senate message nom the
President OF the United States, enclosing report OF
the Director OF the Mint. senate rcsoiu
ton OF the last session, regard TO the proper place
for branch mint the Mississippi Valley Ordered
10 be printed and lac on the table
Also a communication from the Department OF JUS
tce, 70 the Senate resolution Of December
a. 1873 enclosing copies Of reports hie in that Office
rela ing 10 The treatment OF United States prisoners
confined State Penitentaries Ordered TO be printed
and lic the table
Mr. STEVENSON Ideml Of Ky, introduced a bill to
make good certain promises OF the United States. Re
ierred 70 the Committee on Claims
Mr.. CLAYTON, trepl OF Ark submitted preamble
and resolution nstructng the Judiciary Committee 10