The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1876-04-27
Let Secretary Bristow Onsr . Popu-
lar Loan.

4
lar Loan.
Mr.. Bristow has been SO remiss and dere-
lict since the closing out of the new five per
cent loan, about the middle of November,
that . strong pressure of public opinion
needs to be brought to bear upon him to
make him more mindful of his duties. Why
does the government continue to pay the
exorbitant and wasteful rate of six per cent
on more than thousand millions of the
national debt, when money is SO abundant
that it commands only four per cent for
commercial loans? Why has Mr.. Bristow
stood idle for more than six months with so
great an opportunity reckoning him to i'm
prove it before it slips away? There are
but two conceivable answers--it must be
owing either to tho imbecility of the Secre-
tary, or to his want of legal power to seize
this great opportunity before it passes. He
cannot plead lack of legal authority, for
the existing statutes permit him to sell three
hundred millions Of four and half per cent
bonds, and allow him to expend one-half Of
one per cent in effecting the sale. We must.
therefore. conclude that he is negligent or
incompetent
Mr.. Bristow might learn great deal from
the example Of the ablest of his republican
predecessors. Secretary Chase acted with
the self-sustaining vigor of strong and
clear intellect and his success in providing
resources for carrying on the most expensive
war in history reflects shame on the feeble
successors who have not shown capacity
en-ugh to save the government from paying
six per cent interest, when private
borrowers are paying only four per
cent government in good credit, and in
time of peace, can always borrow at less
than the commercial rates, especially when
its bonds are exempt from the heavy taxa
ton which falls on all other descriptions Of
property. But instead of paying less than
the commercial rates our government is pay
ing two per cent more, to its own great loss
and the equally great discredit of the official
director of its finances.
When Secretary Chase found, in the latter
part of the spring of 1868, that the five hun
bred million loan hung heavy on his hands
without takers, he determined to offer the
loan to the great body of the people, apd, as
everybody knows, the success of this method
was immediate and magical. The great i'm
portance Of the subject justifes us in
repeating here the striking quotation we
made yesterday from Spauldings "Finan-
cial History Of the Wharf.-The loan
became very popular and was extensively
taken by farmers, mechanics and laboring
people in all the towns, villages and cities
all over the country. BY the LIST of July,
1863, the amount of $16S, $780, $50 was taken
and by the LIST of October following
s27S, 511, 500 had been taken up; and by the
2lst Of january following the whole sum of
$500, 900, 600 had been taken at par, and the
rush was SO great near the closing out of the
loan that nearly s11, 000, 900 extra had been
subscribed and paid before notice could be
given to sub-agents that the amount author
lied by that act had been taken up
The Commercial Advertiser, in careless
and inconsiderate article yesterday, abound
ing in loose statements, tried to maintain
that there was great deal of trick and
sham in the popular loans of Napoleon I'LL
We think it needless at present to point out
its errors on that subject, because we have
an example in our own history, fresh in
everybodys recollection, of the wonderful
success of a popular loan which was entirely
free from any suspicion of deceit or strata
gem. What has the Commercial to soy to the
brilliant success of Secretary Chase in the
great popular loan which he offered to the
American people in 1868?
Will the British Beat Our Amateurs