Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1876-02-17
An Old Discussion of the Money Cues.
ton.

1hE discussion OF the comparative merits
OF hard money and a paper currency is not
new In the political history of the country.
during the administration OF Gen. Jack
son the entire attention of our public men
was given to financial questions. The de-
bate went over the entire ground of the re-
latlons OF the general Government to paper
money and led TO an important change of
financial policy. The President, who was
strongly opposed to q recharter of the Bank
OF the United States, removed the public
funds from its custody. The money taken
from the one depository was placed in the
keeping of many State banks, and, not ex-
pected to be immediately called for, was lent
TO customers. An era of expansion and
speculation followed which alarmed the
President and his friends To cheek this
tendency the "spece circular was issued
requiring gold and silver to be paid at all
entries of public lands in the Governments
land Offices The use of State banks as, de-
positories proved disastrous and the Govern
ment finally resolved on being the custodian
of its OWN funds and transacting all its own
business in gold and silver After periods
OF expansion, suspension by the banks of
specie payments, depression and financial
suffering, the policy was established which
continued in force until the breaking out of
the civil war. The Independent Sub Treasury
act worked so satisfactorily as to silence OBJ
!ections, and was held by the Democratic
party to be one of the greatest of their hard
Won triumphs- 1t asserted that it was the
hard-money party of the country and was,
proud of the name.
The history of the country during the pc
Rod of ten years following 1884 is full of in
structon for us to-day. The superior value
of specie currency was abundantly illus
trated. Mr.. Benton, who was Familiarity
known as "Old Bullion" laid down the
broad proposition that ours was intended to
be hard-money government, and originated
the taking formula that hard money was
the right money for hard hands"
The many speeches made at the time by
this champion of gold and silver as the ONLY
proper circulating medium for the uses of
the Government, and, as far as possible, for
the people also, evince sagacity which APP
pears more remarkable with the advance of
years. 1t was his habit to fortify his argu-
ments by reference to the examples of
France. One passage from a speech deliv-
cred IN 1887 could have been as truly spoken
of France in 1875, ard is not only an exam
pie of the appositeness of the illustration.
but is an additional proof of the value of the
hard-money system which the first Napoleon
gave to that much tried country. Mr. Ben
ton said:
have repeatedly given it as my opinion that
the French currency is the best in the world 1t
has hard money for the Government; hard mon
ey for the common dealings Of the people, and
large notes for large transactions. This currency
has enabled France to stand two nyasions-the
ravaging by 100000 men-two changes of dynasty,
and the payment of milliard of contributions.
and all without any commoton or CONFUSION in
trade. 1t has saved her from the revulsiOns which
have afflicted England and America for so many
years. 1t has saved her from expansions and con-
fractions, and ruinOus fluctuations Of price. 1t
has saved her, for near forty years from debate
on currency. 1t has saved her from a knowledge
OF our sweet-scented flowers, sound currency, un-
sound currency, plethoric, dropsical inflated,
boated; " the money market tight to-day, a little
easier this morning" 1t has saved France from
discussion on the currency; while in England and
with us it is banks, banks, banks, morning, noon
and night, breakfast dinner and supper; sitting or
standing, at home abroad, in steamboat or rail-
road car in Congress out of Congress, it is all
the same thing-banks, banks, banks, currency
currency, currency, meaning all the while paper
money and shinplasters, until very brains
seem as if they would be converted into lamp
black and rags.
This blast at the paper-money follies of
his time is applicable, with a few changes Of
words, to the paper-money folly of to-day,
while the description of the French money
system has been confirmed by recent events.
Since the delivery of Senator Benton's
speech France has been republic an en-
plre, and republic again; has been sue
cessfully invaded by one of her neighbors,
has seen her capital in tLe possession of her
foes, has been subjected to the most enor-
nous military fines known to modern histo-
ry, has been humbled to the dust, yet has
paid the contributions exacted, running up
to milliards on milliards, has done this with
out disturbance of the course of trade, has
kept down the premium on gold with such
success that it was never, at any point of
time, more than trifing, and has recovered
her prosperity. In the suppression of re-
bellion the people Of the United States were
victorious; they have had no more than
their own expenses to pay, and yet in the
process of recuperation they have been out
stripped by vanquished and Inundated ma
ton There is no satisfactory explanation
of this difference but the difference of the
financial systems Of the two peoples. The
French are specie-loving and specle-pay-
ing people. They grappled at once with
their financial problem and have seen it sue
cessfully solved
1t is remarkable that, with such passage
of our recent national history behind us,
there should be need of a fresh discussion
by Americans of the elementary principles
Of finance. We have known, to our sorrow
the evils of an irredeemable currency, and
it would naturally be supposed that we
would permit no delay in the effort to make
our escape from them.-N. Y. Eyening Post
SOME Typographical errors are very
funny. In New York paper recently
the words This Port Said isl were rem
dered This Pat said, "is," and /" Put
out the flag" appeared as g Pat cut the
hog" When B. F. Taylor's poem on
Burns Centennial was telegraphed from
Chicago few years ago, the first line,
" Heart of leal, can this be dying?" ap-