The true northerner. [volume] (Paw Paw, Mich.) 1855-1920, 1877-02-09
SPECIE PAYMENTS.

President Grant Thinks We Can Resume
ImmediateIy-Messag to Congress.
The following is the Presidents message to
Congress on the subject of the resumption Of
specie payments:
To the Senate and House of Representatives.:
BY an act Of Congress approved Jan. IA, 1875,
to provide for the resumption Of specie pay
ments the LIST Of January, 1879, is fixed as the
date when such resumption is to begin. It
may not be desirable to fix an earlier date
when it shall actually become obligatory upon
the Government to redeem its outstanding legal
tender notes in coin on presentation, but it is
certainly most desirable and will prove most
beneficial to every pecuniary interest of the
country to hasten the day when the paper cir
culation of the country and gold coin ehall have
equal values. AT q later day, il currency and
coin should retain equal values, it might be-
come advisable to authorize or direct resump-
ton. believe the time has come when by
simple act of the legislative branch of the Gov
eminent this most desirable result can be at
tanned. / am strengthened in this view by the
course trade has taken in the last two years,
and by the strength Of the credit of the
United States at home and abroad For the
fiscal year ending June 80, 1876, the exports
Of the United States exceeded the imports by
1920, 2l3 102, but our exports include $40, $780,
62l OF specie and bullion III excess OF the ina
ports of the same commodities. For the six
months of the present fiscal year from July
/, 1876, to Jan /, 1877, the exports over i'm
ports amounted to ST, 544, 1863. and the i'm
ports OF specie and bullion exceeded
the exports Of the precious metals by
sc, 1872. LAT in the same time. The act
ual excess OF exports over imports for the
six months, exclusive OF specie and bullion,
amounted to S13, 1877, 040, showing for the
time being the accumulation of specie and
bullion in the country amounting to more than
Sc 600, 900, which, in addition to the national
product OF these metals for the same period
makes the total increase OF gold and silver for
the six months not far short Of a60, 000, 000
1t is very evident that unless this great in
crease Of precious metals can be utilized at
home In such q way as to make it in
some manner remunerative to holders it
must seek foreign market, as surely as
would any other product Of soil or manufact-
uring. Any legislation which will keep coin and
bullion at home will, in my judgment, soon
bring about practical resumption and will add
the coin Of the country to the circulating me-
dunn. thus securing healthy "inflation Of a
sound currency, to the great advantage Of every
legitimate business interest. The act
to provide for the resumption
Of specie payments authorized the Sec
rotary of the Treasury to issue bonds Of either
of the descriptions named in the act Of Con-
gress approved July A. 1870, entitled IAN act
to authorize the refunding OF the national
debt" for not less than par in gold. With the
present value CT the Az per cent. bonds in the
markets OF the world they could be exchanged
at par FOR gold, Thus strengthening the treas
ury to meet final resumption and keep an
excess of coin over the demand pending its
permanent use az a circulating medium at
home. All that would further be required
would be to reduce tho volume of legal-tender
notes in circulation. To accomplish this l
would suggest an act authorizing the Secre-
tary of the Treasury to issue per cent. bonds
with forty years to run before maturity, to DO
exchanged for legal-tender notes whenever
presented in sums OF $50, or any multiple |
thereof, the whole amount OF such bonds, how |
ever, not to exceed $50, 000,000. To increase |
the home demand for such bonds would |
that they be available for deposit |
in the United States treasury for banking pur-
poses, under the various provisions OF the law |
relative to national banks. would suggest
further that the national banks be required to
retain certain per cent. of the coin interest
received by them, from bonds deposited with
the Treasury to secure their circulation.
would also recommend the repeal OF the third
sectien of the Joint resolution for the issue OF
silver CON- approved July %, 1876, limiting
coin and fractional currency to $50,
BOO, 000 am satisfied that IL Congress will
enact some such law a. will accomplish the
snds suggested they will give relief to the
country instant In its effect, and for which they
will receive the gratitude OF the whole people.
u. 8. GRANT.
EXECUTIVE MANSION, Feb. 8, 1877.