Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1877-02-15
The Presidents Message on the Sub
f jeet of Specie Resumption.
WASHINGTON. Feb

p. r F. E WASHINGTON, Feb. 8,
The followingis the Presidents Mes
sage to Congress on the subject of the re-
sumption of specie payment: Il aaii a
To the Senate and House of Representatives:
By the act of Congress, approved Jan. IA,
1915, to provide for the resumption of specie
payments, the first of January, 1879, is fixed
as the date when such resumption is to
begin. 1t 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, butit is certainly most desirable,
and Will prove most beneficial to every pecuni-
ary interest of the country, to hasten the day
when the paper circulation of the country
and gold coin shall have equal values. At
later day, if currency and coin should retain
equal values, it might become advisable to
authorize or direct resumption l believe
the time has come when by the simple act of
the Legislative branch of the Government
this most desirable result can be attained. I
am strengthened in this view bv 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. ....: . t.t
For The fiscal year ending June 80, 1876,
the exports of the United States exceeded
the imports by $120,213, ,102, but our exports
include S40, ,?69, ,621 of specie and bullion
IN excess or imports OF the same cOnmOdi-
ties. For six months of the present fiscal
y L q
excess of exports over imports amounted
. SIT ,544 ,s69, and the Imports of specie
and bullion exceeded the exports of
precious metals by Sc, 1921 in. the
same time. The actual excess of ex-
ports over imports for the six months.
exclusive of specie and bullion, amounted
to S13, 737, ,040, showing for the time being
the accumulation Of specie and bullion in
the country amounting to more than Sc, ,0O0-
00O in addition to the national product of
these metals for the same period, a total
Increase of gold and silver for six months
not far short of $50 900, ,900 tits very evident
that unless this great increase of precious
metals can be utilized at home in such
way as to make it in some manner -remuner-
ative to holders, it must seek foreign mar
ket as surely as would any other product of
the soil or manufacture, 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 medium,
thus securing a healthy imitation of sound
currency to great advantage Of every legiti-
mate business interest. 5 -. -..s- y --.
The act to provide for resum ption of spe-
Gle payments authorized the Secretary oil
the Treasury to issue bonds of, either of the
descriptions named in the act of Congress,
approved July 4, 1870 entitled can act to
authorize the refunding. of the Ma
tional debt" for not less than par in gold
w lln me present ValuG Oh 1Our ana hall per
cent. bonds in the markets of the world, they
could be exchanged at par for gold, thus
Strengthening the. Treasury to meet final
resumption, and to keep the excess of coin
over the demand pending its permanent use.
as a circula ing medium at home All that
would further be required would be to re.
duce the volume of legal-tender notes in cir
culation. To accomplish this, I would sug-
gesG an act authorizing the Secretary of
the Treasury to issue four per cent.
bonds, with forty : years to run be-
fore maturity, to be exchanged for
legal-tender notes whenever presented in
sums of fifty dollars, or any multiple thereof
the whole amount of such bonds, however,
not to exceed $50, ,00O,G00. To increase the
home demand for such bonds, would rec
ommend that they may be available for de-
posit in the United States Treasury for bank
ing purposes under the various pro visions of
law relating to the National Banks hz
would suggest further that National
Banks be required to retain a certain per
cent. of coin interest received by them from
bonds deposited with the Treasury to secure
their circulation. Iwould also recommend
the repeal of the third section of the Joint
resolution for the issue of silver coin, ap-
proved July %, 1876, limiting the subsidiary
coin and fractional currency to $4,000, ,OO0
| am satisfied that if Congress viii enact
some such law as viii accomplish the end
suggested, they will give relief to the coun-
try, instant in its effect, and for which they
will receive the gratitude of the whole peo-
pie. (Signcdl U. S. GRANT.
EXECUTIVE MANSION. Feb. 8. 1877. ..l