The weekly democratic statesman. [volume] (Austin, Tex.) 1871-1883, 1877-06-14
THE PROGRESS OF HARD
TIM rs.

The continual contraction Of the vol
ume Of currency makes money more
and more difficult to get, and SO ruin
o1s does the policy become, even here
in Texas, where people owe and suffer
least, that popular discomfort grows
dangerous to those in power. Elections
sooR occur in Ohio, when popular dis
appreciation Of Mr.. Secretary Sherman's
policy will assert its force, and how
ever just and wise the purposes OF the
Secretary, he will be surely condemned
by the whole debto: class of the coun-
try. The ere 1itor and debtor classes,
until recently, have differed widely
from one another. Creditors demanded
gold and debtors insisted that paper
should abound and silver be remone-
tized. The President, it is said, while
asserting to the replacement of silver
on its original footing as a legal tender
for all amounts, is still resolved to
withdraw the paper of the government
and wind up the national banks. These
must close their career when forced to
redeem their issues. There are 20S9
OF these institutions, liable for $780,
900, 600 deposits and $500, 900, 900 cir
culation, q total of $940, 900, 900, for
the payment or redemption of which
vast sum they hold only $21, 900, OOO,
or two per cent, in specie. How can
these banks resume specie payment
Must they go out of existence, and have
their United States bonds sold and
notes redeemed by the Federal Treas
ury2 There are tremendous financial |
events to come which must convulse |
the trade and stagger the prosperity !
even of Texas. But the chances are |
that Mr.. Hayes will adapt his financial |
policy to the exigencies of the hour.
He may choose to accept modified
scheme by which the date of resump-
ton may be postponed and the end at
last attained by slow processes, avoid
ing this universal ruin which threatens
the utter overthrow of credit and an
inhalation of values. Not long ago
and capitalists were of |
one mind, demanding gold. But now,
when they can only foreclose mort
cages and get property, and this prop
erty must pay taxes and will pay no
this creditor class would
prefer q relaxation of Shermsn's grasp
upon the throat of American finance.
Mortgages do not care to own houses
and lots producing no revenues and
payment of taxes, insurance
and repairs. To this strait money
lenders are reduced, and at length their
interests are concurrent with those of
and both classes must have
, more liberal course pursued by the
Secretary of the Treasury. 1t is stated
hat Mr.. Sherman and the President
liffer from one another; that Sherman
s q contractionist and the President
! quasi InastIonist; that Sherman op-
poses and the President approves the.
-emonetization OF silver; that the COM
ng elections in Ohio will turn wholly
lpon this question of finance, and few
louUL the success OF the party which
liffers most from Mr.. Secretary Sher-
nan. Very certainly the great major
tY of the people ascriblng hard
lines to progressive contraction
of the volume of currency will
approve any, measure which may
give Q share of present relief,
and unless Mr.. Sherman deliberately
provide for the sure defeat of his party
in coming State elections he will lessen
somewhat the intense vigor of muscle
applied by his grasp to the throat OF
the Federal treasury. Every debtor,
unless q change supervene, must be
and property becoming value
lcSD VI uuPhOuuObhNOt S'SA shS Viva
tor class, unable to hold it, will be
forced to condemn the policy Of the
Of the Treasury. He does
not comprehend, removed as he has
been for many yeais from immediate
contact with the people, the extent OF
suffering begotten among the poor by |
his scheme of finance. He is misled |
by newspapers that represent the few
rather than the many.
1t is only gratifying to the people |
of Texas to know that however terri
BILE the woes Of older States, ours
must be comparatively light, though
even here the effects OF violent con-
traction are already ruinous to prop
erty values. But Ohio will soon speak
OF ill E..o, - Ohio