The weekly herald. [volume] (Cleveland, Tenn.) 1876-1888, 1877-12-06

tual condition OF our aualfs as 70 present. 81 Occa-
sion for The exercise Of the duty i'm.
posed by The ConsuIntion on The Presi.
dent, Of recommending 10 tho consideration
D Dsos S.ngsc sSd 's sSns g msub1 mann ne = epiniioS a. I
do, tuat neither the Interest OF the Government
nor OF the people Of the United States would DO
promoted by dispaTagiug silver as one 81 the sec
ond precious metals which furnish the coinage Of
the world, and that leaislntiOn, winch looks 20
maintaining volume OF intrinsic money 10 40
full o measure OF both metals as Their relative
commercial values will permit, would be
neiiher unjust nor ineApenient L must ASK
your Indulgence 10 a brief ana definite
legislative measures which ] feel It my duty 70
recommend. do not propose 20 enter the debate
represented on both sides by such able disputants
in Congress and before the people and IN the
press as TO the extent 10 which the legislation OF
any one Nation can control this question:, even
within It's owe borders, against lhs Jaws OF trade
or The positive laws OF other Governments. Tire
wisdom OF Congress 10 shaping any particu-
lar law that nay be presented for my
approval may wholly sUpersede the necessity OF
my entering into the Recommendations. aud Will
ingly avoid either vague or Intricate inquiries. IL
Is only ceriain plain and practical trails OF such
legislation that | desire TO recOmmit 10 your at
t%eutiOn. In any Legislation providing for a silver
coinage, regulating it, value ana impartlng 10 II
The quality OF legal tender, II seems TO me OF great
Importance that Congress should not lose sight OF
is action by operating IN a two fold capacity.
and IN two distinct directions. II the United
States Government were free from a public, debt
lite legislative dealing with the question OF silver
coinage would DO purely sovereign and govern
mental, under no restraints Int those OF c%onstitu-
uonal power, The public good as affected by The PRO
posed legislation, but 10 the actual circumstance
Of the Nation, with a vast public debt distributed
very widely among our own citizens, and held in
great amounts also abroad, the nature OF the
silver coinage measures as affecting
this relation Of the Government to
the holders of the pubhot debt. becomes, in
any proposed legislation, OF the highest concern.
The obligation OF the public faith transoends all
questions Of profit or public advantage, otherwise
It's unquestionable maintenance is the dictate, as
/ NUal1 uE Tho hNHrhnET aNnaIHanAH aa. a tho Uan0N ma.
essary duty, and will be carefully guarded by Con
Rress and the people alike.
PUBLIC DBBT-How IT SHOULD BE PAID.
The public debt Of the United States, to the
amount OF t729,OOO0O0 hears interest at the rate of
six per cent, ana S708,OOOOOO at the rate OF Eve
which the country can be relieved
from the payment OF these high rates OF interest
~ by advantageously refundIng the Indebte dness.
Whether the debt Is Ultimately paid IN gold or in
silver coin ~ OF hut little moment compared with
the possible reduction OF The interest one.thlrd bv
lefundng 1t at such reduced rates. II the United
States bad the unquestiOnable right 10 pay its
bonds ~ silver coin, the little benefit from that
process would be greatly OverhalaDced bV the in.
iurious effect of such payment If made or proposed
against the honest conviction OF the public credit.
Ali the bonds that have been issued since February
~. 1873, when gold became the only unlimited
legal-teuder-the metallic currency of the country
\ are justly payable 10 gold com. or IN coin Of equal
value. During the time OF these issues the only
dollar that could he or was received by the Gov
eminent In exchange for bOnOs was the gold DOL
lar, To require the public creditors TO take In re-
payment any dollar OF less commercial value
would be regarded by them as a repudiatiOn
OF the full obligation assumed. The bonds
issued prior 10 1873 were issued
at a time when the gold dollar was the only coin
In circulation, or contemplated by either the Gov.
eTnmeut or the holders of the bonds as the coin
which they were TO be paid. II Is far better TO
pay these bonds in that coin than 90 seem TO take
advantage OF the unforeseen fall OF silver bullion
in a new issue of silver coin that MADE it so much
less valuable. The power OF the United States TO
ann V...nnW nnA 20 RanV1uV "a. Il. aA..a-N
ought never 10 be exercised FOR the pur-
pose Of enalllng the Government to
pay its obligations in a coin OF less
value than that cOntemplated bv the parties when
the bonds were issued. Any attempt TO pay the
National Indebtedness 10 a coinage Of a less som.
mercial value than The money Of the world wOnld
involve a violation OF the public faith, and work
irreparable injury to the public credit. II was the
great merit Of the act of March, 1869, in strength
euine the public credit that 1t removed all doubt
as 10 the purpose of the United States 10 pay their
bonded debt in coin. That act was accept.
ed as q pledge of the public faith. The
Government has derived great benefit
from 1t 10 the progress thus far made in refundng
the public debt, as the low rates of interest are IN
adherence TO the wise and Just policy of an exact
observance Of the public faith. II will enable the
Government rapidly to reduce The burden Of in.
teTest on the National debt TO an amount ex-
ceeding $50, 100000 per annum, and affect an aggre.
gate saving to the United States OF more than $780,.
100000 before the bonds can be fully paid.
10 adopting the new silver coinage
to the ordinary uses of the currency
~ nv bNpAN hhy AAohGNNANoub VI lllOs u lft'
serving the quality of legal tender to be assigned
TO 1t, q consideration Of the first importance should
be so TO adjust the ratio between the silver
and the geld coin which now constitutes our
specie currency us to accomplish the desired end
OF maintaining the circulation OF the two metallic
currencies, and keeping up the volume Of the two
precious metals as our Intrinsic money.
GOLD AND SILVER.
1t is q mixed question for scientific
reasoning and historical experience to
determine how far and by what meth
DDS a practicable equilibrium can be maintained,
which will keep both metals in circulation in their
appropriate spheres of common use. An absolute
equality OF commercial value. free from disturb
ing huGtuatlOus, Is hardly attainable, and without
It an untried legal.trnder for private transactions
assigned to both metals, would tend TO drive out
Of circulation the dearest COINAGE, and disap-
legislation IN view. I apprehend, therefore,
that the two conditions Of a near APP
proach to equality Of commercial value
nomination, and OF q limitation of the amounts for
which the silver coinage is to be a legal tender,
are essential 10 maintaining both in the circula-
ton. IL these conditions can successfully be oh
.served the Issue from the mint of silver
dollars would afford material assistance to the
community in transition to r"edeemable paper
money, and would facilitate the resumption Of
specie payment and Its permanent establishment
Without these conditions fear that
Only mischief and misfortune would follow
from n coinage of silver dollars with the quality
Of unlimited legal tender, even In private trans.
actions. Any expectation OF temporary ease from
hu ISSUE VI tlNtT BOludgb W pass us u lekdl lbnuef,
al u rate materially above its commercial value is,
! am persuaded, O delusOn; nor can | think that
there IL any substantial distinction between an
original lasue of silver dollars at a nominal value
material above their commercial value and the
restoration OF the silver dollar at a rate
which once was, but has ceased
to be, its commercial value. Certainly the issue OF
our cold coinage, reduced In weight materially be-
low Its legaltender value, would not be any the less
present d%ebasement Of the coinage by reason of its
equalling or even exceeding in weight a gold coin
ace which at some past time had been CONNER
cIally equal TO the legHl-tender value assigned 10
the new issue. In recommending that the regula-
ton OF any silver coinage which may be author
ICED by Congress should observe these con
dlnons of commercial value and limited
legal tender, | am governed by the feeling
that every possible increase should be given
10 the volume of metallic money which can be
kept III circulation, and thereby every possible aid
afforded TO the people 10 the process Of resuming
specie payments, IL Is because Of my conviction
that q disregard of 1hese conditions would Illustrate
the good results which are desired from the pro.
posed coinage, and embarrass with new
clements of confusion aud uncertainty the
business of the country. that 1 urge
upOn your attention these considerations.
respectfully recommend TO Congress that in any
legislation providing for o silver coinage aud
imparting to 1t the quality Of legal tender, there
be Impressed on the measure a firm provision ex-
empting the public debt heretofore issued and now
interest, in any coinage Of less value than that OF
the present gold coinage of the country.
CIVIL sERvICE.
The organization OF the civil service Of the coun.
try has for a number OF years attracted more and
more of public attention. So general
has become the opinion that the methods Of ID
mission to II, and the conditions Of remaiui1Yh
II, are unsound, that both the great political Oar.
ties have agreed in the most explicit declara.
tion of the necessity Of reform, and in tho