The home journal. (Winchester, Tenn.) 1858-188?, 1877-02-22
SPECIE PAYMENT.


10 Direct Resumption.
The following is the presidents message 10
congress on the subject of spece payment Is:
To the senate and house OF representatives:
By IN act Of congress, approved January
| |, 1875, TO prove for the resumption Of spe.
Gle payments, the LIT of January, 1879, il
fixed rs the date when such resumption is
to begin. 1t may not be desirable to fix an
earlier date when IL shall become obligatory
upon the government to redeem its out.
standing legal tender notes in coin, on pre-.
sentation; but il is certainly most desirable,
and Will provide most beneficial to every ne.
cuniary interest OF the country, to hasten the
day when the paper circulation of the coan.
try and good coin shall have equal value, it
might become advisable to authorize, or di
rect the resumption.
believe the time has come when, by Il
simple act Of the legislative branch OF the
government, this most desirable result can
be attained. 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 $l20 102 but orr exports
include $40569 62l OF specie and bullion in
NANNNN VI vi VIC SUIlt COMMUNITIES
for six months of the present fscI year
From July |, 1876, to January /, 1877, the
excess of exports over imports amounted TO
$40, ,54d $50, and the imports of specie and
bullion ex ,eeded exports Of precious metals
by $G,l92, l47 in the same time The actual
excess Of exports over imports for six
months, exclusive OF specie and bullion,
amounted to $ll37370i0, showing for the
time being the accumulation OF specie and
bullion in the country amounting to more
than S6,O0O,OOO, in addition to the natural
product OF these metals for the same period,
Il total increase of gold and silver Tor six
months not far short of S60,000000. 1t is
very evident that unless this great increase
of precious metals can be utilized at home
III such way as to make il in some manner
remunerative to holders it must seek a for.
eign market as surely as would any other
product of the soil or manufactOty. 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 initiation of
sound currency, to the great advantage of
every legitimate business interest. The act
to provide for the resumption OF specie
payments authorized the secretary of the
treasury to issue bonds OF either OF the de.
ScrptOns named in the act Of congress ap.
proved July 4, 1870, entitled "An act to au-
thorize the refunding Of the national debt"
for not less than par in gold. With the pre-
sent value Of AZ per cent. bonds in the
markets of the world, they could he ex.
at par for gold, thus strengthening
the treasury to meet the final resumption,
and keep the excess of coin over the demand
pending ITS permanent use as a circulating
medium at home. All that would be re.
Guired would be to reduce the volume Of the
legal tender notes in eircul, tiOn. TO ac
c0mplish this would suggest an act author
Ming the secretary Of the treasury to issue
four per cent bonds with forty years to run
before maturity, to be exchanged for legal
tender notes. whenever presented in sums
OF $50 or any multiple thereof the whole
amount Of such b0Gds, however, not to cx.
ceed S250,0G0,000. To increase The home dc.
mand for such bonds would recommend
that they be available for deposit in the
United States treasury for banking purposes
under the various provisions Of the law re-
lating to national banks. | would suggest
further that the national banks be required
to retain a certain part OF the cGin interest
received by them from bonds deposited with
the treasury to secure their circulation. !
would also recommend the repeal Of the
third section OF the joint resolution for the
issue of silver coin, approved July %, 1876,
limiting subsidiary coin and fractional cur
rcncy to $50000,C00 ] am satisfied that if
congress will enact some such law as will ac-
complish the end suggested they will give re,
lief to the country instantaneOuSin its effect
and for which they will receive the gratitude
OF the whole people. U. s. GRANr.
Executive Mansion, Feb. 3, 1877.
The secretary Of the treasury says he has
sufficient silver to meet legitimate demands,
aud declines to re-exchange United States
notes for silver brought to the department
in sums varying from $40 to $500.