New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1877-12-04

to bonds issued prior to lSbJ, the NTlDcilhl anu
! interest should he paid in the gold coin " then
IN circulation, and contemplated by both
! parties a. the medium Of payment lie
| also recommendation meet the practical DIM
| Guilty that bonds can now be sold onlV Tor
! gold coin. and, therefore, only through tllrd
| parties who can convert ordinary currency
! into coin-that bonds may be sold " either for
"coin or it's equivalent in United Sta IS
"n0tes."
ON the question OF resumption, the Sccrc-
tary holds that past operations have demon
"strated conclusively the practicability of re-
"stOring United States notes TO par In coin by
"the time fixed b. law, and that without dis
"turbing either domestic or foreign trade
or commerce" That growing business
has accompanied an advance OF the
public credit is an important Iact,
which the report briefly mentions. 1t urges
the firm maintenance Of the pledge gwen in
the notes when issued, and repeated in the
Act of 1869, and made definite and effective
Gin the Resumption Act" and to this end it
asks authority to fund into four per cent bonds
all United States notes in excess Of $300,OOO,-
600. Certainly the Secretary has power, with
less than 1885, 100000 in circulation,
and with more than $55,000,00 in coin APP
plicabe to the purpose of resumption, to do
much moro than this, if he sees fit, without
change Of laws. The report also invites crltl-
cism, by the expression of opinion that the
United States notes, if redeemed after January
/, 1879, when less than $300,000,000 is out
standing, may again be issued GAS if re-
ceived for taxes.p That "this construction
should be settled by distinct provision
"of law" if mt all, is ndcnIabe, but a case viii
soon come before the Supreme Court from
Massachusetts, in which perhaps the lega!
meaning OF Che word "redecm may be finally
fixed. Probably Mr.. Sherman himself docs not
look for any action on the subject in harmony
with the convictions OF those who defend the
public credit, from ,he present Congress.
Great expectations have been INDUCED, until
very recently, as to the leaning OF Secretary
Sherman toward the remOretizcrs of silver.
His report will disappcint them. 1t puts very
strongly the fact that unrestricted coinage OF
the old dollar, without limit rs to it. legal-tcn-
der quality, would, "by a financial law "a
"hxed and nvariabic as the law Of eraylta-
"tion," make silver The only standard of value,
and that all forms of paper money would fail
to that standard. or below it that "marbct
"vauc is fixed by the world, and not by the
United States : and that coinage Of silver as
proposed viii impair solemn public pledges, and
disturb all the financial operations Of the Gov
ernment. The issue of silver as species OF
token coinage, to be redeemed on demand OF
otherwise maintained at par with gold coin in
local use, the Secretary recommends; but as
this like Lis suggestion that silver coin might
be issued in exchange for legal-tendcis, %
not likely to be adopted by either branch OF
Congress, it need not be discussed.
On the whole the report is good. There is
not trace of weakness or compromise, as to
the public obligations, and Che spirit of ii is
eminently praiseworthy. We wish there
were reason to hope that it would be accepted
- a chart for financial action by Congress.
But it is at least assured that the veto power is
not in uncertain hands, and viii not he iufu-
cnced, in respect to the questions which affect
National donor and prosperity. by uncertain
counseis.