The Kenosha telegraph. [volume] (Kenosha, Wis.) 1860-1888, 1877-11-01

miles Of railway built and equipped,
upon an average each year. During
the succeeding fiscal year, railway con-
struction dwindled to less than two
thousand miles. During the present
year, it is estimated that less than 700
miles, Will be built. Do You know
what the construction of seven thous-
and miles of railway means? It means
nothing less than the disbursement Of
TWO HUNDRED MILLIONS FOR LABOR.
When that construction stops, labor
earns two hundred millions in the
year less. Then there are two hun
dred millions less to be expended for
the products of other industries. The
market for lumber and for almost all
other fabrics shrinks. Saw mills, fur
naces and factories are closed, and
thousands from those shops join the
hundreds ofsthousands dismissed from
railway eonstructioR.
/ From these hints each one Of you
may oalcalate for himself how much
the volume of business has diminished
and why. 1t has diminished. Not
money enough? Since the 1st of Jan
uary, 1875; rational banks have volun-
tarily retired from circulation more
than thirty-6ix millions Of their own
notes, because there was not profitable
employment for them. Not money
enough? Why don't you make money
yourselves? Any half dozen Of you
can organize and issue your own notes
for money if you will give security to
exchange eol1 or gre9nbacks for them
on demand. But you protest against
bank notes convertible into greenbacks.
/ You insist. Npon q circulation com
posed of gTeezbacks exclusively, and
convertible into nothing except United
States bonds, Well, make your United
States notes and your bonds intercon-
yertible, and do you not certainly
know that the Immediate effect Of that
scheme will be
T TO CONTRACT AED NOT TO EXPAND
the volume ofslegal tenders? Capital
would then contract the circulation at
pleasure and would contract it largely.
The greenback party, if permitted,
would rush into&the very jaws they
profess so muchstc dread.
I But contraction is far from the
I worst peril to which the inconverti-
BILE scheme would expose US. Capital
tunder that scheme could alternately
contract and expand the circulation at
i its own arbitrary .will. The agricul
iture of this countrywhich is the foun-
dation of all prosperity goes to market
FDut once year. SEED time and harvest
fare promised to us, but only one seed
.ftime and one harvest in each year.
fThree times during the last decade, we
Ehaye seen capital caubine to make
cnrrency scarce, just at the time our
hafvests were going toelnarket. That
end is effected by the staple process of
I LOCKING UP CURRENCY:
making special deposits Of it. But cur
renoy cannot now be locked up, except
at the loss of interest. Fifteen mil
lions were at one time So locked up,
but the sfnterest on fifteen millions at 6
per cent, is over $2,40O per day; that
is a heavy penalty for locking up. How
convenient to such operators, and how
disastrous to the farmer, it would be
to have the Treasury vaults opened,
where the spectators could deposit
their millieng, and take interest bear
ing bonds in exchange. You may say
that the United States notes SO ex-
changed are not locked up, bat the
Treasury may at once issue them
again. Issue them for what? To pay
appropriations?l Taxes have pDovi-
ded the fund to meet appropriations
To pay other bonds bearing a higher
rate of interest? But what if no such
bonds are payable? And even if such
bonds are payable the holders cannot
be compelled to surrender them and
take the notes.
Well, the Treasury may stop the in
terest on their bonds, but that does
not put the notes in circulation. Still,
you may reasonably assume that the
holder Of the bond would take the
notes if he coald get no interest upon