The weekly clarion. [volume] (Jackson, Miss.) 1863-1882, 1877-02-07
TnE pREs1DEor> MESSAGE.
On the Question of Resumption.

On the Question Of Resumption.
The following is the Presi ient's mes
sage:
To the Senate and House of Representa-
tiVes-
By the act of Congress, approved jan
uary Il, 1875, to provide for the resump-
ton of specie payments, the stof Janua-
nv, 1879, is fixed as the date when such
resumption is to begin. 1t may not be
desirable to fix an earlier date when it
shall actually become obligatory upon
the Government to redeem its outst iud-
ing legal tender notes in coin on presen-
tation, buL ii IS certainly most desirable,
aud will prove most beneficial to every
pecuniary interest of the country to has
ten the day when the paper circulation
of the country and the gold coin shall
have equal values. At later day, if
currency and coin should retain equal
values, it might become advisable tn du
toriZe or direct resumption. | believe
the time has come when by simple act
of the legislation branch of the Govern
nent this most desirable result can be
attained. l am strengt hened III 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 une
80, 1876, the exports oft United States
exceeded the imports by Sl20. 213. 102.
but our exports include $40 $50, 621 of
specie and bullion in excess OF imports Of
the same comodities For the six months
of the present fiscal year, from July l,
1876, to January l, 1877, the excess of
exports over imports amounted to S101,
544, 500, and the imports of specie AMI
bullion exceeded the exports Of the pre-
cious metals by Sc, 1872, 147 in the same
time The actual excess of exports
over imports for six months, exclusive of
specie and bullion, amounted TO $l13,-
737 ,040, showing for the time being the
accumulation of specie and bullion in the
country amounting to more than SIX
millions of dollars, in addition to the ma
tional products of these metals, for the
same period a total increase of gold and
silver, for the six months, not far short
of sixty millions of dollars. 1t is very
evident that unless this great increase Of
the precious metals can be untitled at
home, in such way as to make it in
5,
it must seek a foreign market as surely
| as would any other product of the sort or
the mandatory. Any legislation which
| will keep coin and bullion at home will,
in my judgment, soon bring about practi-
cal resumption, and will add the coin of
the country to the circulating medium,
thus securing a healthy initiation of a
sound currency, to the great advantage
of every legitimate business interest
The act to provide for the resumption of
specie payment authorized the Secretary
OF the Treasury to issue bonds of either
of the descriptions named in the act of
Congress, approved July 4, 1870, emit
tied an act to authorize the retunding of
the national debt for not less than par in
| gold. With the present value of the -
per cent. bonds in the markets of the
world, they could be exchanged at par
for gold, thus strengthening the Treasu-
nv to meet final assumptions; and to keep
the excess of coin OK er Il demand, pend
ing its permanent use as circulating
medium at home, all that would further
be required would be to reduce the vol
ume of legal tender notes in circulation.
To accomplish this, | would suggest an
act authorizing the Secretary of the
Treasury to issue four per cent. bonds,
with forty years to run before maturity,
and be exchanged for legal tender notes
whenever presented in sums Of fifty dol
lars, or any multiple thereof; the whole
amount of such bonds, however, not to
exceed $3.50, 900, 900. To increase the
home demand for such bonds | would
recommend that they lie available for
deposit in the United States Treasury
for banking purposes, under the various
provisions Of law relating to national
banks. would suggest, further, that
national banks be required to retain a
certain per cent, of the coin interest re-
ceived by them from the bonds deposited
with the Treasury to secure their circu-
lation. l would also recommend the re-
peal of the third section of the joint reso-
luton for the issue Of silver coin, approx
ed July %, 1876, limiting the subsidia-
ry coin and fractional currency to $50,
900, 000 am satisfied that if Congress
will enact some such law as will accom-
plish the end suggested, they will give
relief to the country, instant in its effect,
and for which they will receive the graft
tude of The whole people.
L