The Hillsdale standard. [volume] (Hillsdale, Mich.) 1851-1909, 1877-08-28

puotlc expenditure mas Dceu huectel
in the reduction of interest on the pub
lie debt.
The great body Of the public debt Il
now payable at the pleasure of Tia,
United States at par in coin. As thi
debt now bears an interest OF six pc
cent. IL is manifest that If money car
be borrowed at a less rate the ole
bonds can be paid off, and the reduced
interest lessena to that extent the bur
den of the debt. Prior TO the 1st o
March my predecessor had sold $50,
100000 four and one-half per cent
bonds at par in coin, the proceeds o.
which had been applied to the redemp
tlon OF six per cent. bonds. Since tn,
lst of March there have been sold, un
der the refunding act, Sl35, 600, 600 foul
and one-half per cent. bonds, and thar
amount OF six per cent. bonds have
been paid off or are being paid of and
cancelled, thus saving to the people OF
the United States $2,025, 900 in coir
for this year, aud each year hereafter
In May last became satisfied thai
the credit Of the Government was SO
advanced, and the money market wa
so favorable, that could sell at par in
coin bonds OF the United States bear.
ing interest at four per cent per an.
mum, and, with the sanction-o the
President, | took the responsibility oi
withdrawing from sale Sf00, 900, 900 oi
four aud one-half per cent. bonds and
substituting four per cent. bonds
There was great doubt among bankers
and business men here aud in Europe
Of the ability TO sell these bonds al
par, and | had plenty Of advice not to
undertake the task. Germany, now
one OF the great powers of the world,
had recently offered her four per cent
bonds at n discount OF more than five
per cent. The Russian government,
now under the stress Of war, was sell
ing its bonds at such rate that they
yielded over eight per cent. The Por-
tuguese government had issued three
per cent. loan at about 30 per cent. dis
count. Great Britain, the highest in
credit Of all the great nations, had sold
her three per. consols at n large dis
count, aud now although they are a
perpetual annuity, they are daily quot-
ed at from 9i 10 % per cent. Still
with the favorable condition OF the
money market, with industries paralyz-
ed throughout the world, money lying
idle IN great boards, with our credit
untarnished, our nation confessedly
among the leading powers Of the world,
With great resources. / believed that
the public interest and public duty de-
manded that the effort TO sell these
four per cent. bonds should be made,
aud that it would be successful.
THIS GREAT NATIONAL LOAN
was opened by popular subscription III
the United States on the 10th Of June,
and within thirty days afterward S67,-
Coz, 900 were taken IN this country and
$40, ,20O, 900 in Europe, making ST.
500, 900 sold. This sum, when paid
and applied TO the purchase of six per
cent. bonds, will make an annual saw
ing % the people Of the United States
of 8 ,JJG, 600. The aggregate Of the
saving from both classes OF bonds since
the lst of March, 1877, will be 50, ISL, .
600 "A year in coin.
And this process Of saving has Just
commenced. We may confidently hope
that, If no adverse legislation shall be
had that Will injuriously affect the pub
lie credit, the entire amount of the
public debt bearing interest at over
four per cent, now emOunting 20 near
ly 81, 7OO.0 900, may, as IL becomes re-
deemable, be converted into bonds not
exceeding four per cent.
SPECIE PAYMENTS.
And now, citizens, this brings
me to the question upon which there is
so much diversity Of opinion, so many
strange delusiOns. and that is the ques-
tion of specie payments. What DO we
mean by this phrase? Is 1t that we are
to have no paper money in circulation?
IL SO, am as much opposed 10 it as
any OF You. Is II that we are 20 retire
our grcenback circulation? II so, / am
opposed 10 IL, aud have often 80 said
What | mean by specie payments is
simply that paper money ought To be
made equal To coin, so that when You
receive 1t it will buy As much beef, corn
or clothing as coin.
Now the importance OF this cannot
be over-estimated. A deprecated pa
per money cheats aud robs every man
who receives il Of n portion of the re-
ward Of his labor or production, and
ia all times IL has been treated by
statesmen as one Of the greatest evils
that can befall a people. There are
times when such money ia unavoidable,
as during war or great public calamity,
bnt ID has always been the anxious care
OF statesmen 10 return again 20 the sol
id standard Of coin. Therefore 10 is
that specie payments, or a specie stand
ard, is pressed by the great body of in
telligent men who study these ques-
tions as an indispensable prerequisite
for steady business and good times.
Now. most of You will agree 90 all
this, and will only differ as to the
mode, or time, and manner; but there
is large class Of people who believe
that paper can be, and ought TO be,
made into money without any promise
OF hope of redemption; that note
should be printed:
This Is A DOLLAR"
aud be made a legal tender.
! regard this as a mild form Of luna
cy, aud have no disposition TO debate
with men who indulge in such delu-
sions. They have prevailed TO some
extent at different times in all coun-
tries, but their life has been brief, and
they have ever shared the fate of other
popular delusions. Congress will new
er entertain such proposition, and, il
IL should, we know that the scheme
would not stand a moment before the
Supreme Court. That court only
maintained the constitutionality Of the
legal tender promise to pay dollar by
divided court, and on the ground
that il was issued during the war, a.
ia the nature OF forced loan, 10 be re.
deemed upon the payment Of real
dollar; that is, 50 many grains Of silver
or gold.
| therefore dismiss such Wild theo-
ries, aud speak only to those who are
willing 90 assume, as an axiom on this
subject that gold aud silver, or coined
money, have been proven by all hu.
man experience 90 be the best possible
standard value, and that paper money
is simply a promise 90 pay such coined
money, aud should be made aud kept
equal TO coined money, by being con-
yertible on demand.
Now the question is a. to the time
aud mode by which this may be
brought about, and on this subject nc
man should be dogmstic, or stand
without yielding, upon a plan Of his
own, but should be willing 10 give aud
take. securing the best expedient thai
public opinion will allow 10 bo adopt
ed. The purpose aud obligation q
bring our paper money 90 the standard
of coin have been over and over acair
announced by acts Of Congress aud by