The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1878-03-20
THE SILVER BILL A LAW.
The Presidents Veto, and and !BiIi Passed
by both Houses over the Veto.

The following is the full text of the
Presidents message vetoing the silver
bill :
After q very careful consideration of
House bill 1893, entitled can act to
authorize the coinage Of the silver dol
lar and to restore it's legal tender char
acter," I feel compelled to return it to
the House of Representatives, in which
it originated, with my objection to it's
passage. Holding the opinion which I
expressed in my annual message that
neither the interests of the government
nor of the people of the United States
would be promoted by disparaging silver
as one of the two precious metals which
furnish the coinage of the world, and
that legislation which looks to main
tanning the volume of intrinsic money
to as full a measure of both metals as
their relative commercial value will per-
NIT would be neither unjust nor mex
pedient, it has been my earnest desire
to concur with Congress in the adoption
of such measures to increase the silver
coinage of the country as would not i'm
pair the obligation of contracts, either
public or private, OF injuriously affect
the public credit. It is only on the con:
viction that this bill does not meet these
essential requirements that I feel it my
duty to withhold from it my approval.
Ny present official duty as to that bill
permits only an attention to the specific
objects of it's passage, which seem to me
80 important as to Justify me in asking
from the wisdom and duty Of Congress
that further consideration Of the bill for
which the constitution has In such way
provided.
The bill provides for the coinage of
silver dollars of the weight of 4123
grains each of standard silver, to be a
legal tender to their nominal value for
all debts and dues, public and private,
except where otherwise expressly stipu-
lated in the contract. It is well known
that the market value of that number of
grains of standard silver during the past
year has been from ninety to n%inety-two
cents as compared with the standard
gold dollar. Thus the silver dollar au-
thorized by this bill is worth from eight
to ten per centum less than it purports
to be worth, and is made a legal tender
for debts contracted when the law did
not recognize such coins as lawful
money. The right to pay dutiesi in silver
or in certificates of silver deposit, will,
when they are issued in sufficient
amount to circulate, put an end to the
receipts to revenue in gold, and thus
compel the payment of silver for both
the principal and interest Of the public
debt. 81, l43, 439, 400 of the bonded debt
now outstanding was issued prior to
February, 1873, when the silver dollar
was unknown in the circulation OF this
country, and with only O convenient
form Of silver bullion for expectation.
1858, 44O, $50 of the bonded debt has
been issued since February, 1878, when
gold alone wa the coin for which the
bonds we're sold, and gold alone was the
coin in which both parties to the con
tract understood that the bonds would
be paid.
These bonds flowed into the markets
of the world. They were paid for in
gold when silver had greatly depreci-
ated, when no one would have bought
them if it had been understood they
would be paid in silver.
The sum of 1926, 600, 900 of those
bonds has been sold during my admin
istration for gold coin, and the United
States received the benefit of those sales
by q reduction of the rate of interest to
four per centum.
During the progress of those sales q
doubt was suggested as to the coin in
which payment of those bonds would be
made. The public announcement WAS
thereupon authorized that it was not to
be anticipated that any further legisla-
ton of Congress, or any action of any
department of the government. would
sanction or tolerate the redemption of
the principal of those bonds Of the pay
ment of the interest thereon in coin e1-
acted by the government in exchange
for the same.
In view of that fact it will be Justly
regarded as q grave breach Of the public
faith to undertake to pay those bonds,
principal or interest, in silver coin
worth in the market less than the coin
received for them.
It is said that the silver dollar made q
legal tender by this bill will, under it's
operation, be equivalent in full to the
gold dollar. Many supporters Of the bill
believe this and that It is not Just to pay
debts either public or private in coin Of
inferior value to the moneyof the world.
The capital defect of the measure is that
it contains no provision protecting from
its operation pre-existing debts in case
the coinage which it creates shall con-
tinue to be of less value than that which
was the sole legal.tender when they were
contracted. If it is now proposed for
the purpose of taking advantage Of the
depreciation of silver in the payment of
debts to coin and make a legal-tender q
silver dollar of less commercial value
than a dollar, whether Of gold or paper,
which is now lawful money of this coun-
try, such q measure, it will be hardly
questioned, will, in the Judgment OF
mankind, be an act of bad faith as to all
debts heretofore contracted.
The silver dollar should be made a
legal-tender only at it's market value.
The standard of silver should not be
changed without the consent of both
parties to the contract. National prom
ises should be kept with u~nainching
fidelity.
There is NJ power to compel a nation
to pay it's present debts. Its credit de-
ponds on its honor, the nation owing
what it has led its creditors to expect.
I cannot approve a bill which, in my
Judgment, authorizes the violation Of
sacred obligations. The obligation of
public faith transcends all questions of
profit or public advantage. It's unques-
tionable maintenance is the dictate as
well of the highest experience as Of the
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