Perrysburg journal. (Perrysburg, Wood Co., O. [Ohio]) 186?-1965, 1878-03-08
The Veto Message.

WASHINGTON, Feb. &.
The following is the Presidents mes
sage;
To the House of Representatives.
Aftervery careful consideration Of House bill
1903, entitled An act to authorize the coinage
Of the standard silver dollar, and To restore It's
legal-tender character / feel compelled to
return it to the House OF Representatives, In
which II originated, with my objections to its
passage. Holding the opinion which / ex-
pressed In my annual message, that neither the
interests of the Government nor the people of
the United States would be promoted by dis
paraging silver as one Of the two precious
metals which furnish the coinage of the world,
and that legislation which looks to maintain
ing the volume OF intrinsic money to as full n
measure OF both metals as their relative com
mercial value will permit would be neither un-
just nor inexpedlent, It has been my earnest
desire to concur with Congress in the adop-
tiOn OF such measures to Increase the silver
coinage OF the country as would not impair
the obligation of contracts, either public or
private, or injuriously affect the public credit.
1t is only upon the conviction that this bill
does not meet these essential requirements
that feel II my duty to withhold from II my
approval.
MY present official duty as TO this bill per
mits only an attention to the specific objec-
tions to its passage, which seem TO me so i'm
portant as to justify me in asking from the
duty and wisdom of Congress that further
consideration of the bill for which the Consti-
tuition has in such cases provided. The bill pro-
vides for the coinage Of silver dollars of the
weight OF 4l214 grains each, OF standard sill
yer, to be legal tender at their nominal value
for all debts and duties, public and private,
except where otherwise expressly stipulated
in the contract. IL is well known that the
market value of that number of grains OF
standard silver during the past year has been
from ninety to nnety-two cents as compared
with the standard gold dollar. Thus the
silver dollar authorized by this bill is
worth from to 10 per cent. less than 1t pur
ports TO be worth, and is made legal tender
Tor all debts contracted when the law did not
recognize such coin as lawful money. The
right to pay duties In silver or in certificates
of silver deposits will, when they are issued
in sufficient amount to circulate, put an end
to the receipt of revenue in gold, and thus
compel the payment of silver for both the
principal and interest of the public debt
One billion one hundred and fOrty-three mill
ion four hundred and ninety-three thousand
four hundred dollars 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 a
convenient form of silver bullion for exporta-
tion; $5S3, Az, $50 of the funded debt has been
issued since February, 1873, when gold alone
was the coin for which the bonds were sold,
and gold alone was the coin in which both
parties to the contract understood that the
bonds were to be paid The bonds entered
into the markets Of the world. They were
paid for in gold when silver had greatly de-
preciated, and when no one would have bought
them II 1t had been understood they would be
paid in silver. The sum of S225000,000 of
these bonds has been sold during my Admins
tration for gold coin, and the United States re-
ceived the benefit of these sales by a reduction
of the rate of interest to per cent
During the progress of these sales doubt
was suggested as to the coin In which the pay
- Al -. Il. ~.
public announcement was thereupon author
lied that 1t was not to be anticipated that any
further legislation of Congress or any action
of any department of the Government would
sanction or tolerate the redemption of the
principal of these bonds or the payment of the
interest thereon in coin of less value than the
coin authorized by law at the time of the issue
of the bonds, being the coin exacted by the
Government in exchange for the same. In view
of these facts it will justly be regarded as a
grave breach of the public faith to undertake
to pay these bonds, principal or interest, In
silver coin worth in the market less than the
coin received for them 1t is said that the silver
dollar made a legal tender by this bill will,
under its operation, be equivalent in value to
the gold dollar. Many supporters of the bill
believe this and would not justify an attempt
to pay debts, either public or private, in coin
Of inferior value to the money of the world.
The capital defect of the bill Is that II
contains no provision protecting from its
operation pre-eXisting debts in case the coin
age which it creates shall continue to be OF
less value than that which was the sole lega
tender when they were contracted II 1t II
now proposed, for the purpose of taking advan
| tage of the depreciation of silver in payment
of debts, to coin and make legal tender a silver
dollar of less commercial value than any dol
| lar, whether of gold or paper, which is now the
| lawful money in this country, such measure,
| it will hardly be questioned, will in the judg
ment of mankind be an act of bad faith as Il
| all debts heretofore contracted. The silve
| dollar should be made legal tender only a
its market value. The standard of valu,
should not be changed without the consent o
| both parties to the contract National prom
ises should be kept with unfinching fidelity
| There is no power to compel "a nation to pa
| its Just debts; its credit depends on its honor
the nation owes what it has led or allowe,
its creditors to expect.
cannot approve a bill which in my iudg
| ment authorizes a violation OF sacred obi
CATION. The obligation of public faith tran
scends all questions of profit or public advan
tage Its unquestionable maintenance Is the die
tate as well of the highest eXpediency as of tn
most necessary duty, and should ever b
carefully guarded by the Executive, by Cor
gress, and by the people. 1t is my firm cor
viction that, if the country is to be benetite
by a silver coinage, it can be done only by tn
| issue of silver dollars of full value, which wi
| defraud no man. A currency worth less tina
il purports to be worth will in the end defrau
not only creditors, but all who are engaged /
! legitimate business, and none more surel
than those who are dependent on their dali
labor for their daily bread.
TSignedl RUTHERFORD B. HAYES,
President of the United States.
EXECUTIVE MANSION, Feb. D, 1878.