National Republican., 1878-08-27
SHeRMAH'S GREAT SPEECH.
[oJn,in.cd JroM Era Rge.l

speech to which, with entire respect for him,
desire briefly to reply. So far as he socks to
fellow Democrats, II Is a domestic matter, and
| will not interfere; but some of.the positions
taken by him must contest. He says:
think do them no injustice when I say that
the leaders tho Republican party are In favor Of
would retire ali the greonbacks in order that their
places might be filed with national bank notes.
THE REPUBLICAN PARTY srrLLlIS FAVOR OF |
aREESBAcKs
Senator Thurman Is greatly mistaken in this |
position. As have already shown the Rcpub- |
iican party Is not In favor of retiring the
filled with national bank.notes.
No doubt some Republicans, like some Demo-
Gratis, are In favor of the United States with
drawing from the business Of issuing paper
money but the Republican party has never
taken such a position, and now distinctly
maintains the right and duty Of the Govern.
ment to keep In circulation such an amount of
United States notes rs can be readily main
taincd at par with coin.
In every law authorizing these notes there Is
q limit fixed to their amount.
During the war the guarantee was made,
and never has been violated, that the amount
should not exceed 800 700, 900, and no au.
thority has ever been conferred upon any
officer Of the Government TO reduce the amount
below 5000, 900 900; but now the minimum
limit Is fixed, as have already stated, at $780,
6S1 ,0I6.
THE PoJIrIOS OF THE REPUBLICAN FATTY
DEFINED.
Tho position Of the Republican party Is In
favor of greenbacks restored to their normal
condition of paper money, equal to coin and
| rcdeemable In coin on the demand Of the
holder, while the position OF the Democratic
party, rs stated by Judge Thurman, Is In favor
of the issue and maintenance in circulation Of
| st6s 0OO,OOO Of United States notes without
any provision whatever for their redemption
or their conversion into coin. This issue Is
distinctly made, and for one, distinctly ac-
cept It.. We favor paper money redeemable Ia
| coin, and the largest amount that can be main
tanned at par with coin, while ho fsvors an
amount of paper issued directly by the Gov
crnmcnt, not convertible into coin, with no
provision for its redemption, and to an amount
that no one has claimed can bo maintained at
par with coin.
He says 1t is just as easy to maintain $685.
100000 greenbacks at par with coin as 1t IL to
maintain S3pi,00O,0DO greeubacks and $3l2,-
00O,OO national bank notes at par with coin.
BANK NOTES PAYABLE IN GREESBaCKs NOT
| ISCoIN.
But he forgcts 10 state that the bank notes
are payable In grcenbacks, aud not In coin, and
that they are 10 he redeemed by the banks at
their risk and expense, and not by the United
States. No coin reserve is needed by them for
such redemption. The issue of these notes
aids In maintaining the United States notes at
par with coin instead Of obstructing 1t.
The whole burden now resting upon tho Gov
ernment Is to maintain resumption upon the
amount Of United States notes, and this con-
fessedly can be done by coin reserve Of from
30 to 40 per cent, which we have on hand,
while II tho whole amount Of circulation was
in United States notes no coin reserve that
could be reasonably secured aud maintained
would be sufficient for tho purpose Of redemp.
tion.
BANK NOTES NOT GOVERNMENT NOTES.
The bank notes are not in any sense the
notes Of the Government. They are the notes
of private corporations amply secured, re.
deemed by them, maintained by them, or, II
they fail 10 redeem them, tho security eau al
once DO applied to their redemption. This
expedient OF allowing II portion of the circula.
ton to beissued by private corporations enables
US to maintain In circulation nearly twice rs
much paper money us could bo maintained n
par in coin il issued directly by the Govern
t ment
WHY THURMAN's PLAN Is WRONG.
His plan would directly violate the pro
visions Of the loan laws under which botl
|, United States bonds aud notes are issued ant
which limit expressly tho amount of Unitet
States notes to Si00,000,OO0. This would be
I violation Of the public filth, and would i'm
pair at once tho public credit, and do incon
, ceivsbly more harm than 1t could give prot
!, to the Government.
u This scheme of his encounters directly the
decision of the Supreme Court Of tho United
States, and would no doubt be held unconsti
tnti0nal, because 1t provides for u very larg
increase of United States notes in lime o
a profound peace, where no such exigoncy rs I
l. contemplated by the Constitution or decision
OF the Supreme Court exists to justify such n
N issue.
p II would at once drive out Of existence tn
~ whole system OF national banks, which hav
been the means alone by which State bank
\. have been prevented from issuing circulating
n notes The only franchise the national bank
a. receive from the Government which induce
them To maintain their corporate. existence !
tho right under limits fixed by law, to issu
70 circulating notes. Take this from them, an
they would at once cease, without exception
~ to be national banks, and would be organizes
70 again, as before tho war, into State banks, wit
such powers rs any State might give them.
!, Nearly generation has passed. since the In
u congruous system OF paper money which OF
l. listed before the war was swept away by tn
d. national banking act. 1t is safe to say tina
the injury done to the people of the Unite
ID States by the failure of these banks by til
N uncertain value OF their paper money, by II
S, limited local circulation, and by succcssfr
N counterfeiting was annually greater than til
Of the United States.
10 BANKING CORPORATIONS THE wEAREsT MEN
is BEERS OF COMMUNITY.
" It is easy to oppose banking corporation
=, - Instead Of having political power they are th
4. 4, weakest members of u community, say wha
n you will Of them; their substitution for Stat
:" banks was ono of the wisest and most benef
cial acts Of the General Government since th
commencement Of the war. Their continue
existence ought to depend upon their ability
without cost OF trouble to the United States,
X maintain their circulating notes at par wit
United States notes or coin. II they fail
T. this they ought TO be abolished. IL they do
o. they ought to be continued. They are usefI
lie financial agents scattered through the Unite
W States in exchanging the products OF mdustr
and in localizing capital They paid last YET
r. to the Government of the United States n
st 078,0S7 In taxes, and for State aud local tax
es So, ,70l ,732 or total Of slB7T1 $40 or nearl
I'd four millions more than Judge Thurman est
mates we will save to the people by issuin
N, grecnbacks instead of the bank notes. Thes
IF taxes would all be lost to the United Stat,
II. and to the States II the national banks wei
10 abolished Their notes are secured beyon
peradventure, they arc protected from cou
Al, terfeiting far more successfully than any form
VI system, aud, to their credit be II said, not OIL
W. W. dollar has been lost on any national bank no
r', ever issued. Wherever you 90 you may earl