The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1878-02-27

remove the cause. Der country possesses i
products include many of the great and valu-
able staples which command the markets CT \
the world. It's mines have been productive.
In such a country why Is IL that The r,eople
trem ole with alarm as they contemplate the
present and look towards the futrre? The
answer that cues ion. What answer cam u he
made? Have not the special eractments and
the general policy been for the few and ag &inst
states and tue public creditors has been
changed, and the change has been against the
people. The currency has been changed, out
debtor classes. The resumption act was
adopted by party vote in congress and TO
lis renesI was i'm sIbio in the 1afI of rs 3 Gov.
ernor Alien led the movement. His defeat of
Governor Hayes was the defeat of repeal. The
st. Louis convention declared in favor OF the
repeal of the resumption clause; and the DEM
ocratic house then in session made the pledge
of our party good and true by passing bill
for such repeal. The senate was republican
and refused TO concur. That body accepted
Governor Aliens defeat as popular indOrse-
ment of resumption.
Since the Inauguration of President Hayes I
have regarded repeal as hopeless He was
pledged to resumption. Every. vote for him
was for resumption. If John sherman, at the
head Of the treasury, holds the posIio he will
enforce the Strictest and nadrtSt execution of
the Jaw; and IL is understood hat any bill TO
repeal The clause will now be We oed. / have
heretofore said that ain my belief the resump-
ton law has been the source of The greatest
ity of the country. IG has had the effect OF
causing men TO hoard green backs and the
the fear of being c. ushed by forced redemption
in gold"
A favorable foreign trade has promoted re-
turn to specie payment, and IL the balances
shall continue In our favor expect to rec our
paper money at par with gold at an early day.
viii the restoration of silver money mitigate
the evils of contraction caused by the resum D.
ton law? That is now the hope of the bust
ness men of Indiana. 1t is not as cheap money
that the people demand its restoration, but rs
a legal tender and coin contemplated by the
constitution. When restored II will become
again standard and measure of value. Before
its demo- citation silver was AT par with gold,
and when restored / think il will rise again TO
the same level. need hardly say TO you that
the value of any class or description of prop
erty greatly depends upon the important uses
10 which IL may be applied. Silver was money.
They ripped 1t of III It, its m st important
less than before and therefore it can not be
good money. Is that far argument? AS a
material for the manufacture o. ware, silver
VIII nave only the valne which that use can
give 1t. But when stampet with the quality
of money, and made a legal tender for the pay
ment of all classes OF Indebtedness
trade and commerce; measures values and
discharges debts and in such use becomes cor
more valuable. Were gold stripped If the
quality of money, what would be the effect
upon It's value? | do not believe the penny
weight of gold in the beautiful wine cup is as
useful TO society nor as VALUABLE as the same
weight of gold in the stamped coin. which
does its busy work in the channels of trade,
ana the demonetlzatiOn Of gold would demon
strate that fact. 4 have heretofore SAID that
.-silver has become an important pro net of
cOgnlzeS II rs money medium of exchange
can not see WHY we should not utilize oar
large product Of that meal TO the greatest ex
as money 10 this country is too great to be
thrown away"
should experience prove that, because OF the
increased production OF silver. there Will be a
permanent and imp Jrtant difference between
silver and gold, congress Is clothed with am
pie power 10 prov-d the proper and adequate
remedy.
II i, objected to the restoration of silver
money That II will be in bad faitu towards the
public creditors. If L thought that possible
uld n T., vor restoration, however mpor-
tant TO our interests might esteem it. My
Judgment Is so entirely satisfied that have
no anXi. ty upon that question. The question
is settled by the fair reading of the ublic
credit act of 1859, and the funding act Of 1870.
at the date o the formei act 1t was law nj to
pay the 800 bonds in tr aSury notes. But 1t
was contended that because of the circum
stances attending the creation of the debt 1t
would not be proper so 10 constru~ the laws,
ana that payment ought not to be made in
paper. To remove doubt and set tie all contro
VerS! the act was passed. IL pledsef the faith
of the United States to payment in coin. i
opposed the measure In the senate, and said
that its effect would be to max The la y to
read that 1.-The debt shall be paid in coin"
The bill passed and became n law Thereupon
the debt became payable only in coin, not in
1.-THE silver dollar was then a part of the coin
OF the country, as honored in law and com
merce as gold"
Next came the law Of July II, 1870, TO refund
the national debt. That act provided for the
issue of now bonds to the amount of fifteen
hundred dollars, bearing 4, ~ ana per cent.
interest. The bonds so TO be issued we've to
be exchanged for the outstanding 5-20 bonds
par for par" or sold for coin, and the pro-
ceedS We're TO be used in Iedeening the co
bonds. In the first section OF the law ii was
provided that the new bonds should be made
"redeemable in coin at the present standard
value"
That law, gentlemen, had no uncertain
meaning. The new bonds were to be substitu-
ted for all thu outstanding $40 bonds; they
were to be sold for coin, ana ii was TO be made
a part of their Language that they shall be ere
dsemabi9 ia coin of the present standard val
ue."
My views on this subject were recently con-
sldered OF sufficient Importance By distin-
guiShed citizen of New York TO call Tor a re-
view and answer by himself. lie had unques-
tionab'y given the phras ology of the laws
relating 10 the bonds a closer study than
had, for it was IN the line Of MS business and
of his prohtS i had examin ed these laws with
no PROBES ,iOnal or business purpose, bat only
as n citizen interested in the hnaneial policy
of the countr,. He found IL useful 10 his aTgu-
ment TO show, If possible, thai the law under
which the public debt was being refunded re-
this language: "Yet am supported by the
opinion OF iliustrious lawyers in the land that
gold payments of the debt are required and
assured by the rounding act OF 1870 itself,
which indeed mentions generally "ccin' in its
first section; but then IN Its fifth section, 10
carry out the net, Excludes silver and specih-
cauy commands the secretary of the treasury
10 receive only gold coin as the coin Of
d post and payment" L am sure IL
viii astonish you after hearing this
passage read, to learn that the fifth section has
nothing whatever to do with the provisions
aud sales of the new BOMBS. 1t provides for
this and no more: that the secretary of the
treasury might, for two years, receive gold on
deposit-and issue gold certificates bearing
low rate OF intereSt-and That the deposit
might be Withdrawn any time after 30 days
upon ten days notice, and that % per cent
should be retained in the treasury TO pay the
ce tifcafes ana the residue used TO redeem
$40 bonds. was criticised by this gentleman
for using the us gold and coin as synOny
NOUS in public speech yet TO maintain his
argument he asks that it believe that coin and
gold coin are loosely used In the same sense in
different sections of one of the most important
laws OF the United States. Gold certificates
were TO be issued OILY upon gold depOSi s.
but in the second section the bonds were 10
sell for coin, and in the first section
they We're TO be Ieceemable in "con
of the present standard value" The solemn
assurance given by that law 10 the pub
lie cr-dilor was that the bonds issued under it
should be redeemabie in gold and silver OF the
weight AMI tineness then fixed by law. Upon