Evening star. [volume] (Washington, D.C.) 1854-1972, 1878-04-05

HE MAINTAINS HIS CONFIDENCE IN OUR ABIL-
ITY'To RESUME SPECIE PAYMENTS.
The conference between Sec'y Sherman and
House committee on banking and currency In
regard to the resumption act was RESUMED
yesterday, as stated in THE STAR. 1t opened
with comparison between the ability of
the government TO resume and maintain specie
payments and that of the bank of England,
the secretary insisting upon it that the gov
was han f tRe good better
this point had been thoroughly exhausted Mr..
Ewing asked the Secretary where and how
he expected to get the additional millions of
goid w ,ale ne required by the first of jan
Secretary Sherman:-You must see that for
me to state too closely what Ipropose to do
might prevent me from doing what I eypect to
do: and, therefore, l will answer your ones
ton just as far as think you will say ough.
to go. answer, mainly from the sale of bonds.
nue.. we cannot expect much help from surplus
revenue, except so far as that Surplus reye
nue. may be applied the to the payment of green.
currency in aid of the sinking fund To that
extent 1 think we can rely upon reye
nue. enough to retire the United States
act, so that l would say that we can get the
fifty millions of gold additional by the sale of
bonds AS to the kind of bonds that would
ought not to say anything on that subject at
present, because you ought to allow me. as an
executive officer in the exercise of a very del
right at the moment holding me e' respon sss
for my action afterward. AS to what bonds
will sell or where will sell them or how l will
sell them. as that is discretionary power left
now, but to decide it as the case arises"
The Secretary then went on, and in answer
Ewing, reiterated his financial theories as
heretofore given before the Senate committee
on finance and the House committee on bank
ing and currency. Before the close of his ex
animation ha a6 nv Nr RaIl g.
the greenbackS were to obtain an equality in
value with gold, how could the repeal of the
resumption act then affect resumption?
Secretary Sherman.-The repeal of the re-
sumption act would prevent me from main
tanning resumption by the sale of bonds.
That would be the, first thing. Then the re
which requires me to redeem United States
notes in COIN
Mr.. Ewing. But YOU are at liberty to do So
If the resumption act were repealed Won might
maintain an equivalency of paper and coin
Secretary Sherman. No; it is perfectly clear
that have no right to exchange one form of
money for another.
Mr.. Ewing But you could pay out gold and
silver?
Secretary Sherman. Yes
Mr.; Ewing. And YOU could thus maintain an
equality OF coin and paper upon your own
theory, which is, that as soon as paper and
coin get equal nothing will be likely to occur
TO disturb the equilibrium.
Secretary Sherman. There will be fuctua-
tons more or less, and we must be prepared
to meet these fluctuations, so that if green
packs became superintendent we can get gold
for them, or if, on the other hand, gold becomes
drug (as it may bec0me), it will be deposited
for greenbac
Mr.. Ewing. But if greenbacKS become SUPER
abundant, and are presented to the treasury
for redemption, you will have to pay them Out
again?
Secretary Sherman. Yes as soon as the
equality is restored.
Mr.. Ewing. That is, you will hold whatever
greenbacks come in until there is an equiva-
lency?
Secretary Sherman. Yes, that is the effect of
it.