The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1856-1888, 1878-04-13
H SILVER BILL.

ability tending to show that the proposed legis-
lation would work wrong and injustice to the
public creditors who had invested in the national
securities with all good faith that the honor OF
the country should not be tempered with in
meeting its obligations. 1t was contended that
the remonetizatIon of silver would have this
effect, but how 1t would do so was not made
clearly apparent. The President seems to have
shared this opinion, and upon the passage OF the
bill felt it his duty TO interpose his constitutional
veto. One Of the reasons that decided many of
the votes may doubtless be found in the clear
conviction that the great burden of taxation was
increased and made more Onerous by the system
which had obtained of making bonds payable in
gold that had been contracted in currency in
deed, so powerful had the belief of this injustice
to the people at large become, that the House
passed the bill over the veto message by a vote
of 1876 to IS, and the Senate by a vote of 46 to
10. The predictions of universal arrangement in
the business of the country, and injury to the
holders of the public securities abroad have not
been realized. 1t is true, that during the uncer-
tainty of what might be the final action of Con-
gress in the matter, the national credit suffered
somewhat in the London market, as shown in a
slight depreciation OF L. S. stocks, but when it
became certain that the bill would be passed
over the Presidential veto, those stocks quickly
recovered their lost ground the holders who had
been SO easily frightened at the first note of
alarm quickly sought to retrace their steps by
buying in again all the securities they could get
hold of. The general effect of the whole agita-
ton has been to strengthen public confidence in
the ability of the nation to meet all its obliga-
tions. The determination of the people to have
the national debt wiped out as soon as it can be
done without too much distressing the financial
ability of the country is apparent. To meet
this end they levy high taxes, and pay them
cheerfully, looking forward fondly to a specie
currency, when a government promise to pay
shall be equivalent to the coin expressed upon its
face; when only revenue sufficient for the proper
administration of the various departments of the
government shall be raised. They remember
that in the last presidential term of Andrew
jackson, some ~forty-fve millions of surplus rev.
enue were divided among the States, and their
conviction is steadfast that a wise and economical
administration of the national finances will, in u
definite period, pay off the debt which a needless
and lratricidal war created, restore the prosper
iy of the country, and again accumulate a sur
plus in the national treasury, to be returned to
its owners, the people.
To bring about this desirable state of things
they desire and demand that many reforms shall
be inaugurated and carried out that corruption
and fraud in high places, as well as low, shall be
ferreted out and punished, and that u proper
purity and accountability shall characterize every
branch of the public service.
Now, that the Silver Bill is passed, it is feared
in some quarters that the Secretary of the Treas
ury may attempt in some degree to defeat it's
intent and purpose but we hardly think he will
venture to place himself in opposition to the
wishes of the people, or seek by any improper
exercise of the power of his official position to
Illustrate their desires. If he feels that he can
not in consistency with his views of public duty,
carry out the law faithfully and in its integrity,
he will probably resign. If he declines to
take this course, the President may consider an
eventual modification of the Cabinet necessary.
The bill requires the coinage of not less than
two millions nor more than four millions month
ly, out of bullion to be purchased by the govern
ment; the dollars thus coined to be a legal ten
der for all debts, public and private, duties,
interest on the public debt, and the public debt
itself. OF course, it does not touch contracts of
any kind, public or private, expressly stipulated
to be paid in gold coin before the passage of the
bill.
If the law is faithfully carried out, about
$50, 600 900 yearly will be coined, and the de-
mand for this amount of bullion for coinage pur-
poses will cause an almost immediate advance in
the price Of silver. This, of itself, would bring
the dollar of 4124 grains to par very quickly
after it began to be coined. Its legal tender
quality will soon place it on a par with gold, and
4 corresponding reduction in quantity of the
latter metal necessary to carry On business would
ensue. Gold is now required principally to pay
luties; and the receipts from this source are
mainly devoted to the payment of interest on the
public debt. But little gold goes abroad for i'm
these being nearly balanced by exports.
IN proportion as silver is substituted for gold,
The demand for the latter metal will diminish,
md as a consequence the premium over silver
which it now commands.
The clause of the bill authorizing silver certi-
.ica.es, in much the sam manner that gold GER
ifcates arc now issued, will be a great conve-
hence in the transaction of commercial business,
10 far as the new coin is concerned. Certificates
or a million dollars will be negotiable at their
ull value, and thus render the transfer of large
ums of coin unnecessary. These silver certif-
will soon be ready for issue. In the mean
ime, the silver dollars are to be used only on a
'ar with gold, and for the present are to be de-
oted to the purchase of bullion.
The Secretary of State will at once open cor
espondence with the governments of those coun-
composing the so-called Latin Union, and
UGH other European nations as the President
nay deem advisable, inviting them to join the
United States in conference with a view to adopt v
ne a general rate of value between gold and
liver, and for establishing internationally the
Use of a double metallic currency, and securing
he fxity of the relative value of gold and silver. I
If such union of sentiment and action can be !
rought about, it appears to US that the difficult
les of a complicated and variable money STAN
ard from which the commercial affairs IF Tho