The news and herald. (Winnsboro, S.C.) 1877-1900, 1878-01-26

payable in thirty years.
can act to strogthen the public
credit" approved March IS, 1869,
declares that "the faith Of the Uni.
ted States is solemnly pledged to
the payment in coi,. or it's cquiva-
lent of all tho debts Of tho United
States except where tho lew author
ling tho issue may provide that the
samo may be paid in lawful money
or other currency than yoi0 or
sHcer." As no other currency is
provided by the law. the debt may
be paid in standard coin. Tho
coinage acti in force at that time pros
vides "that Of tho silver coins the
dollar shall be Of the weight of
412I grains,' &c, and that dollars,
half dollars, &c. shall be ''lcgal ten
doris of payment according to their
nominal valuo for any sums what
ever" The demonetization Of tho
silver dollar in 1873 does not affect
the bonds issued previously. The
object Of these acts was to secure
the bondholder from tho possibility
of changing the weight Of the silver
or tho gold dollar, The contract
was that ho should bo paid in a GER
tain weight OF gold or silver, regards
less Of what it might bo called.
llo took the risk OF the appreciation
or depreciation Of s'coin.' At that
time 412l grains Of silver were woI til
moro than 253 grains OF gold, and
for this reason tho silver dollar had
practically disappeared. But the
bondholder, had ho possessed the
power, would have compelled the
coinage of tho silver dollar. Now
that silver has fallen in proportions
ate value, he has no cause for COM
plant if the government should
tender him silver. Tis SO nominated
in tho bond. Now, as to the express.
sions Of leading statesmen ut tho
timo. Senator sFassLnlcn, at one
time secretary Of the treasury, said:
(Glohe p. 1G7D "What was a dol
lar? A. dollar was defined by statute.
1t WAS gold or silver coin" Sona-
tor Morton said (Globe p. 1868
s'It IS simply a solemn pledge that
all tho obligations of tho United
States, notes and bonds, shall be
paid in gold and silver coin" And
again (p. 1869 "and place all the
obligations" Sc. "upon tho solid
basis of gold and silver COIN Even
Secretary John Sherman remarked:
(Globe, p. 1G5T
81 look upon the first section of
this bill us Il declaration that the
United States ought not to pay any
portion ofits debts except in gold
dn0 silrer coin, unloss the right to
pay it otherwise is expressly re-
served AS to the strict construc-
ton Of the five twor t. act, I
agreed with the Senator that we Lad
q right to pay in lawful money, but
We are bound to pay that ioanJ"l
money, and ought to have paid il
long before this timo in gold anU
silccr."
And now to the facts. The bonds
were bought from tho government
at from 10 to G5 cents in gold. Ono
thousand dollars in gold bought q
$4,000 bond that yielded twelve and
q half per cent on tho amount in
vested. In ten years the purchaser,
as tho product Of his Investment of
$1,000, had S1,250 Of gold as inter-
est money, and $4,000 in bonds
$3.50 in all. Two hundred and
sevonty -fvo per cent. in ten years is
not bad.
The above facts demonstrate
pretty clearly the right of the gov
ernmont to pay tho bonds in NC
''dollar OF our dadCies." The policy
OF doing 80 is an entirely different
matter.