Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1878-06-18
The American Monetary system.

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system" This, ii it means anything more
than demagoguism, must mean teaHy to
the principles of the constitution in none
tarv affairs. Aud what are the princi-
ples of the consttLt on in regard to this
matter? Do they agree with the doe
,rines of the greenbackers enuHciAted
in their ipl .tforn, Is the constitution in
favor of the issue of / .gll tender Paper
money "receivable for AL dues and paya-
BILE for all debts, public and private, IN
amounts sufficient to meet The wants
of trade" &c, said money to be
irredeemable and to become the es-
tAblished CURRENCY of The country?
The greenbackers say in their Il tIlorm:
I'VE declare our opposition TO every
measure looking TO the resumption of 'pe-
Gle pay nents'-is the constitution OPP 'sed
to specie payment,
The opinions of lie Justices Of the
Supreme Court OF the United States
in regard to the Legal tender acts.
afford the highest interpretations we
have Of the bearing of the cons.itu-
ton upon the qu slion OF paper mon
ey. These were given quite elabora'ely
in what are known rs the legal tender
cases of 1871. In those eases majority
of the Court, while holding that the legal
tender acts were constitutional, incJIp,-
rated the following 10 their published
opinion:
1.-The legal tender act Do not attempt
10 make paper standard of value. We
do not rest their validity upon the asser-
ton that their emission Is coinage. or any
regulation of the value OF MONEY; nor DO
IRE assert nat Congress maY make any
hing arhtch has M Uaits money What
we do assert is, tina Congress has power to
enact that the governm .nt's promises to
pay money shall be for the time being,
equivalent in value to the representative
of value determined by the coinage acts,
or to multipes thereof II is Il
mistake to regard the legal tender acts as
either fixing a standard of value or regu-
lating money values, or making that mon
ev which has no intrinsic value"
Thus we see that the majority of the
Court declared that Congress cannot make
anything money which has no intrinsic
value, and that the notes issued by the
government were not money but promises
to pay money-that is silver and gold coin.
the money of the constitution. Justice
Bradley conceded with the majority opin-
ion and also gave farther calculation of
his views in separate paper, in which
speaking of the legal tenders he says.
at is not an attempt to coin money gu,
of valueless material, like the coinage
of leather or ivory or kowrie shells. 1t
is pledge of the national credit 1t is a
promise by the government to pay dol
lars It is not an attempt to make dol
lars = No one supposes that these
government certificates are never to be
paid-hat the day of specie payments is
never to return. Aud it matters not in
what form they are issued The prinei-
pie is still the same. Instead of certifi
Gates they may be treasury notes, or
paper of any other form. Aud their paw
ment may not be made directly in coin,
but they may be first convertible into
government bonds, or other government
securities Through whatever changes
thew pass. their ultimate De tiny is 10 be
PAID"
Very clearly does Justice Brad make
il appear that he inds no warrant in the
constitution for fiat money. but finds on
the contrary that greenbacks are only
promises t. ply money-gold and silver
and must be redeemed sooner or later by
the government.
-Four Judges dissented from the 6pin-
ion of the majority in these cases, but
their opinions are more strongly against
the doctrines advanced in greenback
platforms than the opinion of the major
ity, if possibl'. Chief Justice Chase. the
father of greenbacks, declared that
greenbaeks were made legal tender
against his judgment. that he never adj
vised making them such, and held that
Congress had no power under the consti-
tuition to give the quality of legal tender
to its notes. In his opinion he quotes
from his report a Secretary Of the Treas
ury, made in December 1ej2, the follow
ing language explaining his ideas at that
time
" The Secretary recommends. there
fore. no mere paper money scheme, but.
on the contrary, a series OF measures
looking to a sale and gradual return to
gold and silver as the only permanent
basis, standard, and measure of value
recognized by the constitution
Justice Field was quite as emphatic as
Mr.. Chase against the constitulionality OF
the legal tender acts ealso declared that
the value of the greenbacks rests entirely
upon the public confidence that they will be
paid in specie, and cites their fuctlalion
during the war as an illustrate on Of the
correctness Of his views. Against paving
the obligations Of the government in a
manner contrary t. the stipulations of the
government with its creditors, as the
greenbackers propose in regard to the
payment Of government bonds, he saws .
81 am not willing to admit that the con
st'tution, the boast and gloly Of our coun
try, would sanction or permit any such