Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1878-02-21

strongest reason why the cOndlgn punishment
of the perpetrators should cover it with per-
patual infamy and manifest to all future conspir
ators against the liberties of the nation the
danger of attempting its repetition.
Since the Inauguration of President Hayes l
have regarded the repeal of the resumption law
as hopeless. He was pledged to resumption.
Every vote for him was vote for resumption.
If John Sherman, at the head of the treasury,
holds the position, he will enforce the strictest
and hardest execution of the law, and it is un-
derstood that every bill to repeal the clause
will now be vetoed. 1 have heretofore said that
in my belief the resumption law has been the
source of the greatest calamity to the business
interests and prosperity of the country. 1t
has had the effect of causing men to hoard
greenbacks and the banks to withhold their
circulation. in the fear of being crushed by
forced redemption in gold. A favorable foreign
trade has promoted return to specie pay
ments, and if the balances shall continue in
our favor, l expect to see our paper at par with
gold at an early day.
VIII the restoration of silver money mitigate
the evils Of the contraction caused by the re-
sumption law? That is now the hope of the
business men of Indiana. 1t is not cheap
money that the people demand or it's restora-
ton, but it is legal tender and coin contem-
plated by the constitution. When restored it
will become again standard and measure of
value. Before its decentralization silver was at
par with gold, and when restored think will
rise again to the same level. need hardly say
to You that the value of any class or description
of property greatly depends upon the import
ant uses to which it may be applied. Silver
was money. They stripped it of that, its most
important use, and now say it is worth
eight per cent. less than before and therefore it
cannot be good money. Is that fair argument?
AS material for the manufacturer of wares
silver will have only the values which that use
can give it; but when stamped with the quality
of money and made legal tender for the pay
ment of all classes of Indebtedness, it becomes
the active agent of trade and commerce. meas
ures values and discharges debts, and in such
use becomes correspondingly more important to
society and more valuable. Were gold stripped
of the quality of money what would be the
effect upon its value? 1 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, and the demonstration of gold
would demonstrate that fact. l have before
said that silver has become an important pro-
duct of this country, and in as much as the
world recognized it as money medium of ex-
change; cannot see why we should not utilize
our large product of that metal to the greatest
extent that may be found practicable It's
value as money to this country is too great to
be thrown away. Should experience prove
that because of the increased production of sill
yer there will be permanent and important
d.,
clothed with ample power to provide the proper
and adequate remedy.
1t is objected to the restoration of silver
money that it will be in bad faith towards the
public creditors. If thought that possible l
would not favor restoration, however impor-
tant to our interests ] might esteem it, NV
judgment is SO entirely satisfied that have no
anxiety upon that question. The question is
settled by the fair reading of the public credit
act of 1863 and the refunding act of 1870. At
the date of the former act it was lawful to pay
the fve-twenty bonds in treasury notes
but it was commended that because
of the circumstances attending the Gre
alton of the debt it would not be
proper to construe the laws and that payment
ght not to be made in paper. Toremoye the
doubt and settle all controversy the act was
passed. 1t pledged the faith of the United
States to payment in coin. l opposed the
measure in 1.-THE Senate as its effect would be
paid in coin. The bill passed and became a
law. Thereupon the debt became payable only
! in coin-not in gold coin alone, but in silver
coin as well, for the silver dollar was then a
part of the coin of the country, as honorcd in
law and commerce as gold. Next came the law
OF July 18th, 1870, to refund the national debt.
That act provided for the issue of
new bonds to the amount of $780,
100000 hearing 4, AZ and 5 per cent.
interest. The bonds SO to be issued were to
be exchanged for the outstanding 500 bonds,
| par for par, or sold for coin, and the proceeds
were to be used in redeeming the $40 bonds.
! In the first section of the law it was provided
that the new bonds should be made redcena-
/ BILE in coin at the present standard value.
/ That law, gentlemen had no uncertain mean
/ ing. The bonds were to be substituted
for all the outstanding 500 bonds. They were
to be sold for coin, and it was to be made .
| part of their language that they shall be re-
deemable in coin of the present standard value
My views this sub ject were recently con
sidered of sufficient Importance by distin
guished citizen of New York, to call for re
view and answer by himself. He had unques
tionably given the phraseology of the laws rela
tive to the bonds closer study than had, fol
it was in the line Of his business, of his profits
had examined these laws with no professional
or business purpose, but only citizen in
terested in the financial policy Of the country
| He found it useful to his argument to show, i
possible, that the law under which the publ,
debt was being refunded required the bonds t,
guage: Yet am supported by thu
opinion of illustrious lawyer
in the land, that gold payments of the deb
are required and assured by the refunding &C
of 1870 itself which. indeed mentions gener
ally coin in its first section, but then in it
fifth section, to carry out the act, excludes Sill
yer and specifically commands the Secretar,
of the Treasury to receive only gold coin as tn
coin of deposit and payment" l am sure
will astonish you after having this passag
read, to learn that the fifth section has nothin
whatever to do with the provisions and sales O
the new bonds. 1t provides for this and II
more, that the Secretary of the Treasury Nigh
for two years receive gold on deposit and issu
gold certificates bearing low rate of interest
and that the deposit might be withdrawn a
any time after thirty days, upon ten days NJ
tice, and that 25 per cent. should be retaine
fHat f,.vN he r{r {<aco
residue used to redeem the 500 bonds, l wa
criticised by this gentleman for using the word
: gold and coin as synonymous in apublicspeecf
Yet to maintain his argument, he asks that
be believed that coin and gold coin are loosel
{ used in the same sense in different sections o
one of the most important laws of the Unite
States. Gold certificates were to. issue onl
upon gold deposits, but in the second sectio
/ the bonds were to sell for coin and in the frs
! section they were to be redeemable in coin {
, the present standard value. The solemn assn
2 ance given by that law to the public creditc
was that the bonds issued under it should /
t redeemable in gold and silver of the weight an
: fineness then fixed by law.
Upon this subject have no new opinions
: express. In my letter accepting the st. Loa
n nomination for Vice President, / said gold ar
0 silver are the real standard of value and il
t deed would rejoice if our supply Of the pr
:, cious metals were sufficient for the wants
e our trade and commerce. But we all kno
e that it is insufficient, and we also have a pap
t currency, and therefore I have opposed t
e policy Of forced resumption of specie pa
t ments based upon contraction by withdrawn
n the treasury notes from circulation. t
&c treasury note has been safe currency, al
y the people have had confidence in
It and have not asked for its redemption. Viii
1t it is safe currency it also is cheap current
lie in the sense that it does not represent an int
lie est-bearing obligation of the government
ut that respect and in the resnect that II i