The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1879-09-19
HAYES AGAIN.
He Seizes the Opportunity and
Makes a Speech at Detroit.
Good Times Coming-The Increasing
Business of the Country
era1, State and City Debts.


party were received upon the landing OF the
steamer Northwest by the mayor and city
! officials, government officers and large mum
Der OF citizens. At II o'clock he was escorted
by the city militia to the Fair Grounds
where he made the following speech:
, Fellow Citizens Of Michigan:
weeks I 70 the West and m Northwest. thought til Il
might be useful to speak Of the financial eondi-
: ton Of the country, and to present hop ful
view Of the situation and prospects: The bust
ness depression which followed the panic OF
, 1878 had then lasted five years: but there were
, indications OF Improvement. and 1t seemed to
me that what was most needed was confidence,
! and that presentation OF encouraging facts
and figures would tend to inspire confidence.
permanent revival of business prosperity until
the currency was placed upon q sound basis.
and was exchanReabe at its par value In the
universally recognized money of the world.
The friends Of the constitutional currency gem
trally believed that this end could only be
sum pfion act that there was no need Of further
gisiation: and that the true policy Was TO stop
tiuktrlng With .the, currency Accordingly, the
pth of what / wished TO say last year to au-
diences like this " g. that ws ought to ''let well
enough alone" Now the rest. .nption Of specie
payments mas come, and with 1t have come also
The evidences OF go,d times are numerous.
palpable and cheering One bright day In uue
|-eathered In New York harbor than was ever
before seen In that great mart of eommerce.
and their tonnage was In greater Excess co5n- s
lines OF the Pennsylvania Railroad east Of pitts
burg aud Erie. for the first seven months of
| this year. as compared wi the afne period In
1878. show an increase OF gross earnings Of
81 20s 294 an increase Of expenses Of s75a os5 and
an increase - In =, net sarnings {, OF sttss =: the
THE great anthracite coal road? q net increase
Of y $40 600 for the same e. period The latest
| increase
The Baltimore and Ohio Railroad Com.
pany shows net, increase of s5s2 600
year. beginning in October last Il is iiated sai
that more than thousand miles Of railroad
/ track have already been laid this year In the
United States-a greater mileage than In the
| same period In any year siuee 1873. Workers ia
iron and steel and their business recovering SO
rapidly from its gre at depression that they are
unabe to Gil their orders, and their annual pro-
aueton is likely soon to surpass the highest
figures, ever reached. The building of iron
Europe is fully established on the Delaware
Our cotton faetories are agai all at work and
| ing their proauets. Our exports for the year
| 10 amounted to s71o4s9.4A. and the excess Of
sums being greater than Ia any previous year.
With these authentic and significant facts aud
figures before US. we may reasonably assume
that the country has entered again upon q
period of business prosperity. The Interesting
d1estio,nIs ,I now are. have the good times come to
m5a " en % In nyIe M a Ii pubic
to mitigate the severity Of hard times when
they the again 1 = return The prospects are now
OF human affairs. always turning. brings
around those tremendous eyens called
rate with certainty. The writer of an intelli- |
"Panics it has been obs rved recar about about
almost Hn every every ten s Years 10 Ens @ Ag The ex
planatfon OF this is not dificult to discover La
good times the tendency Is to extrayagance. to
YI.tftn md n nj In EnhS he,,r
spend more than they earn, and the balance OF
trade soon begins t9 run against communities
aud individuals. When this has continued un-
TIL the business OF the country is loaded down
with de BITS. o financial crisis is inevitable and
only Waits Tor the lost straw. Ii this view Is
correct. the way to meet the dangerous tendsn-
cies of flush times Is CLAIM. Let two of Doctor
franklin's homely proverbs be strictly observed
z ae Dg the ons
Is Ike unto 1t. ramely--"Pay as you Ro.''
Il is easy to see that, II these Old m4xims of
general practical acceptance, the period of good |
times would be greatly prolonged, and the |
ished. There an be no great financial crisis |
without large indebtedness, and the distress |
which it bings is In proportion to tbs extent Of
the extrayagance. speculation and consequent |
indebtedness which have caused It, Those who |
are out Of debt suffer teast., Where the debts |
Of ad IL ssbes su IT #
debts OF towns and cities. that | wish to Say
few words.
prevails in this country. especially in NUM-
cipAi government, has long attracted very
serious attention. 1t is a great and growing I
evil states. whose good name and credit have
been hitherto untarnished are threatened with |
repudiation. Many towns and cities have
rehch.a point Wners 1 III, rhey must soon luce the
chiefs Of repudiation. MY purpose is merely
to make q lew suggestions as TO the best way to
eerve: Experience In this country has shown
that no State or community can, under any cir
cumstances. gain by repndiation. The most ex
pensive way in which a State can get rid Of an
honest debt Is by reputation.
The policy Of preventing the creation, Of local
debts by positive constitutional prohibition is i
fully sustained by the OK perience of the States
with respect TO State debts. Constitutions In
many Of the old and IA all Of the new, States
forty years, and almost all OF them contain pro-
visions denying to State legislatures the au-
insurrection or other extraordinary emergency.
Under the operation OF these proniblt0ry pro-
visions the debts existing at the time of their |
only States now embarrassed by debt are those
whose constitutions do not contain this wise
The general policy of the national govern
ment on the subject of debt has always been (
sound. Il nay be summed up tn few words:
No febte 70 be created In time OF peace and war
debts 70 &c paid OF as rapidly as possible when
tbs war ends.
The Revolutionary war debt at the inaugura- |
ion Of tae present form of government. March |
1. 1789 amounted to $76 600 o00 and alter success
5ive refundings in long time bonds. was paid =
of by their redemption, finally. Ia 1885.
The debt created by the war of 1872 after re- 8
funding in IL per cent bonds. was also paid In
1885. and at the close Of that year the nation was
free from debt 1T
The debt incurred on account OF the Mexican Il
war amounted to .ss3552698. the bonded debt /
o-aring per cent Interest running from five to :
,wenty years. and treasury notes at various !
rates of interest. from one mill to 25 per cent
All OF this debt was redeemed prior TO 1870. ex-
.epting very small amount not yet presented II
or redemption. In
Our war debt resulting from the war for the n
Union amounted to about So 900 0oO 900, and has n
oeen reduced to about ~ 0oo. 100000. During the
asst year there has been no reduction Of the ag- =
yregate amount. but there has been reduc- y
ion of he amount of the interest bearing debt
II aOo and the rates of interest have been
10 reduced by refunding within the past year b
hat there Is an annual saving of sls,Teo. 800 In
interest. The annual interest on the National | r
iebt reached Its highest point alb ut fourteen i
ears ago when it was $l5O.977 697 81 il la NOW