Little Falls transcript. [volume] (Little Falls, Morrison County, Minn.) 1876-1894, 1879-12-04

/ 1,
1879, was I'll ,256, 678. But little coin has been
demanded on the coin liabilities of the govern
ment during the same period, though the
amount cccruing exceeded &6OO, 0O0, 900. Mean
time coin was freely paid into the treasury and
gold bullion waa deposited in the assay Office
and paid for in United States notes. The az
gregate gold and silver coin and bullion in the
treasury increased, during that period, from
9l67, 55S 7s4. 10 to 1925, 1888 55s72, and the net
balance available for resumption increased
from slss, sos, so4.50 to sl52, 7$7, 155.4s. . ".
In accordance with the position taken in the
Last annual report. United States notes have
been received, since January 1, last in pay.
ment of duties or imports.
To meet the local demand for coin, in places
other than New York city, persons applying
have been paid silver coin for United States
notes, the coin being delivered to them on es-
tablished express lines free If expense; and
for some time gold and silver coin has been
freely paid out at the several sub-treasuries
upon current obligations of the government.
There haa been, however. but little demand for
ooin, and United States notes and the circu-
lating notes Of national banks have been re-
ceived and paid out at par with coin in all bus
mess transactions, public or private. in all
parts of the country.
The specie standard, thus happily s;cared,
has given an impetus to all kinds of business.
Many industries, greatly depressed since the
activity has been sho I'm in oil branches of pro-
duction, trade and commerce. Every prepara-
ton for resumption was accompanied with in
creased business aud confidence, and it's con-
summation has been followed by 8 revival of
productive industry unexampled in our previ-
Gus history.
The secretary is of the opinion that the pro-
visions of existing laws are ample to enable the
department to maintain RESUMPTION even upon
tho ~ nj
In view, however, of the large inflow of gold
into the country and the high price of public
securities, it would seem to be a favorable time
to invest portion of the sinking fund in
United States notes, to be retired and can
oelled, and in this why gradually to reduce the
maximum of such notes to the sum of $780,
0OO, 900. the amount fixed by the resumption
that from its nature it is subject to grave
abuse, it would now appear to be wise to with
draw the exercise Of such power, leaving 1t in
reserve to be again resorted to in such period
OF war or grave emergency As existed in 1862
The government derives an advantage in cir
culating its notes without interest, and the peo-
pie prefer such notes to coin, as money, for
their convenience in use and their certain re-
demption in coin on demand. This mutual
advantage may be secured without the exercise
OF questionable power; nor need any incOnve.
nience erise from the repeal of the legal-tender
clause as to future contracts. Contracting par
tics may either stipulate for gold or silver coin
or current money. In the absence of ar ex-
press stipulation for coin the reasonable pre-
sumption would exist that the parties contem-
plated payment in current money, and such
presumption might properly be declared by
law and the contract enforced accordingly.
The secretary, therefore, respectfully sub
mits to Congress whether the legal-tender
clause should not now be repealed As to all fu-
ture contracts, and parties be left to stipulate
the mode Of payment. United States notes
should still be receivable for all duea to the
government, they should be promptly redeem
cd on demand, and ample provision made to
secure such redemption.
COINS AND COINAGE.
The operations of the mints and assay offices
during the year, and their condition at the
present time, are exhibited in the report vi
the director of the mint.
The report also contains Recommendations
act.
The secretary respectfully calls the attention
Of Congress to the question whether United
States notes ought still to be legal tender in
the payment of debts. The power of Congress to
make them such was asserted by Congress dur.
ing the war, and was upheld by the supreme
court. The power to release them in time of
peace, after they are once redeemed, is still
contested in that court. Prior to 1862, only
gold and silver were legal tender. Bullion
was deposited by private individuals in the
minis and coined in convenient forms and de-
signs, indicating weight and fneness. Paper
money is promise to pay such coin. No con-
stitutional objection is raised against the issue
of notes not bearing interest to be used as q
part of tho circulating medium. The CHIEF
objection to the emission of paper money by
the government grows out of the legal tender
D. ~ 49,: ~ 70
would be measured by its convenience in use
its safety, and its prompt redemption. In war
and during grave public exigenoy, other con.
! alterations may properly prevail; but it would
| seem that during peace, and, especially
during times of prosperity and aurplus rev.
enue, the promissory note Of the United States
| ought to stand like any other promissory note. i
| should be current money only by being prompt
| ly redeemed in coin on demand. The note of tn
United States is now received for all public
dues, il is carefully limited in amount, it il
promptly redeemed on demand, and ample re
serves in coin are provided to give confidence
in and security for such redemption. Will
these conditions maintained the United State
note will be readily received and paid OF
all demands. While they are maintained, tn
legal-tender clause gives no additional credi
or sanction to the notea, but tends to impai
confidence and to create fears of over-issue. l
would seem, therefore. that now and durinl
the maintenance OF resumption, 1t Is useles
and Objectionable assertion of power. whicl
Congress might now repeal on the ground o
expediency alone. When it is considered tina
its constitutionality is seriously contested, an'
for increasing the effectiveness of that hranol
of tho service and furnishes information .rsla
tive to the amount of specie in the country
and the production of the mines of the United
States, and statistics, brought up to recen
dates, of the currency of the principal coun
| fpio NJ ho 0ft ho rata Of dno ~,
| of the precious metals, and of their oonsump
ton in coinage, and in the arts and manufac
lures.
The value of the gold coinage
during the year was. $40, 1856, 0l2 q
OF standard silver dollars. 27,227, 500 o.
| OF subsidiary silver coin. ....... 3S2 81
OF minor coin. 97,798 o.
| Total. ................S6 S, 9l2, 592 s.
| Gold and silver we're separated in the refncr