Butler citizen. [volume] (Butler, Pa.) 1877-1922, 1879-12-10
HAYES TO CONGRESS.
THE MESSAGE.


The Presidents message is a long
document, much of which is of no par
ticular public interest The principal
topics treated of by the President are
the financial operations Of the fiscal
year, the reform of the civil service,
the suppression of. polygamy, the
fisheries and the Indian policy of
Secretary Schurz.
| The President congratulates Con-
gress On the successful execution tof
the resumption act Since the lstfof
January United States notes have
been redeemed in coin, but the demand
has been comparatively small, and tie
voluntary deposit of coin and bsi9li5n
in exchange for notes has been very
large. The excess of the precious
metals deposited or exchanged for
| United States notes over the amount
of United States notes redeemed is
about $40,000,000 The resumption
of specie payments has been followed
by very great reviva! of business.
With currency equivalent in value
to the money Of the commercial world
we are enabled to enter upon an equal
competition with other nations in trade
and production The increasing for
eign demand for our manufactures and
agricultural products has caused a
large balance Of trade in our favor,
which has been paid in gold from the
lst of July last to November 18th, to
the amount Of about $50, coo, 900.
Since the resumption of specie pay
ments there has also been a marked
and gratifying improvement of the
public credit. The bonds of the Gov
ernment, bearing only per cent in
terest, have sold at or above par, suf-
ficient in amount to pay off all the Ma
tional debt which was redeemable un
der present laws. The amount of in
terest saved annually by the process
of refunding the debt since March lst,
1877, is $14,297,l77. The amount of
the National debt which natures
within less than two years is $792,-
121 100 of which $500, 00O,0 bear
interest at the rate of 5 per cent, and
the balance is in bonds bearing per
cent interest. 1t is believed that this
part of the public debt can be refunded
by the issue of per cent. bonds, and
by the reduction of interest which will
thus be effected about 81 ,000 900 can
be annually saved to the Treasury.
To secure this important reduction of
interest to be paid by the United
States further legislation is required,
which, it is hoped, will be provided
by Congress during its present session.
SILVER COINAGE.
The coinage of gold by the Mints
of the United States during the last !
fiscal year was $40, 1863 The
coinage Of silver dollars since the pas
sage of the act for that purpose, up to
November lst, 1879, was $45, 900, $50,
of which $12, 1908 have been issued |
from the Treasury and are now in
circulation, and $32, 300, sos are still in
the possession Of the Government !
The pendency Of the proposition for
unity Of action between the United |
States and the principal commercial
Nations Of Europe, to effect perma-
nent system for the equality Of gold |
and silver in the recognized money of
the world, leads me to recommend |
that Congress refrain from new legis-
lation on the general subject. The
great revival of trade, internal and
foreign, will supply, during the coming |
year, its own instructions, which may |
well be awaited before attempting |
further experimental measures with |
the coinage. | would, however, |
strongly urge upon Congress the inn
portance of authorizing the Secretary |
of the Treasury to suspend the coinage |
of silver dollars upon the present legal
ratio The market value Of the silver
dollar being uniformly and largely less
than the market value of the gold dol
lar, it is obviously impracticablc to
maintain them at par with each other
if both are coined without limit If
the cheaper coin is forced into crcula-
tion, it will, if coined without limit,
soon become the sole standard of value
and thus defeat the desired object,
which is currency of both gold and
silver, which shall be of equivalent
value, dollar for dollar, with the uni
versally recognized money of the
world
RETIRING UNITED STATES NOTES.
The retirement from circulation of
United States notes, with the capac-
ity of legal tender in private contracts,
is o step to be taken in our progress
toward o safe and stable currency,
which should be accepted as the policy
and duty of the Government and the
interest and security Of the people. 1t
is my firm conviction that the issue of
legal tender paper money, based
wholly upon the authority and credit
Of the Government, except in extreme
emergency, is without warrant in the
Constitution and violation of sound
financial principles. The issue of
United States notes during the late
civil war; with the capacity of legal
tender between private individuals,
was not authorized except as means
Of rescuing the country from imminent
peril. The circulation of these notes
period of time after the accomplish
ment Of this purpose was not contem-
plated by the trainers of the law un-
der which they were issued. They
anticipated the redemption and with
drawal Of these notes at the earliest
practicable period consistent with the
attainment of the object for which they
were provided The policy of the
United States, steadily adhered to
from the adoption Of the Constitution,
has been to avoid the creation of
| National debt, and when from neces-
sity, in time of war, debts have been
created, they have been paid off on
the return of peace as rapidly as pos
sible. With this view and for this
purpose it is recommended that the
| ayiatinp laws for the accumulation Of