Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1879-09-22

the plan Of sup lanting the national bank systeno
The whole Presidential life Of Jackson and iii his
writings ure filled with warning against the evils and
| $685. 90, 900. "' "
In his NTH annual message he said. "rha ex,o,4
CT its misconduct, though known to be great was
not at the time fully developed by proof II was mot
until late In the month of August that received
from the government directors an official rem RI e.
tablshing beyond question that this great and nnu
erful institution had been actively engaged in at
tempting to influence the election Of public officers
by means Of lis money. Not only was the evidence
@ Is s to the past Of the
the resolutions of tho board Of directors authorized
the same course to be pursued in the future. Il be-
ing mus estaosnea by unquestionable proof that
the Bank of the United States was converted into n
permanent electioneering machine it appeared r.
that the path OF duty which the executive depart
menu OF the government ought to pursue was not
doubtful AS by the terms Of the charter no officer
but the secretary Of the treasury could remove the
deposits it seemed to me that this authority to
De exerted to deprive that great corporation of
the support and countenance of the government in
su h use of its funds and such an exertion of tts
power In this point OF the the question is dis
tnetly presented whether the people Of the United
by their unbiased sufrages, or whether the no,var
and money Of great corporation are to be secratv
exerted to influence their judgment and control their
troll public opinion through the distresses of some
and the fears OF Others, is equally apparent and ~
possible, more Objectionable. BY curtai)ment If
lts accommodation, more rapid than any emergency
requires, and even while it retains specie to an al
most unprecedented amount in its vaults II ia at.
tempting to produce great embarrassment in ona
portion OF the community, while through presses
known to have been sustained by it's money! If a.
ALL " 'A0~'o panic IN
1t isargued with great pertinaoity that this courze
think not. If bank notes are convertible
INTO specie, and both bank notes
and greenbacks are to be keo. aaoat. then
hn5h s lhs Dasis does, in fact, support
notes into greenbacks only increases the distance to
be travelled. If every man who has a bank note can
ge e greenoscS tor 1t, and for the greenback can
exchanged, go out again into circulation, The co n
which redeens the sreenback in fact redeems botb
ana unaer the same conditions it would redeem the
aggregate amount OF both If that amount existed in
either bank notes or greenbacks If CONVERSION
meant redemption and caIceati ,n the result would
be different, and the volume Of coin equal to all the
paper outstanding, would be necessary for ito w.
dem tion. But are to be seriously told that this
boasted resumption, this whole stock in trade of onr
republican friends, does, in fact deped for its con-
anaance on compelling The holders Of bank note to
been asserted that the banking sys EN- has become
20 strong and powerful that we can not easily dis
place It. II there is any truth in the assertion it
Wod furnish the strongest reason for It's immediate
aoohtlon. When system becomes SO strong i is
doubly dangerous; when it ceases to be fuly Under
contrOi IL becomes wholly the master.
THE RECORDS OF PARTIES COMPARED
Both the secretaries, with air of ingled trun,rh
and pity, refer to the difficult, moons stent position
and course, as they a!lege, Of the Democratic party
on the financial questions. They can SPARE their
pity! They ID batter reserve their tr nh till the
outcomel The Greeks said: pronounce 4, O man
happy Until his DEATH" not sensitive about the
consistency of the Democratic party or myself
st tesmanship beyond the realm of iyp,nnt hle
GS. III Of
ments must differ as circumstances change Ex-
perlence teaches wise men. 1t is fools only who
never earn But am perfectly willing to compare
the records of the two parties and have no fear of
the result. ava -
When the Republican party inve ted tho green
we're ae dsman At nos nsx
made convertible into bonds which then stood below
par They were n t receivable for customs. thew
were not ayaDle for interest on the public debt.
They were intended to be debased and degraded
currency, and as such sent out in, circnl.toD
ana made legal tender in yment of all debts and
obligation except only the ons and interest.
Iney were purposely a deba ed and degraded CIR.
rency-m de so bylaw. They we're made BIZ law to
stand IN the market as Of less value than coin Coin
was to be i'd toriLterest to the bondholder and the
com needed for this purpose was to be extortad
lron tne consumers OF every inn orted artcle-tea
coi!ee, sugar The Democratic party opposed this
policy. Most OF them thought it Unconstitutional
"a. OF then thought it unwise Il departure
from the settled policy of the government and from
the financial system of the country. The notes de-
preclated III the hands of tie people. When in the
hext year IT was found necessary to issue additional
iiluohs, me RepuDllcau party repealed SO much of
the law as made them con> ertible into bonds. or
course, they deprecated still more. And of course
also the bonds, instead Of being sold at home were
sold abroad to those whose coin would fuv orao,,.
backs at sucn fearful discount. This policy caused
the notes to fall at ono time to less than half their
race vaue IN COIN and gave foreign debt in tn
aggregate third larger than the money we received
sent out OF he country the coin painfully col
lected in it, wa
During the last year of the war tho holders of
ponds seeing that the five years at the end of which
Inc PONDS might be laid We're IA passing and know.
ing they were pay ible i'll greenbacks became 1riuht.
ened at this enormous depreciation. They secured A
pledge to be put into the Law AUTHORIZE still fur
tner issue that the aggregate Of nil the areenbacks
issued, or to be issued, should never exceed S.lN,
OOJGOo. or course, pledge or promise it was Of
no avail bu it might prevent the greater depreca-
ton OF tn currency and the Democrats voted for It,
Peace cal e. AL the Industries were active cnr-
rency was abundant, enterprises we're Stimulated.
employment was at every mans hand, and to the eye
OF p ain, common sense people the country see al
prosperous. The public debt was enormous, and ali
of 1t except the debt incurred before the war the
small amount Of ten-forty bonds then out, and few
otner special 90 lgatons-in ALL very small proper
consent of all parties and all public men, payable in
legal-tender notes. The income of the government
reached more than $500, ooO,oOO and was easily col
!ected The Democrats insisted that the debt chou
pc paid as rapidly as sbe in legatender notes of
the value at which they stood when the debt was in
CURED and the contract was made. The argument
reacned the certainty OF demonstration. The Re-
publlcans-Mr. Sherman being at the head of tbe
finance commit of the Senate-refused to listen
Ihey were entanged with the national banks. They
control They paid off the non-interest bearing eht
the debt which could float; the debt which was sery.
Ing the people to some extent currency, either as
actual circulation substitute for circulation in
necessary reserves and in 1869 they assed the law
which, without the least necessity-nay as an enor
NOUS m wrong-converted the debt which was payable
IN egal-tedder notes into coin debt. This Jaw adj
ded more than $50O,UOv,O0, to tho burdens of the
people. And the Democrats voted against it, What
ever obligation may have rested on on government
oy reason OF the alleged ledge in the law of 1864
never to issue more than $40 U00 90 greenbacks was
rele sed absolutely BY this law The purpose Of
that pledge was to sustain the currency ia which the
bonds We're PAYABLE. When they We're made pay
did not suffice. 1t caused immense indignation.
Threats OF repeating 1t, even of declaring it void
were not uncommon. The holders of bonds thought
II wiser TO gtv up the pc, cent bonds, already
deemable, which had the faint of being originally
payable IN greenbacks, and take IL their place bond
having ten years to run it's face payable il, COIN
even though the interest should be reduced. Ac,
coroingly, at their dctation: the law of juno II,
$780, was passed by he Republicans, still in posses
sion of power authorizing the issue of bones suec-
tying in the bond Itself that it should be paid in
coin of the United st tes as 1t existed by law Oh
that day. These bonds we're to replace the FIVE
twenties, which were originally payable in green
backs, and the process OF exchanging went on.
10.
and the idea was conceived of compromising it in
full by the demonstration Of silver. This, it was
believed would cause all these bonds, which were
expressly payable in gold silver, to be paid in
gold. 1t was believed if the government. demone-
tzed silver 1t would not force silver the bond
holders. Accordingly, the Republican p rty, ever
phi mt to such demands, passed the laws of 1873 and
1874, forbiddiDg the coming and taking away the
legal-tender quality OF that metal No Democrat
opposed it, because no Democrat knew there was
such provision in the law. I will do the body of
the Republicans the same justice, for they were
equally Ignorant; the Republican leaders alone
knew of its existence.
r Time passed, and it began to be asserted that,
notwthsta ding these laws, the bonds could be law
fully paid in the coin of 1870, whe her silver or gold
and therefore the secretary of the treasury issued
his declaration and sent it to and through the agents
for the sale OF the bonds, to give to the
persons proposing to purchase that the bonds would
undoubtedly be paid in gold. AS far as he could he
laid upon the government the legal and moral obl-
cation to give up its option, and pay in gold alone
Time passed, and the resumption act Of 1875 was
passed. Its history of contraction, Of boarding and
sale OF bonds is too fresh to need recall,
The Republicans unnecessarily abandoned spece
payments, and most unwisely degraded the prean-
back currency. They enhanced the burden of the
public Indebtedness by making q home debt a for
efgn debt; by making paper debt a coin debt: by
extending the time Of its payment By r aking coin
debt gold debt; by contracting and boarding end
selling bonds, and all this they did without other an.
parent reason than the demands and the profit of the
holders = $500
The Democrats steadily opposed this policy. They
opposed the suspension OF specie payments. They
opposed the debasernent Of the qreenback They
IN mi erpS oi,Nr