Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1880-01-28

as speedily AZ p pssible.
Among the IA supporters of this resolution
| I find the following who are to-day members of
THU body: Allison, Conkling, Dawes, Ferry,
Morrill,, Rollins and Voorhees,.
Bayard went on to show how this policy had
been Abandoned the notes rei'sued and kept
in circulation. During the debate, he said
which attended the passage of the resumption
act, the present secretary of the treasury, Sher-
| man, who had charge of the bill III this body,
was asked by several senators, myself among
| the number, whether by redemption of United
States notes under that act, they were finally
to be retired AID destroyed and he declined to
give any construction whatever to the law on
that point.
Senator Edmunds-Will the senator from
Delaware permit me to ask whether there is
any doubt in his own mind as to what the con-
struction of that act was?
Senator Bayard-I am unable to say what its
construction was. l thought it was double
faced tumble intended to catch the votes of
contractionists by one construction and Ut ln-
flationists by another construction. I thought
it was a snare and not worthy treatment of a
great subject.
Senator Edmunds-I voted for the act of
1875 because it seemed perfectly clear to me
that the redemption it provided for was re-
demption that took out, in point OF law, from
existence all United States notes that should
come in in the method provided for in that
act.
Senator Bayard-Of the ability of the Sena-
tor from Vermont to form an opinion. no man
has doubt. At the same time repeat that
the measure was supported here
by gentlemen who had Just
been advocating initiation to the full extent of
$500 00O.0OD There was no reference in my
remark to the opinion of the Senator from YER
mont. It was referring to points put forward
by advocates of the bill to answer for them,
i H. o. ~
Continuing, Senator Bayard said the issue of
treasury notes was ut no time intended as a
prominent measure, with or without the legal
tender power. Yet We find that
this measure of confessed temporary
expediency is still forced and by many urged
to be continued in perpetuity, and Senators
say these notes are now at par, are redeemable
by the government at the will of the holder, in
gold and silver coin, therefore let we'll enough
alone. To this complexion have we come, that
proposition to adopt measures of admitted
safety and wisdom to secure a permanent
prosperity is called tinkering with the finances.
Mr. President, such condition of sentiment
alarms me, and only causes me t. be more Wig
orous in my efforts to secure my countrymen
against such manifest dangers. This assumed
legal tender power is like the germ of a deadly
fever that needs only the heat of excitement,
of speculation, of war, or of distress, to devel-
ope it's deadly powers, and it Is while 1t Is
dormant that l would pat an end to its exis-
tence. The present condition OF
prosperity may soon be all reversed. Blight
and storm and drought may distroy our crops.
Events common in the history of nations may
demand from our exchequer extraordinary
payments. The scheme of uniting the two
great oceans by canal across the isthmus of the
southern border of this continent, is one of
world wide Importance, and the heart
of every American proclaims that
it is to be under control of the government
Of the United States. Our power may be
questioned but it will be maintained. Every
counsel of wisdom therefore exhorts us to seize
the day, and in time of peace prepare for war,
for it is the surest way to avoid it. The with
drawal Of the legal tender power from United
States notes can do in Justice to no man. and
cannot lessen the value of notes in the hands
of any holder, because an equivalent for face.
value is offered in gold and silver coin in case
any creditor should refuse to accept them.
Endowment of governmet notes with legal
tender power has always failed to prevent de-
probation when public confidence had once
been shaken in them. 1t is worthy
of note that when in 1870 the first decision of
the supreme court was reached against the
power of Congress to make notes legal tender
for debts. The effect was to raise the value of
such notes in the market by diminishing the
premium on gold from 10 to Is per cent, and
IN the contrary when in the year following
this decision WAS reversed and the power in
Congress sustained, the value Of the notes de-
cllned and the premium upon gold Immediate
ly advanced.
By the public press we are informed that a
wise expression of public opinion is to be
brought to bear upon Congress to influence the
passage of the Weaver bill. 1 don't propose
to discuss its merits, except
to say this: If it be just
to relieve these discharged soldiers and sailors
from the effects of deprecated legal tender
currency, the same measure of justice is
due the officers of both branches
of the service, and we can't deny, in equal JUS
tice to the wounded and crippled pensioners of
the war; nor the civil servants of the govern
ment Nay, doubt whether justly we could
stop there, for the Justice caused by the gov
eminent in the issuing of such notes and max
ing them legal tender for all private debts,
should also be remedied, and where debts con-
tracted in gold and silver prior to 1862 when
such coin alone was lawful money
of the United States, were
paid off in deprecated currency,
the differences in the value of such currency
with coin should in equity and Justice be made
good and for such Incredible payments
flood of legal tender paper currency would be
needed. The present Congress may not yield
to such solicitations but we can't answer for
our successors. On the threshold let
us meet all such schemes SO fatal
to good government. Like causes
will ever produce like effects, and earnestly
appeal to my countrymen and the Senate, to
shut the door forever, lock it and throw away
the key, which admits legal tender currency to
take the place of stable standard, having uni
versal and intrinsic value. The one single
function Of currency is to effect the exchange
of commodities by an equivalent measure, but
when that measure has no Inherent value, or
a fluctuating value, as must always be the case
when it is founded on credit alone. it is radl-
caly corrupted.
l believe the necessity is admitted of redlf-
fusion and redistribution of powers, which in
emergencies of civil war have been unduly abb
sorbed by the national government, but what
act of Capitalization equals that which assumes
to create value by fiat of Congress, and COM
pels such values to be accepted as the equiva-
lent for any Indebtedness. In my view all
other steps towards Capitalization are as moth
ing com pared to this. There is spirit of ir-
reverence in this fiat money plans of assumed
omnipotence that ought to shock the minds and
hearts of men.
MIR. President, have not considered this
great question from party standpoint. 1t
touches too closely the welfare of every human
being in our society for me to dwarf it for mere
interests Of party, but this debate had begun
and will close, and the name of no Democrat
will be uttered who at any time approved or in
any way countenauced mOnstrOus ap asser-
ton of power as the emission by Congress at