The Ottawa free trader. [volume] (Ottawa, Ill.) 1843-1916, 1880-12-11

March |, 1877, etfecting an annual saving OF
interest OF 81, iO7, 593. The burden OF interest
has also been diminished by the sale OF oohas
hearing low rate Of interest, and the applica'
ton of the proceeds to the reaemp.lom VI oomus
bearing a higher rate. me annual san nS
Tins secured since March |, 1877, is Sl42W,-
1880. ,,,r.a INF,
lions of 5 and q per cent bonds VIII oeco,nc
redeemable. This presents very isVoraDie
nripcipal of the debt, but also to reduce the
rat, of interest on that which will remain I'M
Maid. call the attention Of Congress 10 the
views expressed on this subject ny the oec'e,
tary of the Treasury in his annual report, ana
recommend prompt legislation, 10 ehaoie liie
Treasury Department To compete 'lo ro'u'u'
ing of the debt which is about 10 mature
The continuance of specie payments mas hot
been interrupted or endangered since the GATE
of RESUMPTION. IL has contributed srcatiy W
the revival Of business and 10 our reliarhaoic
prosperity The fears that preceded ana ac
companied resumption have proven grounu.
less No considerable amount OF Cnited states
notes have been presented tor redemption,
while very large sums of gold bullion, bolh
domestic and imported, are taken TO thc ihlnte
and exchanged for coin or notes Inc IN
crease of coin and bullion In the united otalcs
since January |, 1873, is estimated AZ s-1''
800, ABS. .o,e
There is still in existence uncancelled s3io'
GSI OI6 of United States legal tender notes.
These notes were authorized as Il war meas
ure, made necessary by the exigencies OF the
conflict in which the United States was thch
engaged. The preservation OF the NauohS
existence required, in the judgment oi Con-
gress. an issue of legal.tender paper money.
That it served well the purpose for which IL
was created is not questioned, but the employ
ment of the notes AS paper money indefinitely,
after the accomplishment Of tue oDJect lor
,..y tNt..t.
which they were provided, was not cohteh'
Mated by the trainers of the law under which
they were issued. These notes long since be-
came like any other pecuniary ohllgallon OF
the governmental debt 10 be paid, and, when
paid, TO be cancelled as mere evidence OF an
Indebtedness no longer existing. therefore
repcat what was said in the annual message OF
last year. that the retirement from circulation
of United States notes, with the capacity OF
legal.tender in privat5 contracts, is step 10
be taken i'm our progress towards a safe and
stable currency, which should be accepted as
the policy and duty of the government and the
interest and security OF the people.
At the time Of the passage OF the ACT no" III
force requiring the coinage OF s'ivei uolia,s
liking their value and giving them legal-tendcr
character, it was believed by many OF the sup
porters OF the measure that the silver dollar,
which il authorized, would speedily become,
under the operations of the law, OF equivalent
value to the gold dollar There were other
supporters of the bill, who, while they doubted
as TO the probability OF this result, nevertheless
we're willing to give the proposed experiment
far trial, with a view TO stop the coinage, II
experience should prove that the silver dollar
authorized by the bill continued to be of less
commercial value than the standard gold dol
lar.
The coinage of silver dollars, under the act
referred to- began in March, 1878, and has
been continued as required by the act. The
average rate per month To the present time
has been 81, 276, 492. The total amount coined
prior TO the lst Of November last was S12SF7-
$50. OF this amount S47, 0S4, 45O remain in the
treasury and only $25, 763, POI are in the hands
of the people. constant effort has been
made To keep this currency in circulation, and
considerable expense has been necessarily in
CURED for this purpose, but It's return TO the
treasury is prompt and sure Contrary 10 lhe
confident anticipation of the friends OF the
measure at the time Of its adoption, the value
of the silver dollar, containing 4l2I2 grains oil
silver, has not increased During the year
prior to the passage of the bill authorizing its
coinage the market value Of the silver which
IL contained was from 30 to ~ cents, as com
pared to the standard gold dollar. During the
last year the average market value Of the silver
dollar has been So cents.
II is obvious that the legislation OF the last
Congress in regard to silver, so fur as 1t was
based on an anticipated rise in the value OF sill
yer as result of that legislation, has failed To
produce the effect then predicted. The longer
the law remains in force, requiring rs IL does
the coinage Of Il nominal dollar, which, in
reality, is not "A dollar, the greater becomes the
danger that this country will be forced TO ac
cept q single metal as the sole legal standard
Of value, In circulation, and this II standard OF
less value than 1t purports to be worth In the
recognized money Of the world.
The constitution of the United States, sound
financial principles, and our best interests, all
,ut h. nj shnniI
legal-tender money, both gold and silver coin,
OF an intrinsic value, MS bullion, equivalent TO
that which, upon Its face, 1t purports TO pos
sess The constitution, in express terms, rec
Ognzes both gold and silver AS the only true
legal tender money. To Danish either OF these
metals from our currency ID to narrow ana
limit the circulating medium of exchange to
the dsparagement Of important interests. The
United States produces more silver than any
other country, and is directly Interested In
maintaining ii as one OF the two precious met
ais which furnish the coinage OF the world. IL
will, In my Judgment, contribute to this result
IL Congress will repeal so much or the existing
legislation rs requires the coinage of silver
dollars, containing only il2I2 grains OF silver,
and in It's stead will authorize the Secretary OF
the Treasury to com silver dollars Of cquiya-
lent value as bullion, with gold dollars. This
will defraud no man, and will be in accordance
with familiar presidents. Congress, on sew
eral OCCASIONS has altered the ratio of value
between gold and silver in order TO establish
it more nearly in accordance with the actual
ratio OF value between the two metals.
In financial legislation every measure in the
direction Of greater fidelity in the discharge OF
pecuniary obligations, has been found by eX.
perience TO diminish the rates Of interest which
debtors are required to pay, and TO increase
the facility with which money can be obtained
for every Legitimate purpose. Our own recent
financial history shows how surely money be-
comes abundant whenever confidence in the
performance OF moneyed obligations il cstab.
lished.
The Secretary of War reports that the expen-
ditures OF the War Department for the fiscal
year ending June 30, 1880, were S39,g4, 112.0 Oh.
The appropriations for this department, for
the current fiscal year, amount to SAL $685.
$50 40.
With respect TO the army, the Secretary in
Sitcs attention TO the fact that its strength is
limited by statute (Section l,ll5, Revised Stat
utes) 10 not more than $4,000 enlisted men, but
that provisos contained in appropriation bills
have limited expenditures TO the enlistment Of
but q, 600 IL is believed the full legal strength