, 1880-02-04
SHOULD THE LEGAl-TENDER SYSTEM BE-
PERMANENTLY

SliEnoynAN, Wis, Feb. Las atliwart n
sercnc md c1o,ldlcss financial sky tho Tresl-
dent and his Finance Minister assistcd by
tho grusl!ng seIl1sllncss of the go'tlltcs, pro-
jcctcd threatening clond, and NJ Scnntor
1}ayarti, the most pronounced political repre-
sentative OF their views, ~ seeking 10 mako
n Presidential tssue upon the point rnlsct,-
tho practical destruction nj tho lcgal-tcnler
cllrrcncy,-nnl hns just mntlu II speech that
by Its advertisement, IT not It's great nbilIty,
will attract general nttcntton.-they, the
! gold mil bank Jnntn, l1nre thornby chal-
lenRed a discussion Of the relative merits Of
the present financial system of our Govern
Ment, and tile System they would put in Its
plncc.
Being assaulted Mt time when theory and
practice combine to assllro us that, II wehavo
not attained perfection IN the absolute sense,
wo 1,avo tho best paper currency system
OF which tho world knows, thu friends Of 1t
llnye llU rcasoll 10 shrink from tic challenged
discussion, or bo under obligation TO make
All APOLOGY for giving thu reasons for tic faIth
| TINT Is In them.
Whenever tho advocates Of repre-
sentative paper currency propose to
furnish circulating medium they arguo
themselves aistt others Into tho bgliet that
ss i aSs sy ssf sys 70 ts M sso ~ we
risg above the deserved appclatio', of Wild
cat" bankers mid Intentional swiudlers nro
genGrally sincere u their belief that pledge
formed tlo basis Ut ynrlous systems Of, issu-
ll,E bunk currency would mike their issues
promptly md surely convertible into coin to
the extent Of tho natural wn,,ts Of tic il,al.-
clal world. This expectation Is generally
realized III wilat, may, bu styled the, better pt
| the old systems; but tho best Ut them dill
not, and I'll, not, provide. for the exnctlng
ssas e' and pf III w'f free pefb'3skHs9' baks f5q 'a ts
results Of contraction consequent upon
t!ss !s naGbio bnris' Xll I ts @ state s Saaks
iH ~ III sssansoas Stats bonds
bankruptcy during tic first months, Of tI'e
late War, aul all Of them were taxed out Ut
existenco soon after to etenr the ground for
III i Is rot t. le trathfa!ly acne ,iat 3iis ii.
tentlon Of tho projectors VI tho greeuback
pnrt nf tho new lnolsetary system, nlMl the eX-
pectntton Of that portion Of the public TINT is
WIS, tilat tliS Issue * Treaslry letsl :tc,dert
sysen &C" conslt1ered jastiiaSie 1t tic t@e nt to
meet q pressing emergency; alNi thut tho
wisdom justified Its continuance, after
q tr!al Of twenty years,--tlie, time Tor
which tie banks were cllartercd: Whether
tho opn!on wns r; sound T. ~. or not, II pretty OK.
was not tho province OF n Government to fur
| Mtsl, tho paper circulation; md 1t was coll
elusive to About MI TINT It SHOULD not per-
form, THO functions Of tho barker, IN recciy
lnE deposits for tho purpose of maktng lonns.
KGtlcntptlon, III those unys, meant to l,ny md
retire the notes 81, s0oI rs the Nation had so
far reclperatcd Its resources, aud latl paid
ffa Ss nsbfenesa S bfe''Seale'y Sns %s s}ss eSf
loau,"n lnn.le ut tlme when the Nation lad
not tho power to put m adequnte reden,p-
ton fund behind it, and SO. OF necessity, 1t
with tic varying ylsissltaies. md hopeful
results Of The Wnr, nnu1 the Slow
y{,o1 rffseratnE fsa s1 t., f9rsss S s., e tS Natlon
after tho sword @ Mad been . s@iieatheti., @ II WINS
taken, md the Redemption law l'ussed, to
lllnke them worth tllep Of coin on and after
i given tny,-.,to-wit:, Jan. !. 1s10. II cannot
6e dc; 9nled l TINT sa'nrlng their nse, rs they
Gfal Worll, tho fdet gained fuolllold, and
finally. groat strength, that II system horn Of
tho cxigellclcs Of Ere4t wnr, and supposed
| herent attributes Of financial FOOD that conf
nclltle.l i rs permanent system; and mems
itle9s underwent revolution In rrg1rsi to tic
authorities and nnsptces under wlleh a paper
view lnake why, that during tbs time
between THO ,pnssnse OF tlio Redemption
net an! its fHl!illMslt VII, supnlelnenta1,y net
10 destroyed, bnt ressAsd tho same rs coin.
Than It KNEW 9r wns then conl'reheItlctl
y IN "y % &C. ha senea af,Ht or aesed "n, eo-
| stitnt0nni objection To such q system being
made permanent, whether the coNstitutluli-
mnkers Wero wise enong, e not forbid 1t,
or nnwise eno.!gl, to forbid 1t BY Implication
o,,r Government, With or without cOilsiitr-
tlonal sanct!on, a,d fortified by the safely
gtlard dcd atll ample redemption fund now vi,
hn,;d, md limited IN a'nount mud fortified
still more by tho. power u. thu Treasury
officials to nakG tiig FUN! still IArgur by Tia
sale OF rev bands, Il constitutes ii crownIng
piecp Of financial wistto'n. that puts It Mt tho
heatl of all the Systems tor ,nakins = paper
currency tint h0a eyer been devised by my
Government " which VIZ ilnve information.
It's ,Aerl!s Will either modify constitutional
ses esa ay f Sa oss seft or sae Gsa g.,
constitutional amendment to cover the case.
The end, ns we have said, OF nll good syS-
tens Ut the kina, IL to provide lega a!-tcntlHr,
thnn this Is tho maximum Of excellence IN
paper currency.
x comparison with the strongest and best
Of u fosy Systems Of otl.ar Governments Will
Thu l,aNk Of England before lis notes were
matt9 legal-tclder wns occasionally lii sns-
ne'lsiai'. b!!t las not been since that fenttlre
nd"ts 6t may Rs naeE present
Of notes over tlle original Els 000, zoo Of notes
funded on British bonds flAyo been re
deolnetl, II panic, Or war, or long financial
banks funds, Ii, that point. Then, instca. Of
extra efforts be!ng nude to maintain II specie
paying circulation Of pnper, tho way to M,n!se
The effort is not provided by law, h%t tlo
emergency is inst, Tho officials Of France
cnl',. In MI emergency, authorize tho
Bank Of. France to Issue legAl-tontlGr
notes, so tllat that country Is provided With
way tn get MI additional supply OF debt
paytNg money when It Is III extreme need.
but at such times the Bank ot Frnnca Ii III
SUSPENSION, a,il remains SO TIL tho Goyerli-
bank It forces lhto circulation.
Germany Inns q financial system OF similar
features, the particulars nf WhIuh nln I'LL.
acquainted With, All Of them, while author
izinE lrgal.tentlcr paper % BIZ Issued M,Aler
certain contingencies, without having n re-
ttcnlptlon fund behIntl them, hnvo no ar
I sSAlR t1.as