The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1881-02-23
The Finding Bill.


We sre much gratitied TO find in the New
York Journal of Commerce the follow
ing thoughtful article. 1t shows that all
New York. is not blinded 10y Republican
narty preiudices as to he merits Of the new
funding bill passed by Democratic. Con-
gress. The Journal Of Commerce says;
THE FuNpING BILI.-Tbere seems to be
reasonable prospect that the measure for
refunding the maturing portion OF the pub
lie debt will bee me law substantially as
il passed the Senate. Many OF our wiScst
fjnanciers have bad grave doubts whether
The new issues could be disposed OF at the
low rate Of interest proposed, ana III sup
port Of their position have pointed TO Inc
fact that the 4 per cent. bonds are not SELL
ing at a rate that will bring per cent.
bond up to par. This Is true, but II does
not settle The question. There are many
persons who would not buy per cent.
bond az ia who mightyet be willing 10 take
as per cent. bond at par.
If the law allowed a discretion to the
Secretary OF the Treasury, and provided
for refinding the debt at not less than %
per cent. an attempt TO negotiate 3 per
cent. Issue would probably prove failure,
the Secretary to adopt higher rate. But
II The limit is fixed at 3, and the offer is
made OF this or nothing, with due en-
enlargement TO popular subscription, we
see no reason to apprehend a failure. We
believe that. judciously managed, the en-
tire amount can be placed at the low rate
proposed by the House and adopted by the
Senate, IL has not been possible for two
wear. or more 10 loan floating capital IN
WalF&Sreet on Government securities at an
average OF per cent. annual interest.
The new bonds present loan IN lis most
attractive form with the single exception OF
the limit OF time; aud this Is not IN ltselI
such draw back on their valnc as many
claim when the low rate Is taken into ac'
count. AT higher annual tate Of interest,
and especially one likely 10 bring the bonds
into market at romium, or 10 create a
general scramble for them, due date Tar
distant Il de-irable 10 the investor ana an
element OF market value. But many would
be- willing 10 invest their surplus money for
even three OF five years at low rate at par
With The assurance OF q security as absolute
as human possessions can be made, ana the
certainty NJ its return without loss Mt the
end III such q brief period. They may hope
that higher rates will prevail after few
years, aud may be very willing to bridge
over the interval at more moderate in
terest.
The freedom from taxation, the nature Of
the security offered, and the fact that ii
must be used as basis for bank circulation,
are sufficient in our Judgment to make the
r refundjng scheme successful il wise mea-
suies are taken 10 give the movement at the
outset popular character. II iudIciously
inaugurated, and freely and fully adyer-
tised. We believe the whole amount can be
secured by popular subscription without
the intervention OF syndicate, or any
tribute 10 those who will undertake for q
consideration TO manipulate tue market.
II this eau be done, as we fully believe, II
will place this country higher than ever In
the estimation OF the world, and establish
It's credit at level that will satisfy the
proudest ambition.