National Republican., 1884-02-22


selves responsible for the circulation, we should
require the strongest security. He would require
that the individual properly of the sloeRholders
extent of the bank capital But this whole thing
was speculation and he did not know that, upon
mature reflection, he would favor It,
Mr.. Ingalls, said that the amendment of the
senator from Alabama Mr.. Morganl presented one
the practical alternatives that congress would
be compelled to consider III connection with the
banking systemin the course,ofa few Yeas. At this
moment, however. 1t was premature. IL hh not
received the consideration of a committee. Mr..
ingalls, regretted exceedingly that the committee
on finance, Instead Of reporting the fragmentary
and inconsequontial bill before the sem
occasion and presented some measure equal 10
the emergency, the important question being,
What should be the paper currency Of the
futureY When II was borne in mind that out Of
the $500 600 900 Of per cent bonds subject to call
more than 900 were held by the banks as
revenue ranging from $50 900 to siOO 900 Oo6 per
annum that could only be Used in the payment of
these per cent. bonds, IL seemed to him that the
sanguine when he saw no emergency calling for
present action Of congress- That senator was
always an optimist. With him the days were hal.
cyon, the seas were undsturbed. We were liable
At any time, in Mr.. Ingalls, opinion, TO be COM
fronted with the difficulty resulting from sudden
epasmodic and dangerous contraction Of the cur
reney for which the measure reported, by the
committee afforded no substantial remedy. Mr..
ingalls, bad no doubt that the American people
snould go on and would consent to no abridge-
ment OF the revenue which would interfere with
tina. result and that, further. they would consent
10 no increase OF the public debt, whether
apparent or real, for the purpose Of affording
a basis of currency circulation. That was another
ground for concluding that the senator from Iowa
was mistaken In saying that there was no neces.
sty for reporting bill from the committee on
finance that should deal with the question OF what
should be the currency of the future. When there
was surplus In the treasury and all our different
currencies were as good as gold, and the voice OF
the greenbacker was no longer heard In the land,
damnndp1
considerable portion of the American people
now was the time for the consideration of meas
ure OF substantial character, instead Of leaving
the work to be done in time Of peril and distress.
When actually confronted by the danger Of
contraction, public opinion mey not be so tran
quill as at present II would be the business OF
congress to consider whether the system of ma
tional banks, which had been approved by all
parties, was to be continued upon other and diff.
ferent securities, whether upon state securities or
mortgages on real estate. or whether there could
be any feasible change of our present bonds into
bonds having longer period 10 run and at lower
interest. We should also have to consider
whether treasury notes could be made a circula-
ton Of themselves: Mr.; INGALLS, believed that
treasury notes would be the best conceivable cur.
rency. provided the amount could be regulated 80
as not to be subject to increase or diminution at
the mere caprice of congress or the secretary of
the treasury Under regulations which would be
effective in making the currency stable, they
would make an entirely acceptable currency.
the convertabllty of the treasury notes into coin
on demand would not prevent an over issue.
Mr. Ingalls, replied that IL would.
Considerable discussion here arose as to the
pro vision OF law relating to the coin reserve to be
held In the treasury for the purpose of redeeming
The discussion was participated in by Messrs
ingalls,, Aldrich, Bayard, and Allison, Mr.. In
gals maintaining that there was not dollar in
for that purpose, Mr. Aldrich aud Mr.. Bayard
contendinR that there were at least 95,500 900.
Mr. Aldrich said that while it might not be there
for that purpose by the strict requirement of the
law, Il was there by the unwritten law, and that
10 50 far as the law was not specific Y was the
quests of the secretary of the treasury for more
specific legislation on the subject.
Mr.. Bayard maintained that the reserve was
law; that the spirit and fair construction Of the
law was restraint which could not be ignored.
The acts of congress and the reports ofthe secre-
tary on the subject having been read, Mr. ingalls,
insisted from the wording of the acts his position
was correct. II was in the ability of the govern
ment to redeem these notes that the value con-
sisted. He, therefore, reiterated his belief that
treasury notes, carefully guarded rs before sug-
gested. would constitute the best form ofcurTenoy.
. Mr. Morrill stated there was bill now before
the committee on finance relating TO the subject
OF the circulation, Of character more far reach
Ing than that no" under discussion, which he
but he doubted whether, when reported, 1t would
quite satisfy the gentleman from Kansas [Mr.
Ingalls, who had begun his remarks by saying
that the voice of the greenbacker and OF the fat
money man was not now heard, and then pro-
ceeded at once to PROFOUND the idea that treas
best possible solution of the question He thought
none Of the other senators could now say that the
Voice Of the green5acker and fiat money man
was no longer heard.
Mr.. ingalls, replied that the statement of the
senator from Vermont, with his usual disposition
his bank notes-it was well calculated to deceive.
Mr.. Ingalls, SAID that he had said expressly that II
the treasury note scheme were so carefully regl-
lated as to afford a stable currency, IL would be
the best form Of currency that could be con-
ceiyed, and if the senator from Vermont thought
that that was an enunciation of fiat money doc
trine, he was welcome to his conceit. Mr. Ingalls,,
in conclusion, said that he would very cordially
support the measure reported 10y the committee,
although regretting that the committee had not
seen fit to deal with the subject in broader way.
Mr.. Beck expressed his great satisfaction at the
discussion which had arisen with regard to tho
authority of the secretary of the treasury. He
had. time and again, shown the evil of permitting
heads of departments to use their discretion in-
stead of compelling them to obey positive law,
The discretion should be in congress and not in
the secretary of the treasury, or anybody else.
His idea was that the revenue should be reduced
by reduction OF taxation, so as to enable the
$3.50 900 of per cent. bonds to last until 1891
when the AZ per cents mature.
Mr.. Morrill, appealed to Mr. Bayard to bring the
Mr. Bayard said that he was ready for q vote at
any time, and had been ready for some time
Mr.. Morgan said that some complai mt had been
made OF the novelty of his proposition. Appre.
ciating that there was good ground for that, and
not being willing to take upon himself the entire
feeling further that the anxiety OF tie country
would be somewhat relieved by the bill reported
by the committee, he would withdraw his amend
ment. This would enable the matter to be more
thoroughly considered during this sion, In
nection with the bill which he had in the morning
introduced.
The question then recurring upon the bill Mr..
George rose to address the senat' upon it.
Mr. Morrill, hoped that in oruer to have the mat
ter disposed Of this week there would be a mo ion
to reconsider the vote by which the senate agreed
that when 1t adjourned 1t would be until Monday
next.
NJ. ingalls, moved to reconsider that action but
the motion was not agreed to.
message from the President was laid before
the senate transmitting communication from
the secretary of state whereby congress- aud
through congress the country, might be apprised
of the generous contribution made by her Brttanic
majesty's government toward the efforts for the
relief OF Lieut. Greeys exploring party by pre-.
senting 10 the United States tho Arctic steamship
Alert.
Also, a message transmitting letter from the
secretary Of war, lncl0sing one from the chief sig
ual officer, with an accompanying plan OF pro-
pos meteorological observatory ut Fort Myers,
Virginia, and giving reasons why 1t should be es-
tabl she'd
motion to go into executive session was then
agreed to- and the senate nj $3.50 p. M, went Into
executive session, and when the doors were re-
opened adjourned until Monday.
THE HOUSE.
Mr.. Dibrell, from the committee on agriculture.
reported the agricultural appropriation bill, and
It was orderer printed and recommitted.
The morning hour having been dispensed with,
the house went into committee of the whole (Mr.
Bland, of Missouri, in the chair on the military