New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1884-03-20
From senator Loguns Speech, october 10 1873 reported In
TtteT-Oredn.

senator Hogans speech october 10. 1873 reported IN
tits true that the Government bonds not taxable,
and it is equally true of the United states notes Tor
greenbacksl and why should they ne taxed Is it be
cause persons holding these obligations should be made
pay is that the obligation itself should be
taxed hit Is the Obligation. "a the Democrats say IN
platforms and speeches, say the law and ~ s0n FOR the
against them II Is not that the holder of the
bond or greenbackl Is exempt from TAXATION as class
That is not It, hut that the credit OF the Government is
protected thereby. The Government a. well ~ having
credit No Government can exist long without credit;
without 1t the machinery cannot move without 1t tho
power 10 preserve l'cl Is lost armies ana naVleS
would melt away wars offensive and defensive must be
abandoned and Government would soon be disrupted.
Your credit Is the very Likelihood OF your Nation On It
yOu borrowed money, you sold your bonds at your
notes in circulation, and now maintain them at nearly
par BY your credit you organized armies and navics
and suppressed rebellion preseryedyOur Nation Intact
and gave that liberty to men to which they were on
It'll ID This being 50. this any OTHER Nation allow
States municipalities TO depreciae cripple it by
to bonds obligations OF the Government Is to
allow tho State the County and tho City to attack the
money This would place the power IN States Tat might
be preparing for secession from the Government de-
precate the credit to such extent that the Government
cyistence a. a toyernnent mis- mower has meyer hecn oc
knowlcdg d, and at time has the levy OF "A
ues bonds or currency of The toyernment nor viii onv
Government accede TO any such proposition.
The next assault Is made on the Republican party on
proposed TO wipe them ont OF existence without giving
us any well -nitured plans for "a substitute. We all
know that some system OF banking VIII be carried on
Commercial countries cannot get along without them in
form. a convenience 10 trade For seven cent
uiies this business has been carrscd When lad
the Democratic system OF state banks althOug Ia this
state based upon bonds they found to be unreliable
and unsafe. our currency hot stable or In
reliable. # was not suited to our condition. During
the stem of National bank, established The
currency to be based upon bonds for security and
protection to the bul-hoder The bills OF these banks
have been good the United states notes. and
secure and reliable for all practical purposes They
established to aid the Government and The people.
They will be great aid IN keeping all our circulating
currency at par In coin when specie payments arc once
resumed. With their notes redecnabe In United states
notes aud United states notes in cOin will be able to
float nearly twice the amount OF currency at par that We
could with the whole foaed Government notes, re
deemable in coin AT the Treasury
But the opposition say thoy must be wiped out because
circulation based upon the bonds OF the Government
drawing interest; that must these bonds off,
the interest. and issue greenOacks instead. VIII some
or these gentlemen tell me II the Government pays any
more interest the bonds OF the banker than the
bonds OF the ndlydual II you wish to pay on bonds
the interest why not INTO Wall street and there
purchase the OF them from those who hold
them other than bankers You will save just much
to the Government and at the same time will not dc
the business OF the country. You will moth
ing to the Government In paying bankers bonds any
more than III paying Others until you have reduced the
security for their circulation But you say banks
expensive in this shat the Government prints their cir
th,n makes all expense I'm he loss and destruc
ton of RE currency the redemption by the bank IN
payment to the Government must be made In full for all
But then you complain that they taxed as other
property assert the fact To be that National banks
more taxes than Otner property of the value IN
the United Staos. The annual tax sixteen 10
seventeen millions, and amounts to nearly an equal
amount or interest on the bonds deposited with the
Government. These bonds are deposited not for the
benefit Of the banker that no may thereby draw the
interest but for your benefit, the bill holder
the Government taking the security, and holding II for
you, instead Of trusting the banker to protect you You
say the banker gots double interest have IN that
the interest the bond In the hands OF the banker Is the
In the hands OF an indi yidua and some one
would get II II there were no bankers