New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1886-12-07


annual ;Ss I'M. s%t
Ing fund and eIcluding the silver purchase a..
ent surplus surplus which will accrue before the
whole reduction Of taxation can be made or take eec,
and while funded debt can be paid except NJ
premium during the five years from now until 1891
REDUCE TAxEs--PAY GREEHBAcK DEBT WITH SUR
PLUS.
therefore respectfully recommend
Repeal Of the clause In the OF February %. 1873
making compulsory Treasury purchases OF silver for the
heretofore given and in order to reduce surplus
and unnecessary taxation S2i 100000 year
Further reduction of surplus taxation, beginning In
manner which will suggested below close down to the
necessities Of tbs Government economically adnnsleIed
g. Repeal Of the act OF May 81, 1873, making compnl-
sorry postredempiion issues and reissues OF O'eu
legal-tender notes. thus facilitating 49,, =, . -.
A. Gradual purchase and payment OF 1916 ol6 out
standing promissory notes Of the United states win te
present and accrng Treasury surplus issuing silver Ger
hcates in their ROOM and gold certificates II need De-
the currency these notes called greenbacks being now
three cent bonds which are probably ali to be called
and paid. early in the ensuing fiscal year.
The extraordinary conjunction OF opportunity ana ne
cessty making practicable so complete reform in our
currency and large reform In our taxation; WILL per
hap excuse reference 10 the conditions and the method
of their execution which out in my last annual
report any repetition Of what have already had he
honor suggest respectfully urging upon Congress the
easy provision OF better currency for the people OF the
United States than the best possessed by any nho'
currency in which every dollar note shall be the rep
reseniatiye certificate OF coin dollar actually III he
Treasury and payable on demand; currency IN wmch
monetary unit coined in gold. or Its equivalent
coined in silver shall not be suffered topart company
The act making compulsory postredempton issues and
reissues OF United States notes and the act making co
pusoy Treasury purchases of silver each separate
menace to the public tranquility each injurious to
the public morals the public faith and the public interest
But they do not double difficulties ON the contrary
the repeal Of both acts and the of the Treasury metal
surplus In the substitution OF coin certificates or green
backs will convert worst kind of paper currency INTO
the best kndindehte promissory notes OF deo maze
legal tender will be converted into representative cef
Gates Of coin held subject TO demand
the competency of the Federal Government to make
It's debts legal tender OF payment for the debts OF It's
citizens. to another has, in these latter days. been
contrary among lie founders and statesmen OF all parties
from 1889 to 1861 1t TO me in this conflict OF legal
opinions duty to rccur 10 the unquestoned conciusohs
Of a sound finance.
COIN. NOT PROMISES. FIT FOR LEGAL TENDER.
When the union of the States formed in 1889. and
the present Constitution ordained, the last and first
avowed objects of its trainers to secure liberty and
establish justice Political philosophy yet has framed
higher ideal. Justice their endeavor, and the
Constitution like the laws passed by the early Congresses
in which many OF its trainers sat- shows fixed purpose
TO avert known perils to justice.
Among the chief instruments and OF justice Is
least imperfect least variable. coin monetary unit the
standard OF all exchanges and lawful tender Of payments
The trainers OF the Constitution fresh from bitter
experience Of the caates consequent upon stretching
the egaender quality from promises to pay coin
So they built high double barrier against that calamity
gated powers. They defined and prohibited other
certain powers the States And lest the residue Of I'M
round sum Of sovereignty should implied into the Fed
eral Government they reserved them explicitly to the
States respectively TO the people Then 10 the Federal
Government they gave many powers but not this power
TO make the Treasury notes of the United states legal
tender in payment OF private debts Then to the states
they explicitly prohibited all future exercise OF similar
at most cost e1ercsed by them
ton. Nor in any one OF the fifteen amendments which
ation. citizenship. and the voting franchise, has there
been enlarnen OF the power at first bestowed upon te
United States and vested IN their Congress as the power
regulate the thereof anu OF foreign
COIN And while thus were refused In the convention
for abusing the power specified and granted,
1t was also ordained that thereafter state shall
emit bills OF credit make anything but gold and silver
lmpairing the obligation Of contracts :" Under the
last clause OF the eighth section OF the Constitution
in tho coinage lave Of 1902. as necessarily, and
ercsed Il was exercised without abuse without preten
sion to some sovereign power inherited. but as specific
power delegated to the Federal Government and vested
in the Congress.
1t wasrxercsed relation any power to borrow
money for money besides being one kind OF wealth Is
also that kind which Is standard and measure or the
value of all kinds of wealth. and to change the standard
the borrowing from coin TO the promise TO pay
coin. would shave been not borrowing merely, nut also
indeed sovereign power legitimate and herabe. it is
OF the least precious patmony reserved In the sover
sh S as sSP to states
The OF 1892 fixed the monetary unit of the
United states in COIN gave the dollar, made it
the unit OF their money of account in their offices aud
courts named also its mltpes and fractions aud then,
opening their mint free to all comcrs affixed the full
cgnl-tcndcr quality all gold aud s or there coined.
Congress might under lis also granted power Ito ber,
money" received the loan OF all the coined gold
and silver dollars that their would lend, for Dor
rowing Is not taking by force OF law or license against
the Will of tie lender 1t is taking because the consent OF
the borrower to receive concurs with the consent OF the
lender 10 convey. In return for each and all OF those
coins 1t might have emitted is promises to pay on de,
power To borrow money AT further need it might have
agreed pay from its constant receipt of taxes (for the
longer loan money which its constantly outgoing
expenditure and the residue of SIN unborrowed money
would pTONdc) money In principal sums and rs interest,
giving therefor us time obligations. That would have
been the exercise % its power To borrow money But the
power to change the unit OF value in money borrowed
loaned has no he aon legitimate or logical, with
such any power To borrow money IL Is not derVaDe
from the borrowing power II is power iilcsiiimate
and irrelevant both u the lending and to the borrowing
power The latter Is power To use the credit which
Government mas from mems faiih In its honor and It's
laws 1hc power raise ordcpress the monetary unit Of
value Is power TO destroy men la in the honor OF
ANA lis laws. The power 10 force into the
circulation ult representative Of. false equivalent
OF. debt OF, that monetary unit OF value, as lis
namcsake and equal III exchange, is power to
destroy mems faith In the honor OF Govern
mcnt ant Us laws Fhlr sense of BETRAYAL. and their
perception OF the fact expressed hy the nonequNa a
exchange often disclosed between the undebased
and the dcbased coin. between the coin anu the
promise to pay converted into legal tender, between the
com ucpIcciatcd the deprecated CON- according
any these ways Tie monetary unit has been the IN
PROCEEDINGS fOand precedent, sch opinions here
contrO, ere found no believer, defender among the
lawyers, statesmen, or people IN the rst seventytwO
Aot until alter 1861, when great danger had he
clouded most mems perceptions OF financial ms well as
tie debts OF the United states.
until The infect ton spread was il deliberately
argued representative OF the unit or cOu
Justly be suffered 10 be made 10 abide, IN permanent
depreciation and disparity herewith
but whether not nonequyalent of the coin dollar
may be lawful dollar. and whether not postre
nlin issues and issues OF such promises can DC law
fts alter twenty One years Of peace have
seeded any real or Imagined exigency OF war; certain Is
mat every argument oi policy forDds the connI-
anee that legaliZed injustice Had IL been
fcred Federal Government should bcstripped OF
DANGEROUS a power. No executive and legislature
iii trusted with the control II Involves over the
gs the savings vi the people. No earthly sovereign
capable OF just exercise OF such authority
to impair and perveit the obligation Ot contracts.
10 apply the present and the uayoidaby accrung pro-
cees ol our surplus taxation during the next i've years
In pay OF Inc only portion OF the public debt beyond
the vanishing three per cents which Is due or VIII be
payable, except at high PREMIUM before the four aud
half per cents OF loyl mature besides being Large
measure Of currency reform, will also diminish ana
nnay dssipatc the Objectionable and uvidOus influence
OF upon the money market and upon the
bnsiuess country. Skill1l administration OF the
pepartment I'm respect 10 its Incomes and outgOes may
duce minimum that influence, which cannot but be