Omaha daily bee., 1891-09-27

"At tho close of the war, under
the administration OF Secretary Nc
Culloch in April, 1866, radical
difference sprung up both in the senate and
in the house as to the best process OF fund
ing the various forms OF Indebtedness OF the
United States. | found myself at variance
with MIR. McCulloch, Secretary Fcssenden
and a majority of the republican senators.
Tho law of 1866 that ! opposed inefrectively
provided for the conversion OF the outstand-
ing indebtedness, including the seven and
three.tenths treasury notes, into the q per
cent bonds OF the United States.
The story of Resumption.
81 believed then and | believe now"
Senator sherman continues, THAT under the
great imitation of our cnrreucy tho whole
debt could have been refunded into n 4 or 5
per cent bond reservIng the right of payment
within n brief period. | also believed and
still believe that the tive-twenty bonds, by a
fair construction of the laws, were payable in
the kind ana class of United States notes
issued under the law providing for the issue
Of both these bonds and notes. AS n legal
question this seemed to me clear and uncon-
trovertible. AS a moral question it could
be urged with great force that it was tho
duty of the United States first of all to make
its notes or promises TO pay money equivalent
to coin before awaiting itself of tho right to
pay off the bonds with United States notes.
| therefore was not in favor OF asserting the
right to pay Off the bonds with the notes
untl the notes themselves were convertible
at the will OF the holder into coin of standard
value. If the purpose to resume specie pay
mcnts within a reasonable period had
been declared by law, and due
preparations made for 1t, IL would have I'D
vanced the United States notes rapidly to
par and they then would have been willingly
received in the payment OF bonds and the
whole mass of bonds would have been con-
verified at u lower rate of interest. In other
words, If the same measure had been adopted
IN 1855 for the resumption of specie payments
that was adopted in 1870, n vast sum would
have DeCn saved to the people in tho payment
OF interest, the credit of the government
would have been maintained, the long agony
OF recuperation would have been avoided, the
interest on the debt would have been reduced
and the resumption of specie payments
brought about as early asE 1870 instead of
1879
"But whether this be so or not, | was over
ruled, the law of 1866 was passed, and the
mass of the Indebtedness was converted into
& per cent bonds. Nothing was done to in
spire hope for the future until the first act of
the administration of General Grant in 1869,
to strengthen the public credit. This was
soon followed by tho refunding act of 1871.
This act invited the same controversy De-
tween the two houses of congress as that or
1852, the house of representatives insisting
upon long bondS, the mass OF them to run
thirty years, the senate insisting upon short
err bonds with the right of redemption in ten
years. The compromise effected by the act
of 1871 as subsequently amended, provided
for $500, 900, 600 > per cent; $500, 900, 900 AZ
per cent, and 500, 0O0, 600 4 per cent bonds.
The act of 1875 provided for the resumption
Of specie payments IN 1879. Underthese acts
the vast refundiug operations have been sue
cessfully compiled and tho resumption ofspe-
Gle pay mentS accomplished
The Farmers All Right.
Correspondent: "Iiow about the farmers
and their money troublesE'
Senator Sherman Undoubtedly there has
been much discomfort among farmers during
the last few years as 10 crops and prices.
This ear they are blessed with a 5ounteous
crop OF all kinds and Il favorable time to
harvest il, with a very poor crop in compel
ing countries. This t1uctuation in quantity
and price of the products of the farm Is an
unavoidable incident to this industry, which
depends SO largely upon causes beyond
human control. The industry of the farmer,
however intelligent and constant, may be de-
feated by want Of rain, by frost, or many
causes which no care or foresight can guard
against. He has the wide world for his COM
petltors. His productions being perishable
must be marketed within tho year or are of
no value. Favorable circumstances may add
to his crop in the United States and tho fail
ure of crops in other countries may add to his
profits. The condition OF our currency and
of other industries also affect their value. |
do not see how these conditions can be
changed. Farmers are entirely justified, like
all other producers, in making any arrange
IailllL W OllIO liNil 1 otb
the number of farmers is so great that pro-
lection in this way almost fails. With these
drawbacks they have many advantages not
possessed by others. The farmer produces
from his own soil and by his own labor all
the food necessary for existence, and, with a
con venient home market, can supply other
articles essential to life. he cannot be
affected by hostile Legislation. All he wants
is good money of the highest standard, and a
fair and Just system Of taxation, which farm.
ors always, from Their numbers, can secure,
and all the rest depends upon providence
and his own labor. Farmers are the
great conssrvatOrs of our system,
without which the influence of cities
would soon demoralize and disorgani2e soci-
city. believe great changes will occur in
tine natural order of things in the condition
of the farmers. The time is not distant when
they will nave no trouble about fences, their
neighbors' stock will be corralled, when
farmers of tho neighbornoOd will gather into
village communities and like advanced Eu-
ropean nations will go out from these TO their
daily work on farms near by. Closer commu-
nifty and association will bring ncighbors into
closer touch with each other. The moving
to towns or cities, now the most striking ten
dency of our population, will be checked,
while the marvellous LABOR saving machinery
will relieve the farmer from his former hard
labor. AS for the wild schemes proposed by
the Missionaries of our day, that the farmer
must be supported III his great industry by
irredeemab!e money loaned to him at . per
cent, and warehouses maintained by the gov
eminent for the storing of his grain, they
will be rejected by him lis class legislation of
the most dangerous character
Third Parties and the Alliance.
Correspondent: You have had much OK
perience with Third parties. Tell me what
you think Of Them
Senator Sherman: "Yes, | have very de-
cided opinions about third parties. Ihcy are
APT to DO prompted by the sudden projection
OF some new issue, or by the disappointment
of a particular class. | do not recall any
third party that has been successful in ac-
complishing the object Of its formation
unless perhaps it may be said that tho
liberal party succeeded By the free soil party
accomplished the purpose of its organiza-
ton. But this | deny. Tho agitation OF the
slavery question by the aboiitionists no doubt
called the attention Of the people to the
moral aspect of tho slavery question, but
that party made but little progress until the
great struggle occurred for the extension Of
slavery over the western territories. 1t was
not SO much the moral aspect of slavery as it
was the struggle between contending forces
formation of the republican party and tho
final overthrow of slavery. | AIN quite suro
that the cause of temperance would have
been better promoted by the agitation OF in
dividuals in both the great parties in favor
Of temperance legislation, This would have
secured gradual and finally effective meas
ures for the restraint of tho liquor trathc
and tho correction of the great evils conceded
to spring from intomperanco. No cause can
succeed in this country until IT has enlisted
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