The morning call., 1892-09-19
ORIGIN OF THE GREENBACK.
A San Franciscan's Ideas of
Legal Tender.
They Were Published in THE Call" Months
Before Colonel Taylor Suggested Treas
ury Notes to Lincoln.

In recent issue of the California Bank
ers' Magazine is published an interesting
article entitled "The Peoples Party Money
Plank" Iu this is reproduced letter writ
ten by Lincoln TO Colonel E. d. Taylor of
Chicago to show to the world that ne was
"the father of greenbacks" OR legal tender.
This letter shows that this idea of legal
tender was ia the mind OF Colonel Taylor
and given to the President some time in
January. 1862.
IN letter written by William H. Hinton
OF this city for THE MORNING CALL, and
published August 10. 1861, the idea of legal
tender as subsequently given to President
Lincoln by Colonel Taylor is thrown out.
The writer advocated the policy of the
Government paying for the slaves Of the
South at so much per individual in lieu Of a
prolonged and expensive war, and suggested
the creation OF loan to meet the oDliga-
ton. The language he used is as follows:
This redemption loan should have such special
privileges as would keep it among the people OF
the States, and thus forever form bond OF In.
terest between them. 1t Is said that IN The great
ChaTtist riots In London the Government called
out 100000 policemen, every one OF whom was
more or less interested In En- glish stocks and as
IL seems 10 be settled that We must Strengthen
the Federal Government in some way, this would
seem 10 be preferable to standing army or a
the basis OF national currency, Which would
not have all the defects OF national bank and
yet would be pubic convenience equal nearly
III value 10 the interest on the loan. Let banks
be established in eaen State whose issue should
be secured by the stock OF this redemption loan
and whose notes should be legal tender through
out the United States. The stock Itself would
become valuable and the currency Of tie couu-
try would be much improved.
The following is a copy OF the letter writ
ten by President Lincoln:
NJ Dear Colonel Dick: / have long deter.
mined to make public the origin OF the green
back, aud tell the world that it Is one Of Dick
TaylOr's ere ltons. You had always been friendly
aud my shoulders. though broad and Wiling
were weak, ana myself surrounded by such cir
cumstances and such people that | knew not
whom 10 trust then / said in my extremity: II
Will send for Colonel Tayior-he will know what
to do" | tbins it was In January, 1862, on or
about the l6th. that | did so. You came and
said 10 you, "N hat can we dO?" Said you
"Why, issue treasury notes. bearing no interest,
printed on the best banking paper. Issue
enough TO pay army expenses and declare It
legal tender" Chase thought IL a hazardous
thing bat we finally accomplished 1t aud gave 10
the people OF this republic the greatest blessing
they ever had-tbeir OVID paper 10 pay their own
debts. lt Is due TO you the father OF the present
Rreenback, that the people should know ii. aud
l take great pleasure in making II known. How
many times have | laughed al your telling me
plainly that was too lazy 10 be anything but
lawyer. Yours truly. A. LINCOLN, President.