New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-10-23
CONSTITUTIONAL MONEY.
GEORGE TIcKyoR CURTIS DISCUSSES THE
CURRENCY QUESTION.

the beginning of the present SESSION.
At times like the present. when the evils OF u'-
sound finance threaten US. the specu'"'o ".'y 90"
cipate harvest gathered from the "isio'' u'.e va
others. The capitalist may protect ",i'"e" ~
boarding. may find proft IN 'i'e ""'
OF values but the wage esrncr-the hrst 10 pe III
jured by deprecated currency ana 'he iia' ~
ceve the benefit Of It's ocirection-S P''''.'S
defenceless lie relies for WORK upon VIZ -,
of confident and contented capital THIS iaiilhg
him. his condition Is without alieNla'lon io' ~ ''
neither prey the misfortunes OF others Ho' ''''
his labor One OF the greatest statesmen our couh-
try has known. speaking moro than MY years "s',
when n arrangement OF the currency hdu ''
commercial distress. said: The Yer" man ol All
others who has the deepest interest In a Founu ou'
rency and who suffers most by mischievous et's
aton in money matters Is the man who earns MS
daily bread by his daily toll" These words are as
pertinent now as on the day they were u''ereu'
and ought 10 mpressively remind US that IAN
in the discharge of our duty AT 'hiS 'i'i'e ""''
especially injure those OF our countryihe' WIN Ia
Dor. and who because Of their number aho cohui-
ton are entitled to the most watchfu care OF their
Government.
The great statesman from whom the Presi-
dent quoted was Daniel Webster. But what
did Mr. Webster mean by sound currency
He meant the same thing as constitutional
currency His views Of Il constitutional cur
rency were fully given in a speech which ne
made in the Senate in the year 1885, from WHICH
extract the following passage:
But what Is meant BY the constitutional curren-
cy" about which so much is said? What species or
forms OF currency does 1t forbid? II Is pam
enough that this depends on what we underS'hh"
BY currency. Currency in a large. and perhaps IN
a Just sense includes not only gold and silver and
bank notes. but bills of exchange als) III h'y
include all that adjusts exchanges and settles
balances In the operations OF trade and business
But IL understand by currency the legal money
of the country, and that which constitutes a 'a"
full tender for debts. and is the statute measure
OF value. then. undoubtedly, nothing IL included
but gold and silver. Most unquestlonabiy there
is no legal tender and there can be no legal tender
I'm this country under authority of this Govern
mcnt or any other. but gold and silver. either
the coinage OF own minis. or foreign CONS nj
rates regulated by Congress. This Is "A constitu-
tional principle. perfectly plain and OF the very
highest Importance.
| The States expressly prohibited from making
ANYTHING but gold and silver tender In payment
| OF debts and although no such express prohibltoh
| Is applied TO Congress. yet, as Congress mas ho
power granted to 1t In this respect but to com
money and regulate the value OF foreign CON- IL
clearly has no power to substitute paper. or any
| thing else for coin. tender In payment OF
| debts and In discharge OF contracts. Congress mas
exercised this power fully in both its branches
II has coined money and still coins H. II mas reg"
lated their value The legal tender. therefore, inc
constitutional standard OF value. Is established.
! and cannot be overhrown. To overthrow II "ou''
| shake the whole system.
| A constitutional currency. Therefore, In lis
| urinary sense IS. In this country. currency
| composed Of gold and silver. coined Into money
by our own Government. or by foreign gov
| ernments In either case Congress Is einpow-
cred by the Constitution TO regulate the value OF
| I'm
| however that Congress may exercise this power
and discharge this duty--and the Constitution IL
| in this respect both mandatory and pernissiNe -
| IL IS necessary for It 10 accept unit Of value
| or the two precious metals gold Is tho most
difficult TO be procured and IL held In the
| highest estimation 1t has, therefore, from
| the earliest ages. been accepted as 'he
| ultimate measure OF values by the universal con-
sent OF mankind. An ounce Of gold has an intrin-
| sic value because men will give. In exchange Tor
| IT, more Of every other commodity tEan they
| will give for an ounce Of any other metal Sill
YER on the other hand, while 1t has no In
| trnsic value, can have value affixed to II
| by law; and this has been the practice OF cur
| Government since the adoption or the Consul
| tuition II must continue to be the practice, UNI
| less We are to have silver demonetlzed ana
made a mere article Of merchandise. like iron. or
|
! state OF things comes about. there will be a
wide departure from the intent OF the Con
| stitution: for there be no doubt Of Its
| intent To have Congress establish and ma -
| tain a currency Of gold and silver coin. ana
| 10 regulate the value OF the latter by adopting
| an ounce OF gold az the measure and standard
| Of value for ounce OF silver.
have seldom read more unsound construc-
| ton OF a statute than that given by the Prcsi-
dent to the Sherman act. His ideas on this
| subject seem to be crude and vague. He has n
| certain plausible way OF setting forth his views
| and opinions which makes them pass current
| with people who do not think very closely.
| Int when they are carefully scrutinzed IL is
found that there is very little substance in what
| he says. The Sherman act wise and
| salutary measure II vested in the Secretary OF
| the Treasury a discretionary power 10 redeem
| the notes issued for silver bullion in gold or
| silver coin, but it plainly instructed him TO
| redeem them I'm either gold or silver coin. as
| 10 preserve the parity between the two
| metals The statute says: TT Is the established
| policy of the United states to maintain the two
| metals on a parity with each other upon the
| present legal ratio. such ratio may be pro-
| yidcd By law" This clause enlarges. instead
| Of diminishing the discretion OF the Secretary
| Commenting on this clause OF the act. the
| President Observes
| This declaration so controls the action OF the
| Secretary of the Treasury TO prevent his ex-
| crcising the discretion nominay vested In him.
| If by such action the parity between gold and sill
| yer may be disturbed Manlfcstly. "A refusal by the
| Secretary to pay these Treasury notes In gold
| ~ demanded. would necessarily result In their
| dIscredit and depreciation obligations payable
| only in silver end would destroy the parity be-
| tween the two metals by establishing discrimlna-
| ton in favor of gold.
This Is plainly error II demand IS
| made on the Secretary to redeem one OF the
Treasury notes in gold he has the option TO
redeem IL in silver coin. at n valuation now
fixed or that may hereafter be fixed by law.
II is in this way that the Sherman act intends
that the parity between the two metals shall