The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1894-10-27
BY Col. /. Crawford, ATTORNEY General.

By Col /. Crawford, ATTORNEY General.
History and experience furnish over
whelming proof, that unless paper
currency ID made convertible upon dc.
mand into coin, it's value win CON
stantly iuctuate, and the sudden
changes which follow are SURE to be
the source of ruinous speculations,
immense loss, prod igacy, ~cEincanery
and fraud.
The fathers fully understood this
danger and provided in the Constitu-
tion that no state should emit bills of
credit.
The following declarations made by
men whose names are among the
greatest in all history, show how such
a scheme was regarded by, them, and
in these latter days, when all sorts OF
visionary schemes are being proposed
by a visionary party, it is well for
thinking people to ponder well the
words Of wisdom We have received
from those who laid the foundations
OF this government. 81
In the constitutional convention it
was proposed to insert the words
'and emit bills on the credit Of the
United States" Gouvenneuir Morris
moved to strike out these words.
Daring the debate upon this m otion
the following declarations were made
in favor OF the motion:
Mr.. Ellsworth. .SThis is q favorable
moment to shut and bar the door
against paper money. The mischiefs
of the various experiments which
have been made are now fresh in the
public mind, and have excited the dis.
gust of all the respectable part of
America. Paper money can In no
ment credit, and other will
offer. The power may do harm, never
good"
Mr.. Wilson. cit will have q most
salutary influence on the credit of the
United States to remove the possibili-
ty OF paper money. This expedient
can never succeed whilst it's mischiefs
are remembered; and, as long as it
can be resorted to, it will be q bar to
other resources"
Mr.. Butler. paper is a legal ten.
der in no country in Europe. | am in
favor of disarming the government OF
such power"
Mr.. Reed. "eThe words. II not
stricken out, will be as alarming aa
the mark OF the beast in Revelation"
Mr.. Langdon. ~ had rather reject
the whole plan than retain the three
words land emit bills"
Al vote was taken and nine states
voted in favor Of the motion to strike
out, while only two states voted
against it; two states not being repre-
sented in the convention. Mr.. Madi-
SON, afterwards president of the
United States, voted in favor of the
motion to strike out because it
would only cut of the pretext for a
paper currency, and particularly for
making the bills q tender either for
public or private debts"
ee>Madison Papers, pages 434, 435.
Chief Justice Marshall said: "At n
very early period OF our colonial his
tory, the attempt to supply the want
of the precious metals by q paper
medium was made to O considerable
extent. During the var OF our revo-
luton we were driven to this expedi-
ent, and necessity compelled us to use
it to q most fearful extent. Bills OF
credit signify paper medium, intended
to circulate between individuals and
between government and individuals,
4 fMm the nrASsnm wxy naaNwwnaau 4nF 0rms0kry 4
Such o medium has always been liza.
BILE to considerable Aunctuatiou. It's
value is continually changing, and
these changes, often great and sudden,
expose individuals TO immense loss,
are the sources OF ruinous specnla-
tions, and destroy oil confidence be-
tween man and man. To cut up this
mischief by the roots--a mischief
which was felt throughout the United
States. and which deeply affected the
interests and prosperity OF all--t
the people declared In their constitu-t
ton that no state should emit bills
OF credit. The history OF Massachu-s
setts abounds with proofs OF the evils
with which paper money 10 fraught,
whether il be, or be not. q legaltender.
"Paper money issued In other colo
MES was productive OF the same Of
fects. The Bills Of l776 and l776 were
pr pductive OF the ACKNOWLEDGEMENTS"
4Peters. 432-536.
MI. Justice Thompson, of the United
States Supreme Court said: THE
trainers Of the constitution acted up-
on known facts, and not theories. and
meant by prohibiting the states from
emitting bills OF credit, to prohibit any
issue, In any form, to pass as paper
currency or paper money, whose bas-
is was the credit, or funds, or debts,
or promises OF the States. They
looked to the mischief intended to be
guarded against In the future by the
light and experience Of the past. They
knew that paper money issued by the
states had constantly deprecated
whether funds tor itg redemption were
provided or not; whether there Was q