Hutchinson gazette. [volume] (Hutchinson, Kan.) 1895-1902, 1895-02-21
CALHOUN ON MONEY,
Paper Currency IN Many Respects 81
psEIor to Mstal

peTIor to Metal
In view Of the fact that ehe money
power is concentrating all its energies
to secure the destruction Of the green
backs, It may be we'll 10 read the fol-
lowing extract from a speech Of John
G. Calhoun Of South Carolina, deli
vored in the United States senate dur
Ing the panic Of 1873:
I'VE are told there is no instance Of
a government paper that did not de-
preciate. In reply I affirm that there
is none, assuming the form that / pro-
pose, that ever did depreciate. When
ever paper receivable in the dues Of
government had anything like faiR
trial it has succeeded"
1T is, then, my impression that in
the present condition Of the world, q
paper currency In some form Is almost
indispensable In financial and CONNER
cial operations of civilized and extern
sive communities. In many respects
1t has a vast superiority over metallic
currency; especially in great and ex-
tensive transactions-by its greater
cheapness, ightness and the facility Of
determining the amount. It may throw
some light on this subject to state
that North Carolina, Just after the rev.
Olution, issued a large amount Of pa
per. 1t was also made legal tender,
but which of course was not made OBJ
ligatory after the adoption Of the fed
eral constitution. A large amount
say between 100000 and $500, 0Oo-re-
NAMED In circulation after that period.
and continued to circulate for more
than twenty years, at par with gold
and silver, with no other advantage
than being received in the revenue Of
the state which was much less than
100000 per annum.
mo one can doubt that the govern
ment credit is better than that Of any
bank, more reliable, more safe. Why,
then, should it mix up with the less
perfect credit Of these INSTITUTIONAL
Why not use its own credit to the
amount Of its own transactions? Why
should it not be safe in its own hands,
while IL shall be considered safe in the
hands Of 800 private institutions, scat
tered all over the country, and which
have no other object but their own pri-
vate benefit, to increase which they
extend their business to the most dan
gerous extremes? And why should the
community be compelled to give 6 per
cent discount for the government cred
1t, blended with that Of the bank, when
the superior credit of the government
could be furnished separately without
discount, to the mutual advantage Of
the government and the community.
But whatever may be the amount
that can be circulated hold 1t clear
that to that amount 1t would be as
staple in value as gold and silver itself,
provided the government be bound to
receive it exclusively with these metals
In all its dues, and that 1t be left per-
fectly optional with those who have
claims on the government to receive It
or not"
I'VE are told" he stated later on,
"the form / suggested is but repeti-
tion Of the old continental money a
ghost that is ever conjured up by all
who wish to give the banks an exclu-
sive monopoly of government credit.
There is not the least analogy between
them. The one is a promise to pay
when there is no revenue; and the
other promise to receive, in the dues
of the government, when there is album
dant revenue"