The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1896-05-07

justly, payable in gold coin of equal
value"
His idea was that the bonds for all time.
should be payable in gold coin of equal
values to what it was then. In other
words, he seemed to think that when the
government issued bonds payable in
'coin"-silver or gold-it guaranteed that
this coin should remain as high
in the future as it was when the contract
was made. You all remember that in
those days you could buy about $125 in
treasury notes with 500 in gold. They
are now at par. You also remember that
cotton was then worth 16 cents per pound
and corn worth S1.00 bushel The
proposition of President Hayes would in
volve the question today as to whether
paper money had gone up or gold gone
down. We all know that cotton and
corn have gone down. Under the law of
the contract, the government was simply
obligated to pay these bonds in coin-the
standard money. of the country-which
should be at all times legal tender for pub
lie dues and private debts. This message
| of the president, sent to congress in De-
| cember, brought forth during the next
month the following resolution of the SEN
| ate and house of representatives on the
| subject:
RESOLUllON.
"Whereas, BY the act entitled An act
| to strengthen the public credit approved
| March IS, 1862 it was provided and
| declared that the faith of the United
| States was thereby solemnly pledged to
| the payment in coin, or its equivalent, of
| all the Understanding obligations of the
| United States, except in cases where the
| law authorizing the issue of such Obliga-
| t;nnc had aynrpsslv nrnyi1p1 that tho samp
might be paid in lawful money or other
currecy than gold and silver; and
| "Whereas, All the bonds of the United
| States authorized to be issued by the act
| entitled An act to authorize the refund
| ing of the national debt approved July
| IA, 1870, by the terms of said act were
declared to be redeemable in coin of the
| then present standard value, bearing inter-
est payable semi-annually in such coin;
and
| "Whereas, All the bonds of the United
| States authorized to be issued under the
act entitled An act to provide for the re-
sumption of specie payments approved
July IA, 1875, are required to be of the
description of the bonds of the United
States, described in the said act Of con-
gress, approved July IA, 1870, entitled
AN act to authorize the refunding Of the
national debt; and
"Whereas, At the date of passage of the
said act of congress aforesaid, to-wit, the
18th of July, 1870, the coin of the United
| States of the standard of value of that
date included silver dollars of the weight
of 412 II grains each, declared by the
act approved January Is, 1887, entitled
AN act supplementary to the act entitled
"An act establishing mint and regulat-
ing the coins of the United States to be
legal tender of payment according to
their nominal value, for any sum what
ever therefore,
Resolved by the senate, the house of
representatives cOncurring herein, mat
ali the bonds of the United States issued
under the said acts of congress herenbe-
fore cited, are payable, principal and in
terest, at the option of the government OF
the United States, in silver dollars of the
coinage of the United States containing
app grains each of standard silver;
and that, to restore its coinage, such sill
YER coins as legal tender in payment OF
said bonds, principal and interest, is not
in violation of the public faith, nor IN de-
rogation of the rights of the pubic credi-
tor" o-o
(See Congressional Record, 1878, Vol.
Z, part l. p. 621)
How does this answer these so-called
"sound money" advocates? 1t remains
now for them to dispute the laws and the
Congressional Record. No, they will not
do this. They will just simply call that
congress "cranks, anarchists, repudla'
torsr' And thus they will go on.
These men ought to say to the govern
ment. what they do to those who are III
debt to them-"Pay your debts according
to contract" =,
Suppose farmer should, in writing,
/ t, hos on Ipnn
dny certain 100 bushels of corn. Could
he not honestly pay that debt off in vel
low and white corn. or either, at his own
convenience? To this you say, Yes.
Certainly so. Now, suppose after he
makes this note, the mills quit grinding
and the merchants quit handling white
corn. because, as they say. it is too com,
mon-too cheap-that the commerclal
world don't want it. Under such c0ndl.
tons you know the demand for yelloW
corn would double, and in that proper
t;on increase in price. The use of white
corn for stock food would probably main,
tain its old price, but it would lack grea,
deal of selling for as much as the favored
yellow article. When this disparity Is
thus forced between the colors. of corn
hv the arbitrary action of the millers, the
holder demands payment of this note, IN
yellow corn. The farmer tells him he Will
nav him in corn such as ne mas vi
hand: that he has little of the yellow
and quite a lot of the white. The credi-
tor gets mad and denounces the farmer as
a crank, as repudiator, as dishonest
man, for wanting to pay off his debt III
cheap corn-for proposing to pay accord,
ing to contract!
On this issue. which side would you
take? What side would any honest mar
take? Would you say. pay as proii'i..,,
ed" or pay as the creditor demands!
The questions answer themselves. IhiS
corn obligation of the farmer. in law
and Justice, stands like the coin obliga,
tons of the government-they each should
pay according to contract" When we all
agree to this simple rule of honesty, thea
the matter will be settled for it Will take
the unlimited free coinage of silver and
gold ut the old and present ratio of III to
for the next ten years at least to DO u
When we get these debts paid accord
ing to contract" we can then with more
grace discuss theories, ratio, parity, bi,
metallism, international agreement, and
other like questions to our hearts con
tent. In emergencies be practical. At 9th
err times be theoretical. a crisis now con
fronts us. Let us prepare to pay as we
have promised.
HONEST MONEY.
The third resolution commits you tC
vote for honest money" in the Democrat
~. Al C