Mexico weekly ledger. (Mexico, Mo.) 1855-1956, 1898-02-03
S S S

problems of the constitutional con-
vention was to prevent its recur-
renee. That convention refused abb
solutely to grant Congress power to
emit bills of credit and prohibited the
states from making anything but gold
and silver legal tender for the pay
ment OF debts.
But the lesson was forgotten and
the clear intendment of the constitu.
tion ignored, when in 1852 Salmon P.
Chase, then Secretary of the Treas
ury. issued nearly half billionUnited
States notes, or greenbacks, as they
are commonly called, on the credit OF
the government. Instead of exereis-
ing its borrowing power, supplement-
ed by Its taxing power, and resorting
at once to the whole capital of the
country capable Of being loaned, the
government chose to debase its cur
rency, create fictitious values and
impair its credit by putting into cir
culation a large volume of mere
promises to pay. 1t was forced loan,
pure and simple. A greenback is no
more a dollar than a promise to pay a
horse Ia q horse. As Samuel J. Tlden
expressed it, '.it gave to the lender an
agreement to pay, which, being in
stantiy duo ON demand, started in lite
oaress- brekep- and dishonered
prvInIse." BY June, Ioo4, unese green
backs had deprecated to 211a to l.
But it is argued by some that the
greenbacks carried us through the
civil war successfully, and currency
that could do that is good enough for
che present time. Let us examine
this reasoning and carry it step fur
ther. A very high tariff was imposed
during the war and served it's pur-
pose we'll. Can it be said that
therefore it is q good thing in time Of
peace? Guns and munitions of war
are valuable in an emergency but that
does not mean that they are always
valuable. So it is with greenbacks.
This issue could only be justified on
the grounds of a great national emer-
gency and when that passed away
the greenbacks should have been re-
tired. Our Supreme Court (packed
for the purpose by Grant) has de-
clared the act making them legal
tender Constitutional, ,andJno. Sherman
has established the hundred million
gold reserve for their prompt redemp-
tion. This act of the Supreme Court
gave birth to Populism in this coun-
try and the act of John Sherman put
the government unequivocally in the
banking business. But it is contended
that being non-interest bearing OBJ
legations they cost US nothing to keep
them in circulation. Nothing could
| be further from the truth. The rec
ords disclose the fact that between
January LIST, '7s, and November LIST, ,'97.
the treasury redeemed greenbacks in
gold to the amount of s507 ,000, ,000, be-
ing 160 millions in excess of the BAG
millions, the entire amount outstand-
ing at the resumption of specie pay
ments; which paid and repaid and
yet undiminished amount still re-
mains outstanding to be paid again
and unless some change is made In
the existing law, again and again. But
this is not abby placing 1t in the
power of the money sharks and stoch
4 jobbers of the country to deplete the
treasury of its gold at any time, ant
thus embarrass the government, the,
have the effect of destroying bust
!. ness, checking enterprises and im'
pairing the industrial and commercia
progress of the country.
In conclusion desire to say tina
the Democratic party. in Congress
voted as unit against the issuing o
the greenbacks, and challenge Mr
5 Cauthorn or anyone else to find in
single Democratic national platform
! prior to 1895 or in the utterances OF
!. single prominent Democratic leade
? from Jefferson to Cleveland, the doc
Vi trines that the government has th,
right under the constitution to issu
legal tender paper money.
Il Very truly,
Ill 4. r WTIHTFv