Year: 1862




THE TREASURY NOTES IN CIRCULArION-THR EF-
FEcTs OF THE PASSAGE OF THE TREASURY NOTE
BILL-LEGAL TENDER, ETC.


The Treasury Note BILL which, after delay Of several
weeks a, length passed Congress- and the sigma
ture of the President, has become law is the most
portant financial measure enacted by govern
ment Our readers already familiar with its details,
and will therefore be unnecessary TO recaptulae them
few words, however, in regard to the immediate OBJECT
Of It's passage will not be out of place


When the bill shall have gone into practical operation,
the United States government will have the following df.
ferent kinds Of Treasury notes in circulation


Firs-Notss bearing interest OF six per cent per
annum issued under tho act Of Congress- rodeemabe
any time within two years from the date Of issue also
the six per cent issued before the passage Of the
act named above.


Seco~d-The bearing interest at the rate of 7so
per centum per annum, issued under the M August
1861 receivable for all public dues except the dut on
imports.


Tird-The notes issued before the advent of the pre-
sent administration in the dark days at the beginning Of
the rebellion to the lowest bidders in other words
TO thoso who would tako them return for gold at the
lowest rates OF Interest These awarded at high
rates Of interest," ranging from ten twelve per cent por
annu. They receivable for all public Dues the du.
ties on imports included But fow remain in circula-
tion they hav been called and the interest ceased





were paid for duty at the Now York Custom House In
December and January.


Fourh-The demand notes issued last summer
receivable for all public dues taxes duties on i'm
ports included. These notes, by the just passed
are TO bo received In payment OF duties heretofore
but contrary TO the omor CUSTOM bc ressuod
but are 70 be pvt out Of circulation as quickly prac
cable


FJhThe demand notes TO the value OF $3.50 900 600
which are TO be issued as quickly possible which are
aton and which, unlike any other paper issues of the
government, 10 bea legal tender in the payment OF
all debts they receivable for taxes and all other
debts the government with the exception Of tho duties
| on imports


laton to be placed In circulation. under already
passed The largest values represented by the notes
Of tho second, fourth and nth classes Those Of the
other classes are mostly redeemed and withdrawn from
The arst effect Of the passage Of the Treasury Note
mand notes now issued from point below be,r e n.r
value to premium. Inssmuch these notes are al
most the only that can be paid by importers for
their duties At tho Custom House, they win probably
advance valuo almost high that Of The specie
itself Tho value Of tho six per cent notes must also be
| enhanced by the provisions OF the Treasury Note bill
second effect win be to establish the oonfdence or
the people In the ability OF the government 10 and
overcome all its financial embarrassments promptly. All
that is now required TO give permanent value 10 all the
issues Of tho Treasury Department the prompt passage
Of the different tax bills now In progress in the Congress
The passage OF this bill will have an effect on the vauo
OF gold II has been thought that It's passage would give
an immediate impetus TO the rise In the value OF specie
on account OF the certainty OF an immediate issue Of
paper TO take the place OF the bank notes and specie
heretofore used by the people Of this country. The
effect however on gold will not In all probability be
raise its value very much for the present. for
tue important amendment, adopted at the last moment
providing FOR the payment OF duties In coin and In the
domsnd notes already issued renders these latter alos
as valuable as gold itself Dy increasing the value OF tho
demand notes In this manner the effect ia equivalent to
the introduction Of gold 10 the extent OF their value
into general circulation Thus then the stock OF gold
and It's equivalent is increased, and as couse1uence
tho effect OF the amendment viii not bo 10 greatly I'M
at the present time the value Of gold When the
act ust passed shall have boen placed practical opera
| tion by tho actual issue Of tha notes WHOSE ennis