Year: 1868

| The Financial Question the Important One
of the Day.


| Now the smoke of political excitement is
clearing away there looms up in the horizon a
great and complicated question which will
take years and craftsmanship to settle. That
is the question of our national finances. What
we want is a reduction of taxation to peace
standard and to the lowest point possible; a
revenue system simpli6ed and divested of the
present cumbrous and extravagant machinery ;
a reorganization of the national debt upon a
simple basis; reduction. Of the interest and
the establishment of a sinking fund for the GER
tain liquidation of the debt within reasonable
time, and the settlement of the currency upon
sound principles, SO as to give the country an
ample, steady and a uniform circulation.
These are the reforms absolutely needed. The
people viii look to Congress and the adminis-
tration to have them carried out. They can
not be deferred without incalculable mischief
and ruin to those in power. We cannot go on
in the loose, extrasagant and corrupt manner
we have been going the last few years. Nor
4
! policy answer. The subject must be grasped


In all its length and breadth and be disposed
of in comprehensive, statesmanlike manner
| 1t will by the force of necessity superseie all
other subjects and If those in power, both in
Congress and the administration, should fail
to comprehend and handle it they win be held
responsible and driven from the councils of
the nation the first opportunity.


Our public men should study the financial
history Of other countries, and particularly the
history of those which have been in similar
situation TO that Of this country. They may
learn much that is useful to know, though there
are some things in the peculiar circumstances
OF the United States and the times that require
special treatment Still the fundamental prin-
ciples OF trade, finance and currency hold good
now as heretofore. This is commercial
country, and the experience of other great
commercial countries, as OF Holland, from
which the modern system of commerce and
finance sprung, and of England aud France,
should afford us instruction. The experience
of England, perhaps after the cxhausting wars
with Napoleon, which ended in 1915, comes
nearest to our case just now. England was
burdened with an enormous debt as the conse-
quence of those wars, as we are from the
great rebellion. Her credit and currency were
| deprecated as ours are. A desperate struggle
| commenced and was kept up for more than
| eight years between the bondholders and the
| commercial and industrious classes on the
| question Of forcing specie payments. like
struggle began here shortly after the war
closed and continues with increasing intensity.
| There the government was in the hands of the
bondholders chiefly. AS natural conse-
| auence several attempts were made TO bring
about a resumption of specie payments, but
! they failed until the end of the year 1928,
when resumption was accomplished. The
| Bank of England held this anomalous position
that while il was IA great measure under the
| control of government and bondholding capital
lists il was still subject 10 public influence and
| the interests OF the commercial classes. Will
ling to resume specie payments under tho
pressure of the government and bondholders


its own safety and the public interests held i


back from that final step till eight years o
more after the war; But even then, ever
during and after that eight years struggle, th'
country suffered terribly in consequence Q
forced resumption. The history of that perio'
Is one of wild excitement monetary dsor
ganization, bankruptcy end general suffering


II was from the first fight between the bond


holders and great capitalists, who wanted t.


raise the value of their property, and the com


mercial and Industrious classes, whose debt


were increased and means reduced. Th'


former were made richer at the expense OF th'


latter. The poor became poorer. Financia


crisis after crisis occurred every few year
after, and the mass OF the English people hav'
been stepped In irrecoverabe poverty evei


since. Such, in brief, has been the result o.
the financial struggle and forcing specie pay


ments in England.


A similar conflict as we said exists her,


between the bondholders-who would force re
sumption in order 70 increase the value Of the
property thirty por cent or more--aud the In