Year: 1868

ness purposes; they can be sent 10 every part OF le
Maine TO Minnesota can carry $4,000 Of It about
ss person without sea anxiety Of CARVING
coin or the purchase OF q Dul OF eAcnange. ,n., u
brought to par they would be sne most o SesnaplSe
the canses which usually bring about run
on the banks for gold would not p, ops
rase tbsa Sasi Hse the old State bank system
to which IL is hoped the country VIII never RETURN


there was Tar man ,or soa n1 1uah oso 10
their character and their paper not currentn distant
parts OF the country, led to demand on them for
distant points where their notes were not current.
From these and other considerations It is doubtful
whether as much as one hundred millions Of green,
back notes would be presented for redemption when
the greenback note as good as gold unless for spe-
cinc purposes, for it would be an inconvenielice
and burden The whole question may be thus
stated:-n the government Ii strong with gold
70 redeem all the notes that may be presented but
worth no more than greenbacks; but II the govern
ment is weak and only able TO redeem o small part
OF the currency gold win be hastily drawn out to
sell IN the market at profit. IL is true that there
are three hundred million dollars Of national bank
notes in circulation, for the redemption OF which
the National Banking law, and it has been urged
that when the period fixed for redemption arrives
the national banks would Immediately rush to the
Treasury with all their greenback reserves and
drain 1t OF q large part of its gold. To avoid
this difficulty and to make the process still more
gradual, and to avoid all rush upon the Treasury or
the banks propose by my bin that the banks shall
not be required to redeem their notes In specie until
tine list q TO so IN sH SeT vsu
the same amount Of greenback reserves In which
they may, as now, redeem their notes. II during
reserves now, OF course they cannot rush to the
Treasury with them to get gold, and at the end
meet na their aemsnds s trouble Or eT danger
To give the banks six months TO redeem
their notes in gold, and perhaps may move to make
gins the redemption Of the greenback currency, wiz
be no hardship to the government OF the people, lor
backs they win be Of equal value and at par, and
persons holding the bank notes who want gold for
them VIII only have 70 present them 70 Ihe DanKs
% And no now w VIII viii consider the question how the
work OF redemption. TO this that the sales Of
gold by the Secretary OF the Treasury and that which
VIII nEeaer over ana Inc ne Ssa arG re-
for specific tses shall be reserved and set apart for
the redemption Of the greenback notes. There Is
now in the Treasury o surplus Of not less than
$70000 oOo, and accruing surplus under the present
tariff for the next two years cannot be less tnan
Il is very dnicut to form estimate OF the amount
OF gold I'm the country. The Director OF the Mint In
Philadelphia in 1851 estimated the amount OF gold
In the country at that time to be $2750OO,0O0,
which have no doubt was much short Of
Of the actual amount The Comptroller OF The Cur
rency tMr. Hurlburd, in his report last year, esti
3Oth Of june 1860, to the both Of june 1867, at
SAIL, 10000 The imports Of gold from abroad dur
OF the mines during the year ending June 80, 1868,
are estimated at 5000 oOo making in the aggre-
gate $40, 253,5S7, to which may be added the gold
Circulation in California and other gold producing
States, not included IN She above calculation (est
mated at ooo making a IN al SsS &
same period ls47. 90sl leaves balance Of $4l2-
5l2679 There is also another large import
Of gold into the country from Enrope OF which there
is no Official record. the amount OF which only
be guessed at. ! mean that which is brought In
small sums by immigrants, who come to our country
at the rate Of half million year. have heard
various conjectures as to the amount thus brought
to the country, ana none have put 1t lower than
making the sum OF $3.50, ,OOOo 600, which, added to the
above makes a total sum Of $572, ,512, ,679. But to
estimate the gold and silver coin in the country at
$400, ,000, 900. The product OF the mines ending
June 80, 1S69 may be safely estimated a. seventy.
million dollars per annum. When the Pacific Rail-
road Is completed, which win be next year, the
vada, Idaho. Colorado, Utah and Montana and for
the transportation OF heavy machinery necessary
must add very largely to the gold and SILVER pro.
ducts. But after all the question Of the amount OF
gold In the country is oy no means SO important as
begin to appreciate In value our bonds viii newt
ably advance along with them, and 1t VIII
ment then to procure enough gold abroad on its
bonds added to that which is In the Treasury to
deem the Wn0le greenUdCk circulation, anu 10 InlS
end have in my bill provided that the Secretary
of the Treasury may, the time for redemption ap
proaches, negotiate bonds drawing interest at the
rate OF - for the purpose OF procuring gold
suffcient TO complete the work Of redemption. But
IT has been said that II the government reserves the
Secpme scarce in the market and dcat for
ters TO obtain enough with which 10 pay duties.
This objection might have some force were
it not for other considerations. When the
government fixes the day for the re-
demptlon Of the greenuack noles those who have
been boarding gold will think the time TO sell Ii has
come. II they hold II until the time OF redemption
comes II will be worth no more than greenbacKs
If would be better for them TO sell when the pre-
MUM is thirty-hve than to hold until 1t Is only
twenty-five or ten cents; and the NATURAL and may
say the inevitable, effect OF fixing a time for re-
gold into the market that has hitherto been
boarded. II will be then better to hold greenbacks
wSh % s0 w
the gold In the Treasury creates demand
for II. and brings into operation the law
governed by the demand. The currency is not re-
dundant as have before undertaken to show, and
contraction should not come this side OF redemption
and only by the act Of redemption The greenback
notes redeemed may be cancelled and the coin paid
out for them VIII take their places In the circulation
and the currency Will become mixed, but the volume
Of will not be diminished. Bringing the greenback
notes to par will In chemical language set free all
the gold and silver m the land and pour them into
the volume OF the currency, thus initiating 1t.
But the imitation viii be legitimate The
national banking system may be made free, limited





their notes In coin. Then there VIII be currency
for all the people. and one mans income viii be
equal TO another's OF like amount Then our bonds
having kept pace with the appreciation OF the cur
rency-will be at par, and their disastrous now to
Europe viii be checked. Then the government can
sell four per cent bonds In the market at
par, and with the proceeds pay OF the
present bonds II the holders refuse TO exchange
them and thus reduce the aggregate interest on the
debt more than forty million dollars per annum.
Then the business OF the country Will be upon solid
foundations and It's prosperity enduring. At the end
OF two years reconstruction viii In all probability
have taken place, the blessings OF peace will prevail
throughout the land the prosperity OF the South In
great part restored and cotton, though never more
called king Will play its former part In our foreign
exchanges. After the ocean has been swept by
angry tempests, that have engulfed gallant fleets
and strewed the shores with wrecks and
the bodies OF the dead comes q calm. the mountain
waves sink to gentle billows, the fierce gales
lulls TO prosperous breeze the sun shines forth In
splend0r. and the surviving mariners with joyful
hearts again spread their sails resume their course
and speed away 10 their destined haven. SO with
our country when peace, reconstruction and re-
sumption have come. IL has been swept and rent