Year: 1869

law, however deeply imbeded II ancient
| authorities, and who, in the construc
/ ton of statutes and settlement of great
questions, decided them in accordance
with the progress of the times and the
new conditions of society, and thus rem
I dared himself immortal in the history
of jurisprudence.


Believing. as l do, that these laws are
constitutional, and we're imperatively
| necessary at the time of their passage,
I should look upon decision by which
thew would be suddenly destroyed with
horror, and the court making 1t, would
descend in history as the most appalling
financial disaster that ever occurred In
any country. But have full faith in
the learning, ability, and patriotism of
that august tribunal and believe 1t will
not render its decision until the ques-
ton has been viewed in all its bearings
and consequences. To return to specie
| payments without crash is the great
desideratuns, and this can only be done
| by making the process gradual. Time
is a necessary element, ,and the first ques-
ton to be considered is she period
which should be fixed by the Govern
ment to begin the redemption of the
greenbaclz notes, and in my bill l have
stated that the lst day Of July, 1871.
Fixing a time must be the starting
point of any plan which proposes to
bring about resumption without crash
and disaster


In proposing to give two years and
half to begin the work Of redemption,
l have several objects in view.


First BY establishing the period of
redemption a fixed value is given the
greenback note Now its gold value is
fuctuating and deceptive, sometimes
varying as much as ten per cent IN
sixty days, and scarce ever remaining
the same for week at q time. But by
fixing time for its redemption GER
tain value is given to it. If the note Is
to be paid in gold on the first of July,
1871, its value can be determined by the
ordinary rules of discount, and will
steadily improve as the time for its re
demption approaches, and other prepar-
ations being properly made it will be at
par on or before the day fixed for re-
demption by gradual appreciation. BY
fixing the time for redemption, one chief
element in the value of ali commercial
paper is gained--that of certainty in tie
time of payment.


Second. BY fixing the period of re-
demption the country is notified and
may be prepared for the change. Peo-'
pie will have it in view in making new
contracts and arrangem ents in business
and debtors, fearing decline in the
price of produce, will make haste to pay
their debts. During this two and half
years the great body of existing debts
among the people will be paid. The
debts new contracted, which will not
fol for nd ho1f
very small and generally for real estate.
The great difficulty generally attending
the Improvement in the value Of the cur
rency end the resumption of specie pay
ments where they have been suspended
is the reduction in the nominal prices
of property and labor, which operates
injuriously upon the debtor class. 1t
is generally true that as the purchasing
power Of the currency is increased the
nominal prices Of property are dimin-
ished. But this effect is som etimes
counteracted by the increase in the vol
ume Of the currency. The imitation of
the currency, even though it be COM
posed Of gold and silver exclusively, in
creases the nominal prices of property,
of which we have notable instance in
the history of Spain. When resumption
takes place all the gold and silver will
be set free and poured into the volume
of the currency thereby initiating it to
considerable extent, because the whole
amount of gold and silver is very much
greater than the whole amount of green
backs that will be presented for REDEEM
ption.


But, as before stated, the period Of re-
demption is postponed SO long that the
great body of the existing debt will be
paid before it arrives. and the declension
in the prices of property, which is like
ly to be small, would affect but very
limited class: and would scarcely reach
the general business Of the country.
The time given is 50 long that it will
become stale in the public mind-all
excitement and panic will pass away,
and the change come so gently on that
the people will almost have forgotten
it when it arrives


Third. Ry fixing the period of re
demption so far off the Government
will have time to collect the amount Of
gold that will be necessary.


The product Of the mines for the year
ending June 80, 1869, may be safely es-
timated at S75,00O,O0O, and after that
at $l00. 900, 900 per annum. When the
Pacific Railroad is completed, which
will be next year, the facilities for get
ting to the mines in California, Nevada,
idaho, Colorado, Utah and Montana, and
for the transportation of heavy machin-
cry necessary for quartz mining. will be
greatly increased and must add very
largely to the gold and silver product.


But after all, the question o: the
amount of gold in the country is by no
means SO important as might at first be
supposed. When the greenback notes
begin to appreciate in value, our bonds
will inevitably advance along with them,
and it will be very easy matter for the
Government then to procure enough
gold abroad, on it's bonds, added to that
which is in the Treasury 10 redeem the
whole greenback circulation; and to this
end have in my bill provided that the
Secretary of the Treasury may, as the