Year: 1878

w WASHINGTON, Feb. 2S, :4O p. m.-
The Speaker presented veto mes
sage and the Clerk read it.


To the House of Representatiues:-


After very careful consideration
of House bill 1893, entitled can Act
to Authorize the Coinage of a Silver
Dollar and to Restore its Legal Ten
der Character" feel compelled to
return it to the House in which it
originated, with my objections to its
passage.


Holding the opinion which I ex-
pressed in my annual message, that
neither the interest of government or
the people Of the United States would
be promoted by disparaging silver
as one of the two precious metals
which furnished the coinage of the
world, and legislation which looks to
contracting the volume of intrinsic
money to as full q measure of both
metals as their relative commercial
value will permit, would be neither
unjust nor inexpedient.


1t has been my earnest desire to
concur with Congress in the adoption
of such measures to increase the sill
yer coinage of the country as would
not impair the obligation Of contracts,
either public or private, or injurious
ly affect the public credit. 1t is only
on the conviction that this bill does
not meet these essential requirements
that l feel it my duty to withhold
from it my approval.


My present official duty as to that
bill permits only an attention to the
specific objects of the bill, which
seems to me the Constitution has in
such way provided. The bill pro-
vides for the coinage of silver dollars
of the weight of A21s grains each, of
standard silver, to be q legal-tender
to their nominal value for all debts
and duties, public and private, ex-
cept where otherwise expressly stip-
ulated in contracts. 1t is well known
that the market value Of that num-
Der of grains, standard silver during
the past year has been from 80 to 92
cents as compared with the standard
gold dollar. Thus the silver dollar
authorized by this bill is worth from
8 TO 10 per cent. less than it purports
to be worth, and is made legal-ten-
der for debts contracted when the
law did not recognize such coins as
lawful money, in such insufficient
amount to circulate and put an end
to the receipt of revenue in gold, and
thus compel payment of silver for
both principal and interest of the
public debt. $1,l43, ,493 of the bond.
ed debt now outstanding was issued
prior to February, 1875, when silver
dollar was unknown in the circula'
ton of this country, and with only
the convenient form of silver bul.
lion for expectation. $5S3, ,440, $50 OF
bonded debt has been Issued since
February, 1873, when gold alone wal
the coin for which bonds were sold
and gold alone was the coin in which


both parties to the contract under
stood, that the bonds would be paid


These bonds flowed into the mar


kets of the world. They were
paid for in gold wher
silver had greatly deprecated
and when none would have bough


them it it had been understood that


they would have been paid in silver


The sum of 1925, 100000 of those


bonds has been sold during my ad


ministration for gold coin and tn,


United States received the benefit o.


those sales by a reduction of the rat,


of interest % per cent. During til,
progress of those sales q doubt wa


suggested as to the coin in which
payments of these bonds would b.


made. The public announcement


was authorized that it was not to b,


anticipated that any further legisla
tion of Congress or any action of an


department of government woul,


sanction or tolerate the redemption


of the principal of these bonds or q


the payment of interest thereon i


the coin exacted by government i
exchange for the same. In view Z
that fact 1t will be justly regarded q
grave breach Of public faith to III
dertake to pay these bonds, princip.
or interest, in silver coin worth i
market less than the coin received 70
them. It is said the silver dollar
made . legal tender by this bill an
will under its operation be equivs
lent in full to gold dollar. % Man
: supporters of this bill believe thi
, and would not justify an attempt
ipay debts, either public or private,