Year: 1879

has been reached, and the so>called
experiment. Of resumption is now in


all operation. We are unable, how
'ver, to see the propriety Of calling
resumption an experiment, since the
whole plan and all the details and
wen results could have been UNDER


stood from the start, and doubtless
we're understood; though the efforts
constantly put forth by the political
parties to interpret and distert every
thing to theit own advantage, pre-
vented the question from receiving the
honest and fair discussion that 1t de-
served. Of course it could not have
been accurately foretold what success
would be had in selling government
bonds bearing a low rate Of interest,
to accumulate gold for resnyaption
purposes, but even this question was
one on which there could be no great
difference Of honest opinion. Re-
is in no sense an experiment.
The government holds a coin reserve
of $40, 100000 for resumption pur>
poses, and there are only $346, 900,
600 in greenbacks outstanding, so that
there is no possibility Of tho govern


ment being unable to maintain re-
sumption. Indeed, if there were no
contingency to provide for but the le>
climate demands Of business, a re-
serve of fifteen per cent, amounting to
$50, 100000, would be ample, instead
Of a reserve Of 40 per cent, as is held
at present. The certainty that re-
sumption would be maintained after
Jan. 1st, gradually diminished the
premium on gola until gold was at
par with greenbacks two weeks be-
fore the day fixed for resumption to
begin, and business experienced no
shock. As to the effect of resumption
upon the country, there is hardly
room for a doubt that there will be a
revival Of prosperity, simply because
there can be no further skrinkage of
values. The greenback has been en-
hanced in value from IS cents on the
dollar in 1864 to- one hundred cents on
dollar in 1878. The result of so
great a change in the standard of VAL
ue in the brief space Of fourteen years
in now we'll understood, All classes
of fair minded people now admit that
increasing the value of greenbacks
200 per cent added 200 per cent to
The burdens Of the debtor class, and


increased the value of all outstanding


uauo, that- r0r0- 0-zuu-;.s 1--;-5 thoe
lime, to the same extent. That is,
200 per cent was added to all debts
hat were running during that period,
and went into the pockets of the mon>
ey lenders. It is true that a large
portion Of the present outstanding in
lebtedness was contracted when green>
backs were worth more than IS cents
on the dollar; but during the whole
Of the above named period of fourteen
years the policy Of the dominant polit>
ical party was to oppress the debtor
for the benefit Of the creditor. The
newspapers ten US that
hard times were caused by paying the
war debt. It is we'll known that the
hard times were felt principally by
those who were IN debt, and the work.
ingmen, while the wealthy bankers and
others who loaned money saw the most
gratifying increase in the value of
their paper. Therefore, if the hard
times were caused by the payment of
the war debt, the tax was so adjusted
that it fell principally upon those who
were burdened by private or corporate
Indebtedness. 1t was practically tax
on poverty and premium on wealth


And this policy was such that it in-
creased the value of gold itself, SO that
debtors had to pay upon gold basis


much higher, even, than the gold
basis of 1860. A recently prepared


table, the correctness of which is not
showing the price of 800 ar


ticles of common consumption in gold


in 1860, and the prices in gold of the
same articles in 1873, shows that


$81 81 in gold in 1873 had the same


purchasing power as 800 in gold in


1860, an increase in purchasing power
Of 22 per cent. Now, we do not claim
that greenbacks could have been
brought to par without detriment to
the debtor class. but we do claim that
q slower increase in the value Of green
backs would have been much better
for the country at large. In the first
place it would have given chance to
every debtor to pay his Indebtedness,
it his affairs were conducted on any
thing Ike business principles. It


would have enabled manufacturers to
continue to give employment to labor,
and would have thus haye saved the
country from the narrowing scenes Of
want that have existed in the manu-
featuring and coal mining districts.


And another beneficial result would
have been secured, which is seldom


thought Of, but is none the less in>
portant. It would have given the


people more time in which to harn