Year: 1875

tender notes in his pocket than he would
be if he had $50 in gold?


The eagle is worth ten dollars according
to our existing standard. Would it be
worth that if so per cent, 20 per cent, or 10
per cent were substituted for the same per
centage of gold that it contains? The
eagle is worth what it is because it has 232
grains Of pure gold in it, and not because
it bears the Government stamp or impress
upon it. When the eagle or the sovereign
or the 90 franc piece crosses the Atlantic it
is assayed, and it is received for Just what
gold it contains, and no more. All the acts
of Congress between now and doomsday can
give to our coin no value which it does not
intrinsically possess. The same is true of
our Government paper currency. No act Of
Congress can give it value beyond its con-
vertible value. 1t may he prevented from
great depreciation, it may have an artificial
value by being received for taxes, &c, and
by limitation of it's issue, but beyond this
Congress is utterly poweress in fixing a
value upon it without providing for its re-
demption. Gold and silver have been made
by the universal consent of all nations, and
not by any act of sovereign power, the
standard of value, because they cost in
labor all that they represent; because the
supply is limited, and because the most
beautiful and in many respects the most
valuable of metals, possessing a value in
themselves independent of the demand for
coinage. An ancient potentate attempted
! to get rid of this higher law, and to make
iron substitute for gold, but his expert
ment was not SO happy in its results as to
be followed by any one else. Suppose Con-
gress should undertake to substitute nickle
for gold, and should decree that a piece of
nickle of the size of an eagle should be,
between man and man and for public dues,
receivable as an eagle; would it thereby
possess the value of one? This would be
undoubtedly an act of folly, but would it
be any more unwise than the present legal
tender acts, by which legal tender notes
are attempted to be made substitute for
coin? In one respect the nickle coin would
be preferable to notes, because it would
Tt1lcNc lHe uONclHIlltuI lTOll ldc VI
dishonesty which now rests upon it, of max
ing it's promises legal tender without re-
deeming them. One of the severest charges
ever brought against dishonest and impe
| cunious monarchs was that of adulterating
the coin. This there has never been peo-
pie degraded enough long to endure, nor a
monarch powerful enough to enforce, and
yet are not the free and intelligent people
of the United States virtually doing the
same thing? We are not, it is true, debas-
ing the coin, but we are substituting for it
an inferior legal tender currency, which
substantially amounts to the same thing.
A DIsHoNoRED CURRENCY.


| Our people would not sustain Congress
| for day if it should attempt to adulterate
our gold coinage. 1t would be worth
voyage across the Atlantic to hear General
Butler (of whose ability and eloquence there
can be no doubt whatever may be thought
of his financial theories denounce it, and
yet he repudiates coin as measure value,
and, is, as | understand, an advocate of
further issues of legal tender notes. How
did this elastic currency which was to pre-
vent all panics, answer the purpose in No
vember and December, 1878? When be-
fore did it happen that the great banks in
New York were unable to pay even the
smallest checks of their depositorS? There
was never before such clock up" under
the sun, never such panic as occurred
,,,;tI cto nta fn fI,n inf f,G
nearly $500, 900, 900, panic which was not
relieved by an issue of $2G, 600, 900 of the
legal tenders, and which was, in fact, ag-
gravated by an importation of $15, ZOO, 900
of coin. Gold and silver coins, instead of
being what some of the intlationists in Ohio
call them relic of barbarism are the
great financial regulator of commercial
nations, indicating by their movements
unerringly when a nation is going too fast,
and putting on the check before the move
ments become dangerous.


Gen. Butler thinks that currency which
was good enough to pay the soldiers dur
ing the war is good enough for civilians
that as legal tenders answered the purpose
loE WHICH IIeS NtlC lSSueu, NullC uOSlill-
ties continued, they ought to answer the
purpose of circulating medium long after
the war had been brought to a successful
close. The soldiers in the War of the Rev
olution we're paid in Continental notes, but
in those days of intellectual darkness this
was not considered sufficient reason for
their being maintained as permanent
circulation. The soldiers of the Reyclu-
tionary War were paid in Continental notes
because the people had nothing better to
pay them in. Every effort of the colonies,
and of the Continental Congress, failed to
give them value after the amount had be-
come excessive. They answered for the
time and important purpose, but nothing
could prevent their utter depreciation.-
The Federal Government could not assume
the payment of them, and they became as
valueless as the paper upon which they
were printed. Our legal tender notes were
issued as war measure, and if they an


swered the purpose for which they were
issued does it follow that they should be
maintained as circulating medium ? They
should be withdrawn because they keep
specie out of circulation and prevent the
restoration of specie standard; because
the duty of Congress, under tho Constitri-
tion, is to caip .aohey and regulate the
value or foreign coins, not to print notes
and force them upon the people at value
they do not possess The original issue for
war purposes was an act of doubtful espe-
diency and still mcra doubtful authority.


1t certainly violated a well-settled principle
of finance and political economy. Is there
not practical question of another kind
also involved in an apthcritl CT, the part of
! Ccrg3eSe tl issue notes for currency? If
the amount to be issued should continue to
be limited by law, what would prevent a
party in power from repeating the law, s;:,l
continuing its power b ths use OF this tre-
r,onaous leverage Is there Democrat
in the country who would consent that such