Year: 1877

bearing notes into interest bearing notes,
and that is true, but what right have
we as a nation, or has any banker
Individually, to force into circulation
as money its notes upon which
it pays no interest ? Why ought
10. any one who issued promise to pay
on demand be made to pay 1t when de-
manded or pay interest thereafter. What
right has he by law or justice to insist upon
maintaining in circulation his note, which
he refused to pay according to his promise,
and which he refuses to receive in payment
of note bearing interest. A certain
amount of United States notes can be and
ought to be maintained at par in coin with
the aid of moderate coin reserves, held 10
the treasury, and to the exteut that this can
be done they form the best possible paper
money a debt of the people without in
terest of equal value of coin and more con-
venient to carry and handle. Beyond this,
the right to issue paper none, either by
the government or banks, is dangerous
NAOitloC Vi POWCi W Oil OluooCo
and should not continue single day be-
yond the necessities that gave it birth. But
if congress should see proper to confine the
process of resumption to the present law
we have still second mode of resumption
by accumulating coin gradually. so that
when the time fixed for resumption arrives
the treasury may be able to redeem such
notes as are presented. In this respect
the resumption act is as full as human
language can frame it, The secretary Is
authorized to prepare for resumption, and
for that purpose to use the surplus revenue
and sell either of the three classes of bonds,
all of which are now at or above par in
coin. This power can be, ought to be and
will be executed, if not repealed. This ac-
cumulation both of silver and gold can be
made by arresting from expectation our
own production Of these metals. This is
more than sufficient to supply our wants
for this purpose, and fortunately we have
plenty of other productions, such as
corn, cotton, wheat, and various fabrics,
for exports. This country is the greatest
producer of gold and silver in the world.
The balance of foreign trade is in in our
favor. During the last fiscal year our eX-
ports exceeded our imports in gold to
the sum of s166 500. 1856, and this balance
is steadily increasing. We have during
the five months of President Hayes admin
istration made an actual accumulation OF
currency and of gold and silver coin and
bullion of $44, $40, ,ss2. From the frs,
| of May to this time we have
added to ou- coin reserve $50, ,000,O ,OOo
by the sale of bonds withoat distui bing the
| money market anu ri.i COLD otoadilv or
decliHe. We have reduced the public
debt since the first of March in the sum OF
500 AL, 1924. We have conducted the vas


operations of loans already referred te
without disturbing the course OF trade ol
causing a shipment in gold. All the fear
expressed so often In the papers at tbes'


movements hrve been proven to be ground


less. We are now within five degrees


of a specie standard. We have still


seventeen months before us in which tt


complete the task. The same progress


that has been made since the first of Marcl


continued twelve months longer will Ger


tainly bring us to a specie standard. fee


confident in saying to this day that if IN


disturbed, with or without change of law
every dollar of United States notes vii
before the time fixed for resumption brinl


as much as an equal amount in either golt
| or silver