Year: 1874

L submit these results without CONNER


further than to say that they prove cor


clusively the correctness of my estimate {


the rate of increase In the national wealth


and that our lowest legalized rates, ak 3


seven per cent. interest, are but legalize
| robbery, and that our 'sgilt edge rate,
| ten per cent, can only be characterized q
| piracy.


Our past errors in dealing with tn
| questions of national finances and currenc


are mainly attributable TO the fact tina


most, if not all, this class Of Legislation
has been committed to the charge Of bank
ers, usurers, and speculators, who eithe
could not, or did not csre to, distinguish
between the profits arising from enOrmou
bank dividends, extortionate rates o
interest, and mere gambling adventures
and the increase of wealth BY productlv,
| industry and legitimate enterprise.
But to return. Seeing nothingto justify
an estimate of over three per cent. increase
in the national wealth in the future, an
clearly of the opinion that this ia the high.
est rate that should be allowed on the gov.
ernment securities.


The most the wealth-producing classes
could do even at this rate would be to
maintain their present proportion Of the
wealth, for capital would swallow up the
whole increase.


do not however forget that there are
those who have given much patient
thought and careful attention to this sub
ject, and as earnestly favor the object in
view a. do, and for whose judgment
have the highest regard, who are Of the
opinion that It would be advisable, or rather
permissible, to allow 3.65 per cent. ON the
government bonds. But the strongest
argument advanced in favor Of this rate is
the convenience in calculating the interest,
which l do not think sufficient to Justify
the additional burden it would impose on
the business interests Besides, there are
many others who favor 2 IL per cent. as
the rate on the government securities. To
harmonize these different opinions, and to
place the matter under the control Of the
people, as will be seen, the bill provides
that Congress may change the rate of
interest on the bonds without calling them
in unless the holders should be dissatisfied
with such change, when they would be at
liberty to present them for redemption.


When my attention was first directed TO
this general subject some ten or twelve
years ago, was of the opinion that the
conversion of the currency into interest
bearing bonds should be at the pleasure Of
the government. 1t was, however, OBJ
jected that this was anti-democratic; that
the people leach citizen for himself) and
not Congress were the proper judges Of the
amount of currency necessary to transact
their business, and this change was accord
ingly adopted by the advocates of the sys-
tenn. But upon more mature reflection,
and careful consideration Of the subject in
all its bearings, as well an in view of the
recent locking-up of the currency by gold
and stock gamblers and other spectators,
became convinced that both these plans
were extremes. While the law should not
unnecessarily abridge the rights Of individ-
ual citizens, it should not afford them the
opportunity to thwart the public interest.
To guard against this otherwise practicable
evil, the bill provides that the currency
shall not be reduced below given rateper
capita by conversion into interest-bearing
bonds and to prevent the further incon
venience to which the government might
be subjected by evil-disposed persons, it is
provided that it shall not be required to
redeem the interest-bearing bonds until
after thirty days from the date of the issue
thereof


(TO BE CoNTINUED.)