Year: 1866




1t would be simple and economical in it


workings, just IN its bearings on MI classea


and interests, meeting aA the wants of tn,


goverr nent and business interests Of the mn


tion--it would be emphaticaly the people


plan. n 9ss ~ ,5


II would be equally important in q politi
cal point Of view. II would restore CONNER
cial relations between all parts OF our com
mon country, develop and harmonize tina
mutuality Of interests which naturally exist
between the different sections of our extend
ed domain, growing out Of varieties Of eli
mate and productions, and interest each citi
zen pecuniarify in the preservation and per
petuity Of the government dispensing it:
blessings impartially to all, it would make u:
homogeneous family Of s.ates-ons in in
terest-one in sympathy, and one ia purpose
United by these strong ties our Union would
stand proof alike against the Vaccinations o.
enemies within, and the assault OF foes from
without


Let us look at the practical workings o.
this system in the payment Of our nationa
debt, the development Of our resources
and in the distribution of the products ol
labor between capital and labor. Before en-
tering upon the consideration Of this part OF
the subject, it becomes necessary to fix upon
the probable amount Of money required tc
supply the wants Of the business interests OF
the nation. In determining this question
there are few important facts that must be
kept prominently before the mind: first
that il will require much larger amount
of legal money, in which all viii have the
fullest confidence, than of the miserable
apology we have had, and must always have
under any banking system in the shape of
bank notes, in which none have, or ought to
have confidence, and which it is not safe to
keep over night. A large amount of this
legal money would be always retained in
the hands of farmers and others to meet
future obligations, while the want Of con
tuence ia bank notes, issued under any
system, will keep them in constant circula-
ton. I'd. Under this system labor would be
iutlv rewarded, and most of the ordinary
busin ess transactions would be for cash; and
Sd. The intelligence and enterprise Of our
peope, our unbOunded resources, and the
great extent of territory over which the
money would circulate, must create a neees-
sity for larger amount, per capita, than in
any country ia Europe. The currency Of
Il
one than that Of any others of the principal
powers Of Europe, and the circulation of
the empire is over thirty dollars per capita.
For the reasons given, ! think forty dollars,
pcr capita, would not be too high an esti-
mate tor our country. The population Of
the [ nited States is, at this time, AS much
as thirty-six millions, which, at forty dol
lars each, would require circulation Of
one thousand four hundred and forty mil
lion dollars, and which, in order to maintain
uniformity Of values, and make money a
correct standard of distribution to capitalan
labor, must be increased in y like ratio with
the increase in the wealth and business Of
the nation. Estimating our national debt
at three thousand millions Of dollars, and
deducting the one thousand four hundred
and forty millions dollars, which would
circulate as money and bear no interest,
would leave one thousand, five hundred and
sixty millions dollars bearing interest. TAX
ing agriculture as the basis Of national
wealth, and adopting the division between
landlord and tenant, as the standard Of
between capital and labor, in
all other departments OF business, | have
already shown that the rate Of interest on
money should be bu. one and one ninth per
cent. per annum. 4, however, now propose
to present the results of this system by
the rate Of interest on the public
debt, 1T the three several rates Of two, two
and hall, and three per cent. per annum.
lst. With the rate at two per cent, and es-
the increase in the national wealth
at three and one third per cent. per annum,
being the rate Of increase from 1880 to
1862 The result will be as follows


The amount of the national debt bearing
interest, after deducting the amount that
would circulate as money, would be one
five hundred and sixty millions
dollars Interest for first year would be
thirty-one millions, two hundred thousand
dollars. Total interest and principal one
five hundred and ninety one mil
lions, two hundred thousand dollars. The in
crease in the currency or money for the first
year, will amount to forty eight millions Of
dollars; this deducted from the interest bear
ing debt will leave one thousand tive hun
dred and forty three millions, eight hundred
thousand dollars. Interest, second year,
thirty millions, eight hundred and sixty four
thousand dollars. Total interest and prin-
cipal at the end of the second year, one
five hundred and seventy four mill
lions, sixty y-four thousand dollars. Increase
in currency for the second year, forty mine
mil ms, six hundred thousand dollars; this
deducted from the interest bearing debt,
will leave one thousand five hundred and
twent7-four millions dollars, as the debt
bearing interest atthe end of the second year.
This operation continued will, in little less
than twenty-eight years, absorb the entire
interes. bearing debt of the nation, leaving
a little over three thousand, six hundred
millions dollars of currency or money which
will bear the same proportion to the wealth
and business of the country, that one thous-
and four hundred and forty millions O as
at the present time, and which will always
be wanted as money, and required to be in
creased thereafter, in like ratio with the
increase in the national wealth and business.
2nd. With the rate of interest on the public
debt computed at two aud half per cent,
the result would be as follows: allowing one
billion, four hundred and forty millions dol
lars to circulate as money, as in the Inner
calculation, leaving fifteen hundred and
sixty millions dollars, bearing interest at two
and half per cent. The interest for the first
year would be thirty nine millions of dol
lars Total interest and principal at the
end Of first year, fifteen hundred ninety
nine millions Of dollars. Aaa


The increase in currency for first year
would be forty-eight millions Of dollars.
This deducted from the total interest bear
ing debt, would leave the interest bearing
Indebtedness at the end Of the first year,


fifteen hundred and fifty-one millions OF
dollars: interest for second year thirty. eight