Year: 1876




their savings those who have deposits or poll
cies for the protection of property or families.
Il ought not to be necessary to point ont the
fact that the mere danger of disaster to these
institutions would bankrupt merchants and
manufacturers all over the land. For the peril
yonld force them to call in their loans, and
very large proportion of dealers and manutac-
turers depend upon loans from such instltu-
tons for the capital requisite to carry on their
business. He who cannot collect cannot pay;
the bankruptcy of many would involve the
bankruptcy of all.


Thus the public credit directly affects all
who have earnings, insurances deposits, or
loans, and, as they employ all labor, and can
not pay wages if they cannot go on in busi-
ness, it touches the bread of every workman.
No such disaster has ever been witnessed IN
any civilized land as would follow deStruc-
ton of public credit IN this country But that
is not all. The Union itself, for which so
many men have risked their lives, might cease
to exist at the pleasure of any State which chose
to step out AS soon as the public credit should
be broken. Without credit the nation could not
raise troops enough to prevent the secession OF
Delaware alone. We have been told that 1t Is



would secede after getting control of the
Government Is it folly, then, to suppose that
men who hated the Union in 1861 have been
taught by severe punishment to love 1t our
particularly mOle-eyed critic suggests that the
South would have no occasion to desire sep
alation if it could rule the Union. indeedt
The public debt is not burden, but bless
ing; heavy taxes delight the Southern tax
Doyers Southern people would never desire to
Get rid of their part of the debt and the taxes
caused by war. The folly is in suppOsngthat men
who fought four years to get out OF the Union
when the debt was insignificant and the taxes
light, will now insist upon staying III tue
Union because its debt is enormous and Its
taxes burdcnsOmc. A seeding State would
leave those adhcring to pay the debts OF me
Union. England, Germany, and France would
readily unite 10 compel the Union to do justice to
foreign creditors, and an attempt to repudlate
would involve foreign war. But ii state
scccdcs from the Union, on what principle OF
international law would foreign creditors fix
rpon any part of the national debt which they
would demand from the runaway Statef


Payment of Southern war claims Is de-
mandcd in earnest. But the mere beginning
i
the nations credit With the first severe
shock depreciation OF bonds would be fol-
lowed by failures of banks and firms. The
general distress and alarm would sink the
public credit still lower. Presently 1t would
bc seen that the nation no longer had power
TO resist secession. Then men would begin to
propose withdrawal from the Union on any
pretext, or without any. The whisl erS ofposSiblc
secession, with the danger Of civil war, would
sink public credit still lower. Panic would
come; bankruptcies would multiply. Then
men Of Southern States might say to each
other. "If We stay much longer we shall have
"our part of this war debt TO pay. Let us
"make haste to get out. while we have a Demo-
"cratic President to recognize our separation
"as an accomplished fact" Secession begins.
Nj. Tildcn sheds tears. but can find in Demo
cratic theories no warrant for coercion, nor can
hc find in a ruined public credit any power to
cocrce. Does any sane man doubt that this Is
at least a possible result of breaking down the
Government crcditl