Year: 1873

ODuu5tl lOE DldlltTy GOuNlCtGu u LuuIu6Is
have moved for a new trial on the grounds
of the discovery of important fresh testi-
mony, misconduct of the jury, the perjury
of two jurors aud the verdict being against
the law and evidence The intelligent feel
ing is in favor of Slater


Letter from President Grant on the FiRan-


ciaI Situation.


The following is letter to New York
bank president:


EXECUTIVE MANSION,


Washington, D. c., October 6, 1873. 5
Ny Dear Mr. CowdEey;


Your letter of the twenty-ninth ultimo
was duly received and read, as was your
previous letter. Neither required an answer
particularly, and hence l did not answer
them at that time. Your last letter however
contains one sentence that it seems proper
l should reply to, that is as to an implied
threat to the national banks contained in
my letter to Messrs. Anthony and Clatiin.
Nothing was further from my mind than
| threat My whole object was to restore
confidence to the public mind and to give
assurance that the government would give
| all the aid in its power, keeping in view at
the same time the s0lvency of the national
treasury. You and all bank presidents
| know more about the condition of your
banks than can possibly know. In turn, |,
| through the Secretary of the Treasury,
| know more about the financial condition of
| the government, its ability to render aid,
etc, than any person disconnected with the
administration of its affairs can know. l
alluded to the fact that the forty million
reserve notes in the treasury would be
regarded as money in the treasury sub
ject TO use for the purpose of showing
that the means are at hand to give
| the relief we promise. l do not be-
lieve the present panic will work TO
individuals half the injury it will work
general good to the country at large. Our
monetary system of necessity has no elas-
ITCHY, but in other respects it is the best
that has ever been devised No one dis
trusts the value of his paper dollar; on the
contrary, it is seized and boarded with the
same avidity now that the gold dollar has
been in former like aiversities.


The panic will call attention to the de
feets in our monetary system, and will nc
doubt lead to legislation to relieve the wan
of elasticity. This panic has brought green
backs about to par with silver. l wonder
that silver is not already coming into the
market to supply the deficiency in the cir
eulating medium. When it does come, and
predict that it will soon, we will have
made a stride toward specie payments
Currency will never go below silver after
that.


The circulation of silver will have other
beneficial effects. Experience has proven
that it takes about $40,000,O0O of fractional
currency to make the small change neoes.
sary for the transaction of the business OF
the country. Silver will gradually take
the place of this currency, and further, VII!
become the standard of values which Will
be boarded in small way.


/ estimate that this will consume from
5000, 600, 600 to 5000, 900 600, in time, OF this
species of our cireul ating medium. 1t will
leave the paper currency free to perform
the legitimate functions Of trade, and viii
| tend to bring us back. where we must come
at last, to a specie basis. :.
[ confess TO a desire to see limited
boarding of money. 1t insures tirm found
alton in time of need. But l want to se'
the boarding of something that has a stand
ard of value the world over. Silver ha
this, and il We once get back to that ou
strides toward higher appreciation of on
currency will be rapider. Our mines ar
!, | now producing almost unlimited amount
. | of silver, and It is becoming a question Q
what shall we do with it.


1 suggest here q solution that will answe
for some years, and suggest to you bank
I ers whether you may not initiate it, to pu
II in circulation now, keep il there until
= is fixed, and then We viii find other mai
I kets. The South and Central America
u countries have asked us TO coin thei
, silver for them. There has never bee
authority Of law to do so. tru:
r. it will now be given. When 1t
given it will be more than the equivalent I


becoming exporters Of articles Of mannfai


ture which were previously articles OF II
o port. Ordera will come for large amour


Of coin. Il wiz be al u silver while pa