The state rights democrat. (Albany, Or.) 1865-1900, December 19, 1868, Image 1

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J M. I. 11B0TT. ' M. T. 1 BOW It
tTERMS.w ADTiscB : One year, $3; Six Montas
tl; pit Moata,59 U.j Single Copies, lS,ct,
- Corropondents writing cmr stgatrw
or anonymously, mt mt know taelt props
natses to tae Editor, ot mo attsntloi will U giren
t their communications.
All Letter and Cemtnsmteatlons, whether on
basinets or for pnblieatton. inonld bs addressed
Abbott & Brown.
citiieoiof Albany taat he bar orned a
.SaiborSbop, oa Maim troa', two door abovo
rarrisu's liloc, vntre no is prvr-oxeu w v..
IBUU all who ay desiro anjtaing in tho tonso
11a also states that his services can bo bad at
any time, with duo notice, to
on reasonable terra i. deol2T4nl7m4
and Notary Public.
;Slociat attentions 8TCn t0 collections.
'Os-riCE In tbo Court IIouso.
Albany, Oregon. T3n33tf.
Pkysician and Surgeon,
gHJEce, B. R.Eiddle's Drug Store.
noTH'CS v4n!5tf
,Far rarticulars address
Kal5r3n52yt Albany, Oregon.
G. W. GRAY, D. D. S.,
ing Artificial teeth and first-chus Dental
Operations, to give bim a call. ' .
Specimens of Vtileanito Easa with gold plat
lining, and other new styles of work, way bo
n at his office.-p sUirs xa rarriih & Co.
Urick. Albany, Oregon.
Residence, eorner of Second and Raker streets.
apr!V3v3n34tf '
J. C POWELL. . " VI.I3I2I.
(L. Fiona, Notary Public.)
LBANY, Oregon. Collections and convey-
usees promptly attcntic 10.
soon, on tho Santiam. Tost office address,
Leoan jn.
Co. School Superintendent.
"Will practice in all the Courts of tVu State and
will attend the Circuit Court terras in Lintveounty
and tho entire District. Office ia Watkinds k Co
brick, op ftairo. v3n43yl
I. B. RICE, 51. D.,
Surgeon and Phys cian,
are received, continues to tender bis services
to the citizens of Albany and rarrounding conn
try. Office and residence, on Second strcet,two
blocks eat of Sprenger's hew. Hotel. T3n37tr
. V . P A I NTER.
Over McBrtde's Wagon Shop, between First and
6ond, on FerrystreeL.
- First-elass work done on short nbtiee.
r3n!9yl , . :
n. ii.crAnor,
OFrics In Norcross' Brick BuUding,np-stairs,
Albany, Oregon,
w. j. eiltabidel. . 'k-m. Bro.
A3 ins Wood and WLUow Ware cnfecuon-
j. Tobacco, Cigars, Pipes, Notion, etc. Store
on Maite street, adjoining the Express office, AI
fcu, Oregon. . : : .. . : w28T3n7tf
attorney aau CounscUer at law,
-TT11I attend to all business eniruswo. y -
fWies f Polk and adjoining pounties,
EoU, Jdy 26, 1867.
. r55Hf
a bxez 4 pQjfxmiQX her cjUxts
BEAIEBS ia Staple, Dry and Fancy Goods,
.-Groceries, Hardware, Cutlery, Crockery,
ifoots and Shoes, Albany. Oregon.
Consignments solicited. oc8p8tf
fu lr inform the citizens of Albany and ri
(cinity th it he has taken charge of this Establish
ment, and, by keeping clean rooms and paying
Strict attsctioo to business, expects to suit all those
Ijwhp'niay favor him with their patronage. Having
jheretofore carried oa potbing bat ;
i ;Flrs t-Clas Kalr Dressing Saloons,
he expedite to' rivet entire satisfaction to all
-Childien and Ladies' Hair neatly cut and
hampootV . . - JOSEPH WEBBER.
- 8pr4v3n33tf
Notary Public
Att'y at Law.
Pffice fua Parrieh's & Co.' Block, First Street,
Having taken into co-partnership James .Elkins,
' Esq., Er-Clerk of Linn county, Oregon, we are
enabled to add to our practice of law and collec
tions, en perior facilities for
-. Conveyancing, Examining ' Eecords,
Atleadingf to Probate Business. '
Deeds, Eonds, Contracts and Mortgages carefully
drawn. Homestead and Pre-emption papers made
and Claims secured. Sales of Real Estate negoti
ated, an l loans effected on Collateral securities on
: reasanal le rates. ,
All business entrusted to them will be promptly
attended to. RUSSELL & El)KlJiS.
Oct. 6, 186S v2n46tf ,
Csh assets - - - $7,000,000 00
Ctsh Distributions ef 1867 - - $2f .f M
Total Surplus Divtded - - llHll tfk
Lossm Paid in 1867 - - - 381,800 00
Total Losses Paid - - .76 ,100 00
Income for 1867 - - 2,203,808 00
No Extra Charg for Trayeling to and
from tho Atlantlo States, t,uropo,
Oregon, and Sandwich Islands.
This old and popular Company is goTerned by
the NON-FORFKITURE law of MaMnehusetts.
Los?c paid promptly. AH policies Non-forfeitaMe
Firit DhtJe-d Arailabh at the Payment of th
SrwHtt Annual Prrutimm.
l!ut on class of members (Policy holders) in
this Company, among whom he annual Kurplus b
dirtded. . . . .
Unbiased iudrtnent, bssed upon careful inveMi.
gation, will show that this (the oldest Mutual Life
Insurance Coiapanv of America) offers more equi
ties to the injured than any othsr Company duing
business on this coast.
Life Insurance is a judicious investment tor cap.
italiKts. It is a si ne tnvotment icr tno.e in mou-
erate circumstances, by which they may, with a
small amount of funds' leave to their familic
ample means for their support in cose of t'ae turiy
decease of the insured.
Homo Office, 39 State Street, Boston.
gomery stn-et, San Francisco ; Boom 3, Carter's
Building, Portland, Urcjron.
General AgenU.
Parrieh & Co's Block, Albany, Oregon.
iufwrw th. ulj!tc tUit tlu Jlou.
XsT O "W O P E 3ST
for the accommodation of all who may
favor him with their patronage.
i entirely new in erery riepartmcnt,
and is of the latent and
most approved styles.
will always 1 supplied with the best the market
afford-, and no pains will be spared
for the comfort and conve
nience of his guc-sis.
Persons arriring by boats ceotninoiate-i at ail
hour da? or niihU
Suits cf rooms and superior accommodations for
A Ions experience in the business warrants tbs
protirietor in promising satisfaction loan woo roav
faror bim with their patronage, n
bT'bountifullT' supplied tables, plcaant room..
cleanly bed and assiduous attention t their wut.
' 3 J. U. S PR EN U Ell.
Albany, June , 16CS. v3n52tf
. i t a w tw - r 9 w
FROM AND AFTiir. lilift vaiu wui.
further notice,
At 6:30 A. 3L, connecting with the Steamer
Om MONDAYS and THURSDAYS of eaeh week,
For Salem, Albany and Corvallls
and all intermediate points ; and with the
On the same days for jjAYTON.
RETURNING Will leave Oregon City
at 1 o'clock P. M except Wednesdays and Sat
urdays, on which days she will await the arrival
of the steamers SUCCESS and ANN from above.
f&'For Freight or Passage, apply to J. II
- . . . t' u
glf;ll, at tne imencan ,euaugo ti uu..
seP26v4QCtf. Jf.-tf ATO, Prctdcitt.
k vtrrirD
(Succetor$ to Philip Miller,) .
Shop on Washington, bet. 1st and2dSt's.
form the publio at large that they are now
prepared to furnish , , ,
' - -Iaxd ;'
At the Most Reasonable Prices.
- On the very shortest notice'."' "
Uar7v3n29tf MILLER BRO.
'X indebted to the undersigned, will please come
forward and settle up, as the old Books must be
Closed by the 1st of January, 1869.
Albany, Dec. I068-nlTtf. :. A. COWAN.
ff V. .nil
fcL JLi
ikiis:s 1 1 hxt'n si i:ss a u u.
Pillow Citizens of the Senvtc and Ifousr.
of J!i2rcscntat!ns: ,
Upon the rcssctnbling of Congress it
aaiu becomes my duty to call your atten
tion to tho State of tlu Union ami to its
continued disorcanized condition. Un
der tho various views which have been
passed upon tho subject of reconstruction,
it may be afoly assumed as an axiom f;r
tho government of btutes that the great
est wrongs inilictcd on a people arc caused
by an unjust and arbitrary legislation, or
by tho unrelenting decrees of despotic
ruler, and that tho timely reparation of
injuries oppressive measure the great-
eat trood that can be conferred unon a
ualiou. Tho legislator or ruler who ha
tho wisdom and magnanimity to retrace
his steps when conviuced of error will
sooner or later do regaruea wuu ma re
spect and gratitudo of an intelligent and
patriotic. 'people. Uur. own history, al
though embracing a period of less than a
century, alFurds abundant proof that mot,
if not all, the fctate troubles are directly
traceublo to violations of tho organic law
and oppressive legislation. Tho most
striking illustration of this fact aro fur
niahed by the enactments of the past three
years upon the subject of reconstruction.
After a lair trial, they have substantially
failed and proved pernicious in their re
sults, and there seems to be no guod rea
son why they should longer remain on
the statute book, bt.v.cs to which the
Constitution guarantees a republican form
of government have been reduced to de
pendencies, in each of which the people
have been made subject to the arbitrary
will of a commanding General, although
the Constitution requires that each State
shall be represented in Congress m Vir
ginia, Mississippi aud Texas are yet ex
eluded from both Houses, and, contrary
to tho express provisions of that instru-
ment, have been dented participation in
tho recent election fur 1 'reside tit 'and
Vice President of the United .States.
The attempt to place the white popula
tion of the bouth under the domination
of persons of color in the .South 13S itu-
paired n noiuesiroycu inc kiuuiy rtianon
that had previously cxttcd between
them, aud mutual distrust has engendered
a feeling of animosity which, leading in
some instances to collision and bloor.fthsed,
has preveotei that cooperation Let w ecu
the two racas so essential to tho success of
ind. trial enterprise in the Southern States;
nor have the inhabitants of those States
alone tsuOered from the disturbed condi
tion of affairs growiog out of. Congress
ional enactmcuti. The entire Union has
bceu agitated by grave apprchruion
of troubles which might aain involve
the peace of the nation : its ioterestshavc
been injuriously a fleeted by the drought
ot business and lauor and consequent
want of prosperity throughout that por
tion of the country. The Federal Con
stitution, the magna chartor American
rights, under whose salutary provtMyns
we have successfully couducte I all our do
mestic and forcien affairs, sustained our
selves in peace and in war, and become a
great nation anions the power of the
earth, rnuit assuredly be now adequate
to the settlement of questions growing
out of the civil war, waged alone for its
vindication. This great fact is tnade"
more manifest by the condition of the
country. When Congress assembled, in
the month of December, 1C5, civil strife
had ceased : the spirit of rebellion had
spent its cutirc force in all the Southern
States; the people had warmed into na
tional hie, and throughout the whole
country a healthy reaction in public sen
timent had taken place by the application
of the simple yet effective provisions of
the Constitution. I he i.xecuttvc J depart
ment, with the voluntary aid of the States,
had brought the work of recstoration as
near completion as was within the ficopo
of its authority and tho nation wag en
couraged by the prospect of an early and
satisfactory adjustment of all its dilficul
ties. Congress, however, interfered, and
refusing to perfect the work so nearly;
consummated, and to admit members
from the unrepresented States, and ad
opted a scries of measures which arrested
the. progress of restoration and frustrated '
all that had been so successfully accom
plished, and after three years of agitation1
and strife has left the country further;
from that attainment of Uuion and fra
ternal feeling than at the commencement
of the Congressional plan of reconstruc
tion. It is now argued to show that the
legislation which has produced so bane
ful consequence's should be abolished or
else made to confirm with the genuine
principles of a republican government.
Uodcr tho influences of party spirit and
sectional prejudice, other acts have been
passed not warranted by the Constitu
Congress has already been inado fa
miliar with my views respecting the Tenure
of OfSco Bill.. Experience haff proved
that its repeal is demanded by the best
interests qt the country, and that whilo it
remains in force of the President cannot
enjoin that rigid accountability for public
officers, so essential to an honest , ana
effioient execution of the 'law. Its re
peal would enable the hxccutivo Depart
ment to exercise the power of appoint
ment and recall, in accordanco with the
original design of the Constitution. $
The acts of March 2, 1808 making ap
propriations for the year ending June
30. 18G8and for other purposes contain
provisions which .interfered with the
President's functions as C6mmandcr-inr
Chief of the army, and with his duty to
the States of the Union and their; righit
to protect the States by means of their
own militia. The ' provisions - should be
at once annulled j for while the' worst
might, ia times ef great emergency, seri
ously embarrass the Executive in his ef
forts to employ and direct the common
strength of the nation for its protection
and preservation, the other is contrary, to
the express declaration ot tt?o onstuu
turn tnat a weu , reguiaieu win b
necessary to tho security of a free State, -
tho right of the people to keep and bear
arms shall not to infringed. It is be
lieved that the repeal of such laws would
bo acceptable by tho American people as
at lcast a partial return to the fundutucn
priticiplcs of the Government, and an in
diction that thereafter the Constitution
is to bo mado the nation's sale nod true
guide. This can be productive of perma
nent benefit to tho countiy ; tho other
should not bo permitted to stand,-ns so
many monuments of the deficient wisdom
which has characterized our recent legis
lation. ,
The condition of our finances demands
tho early and earnest consideration of
Congress.' Compared with the growth of
our population, the public expenditures
has reached an amount unprecedented in
our history. The population of the Uni
ted States iu 17U0, was marly .4,0UU,UUU
of people. Increasing each decade at
the rate of about 20 per cent., It reached,
in 180U, :U,000,0Q0, mi increase of over
700 per cent, on the population of 17'JO.
fu 8$0 it is estimated that it will reach
18,000,000, or an increase of 80S per
cent, in seveuty-nino years. Tho annual
expenditures of the Federal Government
in 1701 were 4,200,000, in 1820 18,200,-
000, aud in 1H50 17,000,000, iu l?fl0
03,000,000, iu lt'C'i nearly 1 ,:JOU,000,UOU,
and in I Sfi'J it is estimated by the Secre
tary of the Treasury in his last animal
report that they will be 372,000,000.
By comparing the public disbursements
of 1800 (as estimated) with thofC of
1 1 01, it will be i-eeii that the increase of
expenditure f-inco the beginning of the
Government has been 8,018 per cent.,
while the merest of population for the
fame period was only 0S per cent.
Again, the expenses of the tjovernmcnt
iu 100-r-the year of peace immediately
preceding the war were only 03,000,000,
while in lS'O'J the year of peace three
years alter the war it is estimated they
will be 372,000,000311 iuereae of 4HJ
per cent., while the increase of popula
tion was only 21 per centum for the same
period. Tb o tatitics furlhvr how
that in 1701 the Miuual national cxp u.
ses as compared with the population were
a little more than SI j-r, rin.if,t1 and in
100 but ?2 pt r rointtt, while in lfiO'J
they will reach the extravagant sum of
S07fe r mjnta. It Will be observed
that all thene statements refer to an 1 ex
hibit the disbummcnt of peace period ;
it may therefore be intcrc ting to compare
the expenditure of the three war periods
the war with Great Britain, the Mexi
can war, and the war of the rebellion in
1'Cl. The annual expenses incident to
the war of IS 12 reached, at their higheft
amount, about 31,000.000, while our
population slightly exceeded $8,000,000,
showing an expenditure ff only 380 pr
mjnta. In lht the expenditures grow
ing out of the war with Mexico reached
600,000,000, and the population was
ahout 1,000,00s), giving only $200
ropt'tn for the war expenses of that year.
In IV 05 the xpcnditures called for by
the rebellion reached the va.t amount of
$1,200,000,000. which, compared with a
population of 45,000,000, gives 3,20
pT raptin. j rem inc -sin uay oi .uarcu,
17.0, to the 30th day ot June, lsfil, the
witire expenditures of the Government
were 01,700,000,000. During that peri
od we were engaged in" war with Great
Britain and Mexico, and were invulvcd
in hostilities with powerful Indian triljCs;
Louisiana was purchased from France at
a cost of 815,000,000; Florida was ce
ded to the United States by Spain for
85,000.000; California, was acquired
from Mexico for $15,000,000, and the
territory of New Mexico was obtained
from Texas for the sum of 610,000 000.
Early in the yt-ar 1801 the war ,f the
rebellion commenced, add from the 1st of
July of that year to tho 30th day of June,
1S05, fhe public expenditures reached
the enormous aggregate of 3,300,000,000.
Three years of peace intervened, and
during the time the disbursements of the
Government have successively been 8520,
000,000, $340,000,000, and $303,000,000.
Adding to these amounta the $332,000,
000 estimated as necessary for the fiscal
year coding on the 30th of June, 18GS, we
obtain a total expenditure of $1,000,000,
000 during the four years immediately
'succeeding the war, or nearly as much as
was expended during the' seventy years
that preceded the rebellion, and, too, em
bracing tho extraordinary expenditures
already named. These startling fact3 il
lustrate the necessity of retrenchment in
all branches of the public service. Abus
ces which were tolerated during tho war
fcr the preservation of tho nation, will
not he. endured by the people now that
profound peace "prevails. Tho receipts
from internal revenue have during the
past three years, . gradually diminished,
and the continuanco of useless and ex
travagant expenses will involve us in -national
bankruptcy, or else make a remark
able increase , in tho taxes already " too
largo, and in many cases obnoxious,' on
account of their questionable character.
One hundred millions yearly aro expend
ed for the military force, a large portion
of .which is'employcd in the execution , of
laws both unnecessary and unconstitution
al. $150,000,000 are required yearly to
pay tho interests on tho publio debt: An
army of tax-masters' impoverishes tho na
tion, and public agents ere placed by Con
gress' beyond the control of the Execu
tive, and divert from the legitimate pur
poses vast sums of money which they
collect from the people in the name of
the Government, f Judicious legislation
and prudent economy will only remedy
these doings and avert an evil which if
8uffcrcd to exist cannot fail to diminish
confidence in the public council and weak
en the attachment arid respect of the peo
ple toward their ' political institutions.
Without proper care the' small balance
which it is estimated Will remain in the
Treasury at tho close of the present fis
cal year will not be realized, and addition
al millions will be added to a debt which
is now estimated by billions. It is shown
by the able and comprehensive report . of
the Secretary ot the l rcasury, mat tli
DECEMBER' 19, "18G&V
receipts for tho fiscal year, ending June
30th, were 8105.038,083 32, and that
tho expenditures for tho same period
were $377,210,284 leaving in the Treas
ury a surplus of $28,397,700. It is esti
mated that the receipts during the pres
ent fiscal year, ending Juno 30th, 1800,
will bo 8311,302,808, and the expendi
tures $320,152,170, showing a fmtall bal
ance of $15,210,308 iu favor of the Gov
ernment, For the fiscal year ending June,
1870, it is estimated that the receipts will
amount to $327,000,000, and the expend
itures to $301,000,000, leaving an esti
mated surpiuj of $23,000,000.
It is proper iu thU connection to miit
brief reference to our public indebted
ness, which has accumulated with such
alarming rapidity and assumed such col
lossal proportions. In 1789, when the
Government commenced operations under
the Federal Constitution, it was burdened
with an indebtedness of $75,000,000,
ercated""TtiTring the. war of the Involution.
This amount had been reduced to $15,
000,000 when, in 1812, war was declared
against Great Britain. The three years'
struggle that followed largely increased
the national obligations, aud in 1810 they
had attained the sum of $127,000,000.
Wise and economical legislation, however,
enabled the Government to pay the entire
amount within a period of twenty years,
and the eutiiiguishment of the national
debt filled the land with rejoicing and
was one of the gwatet event of President
Jackson's administration. After its re
demption a large fund remained in the
Treasury, which was deposited for safe
keeping with the m: vera 1 States, on con
dilioii that it should be returned when
required by the public wants. 'In 1810,
the year alter the termination of an ex
pensive war with Mexico, we found our
M;lvts involved in debt $01,000,000, and
this vtv the amount of the debt of the
Govern me 1. 1 in 1800, jut prior to the
outbreak of the rebellion. J is the spring
of 1801 our civil war commenced; each
year of if continuance made an enormous
additon to the debt. When, iu the spring
of 105, the nation successfully emerged
from the conflict, the obligations of the
government had reached the immcn-e sum
ot t,K7:j,JJ2,U0!i. The Secretary of
the Treasury how that on the 1st day of
.November, 1807, this amount had been
reduced to $2,101,501,450; but at the
amc time his report exhibits an increase
during the pat year of $35,025,102, for
the debt on the ht day of November !at
is Hated to be $2,527,120,552. It is es
timated by the Secretary that the returns
for the pat month will aid to our liabili
ties Jhe further sum of U. 000,000, mak-
ing a total mcrca-e dumg 13 months of
$ 10,500,000. I n my message to Congress
ol JJccember 4, Lv0.j, it was luggcetcd
that a policy should bo devised which.
without being oppressive to the people,
would at once begin to effect a reduction
of the debt, and, if persisted in, discharge
it fully within a definite number of years.
The Secretary of the Treasury forcibly
recommends legislation of this'charaeter,
aud justly urges that the longer i is de
l t i - i.
iateu me more dsmcuit mut become its
accomplishment, we should follow the wi!
precedents tstabli.-hcd in 1701 and 1SI0,
and without further delay make provision
for the payuunt of our obligations at as
early a period as may be practicable. The
fruits of their labors should be enjoyed
by our citizens rather than used to build
up and sustain moneyed monopolies in our
own and' other countries. Our foreign
debt is alieady computed by the Secreta
ry of the Treasury at $50,000,000. Cit
rens of foreign countries reciivc inter
est upon a large portion of our ieeu
rities and American tax-payers arc made
to contribute large turns fur their support.
The idea that such a debt is to become
permanent should at all times be discard
ed, as involving taxatiou too heavy to be
borne. The payment once in sixteen
years at the present rate of interest, makes
an amount equal to the original sum. If
this vest debt is permitted to become per
manent and increasing, it must eventually
be gathered into the hands of a few and
enable them to exert a dangerous aud con
trolling power in the affairs of tho Gov
ernment, the borrowers would become the
lenders aud bo the rulers of the peo
ple . .
We now pride ourselves upon having
given freedom to 4,000,000 of the colored
race. It will then bo our shame that ten
millions of people by their own toleration
of abuses and profligacy have suffered
themselves to become enslaved, and
changed tho slave owner for new task
masters in the shape of bondholders and
tax gatherers. Besides, permanent debts
pertain to monarchical governments and
tend to monopolies, perpetuities and close
legislation, aud aro totally uureconcilable
with tho frco institutions introduced iuto
our Republican system ; they would grad
ually, but surcjy, sap its foundations, and
eventually subvert our governmental fab
ric and erect upon its ruins a moneyed
aristocracy 1 1 is our duty to transmit,
unimpovenshed, to our posterity the
blessings of liberty which were bequeath
ed to us by the founders of 'tho Republic,
and,.by our example, teach those who arc
to follow us carefully to avoid tho dangers
which threaten a: free aad independent
people,., ..'',...
Various plans have been proposed for tho
payment of tho publio debt. However
they may have varied as to the time and
mode in which they should be redeemed,
there seems to bo a general concurrence
as to the propriety and justice of areduc
tion on the present rato of interest' The
Secretary of the Treasury, in his report,
recommends five per cent; Congress, in
a bill passed prior; to its adjournment, on
the 27th of July last, agrees on four and
four and a half per cent, while by many
others three, per cent has been held to be
an amply sufficient return for the invest
ment. The general impression as to the
expediency of the existing rate of inter
est has led to inquiry in the publio mind
respecting ; the consideration which the
Government has actually received for its
bonds, and the conclusion is becoming
prevalent that the amount which it ob
NO. 18.
tained was in 'reality three hundred or
four hundred per cent less than the obli
gations which it issued in return. If can
not be denied that we are paying an extra
ordinary per centagc for the use of the mon
ey borrowed, which was paper currency
grpatly .depreciated below the value of
coin. This fact is made apparent when
we consider the bondholders receive from
the Treasury upon each dollar they own
in Government securities six per cent in
gold; which is quite equal to nine percent
in currency; that bonds are then convert
ed into capital for national banks, upon
which those institutions issue their circu
lation, realizing six per cent interest, and
that they are exempt from taxation by
the Government, and thereby .enhanced-'
two per cent in the hands of the holder.
We thus have an aggregate of seventeen
per cent which may be realized upon each
dollar by the owncra of CrWrnment Se
curities, A system that prodaces sach results is
justly regarded ns favoring a few at the
expense ot the many, and has led to the
further inquiry, whether bondholders, in
view of the large profits which they have
enjoytk, would themselves be averse to
the settlement of our debts upon a plan
which would yield them a fair remunera
tion anil at the same time be just to the
tax payers of the nation. Our national
credit should be xacredly observed, but in
makinsf a proposition for our creditors we
should not forget what is due to the mass
es oC the people. It may be assumed
that the holders of our securities haveal
teady received upon their bonds a larger
amount than their original investment,
measured by gold standard. Upon this
statement of facts it would mra but just
and equitable that the aix per cent inter-c-t
now paid by Government ihould be
applied to the reduction of the principal
in semi-annual installments, which, in six
teen years and eight months, would lioui-
Maw im enure nauoDai uevi. rax.
cent in gold would be, at present rates,
equal to uine percent in currency equiv
alent to the payment of the debt one and
a half times in a fraction less than feven
tecn years. This, in ud lition to other ad
vantage derived from their investment,
would affurd to the public creditors a fair
and liberal compensation for the use of
their capital, and with this they should
be satisfied. TLo lessons of tho vast ad
monish the lender that it is not well to be
over-anxious in exaetin-' from the borrow
er a rigid compliance Provision must
be made for tho payment of the indebted
ness ol the Government in. tho manner
suggested, or the nation will not rapidly
recover it prosperity, its interests re
quire that some mea.tures should be taken
to release the large amount of capital in-
eHcu in the Government. It is now not
merely unproductive, but in taxation it
annually cousumes $150,000,000, which
would otherwise be used by our enterpris
ing people in aiding those of our t-eople
needing encouragement in thrT efforts to
recover from the effects of the rebellion
and injudicious legislation ; and it should
be the wilicf the Government to stimulate
them by the awurauce of an early release
from the burdens which impede their
prosperity; if we cannot take the burdens
from their shoulders we Bhould at least
mauifefet a willingness to help to bear
them. In referring to the condition of
their circulating mediums I tdiall merely
reiterate the relations, as substantially
slated in my last annual message. In re-
latum to the subject ot the relations
which the currency of any country should
bear to the aunual produce circulated by
its means, it is a question upon which po
litical economists have not agreed, nor
can it be controlled by legislation, but it
must be left to the laws which everywhere
regulate commerce and trade. The cir
culating medium will flow to those points
where it i iu greatest demand : tho law
of demand and supply is as unerring as
mat wincu regulates tho tides ot the
ccan; aud indeed currency, like the tides.
has its ebbs, and flows throughout the
commercial world. At the beginning cf
the rebellion the bank note circulation of
the couutry amounted to not much more
than $200,000,000 ; now tho -circulation
of the National Hank Notes and thoso
known as legal tenders, is nearly $700,
000,000. It is argued by some that this
amount should be increased and thus con
tend that a decrease is absolutely essential
to the interests of the country. In virtue
of these adverse opinions it may be well
to ascertain the proportional value of our
paper issues when compared with a me
tallic or convertible currency. For this
purpose let us inquire how muoh gold
and silver could be purchased by the
$700,000,000 of paper money now in cir
culation. Probably not more than half
tho amount of the latter, showing that
when our paper currency is , compared
with gold and silvor its commercial value
is compressed into $350,000,000. This
striking fact makes it . the duty of the
Government, as early as may be consistent
with the principles of sound . political
economy, to take such measures as will
cnablo the holders of its notes and those
of the National Banks, to convert them
without loss into specie. Tho equivalent
reduction of our paper circulating medi
ums may not follow. , This, however,
would depend on the law, of demand and
supply, though it should be borne in mind
that by making legal tenders and bank notes
convertible into coin, or its. equivalent, the
present specie value in the hands of their
holders Would bo enhanced 10 per cent. :
Legislation for the accomplishment of a re
sult so desirable is demanded by the highest
consideration i The Constitution contemplates
that tho circulating medium of the country
shall bo uniform in quality and value. ,: At
tho timo of tho formation of that instrument,
tho country had just emerged from, the Rev
olutionary War, and was suffering from -tho
effects of worthless paper currency. ' The
sages of that period were anxious to protect
their posterity from the evils which they
themselves had experienced ; hepce,, in pro
viding for a circulating medium, f they con
ferred upon Congress the power to coin mon
ey, and regulate tho value thereof, "at the
same time prohibiting the States from mak -J
ing anytumg JDU6 goiu mm suver a legal len
der in payment of debts. " The anomalous
condition of our currency is in striking con
Column, $100 y Half Column, $00 j (garter Cof
omn j' $35. ' -'""";- -: ,;..".
Transient Advertisements per Sqnore often linci
orless,rst insertion, $3 j ach satseqaent Inser
tion,.!. ! . ,,- , . -,..
A square is ono Inch 5n space down tie column;
counting cuts, display lines, blanks, Ac, as solid
matter. Xo adrertWrnerit to be-considered )
than a square and all fractions counted a full
'jare. All' nd rertiseraents inserted for a less
period than tLrce months to W regarded as tran
sient. ' . ' ;'
trast with that which was originally design
ed for our ciroulfttfon. It now embraces
1st Notes of National Banks, 'which arc"
mads rectivabl! for nil doe to the Govern
ment excepting imports, and by all its cred
itors excepting for payment of- interest upon
its bonds nnd the securities themselves. 2d
Jegal tender notes issued by the United
States, and which the law requires should be
received as well in payment of, all debts duo
between citizens... 3d Gold and i!vcrcoin.
JJy the operation of our present system of
finances, however, the metallic currency;
when collected; i3 received for only one class
of Oovernrnertt creditors those holding
bonds, who stmi-nTintiiilly receive their
interest in coin from the National Treasury.
There is no reason which will be received
as satisfactory by the people, by those who
defended the United States on the land and
protected the Uoi'd States on the sea, tho
pensioners upon the gratitude of the nation,
tearing the scars and wounds receive1 'vhile
in its service, .the public servants in the va
rious departments of the Government, the
fanner who supplies the soldiers of - the ar
my and the sailorn of the navy, the artizan
who ij$ in the nation's workshops, the me
chanics and laborers who build its edifices
i . t i .1 i. .
nun construct H" Juris aiiu vcsseia oi war,
should, in payment of their just and hard-wmw-d
due, receive depreciated paper;
while another class of their countrymen, no
more deserving, are paid in coin of gold and
diver. Kqual and exact justice requires
that all .the .creditors' of the Govornment
should be paid in a currency poessing a
uniform value. This can only be accom
plished by the restoration of the currency to
th standard established by the Constitution.
On this foundation and by thi means we
would put an-end to e discrimination which
may. it it has not already done o, create
pre'ijdice that may become deep-rooted and
widespread and impair the national credit
The feasibility of making our currency
correspond with the constitutional stand-
ara may re seen oy reierence o a iew
faet.s derived from our commercial statis-
tics. The aggregate produce of the pre
eioos metals in the United States from
IS 10 to 1807, amount to $1,174,000,000,
while for the tame period the nett ex
ports of specie were $74 1 .550,000. This
shows an excess of products over the ex
port of $433,000,000. There are in the
Treasury 8103,407,035 in coin. The
circulation in the States on the Pacific
coast is about $40,000,000 and $2,000,
000 are in the national and other banks,
in all less than SIGO.000,000. Taking
into consideration tho specie in the coun
try prior to 1S49 and that produced since
IiG7, we hare more than $200,000,000
not accounted for by exportation or by
the returns of the Treasury, and therefore
n;tt probably remaining in the country.
Thc?e are important facts and show how
completely the inferior' currency will su
percede the better forcing at will its cir
culation among the m3c.i and causing
O 'mm
it to be exported as a mere article of trade
to the money capitals of foreign landj.
They f how the necessity ot retiring our
parer money that the return of gold and
silver to the avenues of trade may be in
vited, and the demand created which will
came retention at home of so much of the
gold bearing fields as may be Fuflicient
for tho purpose of circulation. It is un
reasonable to expect to return to a sound
currency as long as government Banks
continue to issue irrcueemablc notes with
chancer of circulation with depreciated
paper. Notwithstanding the coinatre of
our mint since 1S40, of $874,00lT,000,
the people are now strangers to the cur
rency which was designed for their use
and benefit, and specimens of the precious
metals bearing the national device are
edora fcen, except when produced to
gratify the iutcrest excited by their nov
elty. If .depreciated paper is to be
coutinued as the jermanent currency of
the country, aud ail our coin is tohecomo
a mere article of traffic and speculation,
to the enhancement in pric of all that
appertains to the comfort of tho people,
it would bo wise economy to abolish our
mints, thus saving the nation the care;
and expen&e'incidcnt to each establish
ments and to let all our precious metals
bo exported in hullion. .The time haa
come,, however, when the Government
and national hanks should'be required to
take the most efficient steps and make all '
necessary arrangements for a resumption
of f pecie payments. Let specie payments
once more be earnestly inaugurated bj
the Government, and banks and the value
of the paper circulation would directly
approximate a specie standard. Specio
payments having been resumed by tho ,
UnvTninint antl hnnt all rtntM or bills
all 111 lAL LJ1 Ul UU1 1 ILU lULAIIlUw t.1 Ulu
of papers issued by either of a jess de-.
nomination than $20, should, by law, bo
excluded from circulation so that the peo :
pie may have the benefit of a gold and
silver circulation which in all their trans- ;
actions will be uniform in value at homo
and abroad. Every man of property and
industry, every man who desires to pre
serve what he honestly, possesses or to
obtain what ho can honestly earn, has a
direct interest in mniotaining such a cir '!
eulating medium as shall be real and euh'
stantial, and not liable to evaporate with
opinion, and not i subject to bo blown up
or down by the breath of speculation, but
to bo made stable and secure. A dis
ordered currency is one of the greatest
political evils.. It undermines the virtues .
necessary for' tho support of the social
system and e icourage propensities de
structive of itl own happiness! It wars
against industry, frugality and economy,
and fosters an evil spirit of extravagance -
and speculation. It has been asserted;
by ono of our profound statesmen, that''
of all contrivar-ecs for cheating the labor
ingclasscsof mankind,nonehavebeenuioro' '
effectual than that which deluges them
with paper currency. This i tho most
effectual of inventions to fertilize th& rich
man's fields by the sweat of the poor nianV
brow. Ordinary tyranny, oppression by '
excessive taxation, bear lightly ; on- tho'
happiness oftlie cominunity1 compared
with a fraudulent currency and the rob
beries committed by a depreciated paper.-
Our own history has recorded Vf or our;
instruction enough, and more than enough
of the demoralizing tendency of the in
justice and the intolerable oppression ons
the virtuous and well disposed by de--graded'
paper currency. Authorized ,h
Concluded on 2nd Pjr, - '