Can the Country Pay the Expenses of the War?

2 || triaus zeal to inspire the public with confidence, ! and so enable the Government to negotiate its loaps and meet with promptitude all its obli- | gations. But, Mr. Speaker, my main object ifo-day is to dissent from the statements made in that debate as to the facts in respect to the amount and condition of the public debt; to protest against the deductions drawn from them, even if they are as represented; but more particularly to show that I there is nothing up to this date in the condition of the debt or the currency which justifies a depreciation of from thirty-three and-a-third to forty per eent. in the latter as against gold and silver; or warrants the improvident and wicked J speculation in merchandise and commodities now prevailing in the Atlantic cities to so fearful an I extent. To effect this purpose 1 propose, in the first place, to eall the a1 tention of this House to the late report of the Secretary of the Treasury. On page 17 of the report to this Congress we find the following: . “The limit prescribed by law to the issu" of United States notes has been reached, and the Secretary thinks it clearly inexpedient to increase the amount. When circulation exceeds the legitimate requirements for real payments and exchanges, no addition to its volume will increase its, value On the contrary, such addition tends inevitably to depreciate; and depreciation, if addition be continued, will find its only practical limit in the utter worthlessness of the augmented mass. | “ When Congress authorized the. erection of debt, to a certain extent, in the form of United States notes, andim- pressed on these ne.tes the qualities oi a circulating medium, its action was justified by the disappearance of coin in consequence of the suspension ot specie payments; by the necessity of providing a medium in which taxes could be collected,loans received, and payments made; and by the obvious expediency of providing that med urn in the form of national issuesinstead <>f resorting to the paper of banks. Under the circumstances its action was wise and necessary; but it was equally wise and necessary to limit the extent of the issues by the n>-cessity which demanded them. They were wanted to fill the vacuum caused by the disappearance of coin and supply the additional demands created by the increased number and variety of money payments. Congress believed that $4u0,t00,009 would । suffice for these purposes, and therefore limited issues to > that sum. “ The Secretary proposes bo change of this limitation, and places no reliance, therefore, on any increase of resources from increase of circulation. Additional loans in this mode would,-indeed, almost certainly prove illusory; for diminished value could hardly fail to neutralize in- j creased amount. “Sufficient circulation having been already provided, the Government must now borrow I i Im .any othey employer of | capital temporarily requiring more than income will supply, and rely for the credit which will secure advantageous loans upon good faith, industrial activity, accumulated though not immediately available capital, and satisfactory provision for punctual payment of accruing interest and ultimate reimbursement of principal.” I regard these declarations of the Secretary as conclusive as to his opinions and designs.— His opinions are that sufficient circulation has been provided; that it cannot be increased except at the hazard of swiit^destruction to the whole system; that no change in the litation or increase of the circulating medium which is $400,000,000, ought to be considered for a moment. Here is au official declaration that $400,- 000,000 of currency have been supplied and are the outside limit that the Secretary will consent to issue, although the law allows $450,000,000. Ought not the country to be satisfied with this, the assurance of the Secretary of the Treasury plus he had, or was likely to have, over and above the requirements of his Department. I desired h in to be so instructed for the purpose of regulating his powers in the direction of his country’s necessities. To me his powers lay in the fact that he could hold the gold or keep it out of the market. To direct, the sale of any surplus beyond the wants of the Treasury was to limit and restrict his powers. I desire to protect the people against further expansion, to restrain the madness of speculation that was holding the nation by the throat, and to which the Government at the moment was an unwilling party ; and, sir, I have not changed my opinion. Reflection has confirmed my previous judgment. But I pass from the further consideration of this part of the subject Each day has added to the testimony that if the importations do not suddenly diminish the price of gold will advance to much higher points; speculation receives a new impulse; prices of the necessaries of life rise in a corresponding degree; and the responsibility of the whole matter rest upon Congress for declining to disembarrass or relieve the Government from a position that no one in his senses ever supposed it would occupy. The question, to my mind, is one of great national importance, second to none now influencing our action. It ought not to be regarded from a political stand point. It shall not be as far as I am concerned; but purely and entirely with I reference to its practical bearing upon the interests of the people of the United States. Sir, in the discussion that followed the introduction of this bill, statements were made, and deductions drawn from those statements, which have pas-ed into wide circulation. I think them calculated to swell the entreat of improvident speculation, weaken still more the public confidence, depreciate still more the public credit, advance still higher the price of the precious metals, increase to a still greater degree the ne-1 cessities of the Government, and, just in the same proportion, add to the burdens of a people already staggering and reeling beneath the weight of great anxieties and expenses. Dark predictions were uttered of speedy national bank-1 ruptey, and solemn warnings of national repu-1 diation. Tnese declarations were supported by I references to the figures of our public debt. The currency was declared to be $1,000,1)00,000!— In my judgment, such predictions and statements cannot be made in this House or anywhere else without damage to the public credit aud to private interests. Nor can they be without their effect upon the thousands of soldiers in the field, far away from their homes, in an enemy’s country. They look to Congress to build up the national credit, to strengthen it if it is really endangered, to fortify it where it needs a breastwork, that they may feel secure of ample supplies of men and money until the war is successfully and honorably terminated. Sir, with all my objections to the financial system of the country, I feel it to be my duty to support that system un^il War i® 1 think it the duty of every man in this House to labor with indus-

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