Democratic Sentinel, Volume 2, Number 14, Rensselaer, Jasper County, 17 May 1878 — LETTER FROM PETER COOPER. [ARTICLE]

LETTER FROM PETER COOPER.

The Specie Basis a Delusion and a Snare. We print below tho letter of Peter Cooper, of New York, in reply to an iuvitation to appear before the Committee of the House of Representatives on Banking and Carrcncy: To the Hon. A. H. Buckner, Chairman of tho Committee on Banking and Currency: Deae Bib — l thank you for the honor you have extended to mo in the invitation to appear before you, as the Committee of Banking and Currency appointed by the House of Representatives, to recommend the best financial measures for the consideration of Congress and the people. I cannot hope, however, to throw any new light on these questions of finance into the minds of men trained as you have been, and having such wide sources of information as are open to you from all sides on this momentous question. But I can express to you my convictions, which I believe to be those of tho majority of the voters of this country. The events of the last few years, the quick revulsion from a state of unparalleled prosperity in this country to one of suffering and industrial and financial ruin, has opened the eyes of this people to the causes ; and they are convinced that these causes are neither natural nor uncontrollable, but the direot effect of bad legislation on the part of Congress, and the vicious principles that have hitherto governed legislation on the subject of finance. The people are determined that they will no longer allow their representatives and their executive officers of the highest grade to make laws and administer them in such a way—whether ignorantly or with intent—as to promote the interest of a certain class, at the expense of the prosperity and happiness of the large majority. This is a simple question of fact, and it is a cruel aggravation of the fact to be told by our political doctors that “ it cannot be helped, and must be borne as a natural evil ” —such as extravagance, over-trading, overproduction, etc.

The American people are determined to take their financial interests into their own hands, by using their own accredited agencies, and not leave their management in the hands of those who are not directly responsible to tne people. The entire control of the volume of currency, or what shall be legal tender in this country, the exclusive issue and coinage of such money, the chief source of the capital and of credit necessary to keep the whole population usefully and profitably employed, can no longer be left to private corporations, and those general and uncontrollable 3auses that will operate in the absenco of a wise, provident and paternal legislation in behalf of the people. As far as I can learn from the most careful attention to the signs of public sentiment, I must give it as my conviction that the people of this country arc determined on two things as respects the future financial policy of this Government. 1. As the present CoDgress has already partially remonetized the silver, they intend to complete that work by making silver a full legal tender for all debts, public and private, except those now under a special contract, and have a free and unlimited coinage, with the silver coin and bullion certificates made into a legal tender and a common currenoy. 2. The people intend to remonetize all their paper. All that passed current as money at the end of tho war, and was issued by the Government for material, labor and service, and “full value received,” and hence became the “ people's mone;/ but which was unrighteously absorbed in bonds, or destroyed by taxing it out of existence. All this money must be restored to the people, as full legal tender, and thereafter not made redeemable by gold alone, or a specie basis exclusively, but ever redeemable in taxes, gold, silver, or bonds, at the option of the Governlaent.

The people are willing to take every means to make their paper as available as gold or silver, in every market of the world, and on a “par with them,” but will not subject it to the dishonor of either limiting its legal tender, or compelling by law its conversion to coin before it is accepted as money. They look, now, with complacency upon the fact that the national money is regarded in the market, as “good as gold ”but they look with dread upon a compulsive legislation that, in the shape of the “Resumption act,” puts the whole credit of our national paper into the hands of those who can. at any time it may suit them, bring discredit upon it by removing the few millions of specie upon which its whole credit is based. This specie basis is a “delusionand a snare.” The people have found it so in the past, and they are determined no longer to trust to it in the future. Alabama has latelv proved that the credit even of a single State'is better than “ a specie basis.” In saying this much to the committee, I am only asserting what I believe to be the simple truth ; for I know the large and constantly increasing conviction of the intelligent people of this country—those who will rule public sentiment, and make and unmake the administration and laws of the country. I will do myself the honor to appear before your committee at the earliest day possible, before the expiration of the present month. I herewith send you, and recommend to your notice, some carefully prepared documents that may assist you in your deliberations, which I pray God may be directed to the restoration of the condition of prosperity to our beloved country, which the unwise legislation of the past has taken away. With great respect, I remain your obedient servant, Peter Cooper.