RESUMPTION OF SPECIE PAYMENTS. 451 



firms their truth. Every shock that our circulating system 

 has sustained from the year 1791 to this day can be directly 

 traced to the pressure of the metallic standard. In 1816 

 and 1819 the very foundations of society were giving way. 

 In 1826 the whole circulating system was suddenly falling 

 upon our heads. In every instance the paper saved us, 

 and nothing but the paper. ' ' 



In the United States Senate, in 1838, Henry Clay said: 



"Whatever a government agrees to receive in pay- 

 ment of public dues, is a medium of exchange is money, 

 current money, no matter what its form may be." 



John C. Calhoun, the idol of Southern Democracy, 

 and the most eminent statesman of which that party can 

 boast, said: "It appears to me after bestowing the best 

 reflections I can give on the subject, that no convertible 

 paper, that is, whose credit rests on a promise to pay, is suit- 

 able for currency. On the other hand, a national currency, 

 while it would greatly facilitate its financial operations, 

 would cost next to nothing, but would give to every branch 

 of industry great advantages. And I now undertake to 

 affirm, without the least fear that I can be answered, that 

 a paper issued by the government, with but the single 

 promise to receive it for dues, would form a perfect paper 

 circulation, which could not be abused by the government; 

 that it would be as uniform in value as metals, and I shall 

 be able to prove that it is within the constitution and power 

 of Congress to provide such a paper, according to the most 

 rigid rule of construing the constitution." 



Thomas Jefferson said: 



"Treasury bills bottomed on taxes, bearing or not 

 bearing interest, as may be found necessary, thrown into 

 circulation, will take the place of so much gold and silver. " 



Notwithstanding this array of evidence from the emi- 

 nent authorities above quoted there will still remain some 



