Not at all, gentlemen. It shows only that, in order to secure to the people the benefit of the circulation of a good value currency, it is necessary that the volume of the paper money out be not permitted to be in excess of the real requirements of the business of the country, but should be kept within those requirements. Then the precious metals will stay in active circulation and their supply will regulate itself according to the wants of trade. But you ask: “Will not that again cause a grinding and oppressive contraction?” I answer, not in the least; and why not? You all will agree that we do not want more currency than the requirements of business demand. For every greenback dollar withdrawn and held back by the Treasury a coin dollar will unfailingly appear in circulation, if that dollar is demanded for circulation by the requirements of business. It will either come out of the Treasury, and stay in circulation, or, in obedience to the same law which makes water flow down hill, it will come from some part of the world where it has less profitable employment, or its place will be supplied by bank emissions always ready to fill a gap. You see how little reason there is under the specie payment system to fear contraction as a cause of financial disturbance and depression. And it is very much to be regretted that the vague apprehensions produced by a diligent parading of that same bugbear has misled so many well-meaning men into the support of inconsistent and dangerous measures of legislation. The less the Government has to do with the volume of the paper currency, the better that volume will regulate itself, and the less shall we hear, and the less will the people be afraid of contraction as the source of all human ills.
Still another vague impression has been produced upon the popular mind, that the old silver dollar of the fathers is a sure medicine for all economic ailments, and our
