wn party at his back. Enough Republicans,
however, were of his way of thinking to prevent an irremediable
inflation of either greenbacks or silver.

The credit for what was accomplished in finance belongs in the main to
John Sherman, a great financier and consummate statesman; but he had the
constant sympathy and support of the President. It was their custom to
take long drives together every Sunday afternoon and discuss
systematically and thoroughly the affairs of the Treasury and the
official functions of the President. No President ever had a better
counselor than Sherman, no Secretary of the Treasury more sympathetic
and earnest support than was given by Hayes. Sherman refunded 845
millions of the public debt at a lower rate of interest, showing in his
negotiations with bankers a remarkable combination of business and
political ability. Cool, watchful, and confident, he grasped the point
of view of New York and London financial syndicates, and to that
interested and somewhat narrow vision he joined the intelligence and
foresight of a statesman. Sherman brought about the resumption of
specie payments on the 1st of January, 1879, the date fixed in the bill
of which he was the chief author and which, four years before, he had
carried through the Senate. It was once the fashion of his opponents to
discredit his work, and, emphasizing the large crop of 1878 and the
European demand for our breadstuffs, to declare that resumption was
brought about by Providence and not by John Sherman. No historian of
American finance can fail to see how important is the part often played
by bountiful nature, but it is to the lasting merit of Sherman and Hayes
that, in the dark years of 1877 and 1878, with cool heads and unshaken
faith, they kept the country in the path of financial safety and honor
despite bitter opposition and clamorous abuse.

These two years formed a part of my own business career, and I can add
my vivid recollection to my present study of the period. As values
steadily declined and losses rather than profits in business became the
rule, the depression and even despair of business men and manufacturers
can hardly be exaggerated. The daily list of failures and bankruptcies
was appalling. How often one heard that iron and coal and land were
worth too little and money too much, that only the bondholder could be
happy, for his interest was sure and the purchasing power of his money
great! In August, 1878, when John Sherma