Like every other West, the West of 1868 was in debt; like every other debtor community, it was liable to yield to theories of inflation, and was prone to look to politics for redress of grievances. The farmers of Massachusetts and Connecticut had followed Shays for this purpose in 1786; Ohio and Kentucky had attacked the second Bank of the United States when it forced their banks to pay their debts; and now the Northwest listened to politicians who told them that more greenbacks would cure their ills.
The advocates of the Greenback movement urged that the legal tenders be retained as the foundation of the currency, and that all bonds and interest payable in "lawful money" be paid in paper. By thus increasing the volume of greenbacks in circulation they hoped to avoid a fall in prices or an increased pressure on the debtor. Wherever men were heavily in debt, they accepted this doctrine. George H. Pendleton, of Ohio, became its most prominent spokesman, though it received the support of men as far apart as Thaddeus Stevens and B.F. Butler, and on it as an issue Pendleton sought to obtain for himself the Democratic nomination for the presidency in 1868.
[1] In the cases of Knox vs. Lee and Juilliard vs. Greenman.
The aspirations of Pendleton, when his friends brought his "Ohio Idea" to the national convention, in Tammany Hall, New York, on July 4, were opposed by the similar desires of Chief Justice Chase, who still wanted the Presidency, and Horatio Seymour, the Democratic war Governor of New York. In its leader, commenting on the convention, Harper's Weekly asserted that "The Democratic Convention of 1864 declared the war a failure. The loyal people scorned the words and fought on to an unconditional victory. The Democratic Convention of 1868 declares that the war debt shall be repudiated. And their words will be equally spurned by the same honorable people." Pendleton failed to secure the nomination, which went to Seymour, on the twenty-second ballot, with Francis P. Blair, Jr., for the Vice-Presidency, but the "Ohio idea" was embodied in the platform of the party, although Seymour distinctly disavowed it.
Pledged to what the East commonly regarded as repudiation, the Democratic party was severely handicapped at the beginning of the campaign. Not only could their opponents reproach Seymour as a Copperhead, but they could profess to be frightened by Wade Hampton and the "hundred other rebel officers who sat in the Convention." Already including "treason," and disloyalty, the indictment was amended to include dishonor, by the Republicans, who scarcely needed the strong popularity of Grant to carry them into office.
The Republican party was compelled to disguise itself as "Union" in 1864, and it paid for the disguise during the next four years. Upon the death of Lincoln, the Tennessee Democrat, Andrew Johnson, took the oath of office. The bond which kept Democrats and Republicans together as Unionists had dissolved with the surrender of Lee, so that Johnson was enabled to follow his natural bent as a strict constructionist. His policies had carried him far away from the radical Republicans before Congress convened for its session of 1865-66, and led to a positive breach with that body in 1866.
The quarrel between Johnson and the Republican leaders was occasioned by his views upon the rights of the Southern States, conquered in war and held within the military grasp of the United States. It was his belief, as it had been Lincoln's, that these States were still States and were in the Union, even though in a temporarily deranged condition. As President, entrusted with force to be used in executing the laws, he regarded himself as sole judge of the time when force should no longer be needed. And in this spirit he offered pardon to many leaders of the Confederacy in May, 1865. He followed amnesty with provisional governments, and proclaimed rules according to which the conquered States should revise their constitutions and reëstablish orderly and loyal governments. He had reorganized the last of the eleven States before Congress could interfere with him.
The difference between Johnson and his Republican associates lay in the character of the restored electorates in the South. The whole white population had, in most States, been implicated in secession. There was no Union faction in the South that remained loyal throughout the war. Pardoned and restored to a full share in the Government, these Southern leaders would come back into Congress as Democrats, and with increased strength. The Thirteenth Amendment abolished slavery, and raised the representation of the negroes in the South from the old three-fifths ratio to par. Every State would come back with more Representatives than it had had before the war, and with the aid of Northern Democrats it was not unlikely that a control of Congress might be obtained.
To Northern Republicans it was unreasonable that the conquered South should be rewarded instead of punished, and that any theory of reconstruction should risk bringing into power the party that Union men, headed by Lincoln, had defeated in 1864. Politicians, interested in the spoils of office, were enraged at the thought of losing them. Disinterested Northerners, who had sacrificed much to save the Union, believed it unsafe at once to hand it over to a combination of peace Democrats and former "rebels." Yet this was Johnson's plan, and Congress, with radical Republicans in control, set about to prevent it.
Although Johnson, as President, controlled the patronage, Congress possessed the power, if not the moral right, to limit him in its use. No appointment could be made without the consent of the Senate, which was Republican. In 1867 Congress enacted that no removal should be made without the same consent, in a Tenure-of-Office Bill that brought the dispute to a climax. More important than this power of concurrence was the exclusive right of each house to judge of "the elections, returns, and qualifications" of its own members. So long as the Southern Senators and Representatives were out of Congress no power could get them in without the consent of either house. Violent advisers of the President argued that a Congress excluding the members of eleven States by prearrangement was a "rump," and without authority, but they failed to influence either the conduct of the majority or the acts of Johnson.