Southern Argus. [volume] (Columbus, Miss.) 1834-1842, 1837-07-04
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in the State, and perhaps n me Oni'eo
States:
These facts / presume, cannot be
Now if such are the disadvantages,
and if there be so great q difference IN
favor Of agricultural over bank invest
ments: why should there not be a change
in the systeml
It is because our legislators have not
properly considered the Importance OF
the subject, or if considered or they
have not acted wisely.
The citizens of other States have
found it to their interest to invest their
surplus funds In bank stock, because,
in many parts of the old states, agrl-
culture would not yield exceeding 3 to
S per cent. / have refused money,
even when pressed to take it at 6 per
cent; but not in Mississippi. No In
vestment is considered a good one in
this State that will only yield the
simple interest, notwithstanding the in-
terest is higher than any other state
except Louisiana.
There are many individuals through
out the old states, whose only income
is the simple interest on their money,
and they consider it better than any
investment which thay can make, but
there are no such capitalists in our
State, for the reasons above stated.
With these facts before US, it is man
ifest that better policy should be pur-
sued, and that policy is the establish
ment of a State Bank and no other.
Let any one for a moment reflect
upon the advantages Of the present
system, and he will, | am persuaded,
readily sanction the latter plan.
Where there are so many different
institutions, located in different parts Of
the State, owned by so many different
individuals, managed'too often byincom-
peteRt men, it prevents concert of ac-
ton, destroys confidence and will for
ever prevent a uniform currency.
Look at the present condition of our
Banks, and the currency, with capt.
tai three times as great as our State re-
quires, they are entirely unable to re-
lieve the people, or liable, are not will
ling; confidence in the whole of them
greatly impaired, their money within
our own limits below par, in proper
ton to the distance we are from them,
and their stock IS per cent. discount.
Are these facts staring us in the face,
and need we go far to give incontesti-
bic proof We cannot rely upon such
institutions for relief in time of need,
and cannot expect them ever to pro-
duce even a uniform state currency.
The directors are generally the largest
stockholders, and they like all the rest
of US are actuated by selfish motives;
but this would not be the case with
State Bank, there would be an ident
ity Of interest; what would affect the
Bank, would the citizen; what would
benefit the one, would the other; every
man would be equally interested; the
directors could not be elected by the
amount of stock; but by their qualifca-
tons; nor could they be the keepers of
a mans estate; five had to pledge orr
property by deeds Of trust, it would be
to the State and not to few interest
ed individuals, from whom we need not
expect the least lenity.
Whilst bankstock is not profitable to
our citizens individually, it would he col.
lectively. Individuals can trade. spec-
ulate, and change their capital; the
state does not. The interest accruing
in the State Bank should be applied to
defraying the expenses of the Gov
eminent, which would gradually lesson
the State taxes until it might finally, be
entirely taken off. Here is an advan-
tage which the poorest citizen would
feel. In the course of 10 years, | doubt
not, but that a State Bank in Missis-
sippi properly conducted would paw
the entire state tax, and reduce the rate
OF interest to or 6 per cent, or if
thought advisable not to reduce the IT,
terest, it would be in the power of our
legislature by means other Bank, great
~ to promote internal improvement,
aid and establish literary institutions
and do incalculable good of which we
have not now an adequate conception.
Look at the enviable condition Of
our sister state: Alabama. / am in
formed that last year her citizens had
no state tax to pay. See what her le-
legislature has done; whilst others have
met and adjourned without accomplish
ing much good, it is within her power
to give relief; she is able to increase
her discounts instead of contracting
them; her notes are better than those
OF any Of the adjoining states: in fact
they have here been sold at a premium
OF 2 to Z per cent. No one IS afraid
to keep her money; the state is pIedg-
ed for its redemption, and one feels
with those notes, that he had the hest
representative which could be piven If
metallic currency. The Bank and
the people are one; when one suffers
the other sympathizes and relieves.
but not SO with these little petty VII.
lage Banks; when you are oppressed
they Cypress the more; and the verv