The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1838-03-01
PUBLIUS-NO. XIV.
THE CURRENCY-BANKING. e.,

The one bank and branch system as fit to super
sede the present inefficient and defective Of a
multitude Of isolated banks, was suggested in the
Richmond Enquirer the 10th of May, 1887. The
same writer continued 10 urge it the public atten
ton and favor, Gin series of letters published in
that paper) until the meeting of the special session
of the General Assembly, in June. Since, it has
been urged through the columns Of the r. Wing of
the 22d of August, 1887 and repeatedly since
through the calumns OF the Madsonan. Pope has
truly said for sometimes the truth is told in poe
try
That all we feel of fame begins and ends
In the small circle ofour foes and friends"
Some of the Enquirers correspondents have quot
ed the suggestion with appreciation. Its Editor has
been ------- - The able Editor Of the
Madisonian, and some of his correspondents have
greeted the suggestion with strong praise and pro-
misses of future support When the suggestion was
first made in the enquirer, the Wing decidedly con-
demned II, as follows, on the 18th OF May, 1887 :
II is sufficient answer TO the suggestion OF -.
:, in the Enquirer that his single bank in each
State, must, Of necessity, be deposite bank and
therefore Government machine. Those who cry
out against exclusive monopolies, as being IN VI
olation of the spirit and letter Of the Constitution
will find but little to sustain them in their attempt TO
exclude all competition in the business of banking"
sc. &c. What says the Wing now !" The plan
proposed by Mr. Ellis resolutions" Qhe same sug
gesied by the seven stars,) for the establishment OF
a State Bank, is one which merits the calm conside
ration of the Legislature" We congratulate the
Wing that new light has broke upon its enchanted
vision
We think this plan OF reforming the banking sys-
tenn of this State and of every other Stale in which
there is multitude of isolated banks is defenSble
in all its parts and points Of view We regard il as
being the only improvement by whit the State bank
system can be made completely to supply The place
and confer the benefits oil the United States Bank
leaving the former liable to none of the valid obec
tons of the latter. And we proceed TO enumera'e
some Of the benefits that would flow from the change,
and to answer some of the objections that have been
urged against it. 49,
Fyra Gne6 Mr.. Leigh said in 1884: II was dit
ficult to conceive how the State Banks could iur-
nishn uniform national currency-because, II ior
other reason-eyen supposing their credii soma
yet owing TO the multitude OF them, It would DC I'M
possible for people in distant parts, to be informed
of the state of their credit be able TO judg Of me
genuineness of their notes" This IS true, ana lolly
unfoldS the deficiency OF the State BanSs-HS ostMs
TO the multitude of them. Reduce the number 70 one
in each State, with large capital so tnal me ~
in distant parts may be informed of the state Of IT'S
credit become familiar with its issued paper ana %
enabled tojudge ofthe genuineness, and the beneht
of uniform national currency, Tor the purpose oil
| trade will be tie benehcent result
| Another 5cneft.-Under the late State Bank de-
poSite system" the immense influence resulting
from il TO the federal government, consisted chiefly
il not wholly, in its power in selecting from me
multitude OF banks existing, which OF them shonia
be entrusted, as repositories, with the keeping oil
the national revenue. Reduce the number 10 one
in each State, and the influence resulting IRON me
| power to select, will be annihilated; and thai &C.
vernmen cannot then be, in either OF Its praheheS'
as in lis Executive branch II has BEEN tempted I'M
necessarily TO enlarge the number OF panAS'
| for the manilcS. purpose OF extending ls hhuehS'
| Besides If reduced 10 one ii will be matter OF
course, II The system be superseded BY the Sub
Treasury scheme and not a matter OF faror, mar
each State Bank would be made depository, LAY
1 inc ~ large capital as the commerce and hnancial
VIBRATIONS Of The people and the State demand, the
reenary accruing amount Of the en-
rIlsted 10 il for safekeeping, would not be dispro
portionate TO its capital.
Anoier reduced number, q nag oe ,,s
eleewhere explained would mol be so liable 10 sus-
pensions Of specie payments, coexicnsive win the
| whole number existing.
In answering some objections to the change pre-,
posed we shall indirectly refer 70 the FOREGOING anr
and minor changes in the management Of s'a'e