The Kalida venture. [volume] (Kalida, Ohio) 1841-1865, 1846-09-03
is PAPER MONEY CHEAPER THAN

our banking system. Indeed, the very head
oftho system, the president Of the United
States Bank, seems at times half a skeptic
asto is utility. He acknowledges that i Is
attended with great danger; but then he
says, tho substitution Of creditfo ceineables
tho naiion to make its exchanges with less
coin, and Of course saves the expense Of that
coin.
MI. Gallatiu, who is now President Of the
National Bank at New York, goes still far
ther. sTne substitution Of q paper currency
for the precious metals, does not be says,
'appear 10 be attended with any other sub
slantial advantage than cheapness''
Bank notes Il must fbo confessed, como
very cheap 10 ihoso who issue them. Butt
n thosa WHO receive them. bank notes come
dear a oold and silver. The farmer must
o;yo a much of the preducts Of his labor tor
: 4, ,,anar S dollar a for n silver dollar.
n y ALLEGED i,v some. thnt sbank notes in
crasso ~ sgorevs,a ey cno;,al of shs commu-
n;sv inca ,6ev Cause s;lyer. which produces
no;b;ng. q be exchanged abroad for COM
mod;s;es usaf,,l 4 these arts or for house
hold cons,,mnt,on !,
nj q = not ,rna III, s;lvar money nrodu.
cas noth;no n i ss nroductiye as any
other laborino machine. Its uses IN com.
rerce n a. a. GREAT a. those Of the steam. en-
o;pe q mnnufsclures.
Neither & Il true .bat the aggregate capi-
al of the country Il increased. when silver
co;n d d;snlacedhv hank notes. Al mere
aycbanoa & made ~ one hind &c caoital for
anothar The rrec;ons METALS nra exported.
= snd Iscas u;n.s r;lks sa,;ns and ostrich
fss,hars - ',,s rece;v.d = ra,u,n a nation
~ carr;as ~ csn.,ur,;on of foreion luxu-
,;ss so fsr,s' ~ Leave ;,self w;thout : suita-
III med;.n. = q, domast;c exchanges. NAV be
camnsrad a ! mecban;c who barters The
,ools e IL ,r,da far ,hs on;ovments of tbe
aIe-bouso. Money ;s she tool Of all ,rados.
Bot on The supposition most favorable 10
the friends Of the banking system, what sum
Is gained by the nation by the substitution Of
pa1sr for specio2
According 10 The calculation Of Mr.. Gala
lin. The currency Of the country consisted, on
1he lei of January. 1880. of about ten mil
lions ofdoIlars in specie, in the hands Of the
people. Of fiiiy four millions Of bank credits;
making a total Of ono hundred and nine
millions Of bank medium, for tho support Of
which the banks keep twenty two millions Of
specie dead in their vaults.
Now. supposinr bank medium to fall into
d;suse. these twenty two millions Of specie
!. would be SET free. and eighty seyen millions
more would be required 10 bring up our cur
rency 10 i,s present amount.--What is this
when compared with tho whole capital Of
Inc country. which Is estimated by MI. Lee,
of Bos,on. al ten thousand millions of deIlars
and by two other able economists, at twelve
thousand millions. What is ii when compar-
I'd with tbe agorepate of incomes. which, ac-
cord;ne "a Mr., Niles and Mr. E. Everett. is
ona thousand millions q year9
II should be racalloctod. that on the sun.
position Of something being gained by the
nation. by The use OF paper meney, the saving
4 opco for All and tho annual gain is no
{ mora than The interest on the amount Of
medium Nav. the interest on eighty scy-
On millions. AZ six Der cent. divided amenp
tho individuals who constitute our nation, IS
about fartv cents 4. niece!
Is;t v;se for q ,triflipc 4 cain. 10 deranqe
ali our money operalionsa
Rut fine ;nonirv be pushsd further. ii
viii Be- found lint nothing gained by the ma
t;onl fwa AZ uot sav Thai nothing is rained
~ cextajn G nersons ( even on tba supposition
most fsyorable q tha bank
Far 1 specie medium. but one mint
vo,Id BE necessary. To maiptain paper
medium we have from three 10 feur hun
,.,,7,l1y ,. 80 = 49,.