The daily union. [volume] (Washington [D.C.]) 1845-1857, 1851-08-16

chandse be sold any sacrifice obtain the
Of meeting the maured obligation For the last thirty
months the banks have sedulousy encouraged the
ton OF obligations 10 them They have discounted nearly
200 day Than paid into them-that 10 TO
say, where they received ~ 100000 they paid out W.,
2oOVOO, which involved larger payment 10 them az The
end OF sixty days Under these oeumstances goods have
been purchased for and sold Tor other notes win per
feet facility Values have improved. prices advanced, and
trade been nomnay profitable All at once Without sufii
Client reason the banks suddenly refuse 10 discount and all
the supposed profits OF dealers are sacrificed 10 meet obl
cations banks The which the merchants held
cash apply their obligations become vaueess al
the dng OF board OF directors The reason given
that specie is freely exported, although the nslitu
ons hold more than ever. The motive is however
compel the merchants pay higher interest which has
advanced from siS cent 10 cent? and this dit
ference in the interest on tue loans makes difference of
and hall per upon the bank cspita, besides the
profits which the directors and their friends in the
may make by selling stock short and purchasing goods
Here have the whole secret unraveed ahd the
dangerous tendencies of banking institutions portrayed
with pencil of light But further: The specie export
from January to August S25 o97.6 $685. while the
coinage during that Time $50, 100000, One half OF this
amount consisted OF foreign coins yet the banks urge
the specie export justification OF their course In
March last the New York banks had S7,97o,259 in
SPECIE and they increased their discounts 5 900 600
On the 3oh Of June they had S7,9s5954 in SPECIE and
justification of their conduct Since the California mines
became available the accumulation of specie in the
banks of New York, London. and Paris has been
equal 10 the product of those mines. The paper sys
TEN of the wings has prevented the circulation OF
specie. Up 10 the first OF July $l5,Oo0,OoO had
been exported yet the amount in The bank vaults
had increased On the .5h Of December, 1915. the New
York banks held S7.92oaao in specie; the 2olh OF last
IL. hnll ON ON ,ka
much abused tariff, of S2s9o,22I A vicious banking
system aided and supported by the character of the coin
age the mint has practically forbidden California gold
from entering into circulation. The New York banks
alone have since December, 1885, increased their loans
S296s3O2l. large proportion Of the notes thus loaned
are based, not specie but deposites of stock with
the State comptroer-thus driving off the specie The
managers OF the New York banks will find GU, that
they have committed an error; and they will soon be
obliged to re,race their steps. Mark the prophecy!
We might here close article; but there are other
facts which bear on the subject under discussion, and
tend to vndcate the wisdom of the democratic policy
The first and foremost is, that. despite the wing
cries OF uin have opened 1857 miles of railroad at
cost of $s6, 920l7. In addition 10 that have paid
Ss0,00O000 war expenses, and $20,O000 900 in ship.
building. Ia the mean time exports have increased
from 1893 in 1916 TO 1916 943,91l in 1850 The
tonnage the New York canals from 1896 TO 1885, in
elusive 69o395 tons; from s43 to 1916, inclusive
500 935 tons; from lS47 to 1850, inclusive,
1919 26 tons. The receipts of the last year OF low
prices for breadslus doubled the receipts OF 1s45 The
receipts by the New York canals from the opening of
the canals TO the close of June 1885, 32l 1924 bar
rels Of -four and 43o32s bushels of wheat for the same
period this year the receipts l.o54.73l barrels
Of flour, and 97s,6S7 bushels of wheat-being an
increase of 1890 barrels of flour and 1855 bushe. of
wheat 1t is OF lime 10 eucidate these figures
Without explanation they refute all the slang of whg
politicians who have been forced concete the pros
perity OF the country but contendng all the time that
tho Irish famine prevented the realization OF wing fore
boding OF distress and ruin
From what we have said, and from the figures have
presented, il is clear TO the humbes understanding
that the evils which New York bankers may inAict on
the country are chargeabe, and cannot be uthiuy
charged, on the democratic policy.