The Portsmouth inquirer. [volume] (Portsmouth, O. [Ohio]) 1849-1855, 1853-01-21
Banks-Gold and silver.

Z The Tribune in reply to our rema ks re-
lative 10 the unusual number OF foreign bunk
bills now in circulation, and The whig argu.
ment that State bank would prevent such
an influx, remarks: tF
The argument was used; and as the ei-
Tor knows, we bad but little circulation from
other States until our silver was shipped to
Europe in payment for foreign goods. To
supply. the deficiency thus created, we must
have small bills, aud the result is, they are
brought west in large numbers, and people
will be glad TO get them as longo the search
ty Of silver exists. When our government
pursues policy calculated TO keep our silver,
in the country, we shall need but few, if any,
small bills 10 supply lis place.
To the often repeated, and the as often re-
futed, assertion that our silver was sen. to
Europe to pay for foreign goods, we reply
that gold and silver are subject as much TO,
the law oTsupply and demand as pork and
-four. The immense yields ofthe gol mines
have had tendency to lower the yhlue of
that metal and raise that Of silver, which is
now, and will continue to be for an indef-
mite period, the scarcer Of the two hat is
there will be greater demand for silv,r than
for gold Butts the assertion true thai our
silver coin has been sent TO Europe y pay
for goods Ond for no other object 1t FouId
argue little for the business tact of In A.
merican were he seen ransacking the banks
and brokers' offices for the purpose Of obtain
ing twenty thousand dollars in silver halves
and wholes TO send to Europe in paymkn for
a bill of goods, unless there were a heavy
premium in that country upon that dScrip-
tion OF coin. 1t is well understood by COM
merclal men that the scarcity of silve has
been caused by a largely increased do anand
for specie on the continent, at a periodwhen
some changes in the relative legal vahe Of
the too metals, created demand for specie
at the expense Of gold The export ofbilver,
therefore, was perfectly in accordance with
the laws of ira de and very natural Econse-
quence. Government could have pursued
no "policy calculated 10 keep our silver in
the country" under such circumstances, ex-
cept that ofaltering lis standard vaue.-
And this we consider the most feasibh and
popular mode of kee ping sufficient silyer in
the country for the purposes of trade.
But The Tribune says we "must have ,mall
bills to supply the deficiency" thus crepted,
und "tbey are brought west in large num-
bers." 1t is not so clear in our mind that
small bills help much ia the way Of making
change. and we would respectfully suggest
that they might have q tendepcyto check The
circulation of silver, and prevent its assum-
ing the position which it occupied before the
tremendous influx Of small notes Even, if
we must, as the Tribune remarks, have such
rags to supply the deficiency IN silver, we
can't see why bills on eastern banks should
supplant those Of our own State; and there
fore, we say again that the whig Argument
thata State Bank Of our own would prevent
the influx of bills from other States, was,
like most the pleas Of that party, not based
upon good and sufficient grounds, and that
the export Of specie is no excuse whatever
for its non veriication.
The Tribune, perhaps not contented with
lis own explanation Of the matter, opens up
new feature in the following style:
If all the banks in the country break, the
Dispatch must no; forget that full propor-
tion of them have been made and are man.
aged bv "simon pure Democrats" !"
We have no wish to palate any departure
from principle, but SO long as paper cur
rency is tolerated, it is not to be suppose
that Democrats viii neglect TO avail them
selves Of opportunities to embrace the "ptiv
ilege" Of banking, when they carl make mon
ey by so doing.