The daily union. [volume] (Washington [D.C.]) 1845-1857, 1856-12-04

The report ascrbes our limited trade with Mexico Cen
and South America and the West Indes and the
tons nhabing the sboTes Of the Pacific to the tact that
those nations do manufacture and have but little else
for commercial exchange than the material which
and other nations take free OF duty in exchange for
| manufactures and other productions"
Had the Secreays suggestion for the admission OF the
material free OF duty received the favorable consdera
ton of the ssd Congress, tonnage would have been
employed in bringing the material of those ooun-
tries, and carrying to them manufactures and other
products in return. commerce would thereby be estab
ished beneficial to to them interesting in the
stability of their governments and removing their preju
dices and the approximations arising from expansion BY
showing that commerce. and not dominion policy
The total gold and silver coinage Of the United States
mint from 1893 when the mint established to the 30h
September, 1885, has been s549a4l, 9I4 IA
The Secretary does not think it possible for agrcul
ura manufacturing and commercial nation to prevent the
export of gold and silver and does not think II desirable
that it should do 'Whilst gold and silver continue
products of mines, and remain articles of commerce,
and external requiring equivalent exchanges tho
export and import of gold and silver will continue and
should be cause of alarm"
In 1884, before the gold mines Of California discov-
ered the amount of gold and silver in the country es
tmated at $ooo0o000 and The Secretary supposes the
amount to be 2oOooOooo whilst the superintendent
of the United States mint estimates it at 5000 100000
Slut whether it be or the Other says the Secretary t
affords satisfactory proof that the of
circulation could be supplied from our mines without
derangng our currency or expressing any branch OF
ductive industry The only difference would be the sup
ply of home demand instead Of foreign demand and
the consumption of less amount of foreign merchandise
This healthy operation of trade would accomplish
In of the States there chartered banks,
and other Of the States have not authorized the issue of
small notes whilst Others under conviction of the i'll
upon the currency and upon their productive inter
have prohibited their issue and caused their withdrawal
This is the result of correct and corrected public sent
ment, and may be expected, later, to extend
itself to the other States and thus accomplish the entire
withdrawal of small notes. and the substitution of gold
and silver in their stead for all the small daily transac
tons, including the payment of wages"
AT present any attempt to prohibit and restrain the
issue and circulation of small notes by resort to taxation
by applying bankrupt laws to these corporations would
be premature
"An examination of the bank reports shows that the
profits of banking in the great cities and commercial
tres arise principally from the of the large deposites
kept by merchants and capitalists in their vaults whilst
the profits of banks in the rural districts arise prin
cpay from the substitution of their notes for money
viz from circulation The banks with large depostes in
prosperous times, rely that the loss from Withdrawals will
be supplied by other deposes and the banks of circu
laton that the issues loans and discounts will give
the for the redemption of returning notes 1t
qures the character of prudence and foresight to be
pay dpostes and to be able to pay returning notes
feature in banking presented in the last bank
port showing the extent of capital employed in unchar
tered banks proves banking popular well profitable
pursuit without the privilege of substituting bank
notes for money"
| THE thousand three hundred and ninety-eight
chartered banks and branches with capital of S340
oOO and tie private banks with capital of $lls
constitute many establishments dealing in money
article of trade and commerce. They managed by
large corps Of intelligent experienced and practical men,
who, in the general control them with great integrity
SKILL and judgment not only for the interest of the stock
holders and the proprietor but for that of the public"
The chartered and uncharered banks possess combined
capital Of S462oooOoO, with circulation Of Sl95OOOO 900
for the former 1.-THE uncharered banks having crcua
ton) with deposes to the amount Of S2l2 600 the
unchartered banks showing deposites and gold
and silver The gold and silver in the chartered banks
amounts to about $6ooo00OO. "An estimate of onehaf
of that in the uncharered banks in proportion to
capital would give Sl00oOoOo more and make S70Oc0
900 in both An estimate of half of the Of de-
posites in the unchartered banks in proportion the
in the chartered banks would give at least $3s
100000 in those banks and make $3.50 100000 of depos
ties in the chartered and unchartered banks The char
tered banks have aggregate Of So &c., due on the
bill and discount line maturing average in from
to ninety days. and bank and other balances due to
them to the amount of S6263o125 payable on demand
The unchartered banks have amount in proportion to
their capital and the daily demands of their busnes
The money statements Of the treasury and statements
OF deposites by dsburng officers exhibit about $4,000
900 at all times in the national treasury "This
$4,000 900 is not dead capital The $lo0OoOO or Sl2
100000 Of 1t allowed TO the mint and branches for the pur
chase Of bullion is always active being exchanged for bull
lion and replaced by coinage, yet always ready for the
wants OF the national treasury
The independent treasury may exercise fatal ntro
the currency Of the banks and trade Of the coun
try and will do whenever tho revenue shall greatly e.
coed the expenditures There has been expended since
the 4th Of March, 1852 than S4552b0oO in the re-
dempon Of the public debt II there had been no public
debt and no means fdsbursng this large sum- and again
giving to the channels Of commerce the accumulated
sum would have acted fatally the banks and on trade
The Secretary prefers ad paorem to specific duties
Those who favor tariff for protection he says apre
fer specific tax because the tax is generally higher oa