The Carolina Spartan. [volume] (Spartanburg, S.C.) 1852-1896, 1857-12-03

| W NoTmai ocuooi, IN orQer 10 learn the
art Of teaching, this obstacle might ulti
mately be passed. Their teacher, thi,
year, is young man, formerly one Of theil
pupils, who has passed successfully through
the four years course Of the State Academies
1t would contribute materially to the pro
gress Of that kind Of education, which ha.
so long been desired in Carolina, If thi.
young man could be sent TO an Agricultu
raj School in Europe for two years, and re
turn to take charge Of the Lethe Schoo
four years, in compensation.
FINANCE AND BANKs.-The financial con
diiion of the State is sound. though at the
present moment necessarily somewhat em
barrassed. Without including the surplu.
revenue, Sl,O5l ,422 90, which is held on
deposit, the debt Of tho State amounts to
S3,05s,Gsl so, drawing interest at rate
varying from to 9 per cent. The taxes
returned for the last fiscal year are S463,
IA 55. The ordinary annual expenses dc
not exceed S35O,O0o. But tho payments
out of the Treasury tho past year far exceed
that sum. For particulars, | refer TO the
report OF the Comptroller General.
The same report will present the month
|
Within ten years the number of Banks has
been increased to twenty, which are re
turned monthly, with an aggregate capital
of SD, ,S37, ,64l 25, with q specie basis in
September of 1908, ,399 &c, and a line OF
domestic exchange amounting to SIC, O,265,
$50 9S. OF the last sum six ofthe Banks
in the commercial city of Charleston, hav.
ing capital of SS,137, GAP 25 returned
for their part only s3,027,6 73. The
capital of the ten Banks first named in the
exhibit amounts to $40, 1877 ,6i2 %; their
circulation for September was So, ,3S9, 500;
their specie on hand, for the same month
1897 ,949 10. The circulation of the same
| Banks, as shown in the month Of October
was s3,S06,504, and their specie amount.
cd to S436,S93 %. The ten Banks las,
named, having together capital OF ST..
100000, returned for their circulation in
September $3,7I5,34i; specie on hand
*401 ,450 2l. The circulation Of the same
Banks, as shown in the October exhibit
was s3,2ls,3l5 SO; specie on hand, s267,.
S07 III.
In the first half Of the year, was pleas
ed to learn that the bills Of the principal
Banks in South Carolina constituted still q
portion of the most approved currency In
the West, and were available, also, to
| travellers rs far North rs the city of New
| York. Those of the smaller Banks, it was
| said, were sometimes found, at certain
points in the Western States, circulating
| too freely and in too great numbers. In
granting charters hereafter, | think il
would be well to coniine the Banks TO deal.
ing in exchange, discount and deposit. The
issue of bills for currency should be the
| prerogativc OF the Bank Of the State, which
in its turn, should be denied the privilege
of dealing i'll domestic exchange. The
corporations which demand a circulating
medium for their business, should apply
to the State authority for the same, depos-
iting onc-third of the amount desired in
| specie, and the remainder in satisfactory
securities, SO rs to assure the public of the
soundness and convertibility of a mixed
currency. This suggestion is made on the
supposition that the State will adhere to
the Bank of the State as its fiscal agent
not because | prefer it as such. Unless
some such modification Of the system be
adopted, am of the opinion that it would
conduce to the soundness of the currency
and moro to the interest of the whole com
munity, to have the banking business oi
the State done by six corporations, instead
of twenty.
recommend that the laws against usu.
ry bo repealed, leaving the legal rate OF
interest at per cent, where no contract
is made. Acknowledging the principle OF
this reform rs sound, have hitherto, in
another capacity, rcfrained from pressing
it, believing that the public mind should
| be prepared for it by full discussion.
am now of opinion that it should no lon
ger bc postponed. Money is entitled to
the benefit of market as well as every
commodity. And the owner of money
should not be denied the privilege of lend.
ing it except through the artificial, and
sometimes costly medium of corporation.
Banks, too, should be allowed to take, for
the use of money loaned, whatever it is
worth III the market, and be thereby re-
licvcd from the tempting facility of eva
ding the law in order TO increase their
profits.
SUSPENSION OF SPECIE PAYMENTS Re
garding the recent revuson in finance and
the currency, will not attempt to cnumc-
rate its causes, but will venture to direct
your attention not so much to the Banks
as to the system of banking a system
which sanctions the issue of paper money
to so large an amount, leading to inflated
. credits, inflated prices, cxtravagant habits
OF living and reckless speculation, may be
supposed calculated to produce q crisis
sooner or later. The unhappy sinking OF
a ship with bullion from California, or any
event sufficiently exciting to create mo
mcntary panic, was enough to prccipitate
1T. 1T has had the effect to paralyzo the
arm of honest industry, wherever labor is
opposed to capital-to depress the open.
ing market for producc--and to impair
the confidence between man and man. The
Banks in this State were effected by the
common panic, and felt the pressure sc,
verely-some of them yielding to its in.