The Nevada journal. [volume] (Nevada City, Calif.) 1851-18??, 1857-12-11

~ Since the financial panic COM
menced has arisen howl against banks.
Some of our contemporaries can invent
no term of opprobrium too contemptuous
for the institutions. Rags, shinplasters.
and other names Indicative of contempt,
are applied to a species of property out
4 which the major part of the currency
IF the commercial world is composed
Again, as after every none tary disorder,
we are told that the evil is to be attribu-
ted TO banks of issue, and the remedy is
IN pold ard silver exclusively as circo-
lating medium. Such is the dogma OF
a portion of the Democratic press. From
that quarter of the political horizon the
mutterings always come. From the
time that Alexander Hamilton organlz-
ed the Treasury system Of the United
States there have not been wanting men
to rail at banks. The prerogotive to
do so has descended from the opponents
of the administration of Washington
down to the present day. The signs of
discomfort break out in their violence at
ter revulsion. When the horse is sto-
lea the stable door is recommended to
be locked.
Hard money in preference to rags is
we are pompously informed cardinal
principle of the Democratic party
While having supreme control of the
Union, why has not the party carried
out its principles and given us bullion
and nothing else for currency ! The
truth is there is but faction of the par
ty in favor of hard money whatever sub
terfuges may be resorted to by the ma
jority to retain the faction in the great
Democratic fold by tacit acknowledge
ment of the soundness of its views. In
1882 arose the working mans or equal
rights party, an ofshoot of Democracy,
whose peculiar tenet was hard money
currency. Benton made himself the pc
culiar idol of this organization by his ad-
vocacy of their doctrines, and to cement
the dctaching fragments of Democracy.
R. NJ johnson, hard money man, was
put upon the ticket with Van Buren,, a
bank man, as a candidate for the Vice
Presidency. This concession was all
the hard money party ever got. 1t Is
true much talk against banks was thrown
into the Legislative discussions for twen-
ty years following, but it amounted to
little more than talk, no important
change being instituted in all that long
time in the currency of the country
On the contrary banks of issue have
been constantly multiplying in a geo
metrical ratio to the present day, not
withstanding the great principle of the
Democratic party which in times of
financial distress is so ostentatiously
held up to admiring eyes. During the
last twelve years the Democracy have
had sovereign control of the Legislative
department of the general government,
as well as of the majority of States, and
yet, in spite of the SO much vaunted prin-
ciple of hard money, bank bills have
quite doubled in that time, if we are to
believe Democratic authority.
As we said before, the truth is ma
jorityof the party does not believe in the
doctrine of a specie currency, or at leas
does not dare act upon it. Forney, in
a late number of the Press says banks
of exchange are commercial necessity.
He also favors banks of loan and depos-
tan ambiguous endorsement of banks
ofissue. Forney instances the bank OF
Amsterdam, a bank of exchange, as
having regulated the monetary affairs OF
Europe. Its paper was current every
where. This was an institution, accord
ing to the high authority we quote, OF
commercial necessity. If SO, then Is
paper to circulate as money CONNER
cial necessity. For it can make no diff
ference what the name or character OF
the paper may be, certificate, check OF
note, provided there is substantial capl-
tai at its back. If the certificate OF a
bank of exchange circulates as money
as the certificate of the bank of Amster-
dam did, it is a misuse of judgment to
endorse such institutions and condemn
banks of issue having safe capital at
their back. The evil arising from banks
Tissue is that they are not sufficiently
guarded by law. Like everything else
the privileges are subject to abuse
There is use and abuse of everything
in nature. Oxygen is the life giving
principle of the atmosphere. Too much