Green-Mountain freeman. [volume] (Montpelier, Vt.) 1844-1884, 1857-12-31
Presidents Message-Chapter on
Banks ImporLations

owing to the amazing expansion of paper cur
rency by our fourteen hundred banks-so great
that they have scarcely one dollar in coin, for
seven of their deposites and circulation. How he
can place deposites, with circulation, is singular
f by dspostes, is meant lohat is deposited in the
bank. it should not be get down as SO much
liable to he redeemed with con, but as 50
much Capital on which to trade, and equal to
gold If by it is meant what one bank has de-
posted with another it is only resource for the
greater convenience of the public, kept for the
redemp lon of notes, where they are liable to
accumulate, and in either case should be
placed on the credit side of the ledger. Ask
any banker if the President has not made an
egregous blunder in reckoning deposites as
d part of circulation instead of that which
is to redeem circulation But he had case to
make out
Therefore the banks have now only 1858 ,349,-
1888 in coin to 1922 circulation ,(bad
enough certainly or nearly four to one, but
with their Deposiies fully capable of meeting
their liabilities But the President is amazed
to find so little gold in the banks altho for
the last eight years there has flowed in from the
mines 100000, 900, but instead of its increas-
ingip the banks, it has absolutely diminished.
Shsl.ss The Resident see is this Che result of
bib own system OF Il low tariff He is pleased
to say our manufacturers enjoy heavy inciden-
tai protection under our revenue tariff. But
what is it in reali,y' Is it any thing which. he
or his supporters have ever designed to give
everybody knows that it has been the object
of himself and of his confederates to reduce
the tariff below the mark of protection. and
aim only at securing a sufficient revenue.
Now he asserts or manufactures have enioye
. heavy incidental protection" Look at the
Percentage in the table and see if that is heavy
incidental protection OF was ever designed for
protection, or could even accomplish such an
subject The Congress that enacted the present
mobilization of Tariff, would spit in his face
for that assertion, if he were a republican.
Whether it operates as protection let the
hundreds of suspended operations in almost
every variety of manu- factories answer. Let
the hundred thousand aborers from these es-
adjustments now out of employ because there
is no protection by government, answer.
The exhaustion of gold is because our trading
with Europe is overdone So long as shilling
day and often less will pay hand in wooden
and cotton factories, in lace emoroidery-and in
almost every species Of employment there, SC
long the products of their labor can be imported
and sold here for less price than they can be
made for, in this country. Of course we mus
cease to manufacture, unless the products of oul
skill can be protected by duty on imports SUI
ficent to make them Il remuneration bear price
This protection being denied -and the most Of
our manufactures competing with those o
Europe, produced at such low rate Of wages
gives the result, of factories deserted capita
lyinejdle and decaying, thousands on thou
sands out Of employment, and gold continual.
flowing to Europe to pay for that which could
and which ought to have been manu- facturet
here The President complains that the banks
have hot, retained more gold--but was he s.
IinMtJlted as 10 expect that where the law
stimulated imports, there were not men enough
to import lie complains that the banks ex
pand at one season and contract at anothe
when further expansion would be necessary
True-Sbut what renders expansion necessar
at any time Trade of course, requires ban
accommodations, and each bank is called on t.
furnish its quota of capital, and when the Dor
rover is compelled to pay the loans, it is wit
money he has drawn from the sale of good
which were imported. This process will con
tinue so long as money can be made from it, an
continually must the banks and the countr
be drained to furnish currency for Importation
= The President ought to see in this the result {
his own system, a result which would have bee
upon US years ago, but for the California golC
commercial bankruptcy, or open mems eyes
see the necessity of protection, and compel til
government to enactit
The people may be charged with extrava
gance, but government should not stimu lat
that extravaganza by encouraging importa
tons We may import to the extent of ex
ports. Our pork, beef, butter, cheese, WOO
hemp, corn. wheat, tobacco, rice, cotton, icC
lumber, with few clocks and coarser cloth
constitute nearly all the articles we could e,
port and these are all articles of small valu
compared in bulk or weight, with most {
those imported which are costly by the gret
amount of labor on little material But
s trade were limited, or nearly SO, by expor
y we might have retained the $500, 900, 900 frol
f California and realize the golden era of Jacl
son and Benton, but so long as our revenu
q laws favor importations, instead of manu- a'
lures, we can have but little gold, and cons
y quen,ly little currency The President may tai
4 largely against banks, but had they not n
g tanned the gold it would almost all have bee
Q swept lrGgs The -canntry and he may talk
0 restricting their issues to bills Of fifty doila
j. or over, butall this is CANNON and is of tt
t same piece with the censure he casts upon the
! for expanding their circulation, where it is d
d manded by the laws of trade, and for contra
y ing that circulation BY the law OF selfprese
e walton. 10 have u hard money currency wouI
1t require vastly higher tariff than the fnen'
10 of home manufacture have ever desired, and
j. once enacted would be repealed in two yea
from the inconvenience Of such a currency.
It we would drop all absurdities, restrict our C
n trayaganecs, live within our own means, PIT
II our debts to foreign nations in reasonable tim
4 buy no more of them then we sell to them, G
II courage home manufacture and thus secure
home market for our produce we might soon