The Placer herald., 1858-03-13
A Measure Proposed to Secure to the Peo-
pie Safe Treasury and Sound
Currencv

published by Mr.. James ROSS SnOwden, d.
rector of the U. S. Mint, under the approval
of the Secretary of the Treasury. The n
y. Courier aud Enguirer makes the follow
ing review of the propositions submitted by
Mr.. Snowden:
The subject is of such Importance and
the changes in our banking and currency
systems, which the experience of the past
year prove to be necessary, should be based
upon well digested plans The ability and
experience of Mr.. Snowden entities this pro-
posed measure to careful consideration. The
facts which he presents can have no better
authority; and the conclusions derived from
these facts, together with the system which
he propose as the best remedy against re-
currence of the present financial derange-
ment, are at least sound and conservative.
The proposed measure is in fact an establish
ment under different name, of National
Bank issue, based upon specie deposits, as
may be seen from the two changes which he
recommends:
1st. To authorize certificates to be issued
on deposits Of god bullion at the Mint and
its branches, and at the Assay Office, in con
venient sums at the option of the depositor,
and payable to bearer.
3D. TO permit similar certificates to be is
sued at the Mnts, and at the Treasury and
Assistant Treasures of the Uni ed States, on
deposits of the gold coins of the United
States
These two powers would constitute Ma.
tional Bank Of Issue, under specie restrict
tons. The Mint is already authorized to
issue certificates of deposits tor gold bullion;
but it is now proposed to issue both bullion
and gold certificates in sums according to
the depositor's option. (Of course limit
would be necessary as to the amount and to
give Uniformity
The advantages claimed are:
]. Security. This will be readily admit
ted, for no better could possibly he given
than specie basis with the guarantee of the
government
2. TO lessen the practice of boarding. If
holders could be made unquestionably secure,
there could be no inducement to hoard. To
show the extent of the evil of boarding, it
may be briefly stated, that of the three hun
dred millions of specie known to he held in
the United States, less than one hundred
millions are in circulation and held bv the
Banks.
3. The specie deposited would not be with
drawn from circulation.
4. The specie deposited would constitute a
great reserve, to be withdrawn at any time
when special demand for coin might arise,
without the slightest disturbance of the com
merce, finance, or loan market of the coun-
try.
This must, we think, he taken with some
allowance. TO withdraw the reserve makes
necessary an equal redemption of certificates,
and thereby the circulation of the country
would he so diminished, which would of
course be followed by disturbance of finance
when the specie was exported from the coun-
try. The advantages gained, however, are
that there would be no general demand for
specie from panics, etc. The only demand
would be for expectation, which must be re-
sulated by our balance of trade.
5. Substituting paper for specie currency
would avoid the loss on wear, clipping of coin,
etc. The amount of this saving is shown 10y
the statement of the loss to the English gov
ernment from 1774 to 1913 in re-coining
their coinage, which amounted to 81, OOOO
This saving would pay all or large proper
ton of the expenses Of issuing the certificates.
The other advantages claimed are for the
benefit of the government principally, and
consists in a Saving of the present bullion
fund.-" etc.
In addition, Mr.. Snowden says:
The whole coinage of the Mints, up to the
30th Of June, 1857, amounted to upwards of
five hundred and eighty eight millions of
dollars. | observe that "of this amount there
has been received since the lst of January,
lS49, of native gold, the product of the
United States, the sum of four hundred and
two millions of dollars IT, in addition to
this sum, we add the gold produced in Aus
tralla and other foreign countries during the
same period, which may be stated to he
about five hundred millions of dollars, and
the production of silver bullion from all
sources, which is at the rate of about forty
millions per annum, it will be seen that with
in this comparatively brief period the worlds
supply of the precious metals has been in
creased to the extent of twelve hundred and
forty millions of dollars. In view of this
great increase, and of the further supplies
which will doubtless for years to come be
received from the same sources, it may well
be considered whether in country so highly
favored with the production of gold and the
supply of silver as ours, some measures should
not be adopted by which the people in like
manner with the government, should enjoy
the advantages Of specie currency.
Brown is a married man. A few weeks since
he thought of taking trip to Paris. One
Of his friends meeting him in the street in
quired:
well, Brown my boy, when are you off"
Tomorrow
DO you take your wife with you?'
No; its voyage of pleasure
GooD.-A wag asks, when did King David
sympathise with the Yankeesl When he
uoc N;ctrocco1 for Rrotbor Tooo+boc