New-York daily tribune., 1858-02-03
III ,oon outweigh the resources Of all Europ. com.

"A
il when Il returns How do you know that this ii
tm,hI How can YOU ever knopl Must you not take
on The hs,kers cord on the credit Of his verscity
IL hi. personal veracty better guaranty than the re-
| corded and legal obligation OF the State
| Scan the lesson taught us by the now existing
..uspepaion' Of our banks. Had their bills repre-
se1ted only delusion Of specie in Their vaults, and
heen ased on no credit better than the idle proteta
fins of bank officers that it was all right what
| woud those bills have sold fcr-how much on the
| dollar-the next day after the suspension No man
knows the he'll We would nave gone through, nal not
our circulating medium been based upon the credit Of
| the state.
prejudice in favor Of gold basis has been met aud
ronfounded-not by theory, but by Jact. OF the im.
mepse circulation floating under the guaranty Of
our State credit there not one dollar red~e in
| gold. And yet how much worse than gold are those
bills to youl If man owes you 500, and offers in
payment $50 in gold or 500 in NewYork paper, which
viii YOU take Nay if you have 800 of gold in your
rocket will YOU not be fan TO change for the con-
| venience of 500 in bills \
Thus, supposing it true that every dollar Of our
| thousand millions Of circulating bills had golden
dollar TO stand at its back and make good the prom
ise its face-supposing that when the panic and
the rush came, all bank officers would strip their
shirt sleeves and shovel out the gold fast they
could count it, TO redeem the rushing bls-suppOsin
that not of those officers would take into his
head 10 vamOse with the golden harvest and enjoy il
under the mild skies of Cuba amid the seductiOns
| of the French captal-supposing that the fairy
tale Of gold in the vaults should turn out reality
| still would you tell us, ye wise ones, how much
6eer Ell r0Ud De, TO the value Of currency,
than We are nOTI
But turning from this bright picture, at once an
| illusion and an npossibihy and coming TO the cold
reality. Here Is our convertible currency-conyert-
be, fOrsOOth at moment warning, into gold. IT.
face says so; the law says so the outfacing bank
officers say it is Bravely do they meet the first
shock Like the starving garrison that thre~ provisi-
ons down upon the besieging army, they ma gallant
show. But, alas it is short lived and deceives no.
body Under cover OF their vauntngs, they surren-
der or fly. Where now is the convertible medium
and its golden basis II reminds one Of the devils
bounty TO the Highlander, that was money at night
and horse-dupg in the morning.
" Ii may be presumed that the existing crisis has
enforced salutary lesson in relation to the mistake
upon which our present banking laws are founded.
But men do not at once accept lesson, however plain
may be its teachings. Thus some men will exclan,
What are we to do! Take away the responsibility
to redeem in gold and there will be no end to the in
crease Of banks and the emission OF nconyertlbe
paper ,u,u
be issued under the existing law till dollar in public
stocks has been lodged in the hands of the Controller
there to remain pledge and guarantee the holder.
The emission of currency then cannot exceed the de-
post of public securities Those securities will sell for
their ace ten per cent more than their face in gold
In this the bill represents not illusion of
gold in the vaults of the bank, but reality in The cof
ers of the State COntrOler-a reality that cannot
cape from you so long Us the State stands upon s
present foundation Thus have we seen banks 60
down in the present crash and yet their bills sell the
next day-fOr what Why, only for one hundred
cents on the doIar!l
at will thus be seen that no man and no company
can issue bills they obtained from the
Controller exchange for State stocks actually de-
posted. Can pauper adventurer get hold Of
State stocks to use for this purpose 1t may he So
but if it is the fact would not at all affect the value
of those securities lessen the guaranty they fur.
nisbed for their circulating children. The bank might
be founded upon loans and discounts l with which the
deposited stocks purchased, and which were paid
out of the new bills received from the Controller. Ihe
directors of the bank might in this way deiraud the
genuine shareholders. They might stop and leave
their depostors to loss ruin; but the bills them
selves-why they remind one of Addison's fine pic
ture Of the human soul, fourishing
"TahuIt amid the war Of G slsmen,s E. ~ worlds.
"If then, the compulsory payment OF gold by our
shores if, by practical fraud, he sells for inflated
paper currency and pays hmse in gold thus draiong
away what has been made by legislation the veryie-
blood of our financial being if this produces revuson
panic distress; if rise from this bed OF suffering
TO hectic spasmodc health, only again to sink down
upon at the periodic return of the dseasei if this be
tie doom which this godbasis sham has brought upon
us, might it not be worth our while to examine the
effects that must flow from expunging it, totally and
al once, from our conditions of banking
"The banker receives his 500 900 Of authorized
bills. He lends them out for the of commerce,
and takes the risk of merely personal security 1t may
be for discount of per cent II heIofes, his stocks
deposited in Albany must stand the loss Ii he gains,
that gain is not dsproportionatey large. lie must
officials duly qualified and, therefore, at due figure
OF pay. He must bring TO the business more than
ordinary sagacy-an extensive and minute knowledge
of men their resources and character. He IL not dis
proporonately renunerated for all his appliances and
risk.
"He holds the bank bill in his hand he is going to
send it forth the world, and why should he not
apostrophize it thus =
go forth; you are good fathers son. If you
should do wrong land cannot see how you are to 90
) the State stands sponsor that you shall not deirapd
| an BODY Go then, forth and do your work in the
world. Many hand will you pass through, and you
will pass through without leaving behind you less
or more of benefit. The humble credit you will com:
mand can exceed your assets in the hands OF
your godfather the State. No man can ever lose by
YOU ard therefore no man will receive you with dis
trust But 60 forth, and never let me see your face
again except that perhaps, you may VISIT me on your
travels and depart again as from any ordlpary srah,
ger that YOU had never seen before The State would
not trust your reputation or your solvency with me.
Itassumes them itself, and to the State leave you
| "And so the bill goes its travels, able always
| able to take care of itself. No need OF sending after
every day. like stray child to clear it out OF the
| Clearing House No fear of its walking up to your
counter with, Please, Sir, this man don think m
| good enough and you must take me back again ana
give him something better-I believe he calls II gold
| "Under this new and rational system would com
mence the system of equal, constant UNIFORM ssues
The tornado that destroys and the calm that stiles
the torrent that overtops its banks and sweeps away
| all before it, or, subsding, leaves behind dry,
| parched bed of shapeless rocks and sandLthese
would disappear forever constant ana sir o.eene %
the rivers turning the wheels OF every MILL ana cloI-
irg with quafertily and verdure their sver'oossou
ing banks .,,;,;s.
Of bis business and would be able TO control them
| without difficulty. Thus: u0
November % received cash in payment Of msured notes
November % received on deposit. i2
hand fefday