Edgefield advertiser. [volume] (Edgefield, S.C.) 1836-current, 1858-02-10

tilaI our WoTklllS CAPITA ~ u teoeell"pie oiLi",
without any augmentatlon OF bullion, had IN
creased from $sSl ,O00 OO0eI lS43, to $3.50, 9,0O0,-
600, in 1851, or nearly 3Qa per cent in years.
Everything was then pushing forward with the
speed of steam, to keep trade and speculation
up to the working >capitatsSiat had been thrown
into business channels every man felt that
the California gold minesszwerc emptying their
treasures upon us, and each and every indivdu-
al was preparing himself for al extension of bll-
SineSs. Every mind was lmbued with the spirit
of speculation. 1t is notsEknown exactly when
the imitation commenced, but it is certain, that
the business of the country fitted itself to it !:
all was well balanced, had the real metallic
money basis been right. IS
In 1851. we find the circulation and bank de-
posites to be 100000, with $1,000 600
specic in the banks, thus giving lis $685. 100000
Of rrcdeemable trading capital, against <5239, :
O0O0 900 i'll 1851 Things, by this time, had be-
come tnpheavy, but yetlthe constant floods of
gold from California, indllce us to believe that
all was right. The circle of business operation,
still widcned, adjusting itself all the time to the
quantity of money at command. Things went
OF swmmingly, and every man who could
throw of his home$lun coat was trader. and
men of straw became great merchants. In 1896,
we iind the deposits and circulation 10 be Si0I )
OOOOOO, specie in banks, $53 100000, thus Civ
ng us Il trading ,pital oeS554 000,GiO Of ire
eemable paper, against thesrun of $S3i3S3.O0O,0OO
in 1851. We find, at this stage Of aifairS, that
everything that administers TO our wants had
increased in value thrte-iold; negro fellows:
$1,000 to Sl,2O0 mules $500 10 $3.50: car
riage horses, 81 900 to$I500; i'll New York,
single horses 81 800; pairs $4,000 to $4,000 ;
merchants building palaces to live in; the Oil
Astur House, that was cofsiderc'l the wonder Of
the age in 1885, had togye way to the St.
Nchui;ls, and others, more eNtrra@an:ly AM.
uxuriulsly fitted and furnished. Ladies are
t,>lIill. about tic streets and watering places
again with their $500 dresses and 81 COO aiawls
merchant, are seen pulling down princrly bulld-
ngS tu We Wit! each other in the erection Of
stores, at an expense of three to five hundred
Thousand dollars; men are seen running, to anu
ro, to lind employment lormuney that has hcen
borrowed at ID lu Is Gents premium every
railroad project, howeyeE visionary. may make
bonds and lind purchasers siOr them, aid gr'
ready money at some price OF other; lnaGn!ii-
cent cities are built III tile west, and untold mil
lions are made and lost BY such spcculalioiIS'
The sup, wild spri: oi41and speculation that
was 50 r,iG; -iaslSlS, and which rnned so many
men in 1887, pI.v;Iike.44>o oIss Our country again,
and morc lai.i il,, been and PAID lor by
--,,y.,,Iu. ors, va,s- v.,is gt,
population i'll fifty years. Indeed every thing
l;,s Jrrn taken hold uf with avitlity, except sucb
Investments us We're necessary to derclupc the
Industrial resources Of the country. They have
been thrown in tue shade, and nothing but dire
necessity, growing out Of the increased consr'nip-
ton oil cutt"ll, prompts the world to purchase
our staple ut prices that will rcmNncrLle, III tsii$
lge vi extravaganza.
Now have given a sketch OF the course Of
thing, from 1915, to the summer OF ls51, wien,
III II dead calm, the storm OF p''bll': diStruSt
colninelccS, allI the banks begin to contract
their circulation Mc,l find it difficult; op.ocusy
money tu meet the cp,nmonest engagements:
and make seriuls sacrifices to maina: credit.
IL l.; soon iuull that the hanks have contracted
thirty millions oi dollars ol their circnatl"I, AID
will not loan dollar IL men wtlnc legitimate
operations require large sums every day. \ery
soon suine of the strongest ani best lrrl-cS III
the country are driven ~ the wall, blrak, AMI
have to give up Il business (iny"lv!ng miilion>)
spread out over the whole United States; t:irl
affairs are pat in commission, with good aS-etr
To shrw Surplus ot Il million; they arc w"Iilri
llp and rilinell ami elucci u bc;;::l;, rtin IL"
other Ci,lse t;tll IL sudden contraction ui bank
currency, the initiation Of which had in iucc'!
THESE 0t,iitn 'irrS uf tue ipe:-ten t!o-tiId cir
clc where the merchants were 'lJins pru>pe-
rouS business, to expand into larger circle, with
sti!! greater prospects ot SUCCESS
One man alter another breaks, tic !rrHs draw
the cords tighter an,l tighter, until lna!l:' they
what i; worse, culncs the reality that We have
To rclace orr steps, and the >al picture :taieH
us in the face tat instead Of $SSj3l ;OOD0iO oi
trading capital, we have not Il hundred millions
OF real money III the banks anti in circulation:
independent of the sub-treasu!y. linus We arc
to have suddenly taken away from us sol UEW,-
600 Of Cur trading capital, and we lIave 20 get
back, the hest way we can, to tho happy posi-
ton we occupied in 1915 and lSIG. say
$3.50, 100000, lor am quite sure that Ssl0uWN,-
0OO of bank paper will now serve the country
quite as well Il, $Sl 100000 did IN lSi4, When
tue underestimate uf our circulation waS largely
filled up with small bank bills, which: trust,
will in future be superseded by gold
repeat that will not favor amy measure
which looks towards punlsillng our Suspended
banks; but would throw such guards AROUND
them. by amendments Of their charters, rs will
secure the country, at least South Carolina, from
future bank suspensions.
Tie LIT step towards this object is the repeal
Of the usury laws.
2;l. To require all the banks to keep one
dollar in specie for every three Of circulation,
together with ordinary deposites and other i'm
mediate liabilities.
Sd. prospective Act, which shall secure the
State against the issue or circulation Of bank
bills under twenty dollars.
4tl An Act to raise the limit Of interest on
lalk discounts 10 s per cent. on notes Or bills
oil exchange, payable either in or out OF the
State. Nothing should be charged, in the shape
Of exchange, above the current rates ol sight
exchange.
Stu That no bank in this State should be
allowed to purchase the notes OF individuals,
nor to be concerned in such purchases.
9th. No bank in South Carolina shall be al
lowed to have her capital, or any portion OF 1t,
loaned on call to people out of South Carolina.
7th. Every bank in South Carolina which
shall hereafter suspend specie payment, before
issuing any more bills, shall procure new plates
and layc new paper struck of, to designate the
new from the old bills; that tho hanks Shall
RAY to the old bill-holders 10 per cent. damages
for the act Of suspension and its consequences
to the bill-holdcrs, and at the rate OF per cent
per annum Oh the bills, during the period OF
suspension.
9Th. The cashier shall be required to state,
on oath, with the monthly return, that the bank
lIatl not violated its charter.
Such laws would put our currency Oil Il sound
basis, and secure lis against supcrabandance of
banking capital in future.