Nashville union and American. [volume] (Nashville, Tenn.) 1853-1862, 1860-01-20

legislature to reduce the amount Of discount to one r Of
one per cent
These elers failed, although e1atnual during the ~ y
1919 and 1850 In 1851 the act OF $50 VS. 81 amended ~
Dice the discount country currency to one quarter Of one
irg in tbs State with scarcely al execution ilf M IN frs-
ing associations and individual bankers gave no Is close their
class os currency destrore in his departments
revsr again to be replaced in circulation Tor the purpose only Of
hrst tnz in the history legislation e esa ure
seemed to have ascertnsd he dxe3 fact human saraeiy
purchsse Nv ~ 5s1a. - - --l llou. n l-
source Of 40 Prolific The parties interested therein AS before
remarked, this act closed in great measure tie nks u es
ana az general bans law began to produce the ira
expected ~ ITS advocates.
BY reference to the figures in relation to the per enge
o-9 upon cap t l ee seen that in 1850 the circulation
o. o.nA notes IN TINS state fifty upon the tire
henking capital Of the State. 1t did moi fail o 81. one m t
in 1851 bat Immediately ATE. The sag Of he A. III - IL
il on hree per cent upon the capital while cap tai increased
S40OJo O. aEd the ABSOLUTE circulation in June ISL IA Isj2
changing quite half million Of d5liars ne ir ~
in favor Of the latter Thus the circulation OF the e
mats banks supplying the place Of that withdrawn b dc closing
Of those created for the purpose Of circiIat on aloe
great change has tssen place daring he pest ten s,r In
the position Of capital employed the business Of bap and
the currency issued by the part es engaged In that ~ The
marked feature this stalsmsn5 the drsp,n.v he
ls5J AMI 1855 and is, too, while the actual Circulation
Of bank the 2Gh Of June Is5O s2f2ffSf
and the 10Th June 1913 S24799s being absolutely ass
l45 eas than tie bank note circulation issued OF the
STATE IN ie5S than 10 1853 The extreme curmsnt Of currep
in part, from the partial rsu pton hs in the
fall Of 1857. But the percentage Of circulation increased to only
- II O per cent dur ng the gear ending the 25h 10 june
1852; currency in circulation ana in
that day only gd59gl5, increase upon that
Of 1850 Of only S2s545 This presents nguaF result
The discounted debt the Banks vas day OF Ju-e
last in round numeer oO003 against nearly SIglC00O00
the 6thday OF June, 1851 that being the highest line "lOans
and dsc0uns eaDhed BY the Banks " this State during the past
ten years
Again, the Of st5cs and promissry notes. from
june 1857 june 1885, over 000OO0 This brings the
earnnE8 Of the Banks within per Of the
most prosperous enoyedby then, and this with
circulation cured nearly Sc OO0u0 from its highest point in
1857 deposit line reduced s50n and specie
from the point Of s3oU000. The Superintendent
believes thar the ending in june 1857 to have been the
profitable enjoyed 10y tie Banks during the past years
There two deductions Re made from these hures by
comparison. The first is, that while the banks maintain their
present position Of resources and liabilities, nearly they
utility and in their entire safety TO the community, that
their present position is Of great strength and ia fact
may be considered nprgnabe from any arising within
our own borders They hold twenty Of specie upon
their entire der oss and the New York City nearly
thirty per cent in specie ct their net deposits.
The banks OF this State Carrying Of Loans and
counts within the smallest fraction Of eighty per
capital deposits and circulation In other words, they have
Interest," including loans and discounts, stocks and bonds and
mortgages twice the an cunt Of their bank capital
To force liabilities, agrra youd this point the
perinenden does believe be prudent particularly 50
when the imnoron OF foreign goois unusually large as
It has been the present year. While the ultimate pay
nent must 2 upon the consumer the capital 0 the city
York must, in the an stand between the foreign creditor
any default which be made in the prompt payment By
ties who become the purchasers the consumers
vast amount Of the products Of foreign industry Beyond this
single cou in the horizon Of banking every indication o. safety
and the consequent prosperity and profit palp IL ordinary
prudence is exercised