Richmond daily Whig. [volume] (Richmond, Va.) 1842-1861, 1860-01-28
oOMMERCIAL-
0UIos % THE WHO. Jan. ~, h"'
THE BANGING Foley or VIRGINIA.

THE BANGING Foley or vIRGIsL.
The following is an extract from the pamphlet to which
we referred in Thursdays Wing We commend to the attention
Of readers:
our 1oned resources would adoption Of different policy
upon the part banks In the discount Of Instead Of
Giving Northern payaben Northern
cities they should prefer that payable here In other words ,y
pursue the course the Northern bank, pursue refuse
altogether paper payable out o their state Perhapsh might
be well 20 bring this change OF policy about gradually, and Tor
months take SIXTY day bills aud after that exclude all
Banks are constituted for mixed purpose the profit on the
stock the public good II they be administered as to
accomplish both these purposes they the ends OF all par
We believe keep quite
as independent and profitable as now
Ills singular that The should be SUCH that the
Northern shut all obligations payable here and
yet follow In their wake far at TO prefer paper not
They adoPths practice with the view 10 keep
their capital for home uses and draw as much more from abroad
a they can unless adopt the practice abso
utey aiding Intended for their benefit and
injury
ports swell the trade OF New York. based time
drafts pay New York. and to large extent negotiated at
bank soppose this nego
these shipments, whose business depends them
rer the capital would begin to oS In hi, direction for pu
advances and the trade would assume similar complexion to
the trade which from them There business
done merchandise sppeon the North 10 ports Do
ever hear OF any complaint made by those shippers against their
banks because they discount bills payable hereg
thpv would not touch them The only IS that
shipper dictate terms he requires payment to be made at his
The answer this proposition consists In the assertion
centres New YORK. aud they the power die
tate sh by fact! that funds that point always
premium.
But we opinion that n the system Of banking here
brought 70 literal and ydccd coin basis and then
sell than buy as to keep the baan settlement
n be
known as premium for funds New York II Boston Pha
dpa indebted to New York. they settle at by the
exchange those centres az and exceed
the small fraction cent whch costs TO e gh the coin from
the Other And we see no reason why the same state Of
things should not exs with Richmond unless persdVenture
are always n debt to New York
II every note check any demand whatsoever
was able literally and Prdcd coin, and Northern funds
At no premium would be matter for the banks
out ali the gold silver that would be from them
body would have any whatever for cola. II could y
tdordidry economy n W keep the North In devt
Northern funds would be at premium and bal
whch might be due US on settlement would have to
this coin Coin would thus become the balance wheel by
which the whole machinery would be sSiaiel
on per cent In New Orleans because New leans
Of trade han New York but because cotton has brought
New York in debt AMI the cola bees now to low settle the
balance.
What tangible gvea why things
should H.tn the financial sphere all the down the Atlantic
and when arrive In the ces Of virginia North
exchange dy at premium here and has been nom the
OF under the present banking system
always In debt; II must by this time be poor in
deed and Is time had begun to live accordingly hut this
cannot be true Tor We are reasonable th ami TO be So must
sell at least much buy Indeed under the unfar
by which part Of the interest State ponds
made Ne" fork We must annually sell eight hundred
thousand dollars than buy in inerchanges vi the
communities North Of US they always ready to settle Ia coln
the coin drawn, they would open their eyes
the ndebtrIne But do not hear Of large drafts
coin vending their way northwary, TO balances
when tnen either temporarily permanently the balance
trade Is against there other way Of settling ne bal
Yet appear there have been times when
Richmond had than hla million their crrtt
m Northern banks and Northern exchange still td premium one
sch fact enough show that financial Of Joint
any day the sellers Of Northern exchange hold
the buyers have need for, and there Immediate
pccye excessive demand then ought not TO be and
II held by drawers the laws Of competition would kept
below But f. there such general
and sight drafts the North almost monopozed by the
banks; II they pay premium, they make premium,
lose they able hold the difference between and
coin established by law at quarter cent II costs eighth
transport the coin Northern funds represent actual gold and
upshot Of this OF affairs Is that while these funds
well quarter treeeighhs premium, they
well get below either The truth Is, by law within
quarter specie basis aud Northern funds
premium II this quarter struck OF at end would
fall of the other Ia other words repeat the proposition al
stated n all demands the banks payable literally
and prIccd IN and keep out 81 debt to the North,
(which easily do II create and manufactures
sell than be buy then Northern funds would
they passed through hands, and the
ness gold and silver would entirely disappear
But the discount New York Virginia funds ranging
is still striking and serious than
the premium this end great this wide
fact that New Ysrk has demand Tor checks
payable IN Virginia the practice Of skng time engage
men payable here should be rorted and required bank
would then demand for Southern funds throughout the
Northern cities and this remarkable Of discount would
ish
Il impossible argue such questions fully show their
bearings paper II we Northern legislation
practice their and other corporations ADD
the ind ydua find all have In view
tron their sections centres and TO protect
products against the such regulations
initiate their example To get products, and
capital their paper should he made payable aud their funds
paper should stand footing Of preference by which
they have advantage In markets other buyers
shippers.