The Highland weekly news. [volume] (Hillsborough [Hillsboro], Highland County, Ohio) 1853-1886, 1862-01-23

| question mas been exercised Oy every
State in the Union, and this from the
foundation of the Government to the
present day; that it has been recognized
and sustained by the highest tribunals
of the country in every department-
executive, legislative, and judicial; that
it hus entered into and become incorpo-
rated with all tho business transactions
of the people; and that the introduction
of new basis and system Of credits
for thirty millions of people, by sum
mary removal Of one that has thus been
established and acted on, would be at
tended with most serious difficulties un
der any circumstances, and especially
under the existing embarrassments of
the country--passing all these consider.
ations, [ see the most serious objections
to the whole project in the means sug-
gested for its plishment.
The Secretary suggests that the grad
ual withdrawal of the notes of private
corporations and the issue, in their
stead, of United States notes, payable
in coin on demand, may be effected by
the exercise, by Congress, of the power
to levy taxes, and that a moderate tax,
gradually augmented, on bank otes,
will relieve the national from the com
petition Of local circulation. If the
Government will furnish better cur
rency to the people than that Of their
local banks, no such process as that of
a tax, gradually augmented, to the ex-
clasion of the latter, will be necessary
for the protection of the former. The
people arc not only competent 10 decide,
but will be ready and quick to choose
the better currency.
The right to discriminate in the i'm
position of taxes, for the encouragement
and protection Of particular interests OF
the people, may be admitted, and its
exercise under peculiar circumstances
expected, but the right to discriminate
against q specific interest and to levy a
tax graduated to the declared purpose
and object of its destruction, is a pow
er which, once conceded, may prove t.
be an engine of crushing force to any
local or State interest, or State institu.
tion.
! The Secretary suggests two plans foi
furnishing paper currency as a substi
tute for that now furnished by local or
State banks, both of which are liable tc
serious and, as think, fatal objections
. "The first contemplates the gradua
!, withdrawal from circulation of the notes
: of private corporations, and tho is
. sue, in their stead, Of United States
y notes, payable in coin on demand, in
: amounts sufficient for the useful ends
of representative currency" To this
plan such serious objections presented
y themselves to the mind of its author
: that ho abandons it, and dismisses it by
saying he contents himself with Observ
ing that, in his judgment, these posi-
BILE disasters Cncident to the plan) SC
far outweigh the probable benefits of the
plan that he feels himself constrained
e to forbear recommending its adoption
t 1t may, therefore, be dismissed from
j further consideration.
o The second plan of the Secretary is
= simply the system of local banks, as
: now in existence, with a circulation
e based exclusively on United State.
d stocks. 1t differs in no essential par
d ticular from the stock bank system, nov
in use in this State, except that it ex
cludes the stocks of the State, and re
e quires those of the United States as thu
d sole basis Of security for the circula
e ton.
i To the objection already stated to thi
system of banking, namely, its want of
o immediate availability, the plan propos
o ed is liable to other objections, anon!
r which [ may enumerate the liability of
= greater huctuation. in the market valu
: Of United States than in Ohio bonds
y the establishing of a paper currency 70
o all the States upon one basis, the de
}. probation of which, aside from its ulti
f mate security, would affect and damag
o tho entire system; the dis ,redit of S at
o bonds, as a basis of security, and throw
d ing large amounts upon the market il
n order to effect the proposed changes.
: Such currency, moreover, woul
e in no sense be national currency, not
IT withstanding "its common impression
! and common Authorization" for th
y issues of each local bank would be con
= vertible into coin only at the bank is
o suing the same, which fact would fix il
character aud standard as a currcnc
Vt and medium Of exchange, and not tn
e security on which it may be based, o
"its common impression aud authenti
l. cation" These considerations, an
% others which might be adduced, compe
e my dissent to the expediency of tn
, proposed radical changes in the bank
o ing systems Of currency Of the coun
7. try. -r-
II But Independent of all objections t
y the proposed plan Of the Secretary as
d system Of banking, and waving all tn
l. doubts, difficulties and dangers Of NJ
= dertaking to displace existing system
IS as established in the several States, b
g the substitution Of that proposed, unde
1t any, and certainly under the oxistin
D. condition Of the country, | consider th
J. measure impracticablo as ono Of relic
70 to the Government.
is 1t is presented as furnishing maj
ket on demand for the stocks of tn
is Government equal to the requirement
70 of the Government, to meet its oxpe1
d ditures. These the Secretary estimate
I as follows: go. =,
For a'oa' year ending June g. 1892 ss75sSoS
is Making total Of se55,oOoO
IS The practical question then CONES u
" and muak he met Can thaaa st,,ns 4