, 1862-01-30

amply sufficient to meet these demands Of the
GoyerHment. The great want Of tic people
and the business interests Of the country to
develop these resources, and render these
rellable circulating medium, Of equal value ii
All sections, aud Of Uniform volume at all
times. This Will restore confidence, revive
every branch OF industry, aud facilitate pro-
ductlon and commerce to degree heretofore
Unknown in our history.
But great as these resources and means arc.
get our benefcent Government is poor, and
can only meet the demands upon the National
treasury BY tic creation Of q National debt :
and In this it acts merely as the agent of the
pcoplc-the burden must at last fall on them
No kiting or fnancicring can prevent this.
1t IS therefore no longer IN open question,
whether this debt shnll be contracted OF not :
for any one who has given the. subject the
slghtes attention, Will admit that debt Of at
least $500, ,0oo, 600 will be incurred in sup.
pressing the rebellion. But grave question
arises as to the best means Of procuring the
loan There would seem to be one Of two
ways by which It can be procured. The first
may be styled the bankers OF tinancier'5 Dian,
and the second, the peoples plan.
BY the first it is proposed to borrow all the
money tue Government may require from the
banks, giving to them in exchangc for their
promises to pay, without interest, Government
stocks 80 Ks, neaIinE 1910 per cent, which, with
1as cost OF collecting and discussing thesame,
IL.
per annum, for the payment Of which the in
dustrla1 interests will have to be taxed. By
this plan the banks will have exclusive ri1lt
OF furnishing the country with CURRENCY
which they can manufacture at the mere cost
Of the engraving and signing these bills, which,
from necessity, the people Will be compelled
to accept In exchange for the products Of their
labor; Tor, however plausible III theory, or de-
slrable II practice, purely specie currency
may Dc, the American people are not prepared
to adopt it. These financial ideas, and com
mercial customs and usages, have all been to
the contrary, and it is but 4 waste of time to
talk Of its adoption in the present disturbed
condition Of The country.
There are about fifteen hundred of these
banks or currency manufactures now in ex-
lstence, many Of them located at the most mac
cesslbie points to be found-w1th circula-
ton Of over one hundred and fifty millions
dollars, the value Of which is almost as dif1rr-
ent as the institutions issuing it-for tic issues
Of but few of them have any fixed uniform
Falue, and that Of many Of them are utterly
worthless. The indust fa1 and commercial in
teresfs have therefore to suffer a loss Of 1T
least three per cent. per annum on the whole
Of this paper currency in the shape Of ex-
changes, over what would be necessary, on a
currency having uniform value in all parts of
the country; and it may be safely assumed
that the generation Of these banks does not ex-
ceed twenty-five years; that within that pc
rod the people suffer 4 loss equal to the whole
circulation by bank failures, extraordinary de-
probation, &C., being an annual loss OF four
per cent. This, with the loss Of exchange, is
equal to q loss Of seven per cent per annam on
the whole paper currency.
The second or people plan, proposes tissue
Treasury notes, without interest, in ilenomi.
nation and to an amount to meet the wants OF
the business interests Of the country, made
rccclgable 1or all government dues, and a 1e-
gal tender for all domestic transactions, re-
aeemahle in, Or receivable in, exchange for
government stocks bearing a rate Of interest
not exceeding Eve per cent. per annu1n. This
Wlll give the country currency of equal value
in AZ sections, and BY proper management Of
uniform volume at al1itlHle6. It will also be
the most reliable one we can have in tile pres.
ent exigency, for it will virtually have the IN
dorscment Of every individual in tie nation,
and the pledge Of every dollars worth Of pron'
erty in the land forits redemption. This plan
will meet the approval Of every Legitimate
merchant, !l 5ailroad manager and loyal capital
1st, as well as the whole wcalth- producing
classes. The Government can therefore have
no difficulty il procuring the means necessary
for its preservation, for It is to these classes
it must look for aid and support in this the
hour Of trial
depend somewhat upon the amount Of these
treasury notes that can be circulated. These
cannot be arrived at with any great degree ol
accuracy, but an approximation will be suf1i
Client Tor all practical purposes.
The currency of the country six months age
was estimated ut one hundred and tifty mil
lions Of dollars bank promises, and two hun
dred and seyenty-iye million dollars specie
total, four hundred and twenty-five millions
and should the Industrial and commercial in
terests become prosperous during the war
and It Is indispensable that they should-fol
On idle var at home is as much Of loss, in :
national point Of view, rs soldier in tht
army; it will require an increase in the volume
Of the currency to the amount of one hundred
millions Of dollars at least within one year
and, as there is always 4 disposition on tht
part OF some to hoard coin in the time Of war
II is safe to assume that as much as one hun.
dred and fifty million Of dollars Of specie viii
pc WlthdraWn from circulation in this way
besides large amount Of exchanges Of tic
country, Which have heretofore been made by
the drafts Of banks and brokers, most Of which
VII he done by express when the currency i:
OF uniform value, as it can be done in this way
at 4 cost of one eighth Of one per cent, which
VIII leave no margin for brokers. This will re-
4ul1c considerable amount of currency be.
yond what has heretofore been necessary,
This increase in tile volume Of currency, the
boarding OF specie, with the displacement ol
the bank promises, Will make room for at least
30o,G0O,0O0 Of treasury notes as circulating
medium
The comparative advantages Of these two
plans will be as follows: By the bankers and
hnanclcrs' plan, interest on SS00, coz, 900 at
elght per cent-s64, DOT, 900; loss on 500, 900,
Cu0, bank currency scven Ter cent per ;nnun,
-Ss2s, ,000, 600. Total annual cost to the Gov
000,oo0. '~ @@@N~-& - @4A~ psop1'' ''''
By the peoples plan it is proposed to ac-
comPllsh c the same object by the issue of $500,
0O, eco OF treasury notes without interest, to
circulate as currency, and borrowing 500, COO,
Co0 at five per cent, which, with tic cost oj
eoHeetlng and dlsbursing the same, will be
equal to Elk per cent. or s24 900, 900, which is
the total annual cost to the Government, and
saving Of sixty-eight million dollars annually
TO TIC tax payers over the bankers and flnan-
ciers plan-one.twe1ft1 of which, or S, 5,6G6, ,GCG,
Will pc save to the people Of Illinois.
Let US see what this difference will amount
to In twenty-five years, and let nc remark
that interest, when unpaid, becomes as much
principal as tlat named in the bond; there
fore the only fair way to compute is by com
pounding it when paid. If it was left in tile
pockets Of the people it would accumulate ds
RAPIDLY as any other means they have. The
SeoU,0U0,00O required to meet the wants Of the
eoternment Coy by the bankers plan, at eight per
cent compound interest. will amount to i've
thousand four and seventy-eight million seven
hundred and eighty thousand dollars in
twenty-five years, Willie the four hundred mil
lions required for the same purpose by the
peoples plan, will amount to but one hundred
seven hundred and forty-elght thousand foui
hundred dollars in the same time, making ]
difference In favor Of the peoples plan oye,
that OF the bankers of three thousand sever
hundred aud siSty-two millions thlrty-one
years.
Heavy as the tax would bcupon the industrial
interests, 1t is By 10 means the greatest evil IA
result from the adoption Of tGis plan OF the
brokers and fnanclers; for it Will give to the