The daily Gate City. [volume] (Keokuk, Iowa) 1855-1916, 1863-01-22

X EO X u X:
THURSDAY, JANUARY 20.


WEr i 1t Ill times question of finance
as well. = Of arms. Our present civil
war 10 suinently 20, and will probably
find its solution in the purse sooner than
by hesword.. Hence. whatever strength
il contributed to the Government fnan-
cially is contribution of the best sinews
One powerful element Of strength -
yet comparatively untouched, is the Bank
ing Capital in the North. Cannot this
element be brought to the aid of the Gov
eminent without injury to that element
itself2 1t doubtless can, if the proper
mode Of doing il can be arrived ct.
In the present condition Of the country
the banks are an element of weakness in
stead of strength. inasmuch as thsir cir
culating notes are in competition with
those of the Government, and tend either
to displace them CT depress their value.
If, however, the interests of the banks
can be made to harmonic with those of
the GsvasAhesto Gassesd q being snsgs
onistic ss they now sre) they win do
much towards bringing this war 10 sue
cessful conclusion.
!, The plan suggested by Secretary Chase
In hia lAielreport, though not rec from
grave osjecticns,is perhaps the best that
has yet been devised.
In looking at this question of National
Finances, we must keep clearly in view
the important facts that the Government
is our owns ourselUes-and that its in
teress are inseparably interviewer with
our individual interests; that The man
who wilfully aims blow at ,s credit
aimssa blow At us and himself; that he is,
financially speaking, both murderer and
suicide.
Tbs plan Of Secretary Chase is, in its
general features, similar to the Free
Banking Systems Of Illinois and Indiana
which we're unsuccessful. This want Of
success arose, mainly, from the Iooseneas
with which the system itself was framed,
rather than from any inherent weakness.
1t combined oil the elements OF safety
that have yet been overwhelmingly
State credit, coin redemptions and per-
sonal responsibility; but these were 70
badly adjusted - to leave the system
open to great abuses, and it was accord-
ingly abused and brought into discredit.
In our own State We have Free
Banking System " to-day, but it il dead
letter, becaus. its trainers, in til cir anx-
iety to avoid all abuses of it, made il 30
stringent - to render it unprof table to
the banker.
The system proposed by Secretary
Chase is therefore not Objectionable per se,
while il has many strong arguments in
Its favor.
Let US consider some of these
LIST: It places the entire control of the
money power, or currency of the country.
Wnere the Constitution evidently design
% It ahoAad be--in the hands of the Gen
eral Government.
I'd: 1t Is free from all the obiection,
that could be urged against any great cen
tral institution like the old United State
Bank, a. also from the variety OF system
that have obtained in different States.
3D.: 1t is alike applicable to IN part,
OF the Union, and creates currency o
equal value At the great money centres
and in the most remote States.
4th:: Il wosld constitute one Of th,
strongest possible bonds Of union,
union in the monetary success Of the Gov
ernment-each bond holder and bill hold
or having direct personal interest there
In.
9th; 1t would dispense with the fftee,
hundred different designs Of bank note
which now puzzle the brains Of all VII
are not bank tellers, and substitute i
their stead notes of uniform character 1
well as value.
9th: No period has ever occurred i
the history Of this Government no oppol
tune for reforming the Banking System
Of the states, and placing them upon :
uniform and sound basis, - the pressn,
and 1t should not be allowed to pass n
improved.
1n AND not the least important.
furnishes home market for Two hundre
miihons OF Government Bonds directly
ana Tor thousand millions OF thsm indi
rectly if needed, BY the con6dencs it voul