The Lansing state Republican. [volume] (Lansing, Mich.) 1855-1874, 1864-04-27

The reduction in the price Of gold, aud the
throWiug out OF the notes OF State banks a
currency. continue to be largely discussed.
The fol owing letter from Secretary Chase to
NJ sherman. chairman OF the House Finaneia'
Committee, vas read before Congress the other
day Il will be noticed that Secretary Chase
saws that the fist Cause OF the high price OF
gold aud goods il - the increase Of notes OF 10
cal banks" and that be has already submitted d
bal To remedy thi- evil by taxing the barks' al d
shutting them up entirely At the end OF ohe
year. HIS letter says:
Treasury D. PARTNEST. April 1864.
SIR:-Not~mhstanding the dinnishet amount
Of u , notes ia circulation, aud the g'adual
withdrawal from use or currency OF interest
bearing L ;. notes made legal tender By The
fac, the price 81 gold continues TO advance.
Thi- fleet can only b. attributed To Que 81
two causes. sng - probably due IA part 10 each
Fisst. the increase If notes If local banks, AID
Second. to the stipr,~ oi Spectators
l have at.,a.., o,.DuD,tt~d ths ough y~n 30 the
con-idrr4t on &. the Committee on Finance. a
bill intended A. remedy tor TIE first evil al d
nov d, to submit for your consideration a bii
int, drd a. remedy for the second.
The ht-t u &C btcOmes "A Law, will have.
doubt not most salutary cOnss q lences- The
effect of the second vii probably toe more mn
mediate, though. perhaps, hot of such perma-
nent importance. ak tor tne cOnsideiau OF
both AID the iavorable action OF Congress II
approved &c must not be thought, however.
that | regard either or both Of these HeasLres
"a al, quate remedies tor huan cial dlsOi ders.
Nothing snort Of taxation TO OGe hall II the
amount OF the current expenditures, aud Tire re-
ductOn OF expenditures to the lowest POINT con-
parbe with efficiency, will insure financial sue
cess 10 the government and without military
success all measures Nil fail.
Very respectfully, T. CHASE
Assuming that this bill will pass, the Cincinnati
Gazttts says Oi it:
- Ii 80, it will contract the currency within
a year over 500 100000, This would do more
To break dO~n the price Of gold. aud check Ia
natlon of prices than all the resolutions intended
merely to bear the market that Congress could
pass IN six months The Eastern banks, and
particularly those Of Penn-y ivsnIa und New
Jersey, have been issuing their notes at II fearful
rate, aud tue country where they are permitted
is iauiy flooded with them. The bill referred To
strikes at the root Oi the evil
The Pi5tsbuig Gdzstie quotes approvngy the
action Of the Chicago Boa, ID Vt Trade aud also al
article from the y. Y. TSibane recommending
"an exclusively greeuback currency" ana
adds
I've have aaoAt too much paper money.
issued oS banking ASS, Cations al over the coun
try, to justify the hope that a wholesome con
ditiOn oi tho money market eau exist Tor u long
period Much OF this klud OF mouey ueser
h.. nod ny sral ten ut-r-
Aud among b. Sc associations the tendency is To-
where 10 c0nuactiOD, but eveTlw nere 10 expan-
sion. A the beginning of the var, We Learn
from competent authority, the banks IN the
Northern States had about one hundred aud fry
million ~ CT cua,iOu; how they have more than
four HUNDRED millions. II this process Is to 90
on. even Il Il sto, where it Is. there will o.
alter bile such topping aud Overturuing-
such uprOoung ot cOnhdence-as this country
BIS not seea tor quarter ct century. AS
matter VI fact, cO,.hirnce Is beginning to Wane
already, Tor every where the people demand
greeubacks and national currency Ia preference
- bank notes
Then again. as another evil effect of the ex-
pansion OF the issues Of private banks-as All
effect OF too much paper money-we have the
Constantly Increasing expansion IN prices and
inereas in the speculsting madness Reduce
the volume OF currency tour hundred millions OF
dollars. aud see row rapidly prices will tumble;
aud see. also hos quickly the mania for wild
speculation vii slfsr a decline"
The Gsand Rapids Daily Eagle. which, by
the way, l. quite spirited aud independent pa
per, rsps the Detroit Tribune hard over the
knuckles Tor its recommendation - TO the people,
OF Michigan to receive nothing a. money except
greenbAcks, Gnd the notes Of IT. oe,. banks
The EIgte argues thus
Tn idea i impracticabl and il il were prac
ueao'e, would do no good Why should Tire
people OF this Safe take the bulls of tue bank
O. this States Are not the banks = his Stale
Just as bad as the banks of other Statess The
banks OF this State do nor redeem their Issues in
com; and Who believes they ever will do so ,
There i too much currency but part of II be-
longs % the banks OF this State Therefore rho 4
banks Of tbs State are guilty OF their share Of
The u d Iion Which has robbed and s~indled ths /
people Nv causing high prices
But what sense i there ia refusing the blls
OF bank In another State thar Is lust A. sound I
while ~e take the bills OF the baaks Of tb,s
State: Whv should Ne refuse the. bill. If =
good New iOik bank. while We take The bills al
. Oe,rot oahk that Il, perhaps not 50 good d?
Aad 1t We should ADOPT this idea. il would not
reduce the currency It would only change II.
% that the banks IN each State should have An
0'ions and unjust monopoly of the circulation of