The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1867-03-04
TIE NEW YORK PRESS.
EDITORIAL OPINIONS OF THE LEADING JOURNALS
UPON CURRENT ToPiCs-cOMPnED EVERY
DAY FOR THE EVENING TELEGRAPH.
n,ar Finances, Currency, and National
Bank Sy stem.

O,,r Finances, Currency, and National
Bank System.
Eyou1 ne Herald
We have been going wrong in the manage
uent of the national finances through nearly
the whole war, and up to the present time.
The first step taken to raise money for the
prosecution of the war, by calling upon the
capitalists of the country for loan, was the
right one. Fifty millions was soon raised in
this oity in that way, and five hundred millions
or more could have been raised in the same
manner if the Government had called for loans
in time. in convenient sums, and running over
q Sufficiently long period. Indeed, all or nearly
ALI the money needed for the war could have
been procured if our finances had been
DroDerly managed, and q suitable system of
taxation had been established. With a revenue
approximating that which we raise at present
and such a revenue could have been raised
the loans required would have been COM
paratively small, and the credit of the Govern
ment with such resources, would have stood
30 high that capitalists would have supplied
money ON easy terms; but, unfortunately, such
a policy was not pursued. Like reckless
spendthrift heir, who mortgages his estate
regardless of the future, Congress mortgaged
the industry and wealth of the country to the
amount of nearly three thousand millions OF
dollars within period of four years. Nothing
10 be compared with this recklessness and
Iuinous mismanagement of nations finances
can be found in the history of the world.
1t was a great misfortune that we had not at
the time statesmen capable of managing such
important matters. But our present financial
condition was not all the result of ignorance
There was class of shrewd fellows and cum
ming politicians who saw they would make
immense fortunes and acquire political power
through the troubles of the country. Salmon
p. Chase, former Secretary of the Treasury
and now Chief Justice, was the head and front
of these spectators. He flooded the country
with paper money, which caused gold to run
up to high premium, and thus enabled those
who took the bonds of the Government to get
them at less than half of their real value.
England in her most trying times during the
great European war at the beginning of the
century, never had her credit reduced so low.
Yet our resources were almost boundless. A
large class of bOndholders was created who
obtained their bonds at very low rate, in con-
sequence of this same Chase party having
previously deprecated the currency by flooding
the country with it. Mr.. McCulloch, who
had been brought from the West, was first
made Comptroller of the Currency and then
Secretary of the Treasury.
These men seemed to control the legisla-
lion of Congress. The next step, after having
BOL OuI uOOu VI paper money anu Llle UOlluS
at less than half their real value, was to
establish the National Banks. Here was
another mine of wealth. The property of the
bondholders was increased in value, the
privilege of circulating three hundred mil
lions of currency produced an immense profit
to the banks, the trade and industry of the
country were under their control, and a vast
political machine was set going for the pur-
pose of making Presidents and Congresses,
and for controlling the destinies of the
republic. Now we find Messrs. Chase and
McCulloch and all their numerous associates
and partisans making the most desperate
efforts to perpetuate and fasten upon the
country these National Banks, their circulation
and all their privileges. They WELD vast
power; and it is yet to be seen whether there
is strength enough in Congress to break up
this infamous monopoly. Some successful
movements have been made already to limit
their power and privileges, but the great work
remains to be done; that is, Congress should
withdraw their circulation and substitute legal
tenders in the place Of that. This would be
an immense saving to the Government, and
the national banks could bank on legal-ten-
ders Just as well, and still do profitable busi-
ness. The profit on the currency OF the
country belongs to the Government and people.
1t is an outrage to give it away to an over
grown monopoly. Let Congress drop politi-
cal squabbling and turn its attention to re-
modelling our financial system, beginning
with the national banks-these pet esta-
blishments of Chase, MeCulloch, and other
rich bondholders and spectators.