Public ledger. [volume] (Memphis, Tenn.) 1865-1893, 1867-12-23

Notes OF NATIONAL ban ks-.''.'''''''''' A@'V'0'V"V
olfuOu
1t appears from this statement that all
the National Banks Of the country hold
but one-sixth part of the whole amount
of currency afoat, leaving fye-sixihs, or
more than five hundred and sixty eight
millions of dollars, in the hands of the
neople. Where is this vast sum Of
mouey2 Who has IT'D The banks of
New York hold but little over fifty
millions of dollars, and at times they all
experience great inconvenience in pay
ing checks in currency. One Of the
banks of that city (the Corn Exchange),
with a capital of one million dollars aud
a million aud half of deposits, reports,
on the 7th instant but $4,000 in legal
tenders.
The question have asked is hard
one to solve. If the people hold SIX
times as much money as all the banks
combined, we certainly should have
easier times, and it would seem that
money should be as plenty as black
berries. Can it be possible that such
unsubstantEl things as paper promises
have been boarded and buried out Of
sight? 1t seems to me that the scarcity
of money can be accounted for in no
other way. MADISON STREET
Oar correspondent answers as well as
asks the question, what has become of
all the money" lie says fve-sixths Of
it is in the hands of the people. When
men hoard, they retire from use that
which they value most highly, and pay
out that which they value least Whether
the issues of the National banks are
worth less than greenbscks or not, it is
evident that men who do hoard their
money think SO, or greenbacks would at
least be as plentiful on the market as
National bank notes. We have no doubt
a very large sum in greenbaeks is
boarded at this time. So unstable is the
condition of affairs, that men wish to
keen their means in as convertible form
as possible. The sense of insecurity IS
universal, and values are unsettled.
Greenbacks, being legal tender, are next
10 gold in value. Gold must be boarded
when it is worth one-third more than
paper. And when man can buy upwards
of thirteen thousand dollars of paper
for ten thousand dollars in gold, which,
because a legal tender, is sure to be worth
ten thousand dollars at any rate, and may
be worth thirteen, he will of course hoard
the paper because that promises him In
terest, while boarding gold does not.
With three classes of currency on the
market, one doubtful, one probably good
and the othef certainly so, there will be
nothing in use but the doubtful For
those who have payments to make will
use, and if necessary exchange for that
which, while il will make the payment
required, will have in it the least intrin-
sic value. And so, taking a general
view, we do not wonder that there is little
else than National Bank notes in circu-
latiou. Our correspondent is man who
should be better informed on this subject
Than we profess to be, and we should be
glad to have his views IN erieRso on the
subject Of the problem which be has
raised.
As to the matter with ourselves at
home the case is plain enough. We are
impoverished, and have nothing to buy
any kind of money with. Times are
always hard to the poor. Men without
property do not expect TO get money
from banks, or anywhere else. And we
are just in that condition. For, though
We may-some Of us-have our houses
or our thousand acres, we cannot sell
them without buyers. Il is 50 hard to
keep them and psg taxes, that many
capitalists are waiting Tor The time
when we will take song in
stead Of demanding price; and
theg are boarding still in hops Of times
20 get worse. Besides, they dare not
invest 10 O section without . stable GOV
eminent and where anarchy threatens