The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1867-12-12

The immediate effect would be the same,
and the ultimate effect better, If it
were required that the gold value Of the
bonds deposited by the banks should always
exceed by ten or twenty per cent. the
amount of their circulation. This would
place the national banking system on basis
which would be the equivalent of specie. 1t
would thereafter be their interest TO hold
considerable reserve in specie aud to further
specie payments. Then If by proper legisl1-
tion the present gold reserve OF $l00 600 600
now held by the Treasury could be thrown
upon the market, under such regulations that
it would force down the premium on gold, aud
would be bought up by the national banks
and held instead of the legal-tenders as a re-
serve, and as a security for their circulation,
the result would tend greatly to strengthen
our entire financial situation. Our gold, at
present, is performing no function whatever,
except that of empty display and idle threat.
Our paper money, whether greenbacks or
national currency is in no way strengthened
or secured by it. The nation is losing the inte-
rest on this gold to the amount of Blk millions
per year in gold, or ten millions per year in
currency. In the vaults Of the banks, and as
the natural basis for our national currency,
it would be utilized and would serve the
business interests of the country.
AS the discussion Of the financial question
develops in Congress, 1t will appear more and
more plainly that the integrity of the public
debt, which was the price we paid for our
present national existence, the exemption of
the debt from that local taxation which if
allowed would drive it out of the country and
cause it to be held by foreigners, the preserva-
ton Of a national banking system and cur
rency founded on that debt as its basis, and
the early adoption of measures calculated to
place that banking system on a specie basis,
and restore specie payments, are policies in
separably bound up with each other and with
the future ascendancy of the Republican party.
While, on the other hand, the remnants of the
Democratic party, unable longer to prevent the
restoration of the Union, will seek to swindle
the creditors with whose money the nation was
restored, by taxing the bonds in the hands of
Americans into the hands of foreigners, sure
prelude to Tepudiation by warning on the
National Banking system and uniform cur
rency, and attempting to revive the old State
banks, which were the financial representa-
tives of State sovereignty; by raids on the
revenue; by continuing the independent Trea-
sury system with its enormous unutilized
hoard of gold, as opposed to the national
banking system, in connection with which the
same amount of gold, instead of deterring,
would greatly aid a return to specie payments;
by free trade; and, in short, by the revival OF
all the financial doctrines whereby the Demo
cratic party broke down the National Govern
ment, in order to build up State sovereignty
and secession. We urge our Representatives
in Congress to consider these questions, not
separately, but as parts of two general sys-
TENS Of finance-the National system and the
State system-one of which, if carried out,
will restore the Democratic party to power,
and reduce the National Government to its
former weakness; and the other will maintain
the Government with financial power pro-
portioned to it's political responsibilities.