New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1868-02-10

loans o. 055 10000 -Four tenths OF TINS aggregate
were. however in Government securities anu put
six-tenths loaned to individuals; thus Loans 10 IN
diyiduals, 1855 100000 IT, 5. securities, siDooOVV'
Total. 81 o55, 100000.
These foures disclose the important fact That, III
the banks find il necessary TO curtail their loans IN
order To resume they need not make the curtaIheht
from the mercantile community. They can reailze
from their Government securities. These are III
effect cash funds which they can raise money
from priyate capitalists, and which they can remit
for sale or to obtain credit abroad This is
resource which our banks have never, on any pre-
yious occasion of pressure, enjoyed and 1t is cir
curostance which modifes the situation entirely.
The fact may very properly relieve any apprehension
that the individual interests of bank must
be sacrificed to resumption. II also does away with
the old idea that the ability of banks to resume,
after protracted SUSPENSION depends on full crops
and a foreign demand therefor. This was formerly
true when we produced nothing but corn and cotton
that could be RENTED to liqudate balances and Sc
cure return of specie But now we are producers OF
coin and the lubricants of mass OF national oDlg
lions, which command coin in all the European
markets The combined strength of these two re
sources supersedes the necessity which formerly OPP
pressed us, and is ample for our emergencies
If it be objected that all plans of resumption in
yove further contraction of the paper circulation
we reply that this objection loses its force in view of
the following considerations In the first place, re-
sumption Will be followed by the instant liberation
of all the boarded coin in the country which the
Controller of the Treasury estimates at over
$3OOOOOOOO. and which will Immediately seek the
channels of circulation. Secondly, with resumption
viii come the removal of the restriction upon our
banking system. which limits the banks to circula-
ton of $3OOOOO,OOO. When the banks agree TO re-
deem their notes in coin. there will be no objection
10 their indefinite multiplication under our existing
system.
1t will be observed that the programme here put
forth only presupposes preliminary redemption OF
s70OOOO0 Of the existing SG00OOOOO of bank ana le-
cal tender issues in order to reach resumption We
think the figures given ii satisfy any ono who eX-
amines the subject that we do not miscalculate the
result. If the banks as yet have not been obliged
"a curtail their accommodations to their Gus
TONER'S but, on the contrary. have been
able to increase their loans while have been APP
preaching resumption, where Is the foundation OF
the apprehension that shall cut oil the ordinary
resources of business men by this process Look at
the facts The bank loans to individuals were, III
April. 1866 s55OOOOOO; in October, 1867 s65OOOOOOO
In January 1865 $GsS5OOO,0O0. During the whole oil
Mr.. McCulloch's operations. we think so unjustly
aspersed. the resources of the borrowing community
have not only not been curtaied butthey have been
enlarged The banks are to-day loaning more than
ever before, aud the rate of interest is below the
average
Let us reoapitulate this exposition in figures
The Bank circulation Is. S5OOoOO0eo
Grecnbacks ooSoC CCoo
Interest-bearing Legal Tenders......... 72OOOOW
Total.................... t759,OOO,oOo
The resources for redemption of this sum oil
s759, 100000 now in hand are as follows:
The Government holds
In Specie ................. SlO0,OOO,OOO
In Currency. ACKNOWLEDGEMENTS
The Banks hold
Currency ........-.-....--. lbteO,WD
legal Tenders. $50 100000 H4,0O0OOo