The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-10-23

fair minded thouohtful republicans win calmly sit !
down and look over this action and not feel that
The NATIONAL BAHKs-NJUsTICE TO THR wEsE
During the progress OF the war another difnsN lty
grew up which excited alarm In the minds OF the
its great volume that the government boAds were
taken in the Northern Atlantic States the Union
This Is q perous relationship. 1t corM not well be
avoided. But the evil could have been mitigated II
there had been WISE and San ec2aOncs ans
Indebtedness. But the men IN power saw 1T to do
another thing. They drove out Of existence by
They thus grasped the exclusive power OF issuing
paper money they gave to the holders q govern
what Is known rs national banking system. This
was . privilege OF enormous value win not
stop now to discuss the wisdom Of that sys-
law authorizing our banks to organize under
that system, because l saw, a. far back az
1853, that It imperlled the future harmony Of our
Union. The point to which wish to call your atten
ton is the unwise and unjust manner In which this
great privilege was distributed. Wise men would
ter to the general prosperity Of our country. But
regardless OF all this this great monopoly was given
Which sad
the government bonds, and thus not only our debt
but our currency was sectionalized. While
inhabitants, has about s57,ooo,ooo Of this cur.
rency, the State Of Illinois, with about twice
IN the state Of Rhode less san a hey have
about forty dollars to each inhabitants while in ILL.,
nois, Michigan Wisconsin and other Western States
they have only about eight dollars. II so much cur
rency Is good for Massachusetts, why is it not good
thing out wests lCheers.) But the injustice Of this
this lack OF foresight and craftsmanship. 1t Is no
answer to say, in justification OF this Inequality that
the West had as good chance to get TINS privilege
leave to chance. The Western States were not then
In condition to secure thus currency, for the very
reason that they most needed It, 1.-THE rule OF proper
ton to be disregarded it should have been done
in favor OF the very States that now have the small
est share. 1t was the duty Of wise craftsmanship
to see that the currency was given where 1t would
be OF the greatest service to the public. 1t may be
asked II the West was not able to take bonds how
would they avail themselves OF this privilegeY II
this action had been reversed ana hfty-seven mil
lions had been given to the State Of Illinois and nine
which would be much more fair than the present
distribution, the people Of Illinois could not have
established these banks; but the capitalists Of New
ed banks in these States for the sake of the advan
tages gained. Now, this would not only have been
more fair as any one sees, but it would have avoid
ed great evil to which will call your attention,
and in considering this will not go far to say
The people Of the Northern Atlantic States, who
hold about two-thirds of this currency do not need
this amount for their business purposes. Their
modes OF conducting business do not require this
form Of credit. Formerly the banks Of the city Of
New York did not deem worth while to issue notes
OF the year they send currency to the West to bring
forward the crops. When it Is not needed for these
purposes Is accumulated In vast sums In the cities
of New York. Boston and Philadelphia, where, as 1t
is not wanted for regular business purposes, 1t Is
used to promote unhealthy and demoraltzlng specu
latiOns. II we turn attention to the agricultural
States OF the West we find that they do need currency
In their business transactions, and that they suffer
great evils and losses from the want OF It.
wheat, corn beef and pork Of the West should be
sent to market not only to feed our own people,
but by its sale foreign lands pay the interest on
our debt and for the articles we purchase abroad
try to do this The best commercial paper is that
which Is made for this object 1t Is payable at the
commercial centres at short dates. 1t has not only
an acceptor at the East but It is fortified by q
bill OF sale OF the very property which Is bought by
its proceeds. Why Ia it that this commercial
paper made for purposes essential and meritori-
Gus, SO amply secured and having about it every
feature which commands credit, commands the mon
strous interest Of ten or twelve per cent? This Is
citizen Of our land. There Is great wrong here
at the very basis Of the business prosperity
United states When the western I dealer rim in
produce goes to the bankers Of Chicago, MIL
Of the West and offers q draft payable at short date
in Eastern city, OF undoubted credit to get the
currency TO buy the wheat beef pork wool OF the
Western farmer he Is charged tins monstrous inter-
est and when ne objects that 1t is ruin0us and
just he is told that the banker can do no better that
he has currency OF his own, that he cannot get
IL for himself. that the whole volume authorized
by Congress has been taken up mainly IN the
Eastern states that In order to get this currency he
(he banker) must go to the East and borrow it, and
must pay interest for its use, and then he must
charge all that interest and another interest as a
compensation for himself Then, says the borrower,
ind that must pay interest to two bankers. Is 1t
nave the share Of Which Ic
longs to western States? Are not we, the citi-
zens Of the West, forced to pay to these Eastern
belongs to usf II must pay you, the banker OF the
West or the banker OF the East ten or twelve per
aa take 4 out Of the price whc
pay to the farmer for his produce. NOW all this is
rns and p ase IL senp which iSs
States, q jealousy OF the creditor States and a
sense OF injury which harms the national credit.
foundation OF much OF the feeling in certain sections
OF our country against the b0ndholders. II Is no
and other Western cities that the grain market il
checked for the want Of that currency which right
fully belongs TO that section Not only Is the farmer
carriers upon our lakes and canals and the whole
commerce Of our country, nternar and for
ON ths part Of our rulers
But the evil does not stop here. When the cur
rency has been used to place the agricultural pro.
ducts In the markets OF the East and Is no longer
needed for those purposes piles up In volumes
in the cities OF New York and Boston during the
winter months Those who hold are impatient to
have it prontably employed. They invite borrowers
to use II for purposes that end In those wild and
~, az nat nave done 80 much TO
which can alone make people truly prosperous.
Not unfrequeny it is used again to buy up the beef
holders and In the warehouses OF our commercial
cities; and to put up their prices against the labor
ing poor, the tong mechanic and the consumer Of
the East In this way, too checking the expectation
abroad and destroying the commerce OF our land
(Cheers.) Now, II with wise craftsmanship under
this same national banking system care had been
used to place this capital where it was needed the
share which would have been given TO the Western
States would never have remained idle or have been
employed for hurtful purposes. There would always
have been use for that capital there which would
have promoted the prosperity and advanced the
hpalfhy pufprprisp and craving
munitics.
This error OF our rulers ia attended with another
great evil. There was no provision made for the
South no care taken to revive Its prosperity,
that It's people might aid In advancing the prosper
ity OF our land. IL s for our interest as well as
theirs that their pursuits should again be made
prosperous. We find that this In the distriDu-
lion OF our currency IL cursng our business with
enormous rates Of interest. lessons the prices which
the farmer gets for bis produce Injuries our carriers
and harms both domestic and foreign commerce.
This great Migrant national evil should have been
corrected but It has not even received the attention
OF the party IN power. tCheers.)
GREENDAcKs FOR THE BoNDHoLDER AS WELL AS FOR