The Richmond palladium. [volume] (Richmond, Ind.) 1855-1875, 1869-08-03
From the Scientific American -s
Currency Reform Needed How It May
be Accomplished.

Cta1 Circles Is now On IOOt, uoSAuS AoA
its object radical reform in our pres
ent currency. The means to be adopt
ed to secure this reform is an associa-
ton whose aim is to press upon the
minds of citizens in general, and upon
Congress in particular, method where
by an elastic currency that will continu-
ously accommodate itself to the needs
Of the business community may be SUBJ
stituted for the present utterly inelastic
and inefficient medium.
The experience of the last few days
is sufficiently convincing of the urgent
need of reform. During that time mon
ey has den anded so high rate of in
terest that it failed 10 meet the most
pressing requirements of legitimate bu-
siness, and most serious business de.
preston has spread over the land.
Never in the history of this country,
was business more unstable than now,
never time when it was SO difficult 10
forth.
While our special province precludes
the opening of our columns to protract-
ed discussion and debate upon ques-
tions of finance, we feel that it is our
duty to notice and second movement
which, if wisely conducted, can scarce
ly fail to accomplish much good to the
county at large.
The control Of the money market has
hitherto been to great extent in the
hands of the financial vultures of Wall
street, parasites upon the common
wealth who suck the blood of the peo-
pie, only pausiug at intervals to allow
their victims to accumulate fresh sup.
ply. The silly moths who cannot keep
out of the flame and get their wings
singed in foolish speculations in stocks,
have our sympathy for their weakness,
but were the influences of stock gam
bling confined to these feeble sufferers,
we should hardly consider it worth our
while to notice them. But when COM
binations Of unprecedented magnitude
have so far secured control Of financial
interests that they can tighten or relax
the money market at will. it is time to
see whether the country must quietly
submit to the financial disturbances
they now create at pleasure.
That no man, or one thousand men,
or one hundred thousand men, should
have it in their power to control the
money market appears to us so self-evi.
dent as to need no protracted argu-
ment.
IL 1857, when the banks throughout
the country, struck with what proved
subsequently to be senseless panic.
refused discounts, the merchants Of n.
York compelled their suspension by
Withdrawing their deposits. The histo.
~ of that disastrous financial crisis
teaches how much the country loses up
on the occurrence of any such suspen-
sion Of general business.
An exchange has demonstrated that
the loss accruing to all classes during
twelve months succeeding the panic Of
1857 was s2.7OO. 100000, or in round
number 5000, 100000 in excess of the
present national debt.
In other words panic of one year in
trade cost us as much in money as q
war Of four years.
How are panics to be avoided? The
plan originated by the New York Mer-
80 :oh
gave in a Heading article published in
our issue of December 2, 1868, is advo.
Gated at present by the promoters Of
the Currency Reform Association
This plan has been rapidly gaining
converts in opposition to deep rooted
prejudice. Although at first sight there
may appear to be serious objections to
its adoption, we believe a careful exam
ination will show them to be baseless
This plan is set forth in the following
extracts from the financial and CONNER
cial platform of the journal referred to:
we hold that next in importance to
the joint and harmonious action Of capi-
tai and labor, is the supply Of curren-
cy based upon sound financial princi-
Piles. The first requisite for business is
a token universally recognized thro'out
the land AZ the true representative of .
dollar. The Government is fully COM
petent to issue such a token, especially
when deeply indebted, as at present !;
and no other standard Or measure Of q
dollar should be tolerated. This nee
essarily excludes the paper dollar issu-
ed by corporations, pnrporting to be
redeemable in coin, upon demand; and
advisedly SO, because these private is
sues have always proven extremely
treachcrous and delusive. Either gold
and silver should constitute the only
permissible circulating medium, or they
should be demonetized, SO that the pe-