New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1870-05-18

biscitumi .
Mr. BowLEs-Yes. Sir they are the main stay VI Ia"
and order in Europe the very class VIC "oua nv A.,
have emgrate and to But to proceed WIN INC
| circular: ,.-
"In Western Europe-that is to SAY. in France swtzer
land Bcgium and Holland countries which ine CON
mon Code NAPOLEON draws naturally into a cooperation
| distinct from that Of Germany. however innneneea
thcrebyhc stratum OF capSt the e oI honTSsen
4 e. the farmers, artisans and small merchants THIS
HE .n hecase although realizing from the sale Of their
products, alimenary or other Dement'S much greater
| augmented It's expenses; its economies then con
slant and though small in detail they are immense IN
ence of speculation speculative money centers ii is
this class which, in the public subscriptions OF Franc
! furnishes so readily such formidable amounts II il,
then It, class nearly resembling our own
society, more in sympathy within and more desirable
to encourage as immigrants that we should PROPERTY
| address ourselves through the means ana chanheis
which control its interests. a.,
following points are essential IN order to iacitae the
funding process That the bends should he issued IN ne
nominations OF $50 and upwerd Ihat ny the decaraon
Of the payment Of interest in the three international cur
rcnces said interest shoud be available at the doors OF
ing upon these bonds which would permit each holder 10
bond Thus facilitated, Investments in Federal bonds
viii be considered as the equivalent OF the deposit IN
saving banks, since while tho holder has security OF
first rank and soldty, he procure loan upon it as
easily n he can withdraw part Of his deposit In the
| savings bank"
These are the ideas and suggestion of European nan
cIers of long experience OF tho three points therein
recommended the first two directly within the scope
of legislation; and the third, which is hardly less inn
portsnt be indirectly achieved through the co0pera
ton OF the national banks, fiscal agencies OF the
United States, wherever it may be found expedient to
| foster them.
Mr.. SCHESCK-It strikes me II would be better for us
to leave our per bonds in Europe and have what
get In exchange for their brought here from the fact
that the bonds not taxable and uhoterer we get in
! exchange for them wiH be taxablel
| NEW FIELD OF INVESTMENT.
Mr. ALLIsON-lt will then follow that force these
six and per cent railroad bonds out OF the country
place of the four per cent bonds the latter will remain
here TO possibly give future trouble in the way OF
| taxationi
Mr.. BowLEs-Our corporation bonds will always go
abroad to supply the special demand for Them but they
will not reach the class above described TO any great
extent until they shall have been preceded by the Gov
eminent bonds. We propose now TO reach class of in
vestors which will otherwise remain untouched. Now,
gentlemen, think there is great deal OF exclusive
in policy of to-day. The general tendency, as
already remarked is TO shut ourselves in our own
SHE'LL and close eyes to all Claims of outsiders friends
and foes alike.
Mr.. ALIsoN-Your idea is to give out the loan
the people OF all countries rather than TO the capitalists
that it will be kept there and in order to induce those
people to inquire into the character and institutions OF
our peoplel
| Mr.. BowLEs-Exactly; Paneh says war
|
| have the same effect.
Mr.. MAYNARD-Woud it not he better to have our loan
placed in Germany than in Francci
| Mr.. BowLEs-Why
! Mr. MAYNARD-Is not German worth more TO America
| than Frenchman3
| Mr. BowLEs-Each nation has its characteristic excel
lences which unite in America to form competer
humanity.
DEFRECIATNG EFFECT OF HIGH-RATE GOVERNMENT
BONDS UTON OTHER SECURITIES.
Mr. BowLEs-The German field has been already well
TILED. We now propose to open new and additional
one. The Germans to extent going out of our
| Government bonds and they become better posted
higher rate railroad bonds find favor with them
particularly at their present deprecated price OF two
thirds or threef ourths Of their par value If we had
four per cent Government bond these railroad six per
cent bonds would by comparison command par to-day.
They did before the war; and there is no reason why
they should not The main thing which keeps them
bonds, which regarded "oficia" and therefore
superior. Another is to be found in the
of the Government bonds and the inticaces
resulting thererOm. and from their various par values
on the different markets. wrote article upon that
subject Of which you Will receive copies. 1t is interest
ing to therein how all the quotations. though at first
view dissimiar, amount to the thing within
small fraction.
Mr.. ALLIsOS-I want TO come 10 one point from which
have diTessed little. understand you to say that
II we want TO place our bonds at four per cent
conform to European custOms7
Mr.. BOwLEs-TO international usages rather. Yes; as
said before there is greater mistake than to suppose
that capital has locality nationality. II article OF
export and import Neither capital nor its customs are
European, they are worldwide.
THE CASES OF GREAT BRITAIN AND FRANCE.
Mr.. HooPER-Do not Great Britain and France pay
their interest at fixed points
Mr.. BowLEs-Yes, Sir; but capita at present centers
III their dOminiOns. Our case is radically different.
Mr.. MAYSARDIo what extent is the French debt held
outside Of France
Mr.. BowLEs-To very small extent, and for very good
The Bank OF France has to-day $50 mil
lions Of francs in gold in its vaults has right to is
sue three times the amount Of its specie in paper
circulation but it has anoat only 1850 millions Of
circulation but 100 millions than the amount OF
its specie III vault The Bank of England in the
condition Money has, TO speak, c0dguated at these
great financial centers They want place TO put
their money, and furnish them with place to
limited extent. The debts of England and France can be
kept at home because of this plethora OF money which
has been the gatherings OF centuries past had these
countries comparatively small capital, you would
not find their 1nancers locking up the savings OF the
people therein TO the detriment of great interior
prises neglected and deveOped solely for want OF It,
These Governments have endeavored keep their bonds
home by making obligatory to invest the money of
all legal trusts, savings banks and public institutions of
similar character therein mainly for OF the
better security of their class government resulting from
its control thus Of the peoples savings.
Mr. ALLIsOs-One OF your arguments is that these
bonds should lie in small denomnatons You would have
a large proportion Of them in fftiesl
Mr. BowLEs-I would have them in fiftles and one
hundreds TO az great an extent as possible.
GREAT SUCCESS OF A POPULAR LOAN
| want 10 see the United States Government appeal to
is citizens and friends all the world. There
large numbers people Europe ready invest our
their shall be determined