The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1870-02-05

England banking cOrp0ratlonS WHO nave tIs
large excess OF national banking clrculaLl2n.
1t does not 20 directly into the pockets Of the
men who own the stock of these banks, but 1t
eoes to them and to middle men. Bring banks
to our doors. and the planter whose credit IS
well known in the neighborhood can go TO the
bank and be o favored creditor, and borrow
money at the same rates at which the New
York merchant who borrows money at a oalih
there nays for it. Now, not only is the inter-
est which our people are paying for the use OF
this capital going out OF this State, but these
commissions are going out to otncr peopie;
and in this way so long rs this large excess OF
b:nkinr circulation exists IN certain guar
of the United States, and there are no oanKin iI,
facilities in other quarters. just SO Jong VIII i
the rest of the United States pay IripuIc W
those parts Of the country wherc lhis oahhinS
circulation is ccntered.
LITTLE PLAIN TALK.
have no disposition in any way or form to
saw word of rcproach to New England.
have every disposition, every desire to say
everything that is praiscworthy or her: But |
do not like to be ta,nted here with the fact that
the State which represent and tho States which
other senator's on this floor represent were In
rebellion at the time this banking capital was
given out, when the facts arc otherwise. The
facts are that up to the time OF the close OF the
rebellion there had not been much over one
third of the banking circulation distributed.
The law required that one-half of it, $3.50, ,00o,-
600, should be distributed according to pop
ulation. The first sl50, 900, which was TO
be distributed according to population, should
have been reserved and not distributed at all,
and then the South would have had not only
much more than she has, but probably very
nearly what she needs.
much larger demand for money in sparsely
settled and agricultural population than thcre
is in the same population in closely settled
commercial and manufacturing district. AS
has been remarked by the senator from New
Hampshire, the greater portion of the transac-
tions which are carried on in states llhc thc
New England States, for instance, are carried
on by checks. The amount OF money required,
as was Justly observed by him, is only SO much
as will pay diifercnccS-as will clear accounts:
Dut if you want to carry on any commercial
transaction in an agricultural section, you nave
rot 10 do it by sending the actual money. You
do not send check on bank 10 pay for the
cottonthat you buy OF u planter; you send hln
the money. That makes much larger amount
of currency necessary. in proportion, IN those
sections than in closely settled districts where
banks arc plenty.
WHAT WE HAVE LOST.
Let it not be forgotten that these very States
which named when was speaking before,
Virginia, the two Carolinas, Georgia and Ala
balDa, had, under the old system of bank cir
culntiop. 30 ste bank system, twenty-five
pcr cent. of the whole cirviiiati9n OF the coun,
try. Now they have two per ct::a u
t e whole circulation Of the country, one
eleventh rs much as they then llad;
while the three States Of Rhode Island, Con-
nccticut and Massachusetts had then sixteen
and two-thirls per cent, and now have tnlrty
per cent. In other words, those States nave
now nearly twice as much us they then hal;
while the forlncr States named have but one.
eleventh of what they then had. Consequent
ly, compared with their former position. they
are now as one to where they were twenty
two then; and this in face Of the fact that
those States. from the condition OF things, dc
nand q larger circulation now than they did
then.
do not wish to take one dollar OF the cir
culation from the New England States unless
it be ncccss;ir-r; but protest against anybody
saying that il is urjrst that /. should be taken
from them IL has Eccn asserted constantly
on the floor 1T The Senate that it Is great
Injustice TO require them 10 diSgorgc any part
otthis circulation which it has been demon
stratcd was obtained through certainly an
erroneous, if not q corrupt administration OF
the law. But it does seem to me IL Is so
profitable privilege TO carry on Iii" business
Of banking under the national bank act in New
England, one Of the most patriotic things-to
70 back TO the consideration Or patriotic lno-
Livcs-whicli the representatives iroGi tilal
section of the country can do is TO give n) q
portion of this privilege TO That section oi the
country where there is all absolute dc>;i;;tion,
to give up some small part Of What IS i wOn-
lrOus plethora oi circulation To I section ci Inc
country where there Is none 1T all coainir;!-
lively.