New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1870-01-26

come quarters where the present currency difonties
are recognized Il Is suggested seHt aey w IN other
words that the wants OF the country Will soon goW up
has p@u aS and something Of fact but after all It
Is based upon fundamental misconception OF 'no
OF a country bears no such relation to its wealth ana
business hatI needs to expand In the same ,s
The circulation of the Bank of England waS les a a
than in 1886 The aggregate circulation OF scotland
has diminished since 1896, though Ior i on5
Ini nG wa Regulated only by sefDeres The total
bank circulation Of Great Britain, as shown ny ho - 900
Of Mr. George Walker In 1863 actually less py ~.
COO i.hat wear than in 1884, though In the mean time tne
wealth OF the United Kingdom had doubled. money Is
not needed or wanted for Its own sake Apart Io DO
ing the standard Of value Its great purpose Is to serve as
the medium Of exchange as the instrument w,s WIZ"
tre civilization brings numerous other agencies INTO
play as substitutes for In this capacity Deposs,
thus employed while the vast modern increase In the
rapidy and extent OF Internal S rnes
the volume OF circulation 10 eHect ia iaAsoi
number Of transactions.
AN MPRAcTICABLE PROPOSITION
The second part OF tho bill under consideration-that
which provides for banks with specie notes ana
specie redempon-is much more serious II designed 70
take effect as a present practical measure Inc primer
Die is sound but IL worth much for immediate appI
cation 1t should be applied TO the whoe Dank @
and the ilnpraccability Of this Is apparent Inc pro
posed notes would, OF course De cOhyeroie iD go,u
and equivalent to gold ltwoud therefore DC PIE
TO keep them In circulation, except may De on the
Pacific side where gold is used the circulating
medium. Gold, still at premium as compared Win ne
modify and still subject to speculation The specie notes
would simply be used to draw out the god galuereu ~
those banks redeeming IN specie. We might as wen
ATTEMPT 10 drive general circulation tie goid now
occasionally sold from the Treasury: we canhot 80
note worth dnGnmipated dollar promiscuousiy crcu
lating II cannot be answered that the unefenee IN
business will adjust itself to tho particular medium in
which it is conducted for the same dNs not Su9
exists between paper ana g0d ana " uoes not piK
the latter into circulation, ...
UNEQUAL cURRgsCIE5 CANNOT BEiNArsrArSED
History does not furnish instance where two I'M
equal have been maintained side BY side On
the contrary. from the time Of the clipped coins OF Am
sterdam down to the present. whenever by law or Dy
other operations two currences or dlHefent values o
been established the Of greater value has Invariably
retired from the field Two pertinent ILLUSTRATIONS ln our
own experience come to my mind. The law establishing
the Mint rated one ounce gold worth Is ounces OF
silver aud regulated the coinage on tins basis but Hh
OF gold worth more than Is ounces OF silver
and outstanding 100000 Of igold were coined
scarcely any Of could be Kept III our uo-
nestle circulation. IL was used to pay balances
abroad where worth more melted into bnllon,
which possessed greater value than the COIN Wheh he
law was changed remedy the difficulty this singular
result an ounce OF gold was now raeu az 10
OF silver and IL turned out as the former vaua
ton low the latter was as much too hlgh. ana
the difficulty was not removed but only reversed
Instead OF gold 1t was now silver winch cOulu not Do
kept in domestic circulation, and when seady noWed
abroad 1t was only when another modlneaton OF Inc
law fixed the true relation between the TWO metaho
coinages that proper equilibrium was reStoreu anu pro
need not dwell upon this matter. The fact that two
unequal CurfeuCltS Cannot DC III
intercourse supported by the experience OF mahh9
and the planest principles OF poltcal economy OOid
values This would now seem to be Isafe under the de
con OF the Courts. though the small extent 10 wheh
1t is used lshOws the wonderful tendency 20 follow e
common measure do not however, see any grave OBJ
lection TO this feature OF the bill becoming law II
the privilege was accorded. possibility OF cur.
rency equivalent to gold except by lifting our present
be and hope will he. the authority conferred by the
measure well be put to more general use ana In
deed may be properly made the foundation IN practice
as we'll as the theory OF our whole banking system.
THE DISTRIBUTION OF THE CURRENCY
One more suggestion and have done. The West and
the South for larger proportion OF the circulation
For one am most willing. provided 1t be accompanied
by no expansion. do speak of reduction Of the
volume Tor however desirable aud however important
In the work OF resumption 1t Il not 10 be fOnnd IN ts
bl n indeed il shall be in any which receives the
sent Of Congress. How much larger proportion they,
the South and West, would absorb II IL were directly
given 10 these districts is a matter Of uncer-
fainty. rThe uniform currency OF country
tends TO distribute itself throughout the differ
ent sections according to the same natural laws
which have already noticed. each taking share pro
poroned to his trade and demands Upon TINS principle.
though 1t may not vigorously apply TO our large DOMAIN
and diversified interests and Increase, from whatever
locality necessarily held IN particular district
but dlses itself in accordance with the requirements OF
trade aud the demands OF business appreciate how.
ever the argument that the more sparsey settled and
less wealthy districts OF country ought 70 nave AT east
share of actual currency because they
have OF the substitutes which GOMEZ with advanced
H. tien,it is still insisted that this will only take place
the establishment OF banks IN these localities IL should
be done in such way. before remarked, Will not
operate the present volume. should prefer
nevertheless desiring to curta instead OF 10 extend,
with early resumption, that this claim should
not be urged. II system OF banking based upon the
proposed securities consO entirely free, with
only restrictions essential To absolute secur
ty and to make every note redeemaDle IN gold, IL
adopted then every section reach the specie basis,
the amount OF currency 1t needs aud can pro-
vide for In the mean time II is my desire that we should
hold nearly possible TO those Just and salutary
ma Xms he observance OF which more than ever Inn
portant In period Of arrangement like the present
THE INTERESTS ALL SECTIONS IDENTICAL.
see little I'm this bill to aggravate the evils OF the
hour In OF the Secretary pan for funding the
debt and furnishing the bond for banking purposes
in place OF the old may the best hope TO get
At all forward with pet measure OF my
own The difference not so much regarding specific
measures upon the general principles involved and
for this have been led proceeded with the
discussion to dwell rather the latter than upon the
former In these principles the interests OF oil classes
and sections practically IDENTICAL and as under the
guidance Of Hottest patriotism emerged from the dark
shadows OF war; under the direction OF highest duty
shall emerge from the great evils Of our present dnan
cal disorder.