The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1872-01-17


have allowed exactly the opposite policy.
Their measures IiayeStended, directly, to ag-
erayate the ills wesIffer by diminishing the
Volume of the available medium OF exc1ange.
Now, for the proof. By the provisions OF
the funding bill the coupons on the funded
bonds, which ranged in amount from % up
wards. were made receivable for taxes tnese
coupons passed by delivery from hand 70
hand like bank notes. Fhey were IN con-
yenient shape for circulation, and IN conve-
ricntamo,ints. While they were not exact,y
money, they possessed many of the qualllles,
and could perform most of the functions OF
money, They were as valuable as green
backs, and the fact that they were recelVagie
in paymeut of taxes, licenses, and all puDnc
dues, would have given them, after maturity
almost as ready currency as bank notes. -,
THE Auditor estimates that there are 81
neO.0 600 of State bonds held in NrSlhn-
commons are attached for the senll-ann'hl III
tarest. Whether they he registered coupon
or regular coupon bonds, coupons arc az
The interest of these twelve millions Oh
bonds-if there was that amount OF CONSOLE
dated bonds held in Eirginn-Woiiu ne
500. 600 per annum, or S36V,ooo every sA
months, But suppose only eight mIliions wv
thirds were held in consolidated ponas, Tue
annual interest would be S1So,ooO OF nearly
a half million dollars, or S240,oo0 ut the emu
of each six months.
On the 1st of january and July OF eacn
wear. therefore, S240, 900 OF coupons would
have been in the hands Of our citizens. Whlcn
would have been quite rs available as green
backs to pay tares, and almost as available 10
nnv debts. Every man would be ready to
L.. I.Jf M 1aost largo n
amount Of coupons as would be required to
pay his taxes. EyD>
: If the funding bill had not been suspended
there would have been on the 1st january, ID
the hands of our citizens, practical addition
to the volume Of our currency OF Mt least
S240,000. Everybody must see what relief
this would have been to our people. Instead
of having to raise grcenbacks to pay taxes to
be locked up in the treasury, they could have
used coupons and left greenbacks to Dill the
channels of circulation.
An addition of S4S0,000 to the currency OF
our State would have greatly eased the pres
sure in the money market. It would, too,
have been a perpetual supply. AS fast as
one set of coupons were absorbed into the
treasury, another would be maturing to take
their place. The practical result would have
been almost equal to an enlargement to that
extent of the banking capital of the State. 1t
would have given new life to business, and
facilitated all the operations Of industry.
These coupons, too, would soon have been
used as a medium of exchange and III the
payment of debts. They might even have
been anticipated and used as currency,
discounting the interest until maturity. The
large demand for them for payment OF taxes
would have been guarantee against deprc-
citation. But suppose they did depreciate.
So much the better for the taxpayer II he
could buy them ut discount.
We are persuaded the members of the Le-
gislatlre have not considered the matter in
this aspect. They profess to be, and we pre-
sumo they are, actuated by q desire to give
relief to the people. But they have made a
sad mistake in carrying their purposes into
effect. We beg them to pause and make the
experiment. Experience is the best teacher.
Let us try it. Weyenture to say that nothing
that has yet been suggested would contribute
50 much to raise the spirits of OUR people,
and to infllse new life into business, as this
addition to the available medium of exchange
in Virginia.
Another good quality belonging to this
kind of currency is that it would remain in
the hands of our people. It would not be
sent abroad to purchase goods. 1t would
only circulate at home, and be used i'll the
business transactions Of our citizens with
each other, and i'll the payment of taxes and
licenses. ,....
Taking this view of the matter, and we
believe it to be entirely sound, we are Of the
opinion that these features of the funding
act, instead of being oppressive and injtl-
rious to our people, would, if allowed to 60
into operation, be followed by consequences
of incalculable benefit to our whole Com
monWealtil.