The Somerset herald. [volume] (Somerset, Pa.) 1870-1936, 1873-12-10

P!ofsl
submit for your consideration
whether this difficulty might hot b.
overcome by authorizing the Secreta-
r. tbe Treasury to issue a. a.
iiue % national banks Of Issue am
smgun. Of their notes below Oae-third
per celtage Of their issue, say sortr
per cent, upon the banks depositiu.
with the Treasury o. the United
States an amount Of Government
bonds equal to the amount Of notes de-
manded the banks to forfeit to the Gov
ernment, say four per cent Of the
interest accruing on the bonds 80
pledged during the time they remained
with the Treasurer as security Tor the
increased circulation, the bonds as
pledged 70 be redeemable By the
banks at thei- pleasure, either in
whole or in par, by returning their Own
b:;is FOR cancellation 20 an amount
eiua! to the face Of the bonds with
drawn. would further suggest for
vou- consideration the Propriety OF
authorizing national banks 70 dimin-
ish tie sanding issue at pleasure By
returning for cancellation their own
bills and withdrawing so many Uni-
ted States oonds as are pleged for the
bills returned. In view Of the great
actual contraction that has taken
place in the currency, and the COM
parstive contraction continuously go
Ing on, due, 70 the increase Of Populs-
tioB. increase Of manufactures and al
the industries. do not believe that
there Is too much Of It now for the
dullest period Of the year. Indeed, II
clearing houses should be established,
they forcing redemption, it IS ques-
ton for v0ur consideration whether
banking should not be made free. re-
leasing all the safeguards now reqir-
cd 90 secure all holders. in any mod
i5-a,ioa Of the present laws regula-
ting national banks, as 4 further step
toward preparing for the resumption
Jf specie payments. / invite YOUR at
teatl51 70 . consideration Of the pro
pr,e.v Of exacting from them the re
,eatjou. as a part Of their reserve
either the whole or part Of the gold
accruing upon the bonds pledged a.
security for their issue L have not
reflected enough N the bearing this
might have IN producing a aseeurity Of
coin with which 70 pay duties on in
ports % give IL nv positive recon-
mendati0n. but your attention IS IL
vited 70 the subject During ths past
foEr wears the currency has been
contracted directly by the withdraw
al of three per cent certificates and
compound interest nets Of T-30 bonds
outstanding On the 4th ofMarch 1869,
all of which took the place Of legal
tenders in the bank reserves % the
extent Of s53, ,O00, 600. During the
same period there has been q much
larger comparative contraction Of the
earrency. The population Of the
country has largely increased More
than twenty-five thousand niles Of
railroad have been built, requiringthe
active use Of fcapital TO operate them
Millions Of acres Of land have been
opened 70 cultivation, requiring cap
ital 20 move the products Manu-
factu-ers have multiplied beyond all
precedent in the same period Of time,
requiring capital weekly for the pay
ment Of wages and for the purchase
Of material. and probably the largest
Of all comparative contraction arises
from the organizing Of free labor n
the South Now every lsborer there
receives wages, and for the want OF
savings banks the greater part Of
such wages i carried in the pocket
or boarded until required for use.
These suggestions are thrown ont
for your consideration without any
recommendation that thev shall be
adopted literally, but hoping that the
best method NAV be arrived at 70
secure such an elasticity Of the cur
rencv as win keep employed al the
industries Of the country and prevent
such an imitation as VIII put of in
definitely the resumption Of specie
payments, an object so devoutlv 70
be wished for all. and BY none more
than the classes Of people nOst.direct-
II interested they who earn their
bread bv the sweat Of their brow.
The decisions Of Congress on this
subject VIII have the hearty support
Of the Executive.
AMERICAN sHIPBUILDNIG.
InPrevious messages have called
attention to the decline in American
shipbulding. and recommended such
legislation as would secure 20 Us our
own portion ofthe carrying trade Slim
ulated BY high rates and abundance
Of freights, the progress for the last
year in shipbuilding has been very
satisfactory. There bas been an in
crease Of about three per cent. in the
amount transported in American
vessels over the amount Of last wear
With the reduced cost Of material
which has taken place, It nav rea-
sonably be hoped that this progress
viii be maintained, and even increas-
ed, a we pay about eight million
dollars per annum to freight vessels for
the transportation Of our surplus pro-
duets to market, thus increasing the
balance Of trade against US TO this
amount The subject Is one worthy
OF your serious consideration.
CHEAP TRANSPORTATION.
Cheap transportation is 4 subject
that has attracted the attention Of
the producers and consumers for the
past few years, and has contributed
to, if it has not been the direct cause
Of the recent panic and stringeney- As
Congress at It's last session, appoint
ed a special committee to investigate
this whole subject during the vacation,
anu report at this session, / have
nothing TO recommend until their re-
port IS read There Is enc work,
however. Of Z national character, in
which the greater portion Of the East
a-d the West, the North and the
South, are equally interested. which
| will invite your attention 20. The
State of New York has a canal con-
Meeting Lake Erie with tide water on
the Hudson river. The State Of Hi
nois has Z similar work connecting