Green-Mountain freeman. [volume] (Montpelier, Vt.) 1844-1884, 1873-10-01
Gkt freeman.
Confidence.

Confidence.
The immediate need OF the country is tina,
men should not "lose their heads" ant
demand impossibilities of those who have II
then care tho " securities " which represent
much of the wealth of the land. The two
things that folks are most interested to save
their lives and their pocket books, are ire
quentiy lost by the wild action resulting froll
overwhelming excitement. A panic strikes
an army and in the confusion that follows
not only the possible victory flies away. but
death reaps harvest that would have beer
beyond Its grasp, had not it's victims need
lessly run wild. In financial matters it il
tie same; there comes single failure, ttfn
a running hither and thther without cause,
and finally general crash.
The efficiency of an army and its safety.
lie in the steady performance of duty by the
individual soldiers, and the preservation OF
the whole body intact is the only good hope
of the safety of each individual. The bust
ness community follows the same rules. The
whole system of business is upon the theory
that each member Of the community will g
on performing his work. Exceptions are
provided for, and the failure of one or &
dozen to meet obligations is expected, anG
brings no general calamity, unless it starts
others into nervousness and hasty, ill-con-
sidered action.
When men have their common sens
startled out of them, they begin asking
things that are unreasonable. Those unfor-
tunate enough to have a bank account star
for the doors of their no longer trusted in
stitution, and demand the cash at once
Those who have no such accounts look On.
saying " blessed be nothing and thinking
that if places were changed, how much les
like fools they would act than do their her, :
tofore fortunate neighbors.
Ordinary banking institutions expect t.
pay their depositors what money is due on
account when called for. They do not ex-
pect to pay all depositOrs at the same day
To manage the funds entrusted to them, s.,
that they may get sufficient compensation foi
doing business, and fulfill one of their OBJ
iects, which is to accommodate those want
ing money, as well as those who wish to de.
post it, they must keep the bulk of those
funds in interest-bearing securities.
Savings Banks are year by year increasing
in number and the amounts deposited in each
growing larger. So far they have proved Of
incaleulable benefit to the laboring classes.
Not only do they save the dollars deposited
but their tendency is to promote habits o
care and thrift and to bring men into way,
that surely lead upward. The very condi-
tions on which they can fulfill their mission,
renders it absolutely impossible to sustain a
'run by the majority even of depositors
Their contract is not only to keep safely the
moneys entrusted to them, but to pay inter
est on them. To pay this interest the mon.
ey must be, in some manner, placed at inter.
est by the banks. The investment may be
In United States bonds or in notes secured
by mortgage or the names of persons of am
pie means. In time of stringent money
market these securities, however sure te
bring the sum called for when due, could
only be sold at sacrifice. if sold at ALL A
/" run " forces the bank to suspend or to lose
largely in converting its best securities into
cash. Yet hundreds of men are found in
sane enough in times of fear, to rush tC
banks in body and demand of them imme-
date payment of such sums as are on depos-
it. We look, however, to see little of thie
kind of folly through New England, should
the present troubles continue even longer
than they give promise of doing.
A confidence founded on a careful examin
alton into the management of all insttu.
tions of the kind, and on knowledge of the
conditions on which they are obliged to d,
business to makeit advantageous to them
selves and so to their deposisors, will carr,
this part of the country along with littl
harm from the sudden breeze from Wal
Street.