The Valley Virginian. [volume] (Staunton, Va.) 1865-1895, 1873-12-04

I'D their reserves in their own vaults, and
forcing them into resumption, though it
|uld be only ing-s legal-tender notes. - For
is purpose would suggest the establish
! mt of clearing houses for your considera-
In. To secuIe the former many plans have
en- suggested, most if not all Of which look
me more like Initiation on the one hand or
|npeling the government Oh the. other to
y interest, without corresponding benefits
on the surplus funds of the country during
season when otherwise unemployed.
4 submit for your consideration whether
difficulty might not be overcome by au-
,rizing the Secretary of the Treasury to
pe at any time to national banks Of issue
amount of their own notes below fixed
centage of their issues-say forty per
t. upon the banks depositing with the
easury of the United States an amount of
Fernment bonds equal to the amount of
es demanded. the banks to forfeit to the
Fernaent, say four per cent. of the inter
aecruing on the bonds SO pledged during
time they remain with the Treasurer, as
urity for the increased circulation, the
DIS so pledged to be redeen,able by the
ks at their pleasure, either in whole or in
by returning their own bills for cancel
on to an amount equal to the face of the
lids withdrawn [ weuld further suggest
your ccnsiderationthe propriety of author
lg national banks to diminish their stan
g issue at pleasure by returning for can
alton their own bills, and Withdrawing SO
by United States bonds as are pledged
the bills returned. ...-...-
n view of the great actual contraction that
taken place in the currency and the COM
Fative contraction continuously going on,
to the increased population, increase of
lufacturies and all the industries, [ do not
eve there is too much of it now for the
lest period of the year. Indeed if clear
houses should be established, thus for
resumption, it is question for your
federation whether banking should not
made free, retaining all the safeguards
required to secure bill-holders.
q any modification Of the present laws
Hating national banks as further stey
ards preparing for resumption of specie
ments. [ invite your attention to con-
ration of the prepricty of exacting from
% the retention as part of their reserve
er the whole or part Of the gold interest
Fuing upon the bonds pledged as security
their issue. l have not reflected enough
Ehe bearing this might have il producing
arcity of coin with which to pay duties on
orts to give it my positive recommended
but your attention is invited to the
ject. rs v-
During the last four years the currency
been contracted directly by the with
wal of three per cent. certificates, COM
nd interest notes, and 7-30 bonds out
bding on the 18th of March, 1862 all of
oh took the place of4legal tenders in tina
k reserves, to The extent of sixty-three
lone Of dollars. During the same period
re has been much larger comparative
traction of the currency. The popula-
Of the country has largely increased
Pre than $4,000 miles of railroad have
n built, requiring the active use of capt.
to operate them Millions Of acres of land
We been opened to cultivation, requiring
pital to move the products, Manufacto-
S have developed beyond all precedent in
same period Of time, requiring capital
|ekly for the payment Of wages and for the
|rchase OF material, and probably the largest
|all comparative contraction arises from the
ganization OF free labor in the South. Now
|ery laborer- there receives his wages, and
want of savings bank, the greater part of
eh wages is carried IN the pocket or boar
4 until required for use. These sugges-
|ns are thrown out for your consideration
hout any recommendation that they shall
adopted literally, but hoping the best
thod may be arrived at to secure such an
bticity of the currency as will keep en-
yed all the Industries of the country
prevent such an imitation as will put off
definitely the resumption ofspecie payments
object so devoutIy TO be wished for by all,
by none more earnestly than the class Of
Pple most directly lnterested-those who
n their bread by the SWEET Of their brow
e decision of congress on this subject will
be the hearty support ofthe Executive.
In previous messages have called atten'
to the decline in American ship bull
e, and recommended such legislation as
1ld secure to US our proportion. of the car
ne trade Stimulated by high rates and a
hdance of freight the progress for the last
Er in ship building has been very satisfac
=. There has been an increase of about
ZEE per cent in the amount transported in
herican vessels over the amount of last
Er. With the reduced cost of material
ich has taken place, it may reasonably be
pei that this progress will be maintained
even increased. However, as we pay a.
ut eighty million dollars per annum to for
~ vessels forthe transportation of our sur
Us products to a market, thus increasing
balance of trade against us to this amount
subject is one worthy of your serious
.nsideration.
Cheap transportation is subject that ha:
tracted the attention of both producers ant
nsumers for the past few. years, and ha
attributed to, if it has not been the direc
use of the recent panic. and stringency
Is Congress, at its last session, appointed ;
becial committee to investigate this who'll
! Inject during the vacation and report a
bis session, I have nothing to, recomment
|ntil their report is read. There is ont
FORK, however, of national character which
e greater portion of the East and the Yves
he North and the South are equally inter
sted, to which | will invite your attention.
The State of New York has canal con
Getting Lake Erie with the tide-water on tn
hudson river. The State Of Illinois has
imilar work connecting Lake Michigan will
lavigable water gu the Illinois river, thu
-. ,.-a4on oo,., .o,.niaatio inland hatuaeI