, 1873-12-08

ab tuuuGA our navy people 1ehr thatI II tho Ara
piles gotta away, Rho can whip our whole navy.
II thiB treatment goes On in such Fay as to
make It apparent that tho Spanish mnn-of-war ia
detained Intentionally, tho Government ought
to Interfere aud put n stop to it.
.s--.---
THE GOVERNMENT AND THE BANKS.
| Tho recommendations of the President aud
Secretary Of tho Treasury on tho subject Of
! banking aud currency are calculated to add con-
fusion to the mind OF tho average Congressman,
and to confirm him in hia evidont purpose to do
nothing whatoyer, In point Of fact, tho average
Congressman Is moral coward, tho aim of
whoso official oxstence Is to avoid offending his
| constituents on the ono hand and tho Executive
on tho othor. In the oldon time, when the
questions ho had to deal With we're mainly those
Of slavery and armod robolliun, ho had
comfortable time, because he Was roason-
ably Buro Of his standing ground. It WAS
not really necessary for him to mako any mis-
takes. AL ho Ind to do was to go strong for
tie principles Of his party. But timo has
come when tho party haa no principles npplica-
bio to the most important questions Of tho day.
And that is not tho worst of 1t. Theso questions
rotate to q subject which tho average Congrcss-
ulan knows nothing about, and which he regards
as boro. 70 him, therefore, q controversy on
the currency question is like duol in tho dark.
Accustomed to regard every public question
from the standpoint Of Ego, and to cast evory
vote with roforenco to the noxt election, ho finds
! himself in quandary, uncertain what will bo
The effect OF any particular voto ho may gigo.
Tho only thing ho is tolerably sure. OF is, that If
/ ho does nothing at all he will not besyory
much blamod. He looks upon the existing cur
proposed expedition up tho Amazon River in
search Of our lost commerce: If it doesn't do
| much good it won't do much harm.
| But tloro Is growl in tho agricultural dis
! tricts at which the average Congressman has
| a1roady prickod up his ears. It Las been mootod
| at various Farmers Copyontions that the Ma
| ttonal Banks arc making large profits from their
! right to issue currency; that tho thing must DO
stopped; and Tint tho prohta accr11ing from
such currency issue should inure to tho Gov
ornment exclusively. This growl is ono which
the average Congressman is bound to hood, and
it becomes him to know something about the
| question before the next campaign tumbles him
out Of his seat. Granting that the currency
| question in ita length and breadth is q comp1i-
Gated one, there aro nevertheless, some prin-
plain, not to know which ia iuo1cusable oven in
tho rawest product of tho CAUCUS. It ought ia
be known, for instance, that the purpose and
objoot Of currency is to effect tho exchange OF
property md services among meu-that 1t iB one
Of tho tools and Instruments which socicty
.usos .tp accomplish this end, though
not the most important ono. which
society employs. In civilized countries, thp bull
OF the exchanges arc objected by means OF banA
oloeks, drefts, and bills Of axohange,- is te
say, goods in large quantities arc exchanged fo1
each othor, tho buyers and sellers by wholesale
using no currency, or very little, but settling
their transactions with checks, drafts, etc., which
are in turn balanced against each other at clear.
ing-houBes. 1t is only when ITO reach retai
transactions that currency comes into play. II
pay wages, to settle grqcer'a bills, to buy whea
from tho "farmor's wagon, to carry II
onos pocket when travelling. to trans
act tho BUSINESS Of :, sparae1y settlet
districts, ,-theae are, in 4 representative sense,
the uses and the aolo uses Of currency. It fol-
lows that certain amount Of currency vii
always be needed for these PURPOSES that thia
particular amount, whatovor It bo, can bo kcp
at par with gold without actually rodeoming d
dollar OF It; tint any oxcesa OF this amount
/ will, II fredoemAblo, flow to tho radeoming poin!
Just as an excoaa Of jack-planes over and abogo
the wants Of carpenters, would 1low to q point
whore they could bc sold for something that
waH wanted thht any o1coss Of ibis amount
ii not rcdeomablo will depreeato; that thif
| depreciation will 10 Expressed In tho rrlqos o.
commodities, including tho commodity gold
IaaamucA ~ the existing currency is do
rrcciatod, 1t ls perfectly certain that no more
Of it in the aggregate is needed and that tht
only effect Of issuing more will bo to inQ2tt
priceH and work injustice botHeon mep, sipoo 81
pricos will not rlso simultaneously or equally.
From all this 1t will appear that oortair
| a44otlAt VI CA&aucy k6!GHAuAthe VI UAAAs4otoa
or both) can DO kept atloat without depreciation
and that whatever agency issuoB 1t can alwhyt
borrow that amount OF money from the public
without intoroat. It Ia certainly y fair question
to ask whether tAat agency should not DO tht
GoVernmeut.' Tie El4 100000 Rtorling which
tho DAnk Of England Ia allowed to issuo wlthou
any Rpsoio rosorvo was tho estimated amount p
currency which England required ut oil time
for those huBlness tranBaotiona for which cur
roncy Ia thera employed. II happened also t.
be .he amount Which tho Government owed th