Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1873-11-13
PANICS.

Panics, like extensive conflagrations, have
small beginnings A spark has within it the
power to lay in ashes the largest city. If fed
by combustble material, it soon becomes a
fame before which iron melts and granite
crumbles into dust. So with panics. Words
of suspicion are the sparks that lead to finan
cial contlagrations. Distrust is breathed from
one to another; instead Of being quicted by
calm advice, it is fed by popular excitement
Those who have least to lose are the loudest
in their croakings over coming failures. y
rush is made to sacrifice stock that is both
profitable and safe; it is thrown upon the
market along with fancy and worthless stock.
y sense of insecurity scizes the buyer, and the
result is, no sales, or ruinous sacrifices of stock
that only needed the restoration Of confidence
to be worth more than ever. When 4 fire
breaks out, efforts are made to confne it with
in its original limits But the breaking out
of tlistrust in 4 community is the sigma, not
for united efforts to confne it within its legit-
innate bounds, or its suppression, but for Il
general rush to feed the flame by gossip, ILL
omencd prophecy, or groundcss rumors Of
some indefnablc calamity. n rumor starts
affecting the financial standing Of some bank
official 1t matters little whether it be true
or false the whisper is soon transformed into
Il storm. A sudden run is made upon the
bank then upon other banks, until the whole
community is in terment Of excitement. If
the banks have facilities for prompt conversion
Of securities into cash, the storm may blow
over but if distrust is widespread, money is
locked up or held for self protection, and banks
that are perfectly sound arc driven by sheer
necessity to suspend payment. No reasona-
bic man can expect banker to pay interest
on deposits and keep those deposit locked in
his safe, ready to be returned without mo.
mcnt's notice; yet men who claim to be rea-
sonable act at times us if they thought this to
be the case. Banks pay interest upon money,
because they can loan the money received for
ahighcr rate Of interest than they pay. They
take security for money loaned. 10 convert
these into money requires time; and those
having deposits should be consdcrate enough
to grant it. The best bank in the country
may be forced to suspend payment in the face
of an unreasonable demand, especially if pop
ular excitement has so unsettled values as to
render the conversion of securities into cash
almost impossible Pancs should be stopped
at the moment of their inception. Men of
ability and Judgment should unite to quiet
popular distrust. Confidence should be
strengthened by every legitimate means. De-
postors, unless they have good reasons for de-
mandng payment, should assist, rather than
cripple, the bank whose credit and standing
they depend upon. Exceptional eases of fail
urc may occur at any time, but panic, such
rs recently swept over the financial centres of
the country, ought to be all impossbility.-
Baltimore Sun.
ASEcDoTE OF WENDELL PnILLIrs.-Du-
ring the sitting of u Methodist Conference i'll
Boston, Mr.. Phillips entered Il horse car III
which there were Il number Of clergymcn.
Immediately he WAS pointed out to them as
the great agitator, and, one, bolder than the
rest, who did not sympathize with the anti
slavery movement, addressed him, asking if
he was Wendell Phillips, and upon receiving
an affirmative reply, he said you preach upon
the doing away of slavery in the South, don't
you?" Yes" answered Phillips, 81 preach
in favor of the abolition Of Southern slavery"
"Well," said the minister, with critical &C.
cent, "don't you think you had better 60
down South and preach it," "No," returned
Phillips, 81 think it is well to preach my doc
Il, ~ |,