New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-09-23
CURRENCY INITIATION.
VIEWS OFM SAMPSON, THE MONEY WRITER
OF THE LONDON TIMES.

OF The LONDON TIMES.
WHO crAMoR FOR IMITATION IN TIMES OF PANIC
WHO PROFIT AND WHO SUFFER- FROM II
BRANDY CONDEMNED.
From The London Times Of JUNE %, 1S73-ciy Artt'e
With regard to the Bank Bill of the Chan
ceOr OF the Exchequer 1t appears that Sir John LuD-
book the honorary secretary OF the Committee OF Lon
tee that Instead of ~ per cent only per shall be
OF discount necessary to be attained before II
snail be in the power Of Minister for the time being
% dilute me currency by Of notes not represent
ing go but Uich nevertheless are 10 hare forced etreu-
LaIiO IL such The case He Is also to propose that
the stipulation TO the effect that this fictitious currency
shall not be issued unless the foreign exchanges
are at the time favorable To. che country
shall be omitted, together with that by which
Mr.. Lowe would provide that the issue Is TO
be restricted 10 periods when large portion OF the ex-
listing note circulation shall have become ineffective
by of internal panic. We have thus from mem
Der some extent Is entitled 10 consider himself
representative OF the banking interest OF London, a
clear specification OF the monetary system they would
consider desirable. Whenever the fair market rate TO
which capitalist is entitled for the use OF his caSh shall
be fraction 10 per cent 1t is TO be IN the power Of
the Minister not only TO prevent him from realizing that
profit but 10 upset in flD0r OF The indebted classes the
rights or eUery creditor IN the kingdom. And this power.
which is TO be in the hands Of erery unreasonable
popuIarity hunting PREMIER Is not to be restricted
even by the stipulation that the pressure shall have
arisen solely through internal panic, but is to be
available when the foreign exchanges may be against
US when fresh issue OF currency must conse-
guenty increase the existing drain of gold. and hNs
intensity al the evils for ph,ch the prevalent pressure
actually constitutes the only remedy In short, 1t Is now
proposed by Liberal member in Liberal Parliament
TO confer irresponsible and untrammeed power upon
the Ministry to suspend at pleasure the law when regu-
ates the equities every existing contract in the king
dom and this without further inquiry at inatentve
period OF tho Session. in the face OF reports from both
Houses of the Legislature after four laborious and
exhaustive examinations conducted at intervals
during the past % years. To ordinary minds the
ATTEMPT will seem too daring for success but 1t must be
remembered that the speculative and borrowing classes
ichOIa pi be CetcOmed constitute perhaps. dtuts mo-
en moj0riiy OF he trading community and that this
majority backed by the banking interest, who have
often before exhibited their power TO Introduce anOmd'
lies into staute-books are dealing with Govern
I,tuh1 aa oil an
the act of 1884, exhibited some deficiency of logical cour-
age their importantly The matter, moreover,
at this stage That cannot DO Influenced by argu-
ment since every conceivable argument with regard to
IL found in the huge bluebooks which have re-
suited from Parliamentary Committees and COMMISSIONS
and these to be oyerrdden as OF no account there
can be little use in a repetition or them me liet
tciin three years from tbs dte IS clearly yOre-
SEEM and he classes 6y whose mPtdenee Judging rom
former experience is certain 10 be brought about dpe-
ciqte the necessity Of prOplding some protection for
themselves ALTHOUGH NO DEVICES IN THE WORLD CAN
GRAyATE-rHB RUIN OF IFS HELPLESS AND CREDULoUs
VICTIMS AMoSo THE GENERAL PUBLIC AZ each OF the
four periods OF panic during the past SO years Oyerend
Quincy Co. at hand 10 commence the clamor for
help. Their voice can be heard no more, out among
firms OF establishments Wh0, GUer NE Cushion OF hdl
house shall hare placed out upon discount tens OF nal,
lions Of money. uhich they haze undertaken TO
Substitutes piH doubtless be found. The Minister
whoever he may be- Will, OF course at such moment
Hs, sfre nof ny Gcare ldi al he nrs time or pressure
Deir customers ,o0d rush 70 obtain What they had de-
impossible for me obligation 10 be ydnAed. He will also
be moved with pity for the depost0rs, oo, ia order 70
gef hgh interest temporary balances knowingly placed
msir means out OF reach NTH The intention OF sum
p,ariiy demanding them at any gigen moment che''
compliance gOuid be URprGeftcdbie. He Will not
ask whether the proper course would not
be TO leave these establishments honestly tO
ayow 10 their creditors that they had undertaken what
every OGe might have known they could perform.
and 10 seek for q delay OF ioeek tc0 upon ne
strength Of Her joint credit He will also fOFDear u
inquire instances have ever been known OF any
really solvent urms having been Obliged rretroyaby 10
succumb to rate or 10 per cent, or indeed any rate
rhdterer. whether, while the leading merchants al
such centers ~ NewYOrk Rio de Janeiro, OF BuenoS
Ayres constantly prepared 10 fulfill ther engage
ments the face OF ycastudes in the OF discount
ranging from 70 IL per cent the British trader should
with the rate &C 10 per cent, be unable To pay ms
way. Inquiries OF TINS kind, at such u iunOture,
never have bcou made. aud never wall be made, aud