, 1873-12-09
n h0NEYAND COMMERCE.
MONETARY,

MONDAY EVENING, Doc. q.
Ihoro was anothor "bulgo" In tho nriooa q
railroad stocss and MI sortB Of Western nre
'''cth to-day, which cortainl5 cannot bo nttrh
utod to any prospect OF war. or Of Initiation i
tho currency. This Is shown by tho faot TIM
gold docs hot advance, hut remains Mt about tn
sa'o rr1eo as fur tho lant two woeks. tho fac
49, money Is getting plenty, md pooplo nro look
ING for something to Invest 1t III.
NOW York exchange WAS quotabto at par tn
aay FOR Hales botwccn banks, md The SUNNY Il
gradually increasing.
Inc telegraphio account from Pittsburgh a,
saturday OF tho suspension Of 'tlass md lro1
"ofAs IN tnat CITY, In consequence of tho "lacl
u ofoots, is thought by many to DO an:anfaiI
s1asenoht' 1t is we'll known that tho asock o
"l'ao"-glass, and Home other articles Of glast
manufacturo, s extremely smnll, and that tl,oro
u every prospect that tho demaut viii soon OK.
eeed the supply. Tho roal aoorot OF
i,so. I,so gloomy nceounta from Pittsburgh il,
ahar roaaot;o Tue proyliotols aro trying to force
simply becarso such reduction has boon 30
cured til tho EnHt. Tlla workmcm, however, ro-
s1st tue reduction and aro on strike, with tho
hope OF stimulating tho Eastern workmen in
blmilar Industries to do tho Bamo thing. Tllo
trade, both Eapt aud Wass, III rcaily in n moro
prosperous condition than lilo propriolors rep-
resent.
IiiE tHIHGIlgN NuMuu0s
Ih6 report comes from Washington thnt
Comptroller Knox III sauguine' Congrcs, will
adopt LiB proposal to noreaso tue aggregate
National Bank circulation sa5,ooo,ooo? por an-
cla,lBo Of the National Currency aet which
requires tint $25, ,UUu 900 of circulation shall
bo takon from banks III tho Eastern States u,ld
distributed among new banks in tho Southern
lnd Western States which had received loas thau
their quota III tho original distribution OF this
privilege OF Issuing currency. Wo havo alwayB
held that tue whole idea Of distributing bauk
circulation among the States, giving each an ar-
x.oriest pieces Of qunokely iu connection with
tho present curroncy system. Even II tho capi-
"a and business of eaeh State could be 80 deli
nitoly nacortainoa III to give .oacl, State its
thAt would show what proportion Of tito
capital OF oach stuto is available for
banking purposoH. Thoro is no doubt that
larger proportion Of New Enslatl capital is
other SECTION OF tho uuitcd States, because
trade and manufacturing do not afford NJ re-
muneratlve employment for capital thore aa they
90 III ether sections. The natural resources Of
that they do not afford relnunorativo employment
for tho accumulated profits hence tho surplus !
eGapltal Gp seeks employment III Loans in tho |
West and in banking. Rates Of interest |
the United States, md consequently National
Danls there could afford to ISSUE currency at
ratos Of profit tint would bo little iuluccmout to
capital III tho West aud South. Tho whole idea,
tnorotofo or distributing currency Oh nny;uni-
form pro ratn OF thu capital and b,lsinoas Of dir
feront States iB nothing but 1uackery. Tue OBJ
3ec:t9ns to tug comptrollcrs schosno ia TINT il is
founded on this erroneous notion Of distribution,
aud that 1t still sets legal limit to the !
aggregate amount of bank circula-
tiom: Tho Comptroller wants this i've
millions per annum distributed only to now
banks ,n, in Tho hsst and south, in States which
hmm %ltcs& n&n |
Comptroller assumes TINT Gael, Stato should issue
Its "quota, and no moro, OF bank circulation.
regaIdleaa OF whether tue captal of tho State
SaiI e., iil!d moro profitable employment or not,
Westorn States have taken Tho s54, ,0o0, 900 Of
bank circulation authorized by tho act
Of Of, July, 1870, shows that. notw1thatana-
S eaS6 d th0 the so's osR aS aad aeS% Kent, Il the the
SO eager to go into tho business Of issuing cur
rency under Lhe National Currency net as repro.
sontod. At the same tine there il daubtloas a
.arge amount Of capital III New England TINT I
were mado FREQ to all banks i'll all States regard
less oi the aggregate amount outstanding. The
restriction Of bank circulation to any ratio OF the
txli" can,ta' xaI o. s,1tes & II, peddng marrow policy
t1ona Bank circulation ii founded on error. II {
implies that the privilege must bo restricted to
prevent intation., II there were any huch
eaaicai defect as this ~ the national currency
~.
but there ia not Tho Comptroller himself ,
states broader aud more correct priucinlo in
lis rorort, when he says TINT tho way to insure
he redemption oil the National Dun. noles is to I
lllow tleln to increase, that tic proportion Of
sreonbacAs to bank-notes will be smaller than at
'feBent. Now, if this will hold good tor 3 email d
mount OF banlk-notes. i certainly will for 9
arge ONO. Tile easiest way in which t
he paper currency OF this co,1n- n
~ CAN be brought to par with il
'old 10 by free banking without any increase OF c
'recntaeks. II tho Government, instead OF ro- Il
ttlctiug tue issue OF bank notes, would encour- d
go their increase by the issue OF r.
:" BANKING BoSps," G
United States bend bearing, say. s per cent ip- Ct
crest, to be issued to new uaslks anywhere at p
'ar for greeubaclss, and would receive these Il
ondH on deposit aa security for tuo isaue of 90
Ter eent OF circulation now, it would soon So Il
ure The plodso OF sl0uU0U, 200 OF bank capital h
. addition to tho Government obligation for b
ho redemption .of tho bank notes, This IL
rould certainly afford Il better prospect Of tho Ii
pprcciaton of'tho currency to par tiian to have II
al gFoenb2cka without the pledge OF bank cap- -
III or even to havn it half and half aa now al
LOCAL BrooK AND DoNp MAnKET G
Mesarn. Preston, kean i Co. quote N follows b
hB atteruoou:
-u, Buying. Siding. q
Ss, e q, ~ " 4; ;;'''..'s ..'...i1aG 117X i
: s. s1Ss 11S " @s''',.-..''...t:...n34 1le1@113H
: g. e-sos .o oi ~ -. ....,.:...:..1l4E 1t31 | ~
. y. b-!0s of Vt January and july. LID u0HalI0S " :"
: =. 6-l0s of ct January anl Juy. .ll0k ll7E o'
!. s. 8: e"2oa Of 65 January aud July .llG15 III VI
. x t lo9A l104 re
= % o. sneS 'ss"c>.. ..1vy.& 11o!l III