The Fremont weekly journal. [volume] (Fremont, Sandusky County, Ohio) 1867-1877, 1874-05-08

nomination journals. The areu-
ment was that it didn't initiate worth
a cent,in fact might contract, but be-
cause it was supported as an infa-
ton measure, or an increased cur
rencv measure, it was vetoed rather
than lend color to the supposition
that the administration favored in
dation. Yet here is an initiation
compromise suggested as favored
and the Leader raises no objection
though the compromise would undo
the veto. or set aside 'just the thing
every body had been waiting for
and which had produced such sur
prising effect on the real estate mar
ket of New York that everything
was TO become lovely and the locked
up capital of the country become
loosed, dc.
While the Leader is foundering
so in that issne, let us look into an
other one. A few days later in des-
canting upon the condition of the
iron trade il gives a dreary outlook,
shows the ruinous loss at which the
business is done, and says:
After the immediate causes above referred
TO. the cause OF the stagnaton IN this industry
is that which affects the business of the whole
country, viz: lack Of confidence in the fnanci-
al system Of the government. This IS plainly
the primal cause of all. The financial Dill
lately vetoed by President Grant was too
vague and insufficient to accomplish any good.
Then the veto didn't settle every
thing although its effects in reviviiy-
ing trade in New York were so ap-
parent within twenty four hours"
that the sluggish current of
real estate traffic began to mover
The bill vetoed was only TOO vague
and insufficient to co any good" and
the veto put it out of the way to
make room for something more salts
factory. Is that it? We guess so, for
further along he says:
The prinoipaldemand is for a system of free
banking. OJher branches of industry demand
the same financial reconstruction. That whlch
will affect one will revivify all the others, A
dilatory Congress Will work daily injury in
the future as it has in the past, aud members
should neither sleep soundly nor eat heartily
until they secure the passage Of that financial
measure which will definitely settle the fnan-
cial uncertainty.
And "that financial measure
which" is to definitely settle the
financial uncertainty" - certainty,
we presume he means-is that mea-
sure which will give US 1.-TWO dollars
of additional bank currency, and re
tire one dollar in greenbacks," be-
cause something more" than the
veto was necessary and the sooner
q compromise measure could be
agreed upon" "the better for
the country" Well, yes, we think
so. We have been wanting more
currency; the country has been
wanting more currency, and though
the veto "was just the thing that ev-
cry oEe had been waiting for" it
didn't give US more currency, nor it
didn't give the country confidence,
nor it hasn't loosed the pressure
In fact st was at once apparent that
something more than the veto was
necessary to be done" For a con
journal commend We the
Leader.
Let US take another look. In its
issue Of the 1st, the bankers of Cleve-
land came to its aid fully convinced
that something more" was necessa-
~, and submitted q memorial of
which the editor says;
This memorial proposes so palpable and es-
ientisl q reform in the present banking law, |
hat it seems remarkable that it has not been |
hitherto more frequently urged upon the at
.ention Of Congress.
We'll, what does this memorial
propose to do? Nothing more than
his; to initiate by releasing the $685.
100000 bank reserves, though they
hereby lesson the security of the
banks True, it would not increase
he volume of issue, but it would in
,rease the volume of circulation, at |
he expense of the bill holders Sc
;urity, and at a sacrifice of conf
lence in the stability Of the banks.
This the inhatiOnist would avoid, al
owing the securities to remain un-
impaired but supplying the desired
luantum of currency, which these
virtually admit is re-
Iuired to give relief, when they say:
Nor can we hope for any relief from this
until Congress shall permanently
ettle, in some way, the great question Of
money now occupying and disturbing the
public mind. We beg leave to suggest a solu-
Ion to the financial problem, 1t the ere
erves" held by national banks were unlocked,
t would give the required relief.
In regard to security these me-
claim, that without the re-
serves their securities would be am
pie to secure depositors, and also
advance a doctrine which is rather
1aculiar, but which they express
,hus:
Yet we suggest that these individual and
,ank deposits are simply matters Of business
between the banks and their customers, not
equlrlng government protection or superV1-
lOn.
If the banks run out all their re
serves, get into difficulty, fail and
close their doors, the bill holders
being safe because of the bond de-
Josits with the government, it is no
natter about the depositors-they
.Ook the risk when they deposited.
These things do need government
supervision, and though the vast
majority of banks may prove safe,
or the sake Of those which may
prove abortiye these things do need
government protection and super
vision" Yet so taken is the Leader
with this "inAation" scheme, that it
lets forth the ample stock by which
,he National Bank currency is Sc
cured as a means Of proving that
ess security is enough, ana then
adds:
The release Of the bank reserves is the first
md most natural step to secure more 1oOTkiaQ
UTency without the sacrifice OF safety or
SIxty-fve millions of now dormant
currency would be converted into active work
ng money and distributed over the country
n ratio Of the capital OF national banks, with
'ut increasing the liabilities of the govern
nent one cent The first clause OF the new
nance bill should provide for this result.
1t is something to have the Leader
admit that we need "more working
currency" But we do not desire to
see it acquired by sacrifice of the
prestige which the National Bank