The Grange advance., 1874-12-01

!He amount authorized 70 Oe Issued
to banks already organized is s$s3. 707,-
900, and to be issued to proposed organ-
cations S4.590,00O Of which Rhode
Island, Connecticut, New York and
Pennsylvania receive none, but Ohio re-
ceiycs 81 1876, 900; Indiana, $SG4,00O u
Illinois, $495, 1000; Iowa $315,000, ana
other amounts small.
THE AMOUNT SUBJECT TO WITHDRAWAL
under sections seven and nine of the act
of June Goth, 1874, in the States hav.
ing more than their proportion Of cir
culation is as follows /:
From four banks in New York
City ......$ s ,3SS. 53o
From seventeen banks in Provi.
dence -. -. -. ~; ...::.;: ISIS, 800
From fifteen banks in Connect- -." =
cut 49,: ... ..:. -. 80. 49,. 3,oa4,o2o
From thirty-eight banks in Bos-
ton -. -. p: 49,. =. ..:... l2,ss5,75o
From twenty banks in Massacnu-
/ sets. =. =. ..... 80. S.. 2,563, ,225t
From four banks in Maine ...... 66S, 900
From twelve banks in Baltimore. 2,ll2,s76
From one bank in Delaware ...... 9a,s5O
From forty banks in Pennsyl-
vania ~ . 80. 80. ... ~ 3.e67, ,l65
From eleven banks in New Jer-
sey ......... -. ...... 100000
Amount OF circulation remaining
unused Of the amount to be :!
withdrawn, as before stated. l6,279,5S9
Total . .... .... .... 80. 49,. s47, ,s5o, ,74s
The Comptroller says if Congress
should provide for the withdrawal Of
the legal tender notes and issue nation
al bank notes as needed in place thereof.
when the amount of legal tender notes
should be reduced to say $300,000,000,
the legal tender notes would then be in
demand, and Ill proportion as they
should be reduced In amount, the de-
mand for them would increase, till final
ly, when the amount.of bank notes is.
sued should be largely in excess of the
amount Of legal tender notes outstand-
ing, the national bank notes would
themselves be withdrawn, at certain
seasons of the year, Oh account Of the
difficulty or expense Of obtaining lawful.
money with which to redeem them. The
gold coin of the country would then
make its appearance in answer to the de.
man6 for an additional amount of lawful
money ,and specie payment would follow,
sEsa9.>IS s1g Z. REDEMPTION, - @=
in it's proper sense, implies exchange of
promise to pay for the thing promised,
namely, coin or its representative,which
is convertible into coin on demand. The
effect of such, redemption is to confine
banks Of issue to$a Legitimate. business,
| which is discounting commercial paper.
If the banks ofissue are obliged to pay
| their circulating notes once in 60 OF 80
days, they must discount such promis.
sorry notes only as will certainly be paid
within that ntime. IF the payment Of
bank notes be- frequently demanded,
banks Of issue cannot safely invest
capital in real lestate, in loans HI
doubtful stocks on in leans on doubt
full security, but must have their capital
at all times invested in loans
which will be promptly paid at
maturity. Such q condition indicates
"a thealthful business, and promotes
sound banking, and, the redu duction of
the amount of legal tender notes, ac..
companied with such, an increase Of ma
tional bank notes as may be required,
1 will secure a proper system Of redemp.
4 sion,Y render free banking profitable,
and gradual restore specie payments
without necessarily decreasing the
amount of the scirc ulatine Medium.
sAxHNDNRNrs REeoMMEND jss7ss.s 80 s;2;
I The GLOWING amen dments to- the
4 ..lpreyious acts are recommended I:
N am nglIhent ia section ,sof