The true northerner. [volume] (Paw Paw, Mich.) 1855-1920, 1874-03-27

state IN 1887. Ii was
AN EXEMPLARY DEMOCRATIC STATE.
and her people meant to reflect in the strong
est light the sound doctrines OF the Demo
cratic party. They were opposed to monopo-
lies and TO a national bank, and were quite
willing TO swear by Benton's addendum,-
specie currency,-and also the down-east COM
mercial Interpretation OF the doctrine, free
banking with real estate security. The Michi-
ganders had plenty OF land, which they had
bought when paper was plenty, but we're very
poor geese in matters OF dollars, and haiVes
and quarters and since bank bills would
no longer buy lands or Government, they had
gone suddenly back whence they had come
and paper became as scarce as silver There
was NOT currency enough In the State to move
the swamp-lands. Under the license OF party
fidelity they proceeded at once to legislate Tor
the emergency. How prone people are to fly
to the relef OF the Legislature when they get
hard up They therefore, at Detroit, through
their representatives, proceeded to legslate in
to full vitality the essential doctrine OF the
Democratic party; that banking
SHOULD NOT BECOME MONOPOLY;
that all people had inalenable rights to run
bank, provided they put up the security; and
that land. being the surest of all property, was
the best security that person proposing to
bank could put up as guarantee to all who
might hold the bills OF the bank that they
should De redeemed or paid when call for pay
ment should be made. Who could state
principle more logically than this? And they
passed law, that any number OF persons COM
binlng together so and So and pledginS to the
State certain amount of real estate, unlncum-
bered, and at certain presumed to be fair
prices IN valuation, should enjoy the privilege
of issuing bills which should be deemed and
taken as money, which bills should entitle the
holder to draw specie from the bank IN re-
demption for the same-should he De so foolish
as to call for the specie. Now, all that was
weak IN this system was the possibility that
the people would be foolish and call FOR specie
when they did not want it, and when it could
do them no good. Like Gunther's candy, then
unknown, there was fear that children even
might CRY for It, And, besides, there was that
other equally Democratic doctrine, specie
currency" and that possibly might come IN and
clash with the also Democratic doctrine, free
banking" And through this open gate, which
the legislators at Detroit set open, and propped
with good hickory stick that looked some like
old Jackson's cudgel
THE WILDCATS CAME INTO MICHIGAN.
And these we're the names OF part OF scores
or many scores of them: The " Bank OF La
peer" " Oakland County," Macomb, Ypsi-
lanti, 'Bank o. Washtenaw Calhoun Coun-
ty Bank Bank OF Marshall" jackson"
Z" Allegan," Sandstone, 90 Huron" ETC., etc.,
etc. etc. They issued their bills all according
to law, all secured; the wealth Of the lands,
which could not depart. was represented in
currency which they called money, and to be
used as the medium OF trade, to raise crops
and move crops, TO buy and sell merchandise
with, etc. They were good-looking bills, and
seemed as much like money as greenback OF
1874. How very nice was all this Tbs coun-
try was happy, for they had money In great
abundance. The merchants bought large stocks
of goods; the stores were we'll filled. The peo-
pie borrowed the money of the banks freely;
everybody that could pad out And money
was again as plenty as when the worthy young
man OF Amherst disbursed .Bechertown, or the
venerable president made money from the
stump OF tree with the stroke OF his pen.
But time hurrles up events most marvelously.
The financial CONFUSION, which Jackson either
mended or made worse, came on unappeased,
till at last his successor, Van Buren,, when he
took the presidency found all the banks OF the
country under a suspension; there were nei-
ther Nick Biddles bills, nor Bentons click of
the dollar, or the shine OF the eagles through
the network of six purses. The sound Com
monwealth Bank Of Boston, that secured itself
by only loaning to It's customers on bonds and
mortgages, and thus honored Democratic no.
tons OF banking in Boston, failed at the first
dash, being sadly surprised to learn the flaw
in the theory that good notes OF hand, we'll
secured would not redeem bank-bils; that
money, after all, was the only commodity that
would redeem money.
The banks OF Michigan were 30 far out OF
the range OF the financial tornadoes that ragged
where money was, it was reasonable to think
they might escape. 1t does not appear that
any sudden squall keeled them over. Trade
went on; the merchants sold goods rapidly,
and bought what little produce the tillers Of
the soil had in those days to sell goods grew
gradually higher In the stores: money grew
gradually less in price; one bank far away
would be worth 90 cents, another 80, and so,
graduated by no known rule. they stood the
representative of values from % cents to par.
Those at par we're received for good at 20 per
cent. above cost in certain PAGES (perhaps
near home, if the unfortunate bantlings had
any homes), while they would be at % cents in
another section OF the State. The currency be-
came
woSDERMEST TO ALL THE WOLVERINES.
1t was laughed at, sneered at, or jeered at, as
fancy might take, and thus became the prolific
source Of many grim Jokes. The " Sandstone"
bank became the main butt. Lapeer" was
another synonym Of unfathomable banking
mysteries. Wildcat was the general term by
which the whole breed was known. Red Dog"
Blue Pup" Grindstone," SANDY Bay"
and other queer terms designated certain
classes Of this queer currency. And yet it may
seem strange why it should be so very different
from any other currency. 1t was authorized
BY law it was the first complete trial of or
ganizing system by which the bill-holders
should be secured by pledge of real estate.
a.