, 1874-03-02

pricoa and worry slow In putting thoni down.
rnopuoE AND auI.D..
Hence 1t Is cloar tint, wlllo tho farmor. or
with t!,o god promlum added nt tho place Of
Bato ho mist pay for nll he l,aa to buy tho gold
price, with tic premium added, mud al add:
t,onel amount o9vorng tho gambling.ris1ls a., Of
purchased articos pasa before thcy reach lin,
and Tint additional amount covering tho ganl-
bling.ripk will naturally grow very much higher
rllon tho currency Ia intlatod mud In process Of
depreciation. Tho conclusion ii inevitable Tint
in this point Of wow, Tho correotnoss Of whio,
oanuot bo questioned, MI irretloomnblo 1uctnat-
Ing currency cannot DO anything hut n ollrao to
the agricultural intoroBt, curse moro oppressive
| M initiation COOS on aud tho moro Initiation
tlore In tho noro tllo farmer will loao il, buying
proportion to the prices ut which ho has to
At TIE 8our,1.
The other day Ind very interesting convor.
| Bation with Southern planter as to the offcct
wl,icl. an inilation OF tho currency would have
| upon Ills interests md would ask those gem
tlomen who hayo tho intorests Of tho far1nars SO
doarly nt leart to give mo their attention. Tho
| planter said to mo, I nm In favor Of initiating
tho currency; but as to whothor t,o currency
should bo Inflated just at this presout moment,
am n little doubtful" as!cd Why. "Wel1,"
said he. ~ hayo sold my whole cotton M orop a.
! is only very H1nall quantity loft iii my hands,
/ sold my crop mud received tho money whun
gold was down to 10 por cent. II VIC inilato the
currency now, mud gold runs up to IL or 20. I
neeossarioa whom tho currency is do
preeiatcd, and prices havo rison
accordingly. Thus hayo sold at
cheap rates and shall havo to buy at high rates.
should profor, therefore, that tito currency be
not inIated juBt now, but lint tho OBJECT OF III
Tuition tako place whom hayc to sol my next
crop" That plantor waB very. Honaiolo. That
t.S 1brI tASrr
sold your crops, and whom you hayo to bny your
| supplies, TINT In not what you bargaincd for.
| II tho farmer OF planter could nlnte tho our
roncY and run up tho premium Oh gold whom ho
Hells il1B cropHt aud then 10 manipulate tho cur
rency ns to raisc the yaluo Of paper mouoy and
deprosB tic premium OIL gold when lo buys his
supplies, Of course tint would DO winning
trick. But those who buy from and WHO Hcll to
this tricky game tho tt' honcBt farmer i would bo
| auro to como 10 grief, aa lo 1lna como to grief
nlrcaly.
No; tho farmer or plantor wants to prosper
ho will, above nll things, ttse every effort within
Lis power to rid tho country Of n system Of cur
roncy which obliges him to sell ut low and to
buy nt high prices 1Io may for q moment think
that inilatlon will aid him iii paying of his dcbta
# ho has my; but upon consideration he will
discover tint
DEnTs ARE PAID OUT OF SURPLUS EARNINGS,
and TINT his oaininGs wll bo depressed whom the
price OF what lie buys is high in prupor-
tloh TO Inc pflce OF WnhC lo aolls Ihat Ills Btlr-
plus earnings viii grow larger aa soon as tho
price Of what he soils is put upon an equal foot
ing with tho price Of what ho buys. Ho will dis
covor that tho trick Of dcpreciating the logal
tender by initiation, in ordor to pay what ho owes
IN currency less valuable, will not rodounu to
lis advantage in tho end, and that III this, an in
all other things, honesty is, aEtor all, tlio boBt
policy. He will discover TINS an honest curreu-
cy, which permits him to buy and sell on the
snino basis of valuo, is for him tho safest basis
of prosperity and l trust the tme IL not far dis
tant when tho farmers, whateyor arti1ces Of
demagogiHm may DO used at prosont upon them,
will, aB Que man, stnnd up honestly and intelli-
goutly for the earliest possible roturn to specie
paymeuts.
Another scl,crne by WHICH moro currency is to
bo introduced into tho WoHt ind South, and D
larger amount of circulating 1nodium is to 10
mato ayailabo for Legitimate business, is tho es-
tnbtiahnGnt Of q
GREATER SuMREn OF NATIONAL DANKs OF ISSUE.
The complaint is That the Eastorn StateB have
/ an undue amount OF NationalDank circulation,
and therefore enjoy i'll monsuro o monopoly.
admit this to bo true. will not discuss bore
, tho system Of banking iu a it's aspects buL ]
will Inquire how far tho establishment Of moro
National Banks Of issue in tho West mud South
, will romody tho real owl complained or-whch
| evil consists in lack Of loanable capital thoro.
j | II tho romedy proposed is to serve my good
i purpose at all, thon the establishment Of now
National Danls Of isHue must incroaa8 tho avail
bic amount Of loanablo money. If it docs not
do ttat, it lenders scarcely service worth mon.
/ tionug Now, will It do that7 The Senator
: from indiana, who is always ready with hB a,t-
swcrs, Hays yos; TINT 1t will increaao tho amount
OF ]oanabte money by tho amount Of bank cur
roncy put out for, ho argues tho currency is,
sued will be glvou out iii loans and discounts
which ovory thirty, aSty, or ninety days will re-
! turn to the bnnlts The currency will, therefore
i stay whoro 1t is issued, and not ttow East. Is
: this Bonnd? asaert TINT it a faliacious in the
q highest degree. &ao Senator simply forgetB to
Il toll ns how those new banks are to get tloir ia
D sueH.
: Lot us look at tho provisions Of tho
n NATIONAL BASK1Na ACT.
q It provides that in order to establish National
: Bank United States bolias must bo deposited in
j. theTreasury Of tho United Statos and that ~ pei
II cont Of tho nominal amount Of thosu bonds mi,
+ 30 issued by tho National Bank as currency.
Il Now, in tho first place, those who want to eatnb
if 1ish i National Bank will havo to deposit the
Y bonds. It is 4 notorious faet that i'll tho Wes
tho amount Of United statea bonds hold Ii ratll
or Hrnal and i'll the South still H1nallor and til
8 bonds which aro there are mostly held ~ iixec
" Investments. The persons who waut 10 estab
0 1iBll National Banls mist, therefore, buy tlso
" bonds. They must buy them where bonds ar.
II sold, that is III the Eastern markets; and tho.
% must buy their bonds with money. Whore ds
+ thoy get TINT money! They take that mono.
% out or thor homo circulation, and tho money 81
it taken out Of their homo circulation they carry tt
J. Now York.
{, Now, 500 how this operates. Fora q, 900 bont
| hAo3 ANsG ~ wy %l4oJ th1s III y PoA eosas 1pAN
id now stand, about 81, ,l20 iii currency. That sun
Of 81 ,120 il withdrawn from their homo circula
n ton and is added tn that Of New York. TheI
they talto the $1,000 bond 80 purchased tt
: Washington, aud tor TINT 81, 900 bond they 60
c $500 in bank currency, and tho syO0 they carr.
{ homo. Then thoy lock mp ID or 25 per cent OF
J. the 5000, Ms tho reserve prescribed by Inv, ii
10 their bank vaults, au they may DO country o
r. city banks. For tic 3, ,120 carried to Now iorl
ii the country bank then puts out 1906 anl th
n city banls 5675 to accommodate thoir customer
4 with loallH and discounts. Tlleso loanH aud dis
y. counts may indood come buck to tho hank ever,
n thirty or nixty or Iioty days. Dut docs no
It tile Senator from Indiana SEQ, ia tier
\, anybody no blind as not 10 sec, thu
il II much greater amount Ind gone Eas
N boforo thu Western 0r Southern banl
d could mako any loaun and discounts to its CHS
N toners with It'll National Bunk circulation? L
II it not aH clear as sunlight TINT for every $9U
j. issued by . country bnuk, or every 9675 iasuet
is BY city bank 81. l20 lind gone to Now Yor
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