, 1874-01-26

TRIBUNE OF londinE Its columns to tho general
public for tho froo discussion OF tho many qlos"
tio,,s Of vital interost III politics, finances. and
morals, rather than Of arrogating to Itself tho
possession Of I'LL valuable knowledge, cannot DO
too highly commended. BY such o courao only
can the preaa PROPERLY fulfill It's mission aa tho
educator Of tho tnasses.
Allow tho writer to proaent few practical
thoughts upon tho financial question now under
such general discussion. III finance. AZ III re-
1igion, many men incline to cover their faces
With thick veil Of theories, which obscuros
their vision, anl wrapu tho subject in myateri
oun and unnatural light. Hence wo find tho
most vague and impracticable theories advanced,
and tho most absurd action advised. Ono would
bo roformor crios for Legislative enactment j;
another appeals as earnestly for cooperative ao-
ton; ono pnrty demands initiation; and still
another couneels sudden contraction. Lot mo
suggest still another remedy:
Suppose wo just lot tho patient alone. ! fanoy
hc needs rest, aud that little vacation in tho
dosing policy would do no harm.
Lot IL bo understood. frat. that tho problem
Of tl,anco is, fundamentally, tho sane in all
ages III a1 lands, i'll oil stages Of civilization ;
md ii not altered i'll kind by revolutions or
changed III nature by governmental Or political
onactmont; but rests npon ono uuchnpgiug and
ply and Dom and. No human law can croato
yAlno. Mother cu1 it destroy it. Value il properly
tho practical exponent OF human industry, and
can bo produced by ~ other process: 4 gold
tlustry, III agreed upon 1y common consent
(Which only is universal law) Hinco
Intelligent society began uEon oarth. And
country or people 10 rich i'll yaluo just In tue
produced, bear to it's rcal or fancied neods. by
industries do not refer to agricultural ard me-
chaEical merely, but include NIL industries,
whether Of body Or mind. It must be evident
tho management Of the 1nancos Of any people
will i'll the end, provo disastrous. In direct op-
position to tlis fundamental Inv Of vnluos may
DO classed oil arbitrary legislation regulating
she Prices Of ,i'n, nny conoat all pfo.eet,yo
protocols, ETC.. - all Of which arc only
futilo attempts to regulate principle
which ia q law unto itsolf, and cannot
| bo doctored or manipulated, but moves only in
| QUO direct and unrestrained channel.
4 country can bocome rich only when Its ifl-
duBtrieB layo produced an exccBB, which tho
world ut largo Gc1nands over its own noodH aud
any increase OF tho tranBtory money it may
manufacture to supply deficiency Of industrial
exchange only increases it's own demand, and
tloreby decreases its creativo ya!tle. Aud 60
with regard to our own present financial condi-
ton. Lot 1ls not deceive ourselves III the hope
that my legislative enactment can enllnnco
money temporarily oasy but, the eaBior money
becomes, 80 much loss ia its purchasing powor.
The Grangers may Hsipulate tho price Of .
buahcl OF corn at 81, but by thiH process viii not
increase its purchasing power fraction, per-
hapa, The Iratles- Union and Labor-societios,
in their suicidal and foolish career against om-
ployed capital, may atipuato that working.day
shall be five or ten hours long, and shall cail for
| rally iucroaBo tho purchasing powcr Of their
industry, nor force the employment of idlo CAP
ital.
Money may become 30 plenty that it will tako
800 to buy . mou1e-trap, or City Alder'ma1l,
| and still our actual value, by the worlds in
dustrial exchange standard, will be greatly de-
creased What wo need. then, Is not Legislation, =
not CommuniBtio Organization, but the en-
p1oymont Of Ill our industries. tho curtaiing OF
public mud priyate cxponbe. Free Tradot Free
Banking, and total cessation Of arbitrary
legislation upon q question which is not, and
cannot safely bo' tho subject Of leEa @ me-
CHICAGO, Jan. n, 1874.
tsrcenbncl1s md Nnti0nnl-Bank Cur-
rency.
TO The Editor af Ths chicaao Tribune.
SIN: Tho praas seo1nH to DO mnking great
effort to convince tho public and CongreBs thai
national currency Issued through banks, and
having only tile national credit for aocurty
is moro desirable than tho green
back-currency, directly from the Govern
mont. It is truo that tho banRs have
small margin OF capital invested in tho bonds
| Pledged Us security, which would bo consumed
before tho billAo1dor would suffer loss; but how
much OF it would 10 required to pay the expon.
ses of converting tho security into coin, il the
necessity should occur, is not apparent. But it
is apparent that tho large class Of people doing
business, to 4 greater or less extent, On borrowed
capital are satisfied to use greonbacks for cur.
rency, il their vnluo can be made rs unehange-
having their capital loaned or IN currency, would
prefer to make 10 pnr cont by raising tho value
Of currency to tho gold standard.
Tloro can bo no objections to National
Bank currency That doos not apply equally to
tho greenhack currency; but tho objection IL tc
offering aubHidy to capitalists, who will ougagc
in banking whom no necessity exists for It
Under tho present state VI t,ings, Il banker
pat in gold. for $40 iu gold, md obtains 81 III
entire capital; which may 10 csoap as 10,
Individuals, hut is per ccut above
his 10 OH tlo auipouition that Is por cont Of the
bani-isauo Is hold in bank to redeem bills with
Tint practically arc not offered for redemption
II it il uot. 10 held. lesu capital il required te
ment could obtain monay on Its bonds at = pc,
cont with only greenbacl currency, tho who'll
Of the present banking cupital would bo Oh tux
market for commercial purposes. and would, tt
some cxtent, supply tile domanl for moro capi
tai, thought to bo 10 pressing alI over the coun
try
Since per cont bonds ara at present worth
moro tlan par lot tho currency bo made ,ntor
changenblo for ~ per cont gold-nterest bonds
Which Should 10 about par; aud II 1t is do
alrable to prevent contraction that might there
by occur. lot the Secretary OF tho Treasury pur
cflaHe all tho gold lo eau at 10 por cont premium
and apply 1t tu tho purchase of por cent bonds
aud when, 1t over, thoy wore all redeemed
lot tho contraction go on. 1hIs would giy'
alt tho initiation possible Without deprccta
tlon. This would placo tho currency on
gold basis,. though not ut par or rcdeolnable
which experiences llas shown to 10 inpraot!cu bio
except t III large cltlos, though It may approx
mate IT,. The opportunity offered for nyoBt
,ncnt in bonds NJ par would bo bonoft to {
largo class Of mon OF amal nnoa1ls, n',d enco'lr
ago economy; Tor ut present tlG opportunities
for loauing sma'l at,ms aro 10 undesirable t.
many that shoy profor to CONSUME it ~ fast 81
produced, and wi!on unable to earn more
olasnor for aid from tho Government. might ell,
there arc always n plenty routly and willing t