Delaware tribune. [volume] (Wilmington, Del.) 1867-1877, 1875-10-07
WHO SHALL ISSUE THE PAPER-THE Gov
ERNMENT Oh THE BANKS!


Mr.. Hsssaurek, OF Cincinnati, speaking Of
Carl schurz's finance speech, (seo tho report in
CoMMsactAI.) thought it failed to
meet one important point-whethor tho Govern
ment shall furnish tho paper currency, or not.
This, in Mr.. Hassaurek's Judgment
ia tho issuc on which tho most i'm
portant contest must BIO made, and he ID very
probably right. All Agroe that there must BIO
paper currency; the friends Of honest money
simply insist that it shall at all tmos be OK
changeable with gold. Tho convenience OF paper
in sucl that, when it actually represents coin,
has coin value, and will draw coin when the
holder 30 DESIRES it will always be preferred for
tho ordinary uses Of business, beyond small
amounts.
Having, then, specie basis for tho paper cur
rency, the question is Who shall issue it? A
large part Of the defamation OF tho Democratic
speakers in Ohio has been devoted to abuse Of
the national bankr, and the Pennsylvania plat
form follows suit, although it appears, awkward
~ enough, that Judge Pershing is and long has
been . stockholder in ono at Johnstown. The
demand made ia that tho banks shall become
simply institutions Of deposit and .dscount-no
OF issue. Their privilege OF circulation is
10 be taken away. They arc not to. provide the
country's paper currency. Here is distinct,
precise proposition Of change, and a demonstra.
ton Of its bad features will BIO imperatively
needed before tho finance question is disposed
Of, for the vehemence and bitterness with which
the infiation demagogues attack tho national
banks show that they think here is n weak point
where they may win an advantage.
The proposition that the Government shall
provide the paper currency is, on its face, pleas
ing. The plausible argument is made that il the
national bank circulation Of three hundred and
fifty millions Of dollars woro wiped out, and
greenbacks issued instead, then an equal amount
forest on them saved
There are in this proposition and its support
ing arguments several fallacies In tho frs
place, the United Statos has no power under the
Constitution to issue paper currency, and make
it legal tender, in time OF peace. This is thu
judgment Of tho Supreme Court, and even the
decision Of that tribunal that tho Goyernmen
had the power in time of war has been bitterl,
assailed by every Democratic orator and news
paper in tho country. but, aside from this, thu
argument is all against the policy o
making tho Government bank OF issue, witt
the members Of Congress its directors, and
on the other hand tho reasons arc conclusive ii
favor of the provision Of tho paper currency b.
the national banks or some similar institution
Of issue. 1t is asreed on all hands that NOR
money is needed at some times than at others
that "the wants Of trade for circulating medi
nm vary, II, then, tho Government provide
tho money, its officials must regulate TIN
amount in circulation, and this very fcn
persons would be- willing it should do. 1t wou
be most dangerous power-nay, fearful con
trol-over tho country's business to be placed il
the hands Of any Secretary OF tho Treasury, how
over far above tho average OF human nature Ii
might be. His honesty would not be believe
in, nor his judgment approved Of, even il h
were both honest and wise, while il no were
rogue or simpleton-of which sort there soem
to be no lack, judging from the several scheme
OF rascality and folly put forth IN the tnancis
d;scusson-he might ruin the countIys bus
ness at any moment.
Nor would the power DO safo in the hands O
Congress-. That body is no fit judge, to dccid
from day to day, or fromgweek to week, even i
it were at all times in session, tho amount o
currency which " the wants Of trade " demand
and to say whether this week ton millions o
greenbscks should be retired and next wee
twenty millions issued. And yet, if tho Govern
ment is to provide the paper currency, what bet
ter can be dono than to put this business in tn
hands of Congress-?
But the national banks furnish the currenc
really a. the country's business mood it. The
are in and Of that +" trade" whose wants' ar
to be regarded. They feel and respond to til
call for money, and they'll experience as quickl
the subsistence Of the demand. Their Judgment
in the aggregate, must BIO absolutely unerrint
for il even ono hero and there, undo
exceptional circumstances Of bad manage
ment, does not conform its operations to til
actual character OF the country's business, til
great majority do so, and their action is evenl
adjusted to the actual demands OF safe and leg
innate trade.
There il now no monopoly" in tho nation,
banks. The system OF the present law is pract
cally free banking, even to tho extent OF issuin
currency. Any one may start another nationi
bank in Wilmington, to-day, il ho will deposl
the securities required, and otherwise compl
with tho law, as all the existing national bank
have done. The system is as nearly free as
can ever be to be safe and it is az nearly popu
lar N thrift and accumulation. Everybody doc
not save money, but all who do may directly par
ticipate in and enjoy disadvantage Of the banks
while indirectly every citizen docs so, whcthe
he saves penny, or spends as he earns. Their
is nothing OF monopoly about this