Eureka daily sentinel. [volume] (Eureka, Nev.) 1871-1887, 1875-10-17

for the aggregate amount OF legal ten.
ders is about $50 millions.
There it will be seen that expan-
sion is made to precede contraction.
There can be no redemption to any
extent of the United States legal tenders
unless there is first an increase of
the paper issue Of the banks, and in
the eyent of such increase on the part
Of the banks, the decrease on the part
Of the Government can only be in the
proportion of eighty to n hundred.
Should the banks initiate to the
tune Of four hundred millions addi-
tional or two thousand millions, the
Government can only contract to the
tune Of about eighty-two millions with.
in the next four years for the
whole amount Of legal tenders is only
some $50 millions, and the process of
redemption is not allowed to 80 below
300 millions, initiate to whatever extent
the banks may during that period.
Here. then, il any steps are taken in
either direction, we are TO have one
hundred steps toward imitation to
eighty steps toward contraction; and,
after the limit of 800 millions shall have
been reached, III such should be the
easel then we are to have n hundred
steps in the direction of unlimited OK
pansion to none toward contraction!
And when for four years these n
hundred steady PAGES toward expan-
sion to eighty for part OF the distance,
and none for the balance of the dis
lance, toward contraction, shall have
been continuously taken, then the bill
provides for ushering in its financial
millennium, January l, 1879, when the
remaining three hundred millions of
the outstanding legal tenders are to DO
redeemable in gold on presentation by
the holders, and q general resumption
Of specie payments is expected, as by
magic, to follow! This is all the con-
traction, ill the redemption, all the re-
sumption, all the specie payments,
that the bill provides, and all this is to
DO done by the Government alone.
For, not one word is said about re-
sumption on the part of the banks,
new or old; no obligation is imposed
upon them to put themselves in q
condition to resume in 1879 or at any
time thereafter wards; no expectation
seems to have been entertained of their
resumption now or hereafter. Indeed,
resumption by the banks, old or new,
under the ''existiug law" or under the
provisions of this bill, is and will be n
moral and physical impossibility.
They neither have nor will have any
thing with which to redeem. With no
specie in their vaults, with not q dollar
of their capital stock under their own
control, but with their entire means to
meet the payment, Immediate or re-
mote) of their outstanding "promises
to pay" in the custody ami under the
| exclusive control of the Government.
held there fixedly as security to the
| bill holders in case of . voluntary
wind up, or i~rretrievable disaster-to
expect the banks (thus bound hand
and foot) to redeem their bills, now or
hereafter, by paying specie over
their counters, is to expect Of
them an utter impossibility; and
how the Government is to dis
charge its obligations to the public
in liquidating the affairs of insolvent
or surrendsrlng banks, without EN-.
ploying legal tender notes, or some
other description OF currency notes
in opposition to the assumed policy Of
the BILLS not really perceived. With
no limitation to the increase on the
part Of the banks Of the volume Of
their paper issues, except that arising
out Of the exhaustion Of United States
bonds, Is 1t not probable that q large
imitation will take place by 1879, and
the country be in an infinitely worse
condition for resumption then thar
nowf And again we yield tho fiooi
to our amiable friends Of the Enter.
~n.r.e