, 1876-03-13
An Interesting Sketch of tho
Canadian Financial System.
Tho Peculiar Relations Between tho
Government and the Banks.
4 Country Where There NoTer Was a
Suspension Of Specie Payments.
Some Of tho Distinguishing Features Of
Canadian as Compared with Amer
loan Banking.

f'o" o", op'' eo!etponae"t*
OTTAWA ont'' Msecn io'-lho "f7ser On
canaa'an nnsnco "lsn. Me't oommence hse uia-
softauon WIN ino quo6at'on Happy 10 tno
eoun''5 "n'cn nAs NJ h's.o's' eompAFou Win
tne monetary oye'ones wntcn nave h"ep. over
otnof peoples aaa ~nseh fancy nfo NOT unknown
IN .no 1ana osoF "a'ea hoa's 30 proudly sno
THE FINANCIAL ATMOSPHERIC or CANADA
has preserved aeronity that is At once unique
and intorooLinp. There haye boen hank falturoa
md noriod. ~ 1n.ncia1 donroa.;on . In n.rtiann
,.s ,-,,,o,, ssaoa,.,~. t,.ss,s,',.,s.p 49,"
u1o WHICH SUCCESSIVE administrations hase
maao OF tho peoples monoy Is almost without
parallel Ia othor countries tho method Of bank
Ing has little In It akin to tho systom Of Amcri.
can Institutions A. ,ho ,omo tir,o n ona cnr,1
~. @ 49,. , Nv 's 1a''' M ,aa luz
nlos out tue memosy OF tue universal disaster
that swopt With such tcfrifo tidal Whvo
over eil the world In 1857 there has boen no ein-
Ella hour In tba hiatorv Of Canadian Ananccs
,,nar, s,n,, c.I,r,,,-1 f.,,,-a =. s,.,n ..,.,,s
"nsn euen . ca'ama'y aS 1a'lslfe 10 maze specie
phymenta waa poealbio, or oven probable. Tho
mon Who have held control OF banlsing inatitu-
tlous In this country hayo Invariably boon men
,vho hovo r,,dn ~ annrr. . 1,r,-tono .trLv rho
o,ss.,n., n..n - ~ s,,,a. ,,u.a ..s;, !, IN,
e'ass'cal motso, Ne s"soF uaFd eFcp'dana' Bull
holda sway IN this happy Dominion. 1t Ia not
possible for any butcher, OF baker. or candlo-
st,ck-maker 10 becomo f,,ab,cr of n hank Thc
h.nh.7sr1 .,a, J., ,vl,,h - n,snv ar,or;.,n - ~
uapua1"ta WY ~ "u'e" eo uA"S n''ciasa" ~
6tltutloos select theiE managing olllcora las no
parallel here. Very fow OF our bank man.
egors or Cashiers keen faa, borsos or in
dnlro IN sm,,scnonta which = world IN.
49, al';I'I. aHa:n.a "t"" "teA ,s,,",. "o.,a
so'eo 10 oupnennss'o olasnoy ocsients TO
term naughty" Tho bost and fatest banks In
the Norld-thoao of Hcotland-supply largo
nronortior nf TIM ncrsonnni nr onr bnnltirr In,
stitutions, aud more ca,1,ious SGT of gcntIo.non
Il would be lard to meet with than q body OF
Scotch Ditocsors. hayjnp tho nsgiskance OF A
Rcotci, Mntarcr and CasI,cr. Thoro IL
1 rIAISLY-mAnxEp n1y1p1xu LINr
in tha ntnry Of Cnnndinn fnanco. II IN fonnf1 in
thS dual adootion. m 1867. Of Tho ecIomo Of
confednrntot, of lin difroront I,royincea. lin to
that dino each OF tue Canadian PROVINCES hud q
finnnco xvatem M fts own Trnnnr and Lower
Canada fnnw known rcapcctiyeIy IN Ontario nnt]
OnoheoI Ind ,ts syaten, Nova Ncotin hat1 ita
syntem. and 40 haIl Now nrnnswiolf. Nnwfornn.
lind. nritish Coluu1bta, and Trince Edwnrd's
Ialand. Thny woro fnnnfcd. nnrhans on tho
same general PRINCIPLES. hut in tho Working OUT
Of thei, ,lataija thpro wore mnny 7ery oason.
tinl diiferoncpa Or courno. with such n
s,yors,ty OF sYstems. thero was no one ninr,a
currency that psaaod enualr in all tho ProyincSs,
Tho noles Of Eanais Wsro soId as q Discount in
Nova Soot{n. and tI,n nntra of Nnvn Scotia xycrc
- .shaycd" when tLey reach Tho Cnnadns. The
Colonies. following In tho wnke OF tho mothor
country. always Loli TO policy Tho OF a snocie
currency. Their Inhabitants nova. forgot thcir
Old.Wofld sympatbics for gold and silver. snti
always jookoi vith s,1snic,on mon rero u nrom.
isos TO pny," unless thoy Uorc sutisfed thnt back
Of tLo papar promise there waa tGn substantisl
ho,iinn!
From tho 1rnt, the duty of providing papcr
currency. soc,,red bY roli. was ryon oTer to % the
hsnNs II waa mi ,ntti 18G2' t thinh. thnt cha
thon Finnncn S1,nistcr nf liz rnnnj.a' sir lam
lose. obtainsd tho passace Of what In Known "a
''~'' Tux "IEaAIrrsspEn Acr." 49,
authorizing tho isBuo by tho Province of certain
Of those notss aro stili outstsntinr bnt they aro
retired Is fast ae thoy fuIl into tho bands OF auv
NJ thn Iecoiyer.f f,cnnraln. whoan oiiicca in ibo
nrincinai e,tiea of lin Dnminion anhssryo nrottv
much lin same use, "A tSo ti1o Troaa,,rins II
the IL, 1,inw rommercio1 rn;nta ~ tho Ifnito1
Etatca' An,rt from thia sinnlo irsne nf Sir John
nnse'a Cnyernme.,t. thnrn 1as nos a Gnverr,-
-onnt ,,ote ant ~ ~ Eansa. ~ ~ .;,,s ~ ~,
n.lnntion III tha Confe5orasion mt. Tho only
other Province which l,ad issued Goyerument
notoa vas Novo Scotia. and thoao wrre tnken in
hv tia Domtnion nnvsrnmont M onn of .i,c
nfoyisious ou Which tho "Coldsh " Province
Wa c,axod into aivinn in its adheaion In tho
nav nrdnr ~ af1n;rs. ~'SA ~ 'A'0
~ T,ho sitnstton than. at TIM Tim. of confcsa,.,