The Dallas daily herald. [volume] (Dallas, Tex.) 1873-1887, 1877-10-07
Banks.
TO the Editor of the Herald.


The radical change in the mode of
doing business, from credit to cash, re-
ouires much more currency for the same
amount of transactions. The loss of
confidence between man and man re-
stricts credit and diminishes circula-
tion-hence the universal cry for more
money. The simultaneous movement
OF the great crops OF grain and cotton
intensifies the demand for moneyin the
trade centers and at the same time di~
minishes the supply, The producer
sells his crop from the wagon, buys q
few supplies, HES him home with his
balance in cash and hides it carefully
away. Thetrade centers are depleted.
Money cannot be had to carry the pro-
duce to distant markets, except at such
rates as to oblige dealers to pay lower
prices. Thus by boarding all are injur-
ed. Means must be found to return
there sums, dribbled out to producers
back to the trade center to be used
over and over again for the movement
of the crops Their aggregate value is
reckoned ay billions, the possible
amount of actual money only by mill
lions. The effect of this distribution
and hiding of money is now telling
fearfuly on trade, and is causing great
aggregate loss to producers. Many
curious facts illustrate this here in
Texas. Never before has money, actual
cash, been so hard to be obtained by
traders notably at the ports Of Houston
and Galveston. Silver, still priced as
money by the common people, has been
so drawn to the country as to rule at
much higher rate than in New York or
London, The dribbling payments for
cotton picking have carried the small
change from the towns to the country,
so that fractions OF dollar are scarcely
to be found The picker must be paid
dali, the farmer for every load, the
buyessS; having no capital, takes his draft
to the banker, who, if not yet exhaust
ed will cash it, with bill of lading at
.tached at his own rate, surely
high enough to depress sensibly the
selling price Of the staple And that
bill must be met as soon as the mail
can take it to the drawce who, if a
,omp,,seion merchant, will sell the
oment on arrival (f not beiore), let
.e price rule as it may, or hold 1t at
suAo guinous rate for advances as to
make the owner wish he had.
All this shows utter want OF conf
dence, a want Justly founded on sad ex
herience. The credit system once sc
peryasive, is "Gone glimmering through
the mist of things that were, 1t must
in some shape, be recalled and reestab
lished. 1t is estimated that, IN the
commercial world ninety per cent o
all transactions is done on credit Com
merce can not exist without 1t. Loca
trade must use it. The producer mas
tiers will dry up, if not fabricated by it
IT'S the oil of the wheels of commerce
Neither individuals nor national wealtl
can be acquired without it. Nocom
munity, great or small, can dispens'
with it. By and through it, civiliza
ton exists.
We are to consider then, how conf
dence. the timid maid, so rudel,
shocked and driven with her treasure
to the bosky dell shall be wooed bacl
to the bosom of society. ASS pruden
maid she will entrust her jewel to n
lone wooer, Charm he never so wisely.
A plurality at least must witness Tn
meeting. a neighborly gathering, inter
spersed with the old, the grave, the re
spected. aye the RICH, would reassnr
her. draw her from her secret hidln
place, and restore her to her friends an
to usefulness But her late fright wi
make her still timid, aud a bright Ign
must be ever around her that he
startled and overstrained imaginaho
may not mistake very common an
simple things for "Gorgons and chm
eras dire" and drive her again int
concealed seclusion. sESEX.
UJrslcans, October g. lST7.