The Morristown gazette. [volume] (Morristown, Tenn.) 1867-1920, 1878-07-10

all taxes. It may be said that there
is Congressional tax of 10 per
cent. on State Bank circulation
True, but it is to be hoped that Con.
| gress will next winter repeal that
tax IL they do not, re establish the
bank, anyway, and either test the
constitutienaIity of that act of Con
gress or operate the bank on Con
treller's warrants, or, if that can not
be done, then without issuing notes
until Congress does repeal that tax.
The Third National Bank, Of Nash.
vile, was, and perhaps is. the most
profitable bank ever in Tennessee,
and the most profitable period of its
existence was when it did not have
a dollar of circulation. It never did
have more than 100000, thus show
ing that the profits Of bank do not
depend upon the extent of its circu-
lation. If the profits of this one
L
little bank. with capital OF, only
500, 900, had been paid into the
State Treasury, and the manage
ment of the State debt turned over
to its President and Directory. you
would never have heard a word of
complaint about the State debt or
1
the State taxes. These subjects
would never have given the people
any trouble, and would never have
/ entered into the politics of tue State.
Give US State Bank, with or with
out circulation, and with a tax suffi-
cient to pay the interest on one
third of the present State debt, and
you will have no further trouble, no
further anxiety, no further fuss in
the Democratic ranks about the
State debt and State taxation.
Give Us a State Bank with circu.
lation of its own, and you will bring
relief to our paralyzed trade, manu-.
features, labor, agriculture, which
will at once start Tennessee on the
high road to wealth and prosperity.
A CIRCULATING MEDIUM FOR ALL.
will add that I see no way by
which we can get rid of the irrita-
ting differences which disturb differ
ent sections of the country relative
to the amount of currency necessary
for our wants except by the assis-
tance of the State Bank system.
We must have greenbaeks, but who
is to fix the volume of currency.
The Eastern capitalists will insist
that $65O,O0O.00O is more than
enough for all the demands of trade.
and that contraction should con-
tinue. The agriculturists of tie.
West and South say that $1.200.-
100000 is not enough, aud demand
imitation, and thus the war wages,
and will continue to wage until the
State Bank system shall oe re .estab-
ished. Then, if you please, let the
volume of National currency be fix.
ed at $3.50. 600, 900. If that is suffl-
cfent for the capitalists of New Eng.
land, well and good but if we OF
the South and West need more. We
can make up the deficiency by our
State Bank circulation without hav-
ing to go to Congress to ask New
England Democrats or New Eng.
land Republicans what amount they
think we need.
CONTROLLER WARRANTS.
1t is urged by some that without
bank we can issue State circula-
ton of from $7,0Oo,0Oo to $4,000.
600, and thus take up a large pro-
portion of our bonded Indebtedness.
doubt the wisdom and the practi-
cability Of the plan. In the Gener.
al Assembly of 1875 what is known
as the Ragland bill was introduced
in the Senate. l was consulted
about that bill. thought that. If
then enacted into a law, it would
prove greatly beneficial to the peo-
pie. and reduce the amount of our
Indebtedness. That bill provided !
that Controllers warrants should be
issued in denominations of $5, SO,
$40, $50 and 800, which were to be
receivable for all dues TO the State, |
and the Controller or Treasurer was
authorized to exchange them for
State bonds to the extent of $2,-
5000 at time. That is, so there
should not be more than the amount
of the warrants outstanding at any |
one time. As rapidly as these war
rants were taken in. or the amount
reduced to $2.5O0.O00, then others
were to be issued for bonds, so as to
exchanges, as rapidly as possible. |
under this limitation, our interest.
bearing bonded Indebtedness for q
misunderstanding indebtedness.
1t was estimated that under the op.
erations Of this bill the whole in
debtedness Of the State could be
taken up in 18 years. I believe that
a similar bill. with proper modifica.
tions as to the rate of exchange be-.
tween bonds and Controllers war
rants. If enacted into a law. would I
still be beneficial to the people both