Essex County herald. [volume] (Guildhall, Vt.) 1873-1964, 1878-10-25


maintain specie payment even if resumption
of coin payments should lake place.
On the failure of jay Cooke q Co., a gene
raj feeling of distrust was engendered, and
the consequence was the utter failure of many
of the Nat onal Banks, and the total suspen-
sion of all the National Banks in the city of
New York
Now this was not suspension of specie pay
ments but was suspension of payments in
legal tender Lotes or greenbacks. The prom
Uses of the government in the form of green
backs rose to premium of four per cent.
above the value of National Rank notes, and
who can tell the extent of the disaster TO the
whole country if we had been doing business
upon spe lie basis, as it is called? The ruin
would have been general, but as it was every
body knew that there was precisely the same
amount of paper money in the country after
as before the panic, and Consequently it was
of short duration, and there was comparative.
ly very little arrangement in the movements
of the products of the country. If the banks
could not pay in greenbacks when there was
in the country more in amount of legal ten
ders t an the entire national bank circulation,
how can it be expected hat they can main
tain coin payments?
The fact is his talk about specie payments
is simply absurd, whether uttered by Mr..
Greeley or the Solons of Congress Mr.. Gree
ley's saying that the "way to resumption was
to resume" is not a whit more absurd than
the more elaborate proposition pending in
Congress. To maintain coin payments in this
count. y, commercial as it is, is simply i'm
possible until the Almighty has changed the
character and habits of the people-until, as
nation and as individuals we become frugal
and economical people, sp nding, as a whole,
less than our incomes and until our national,
tot railpno5 on1 oil IalNt oIroa6 &c
paid or largely reduced, we cannot b. secure
from tire effects of the vicissitudes that cred
itor nations are liable to, and consequently, if
our banks are on a coin basis we are liabl at
all times to foreign drain, which would COM
pei suspension.
Allowing the national ba ks to issue any
currency is an unmitigated evil, and is the
real obstacle to sound wise d wholesome
legislation, and they ought to be Invested of
that power as speedily as it can be done with
out disturbing values. This real or fanced
interests are antagonistic to wholesome finan-
cial legislation. Capital is timid and selfish,
and at the same time is influential and it has
been said (by Senator Sprague) that nothing is
meaner than one million of dollars except two
millions. The circulation enjoyed by the
banks is valuable privilege, AT to protect it
they will overlook every consideration of pub
lie good.
The evils of such special favcrs do not end
with the banks, for to secure and perpetuate
favorable legislation for themselves hey must
not oppose Legislation for the benefi of other
interests; so, Legislation becomes a matter of
special favor to various interests, and not for
the general good. Therefore, the sooner Con-
gress is relieved of this insidious and baneful
influence the better.
We have at this session of Congress ample
aN-i6anaa of tho hopafuI of loJ
by the supposed interests r led by those
who have Sc fish interests to uphold. The
men outside of Congress who have rendered
their advice, and whose suggestions will prob
ably be followed, have intere is in national
banks, and wish to be protected in the privil-
eyes they now enjoy; and the mistake that
many congressn, en- make, no doubt honestly.
is in treating the interests of the banks as the
public interests, whilr, in fact, the public has
no interest in them other than to divest them,
as soon as practicable, of the power or privil-
eye of issuing money. But giving to con-
gressmen full credit for honesty and the best
intentions, it is, after all, pitiable to see how
little comprehension they bring to the consid-
Grafton of financial questions. They seem to
be trying how not to do it. They appear to
be In middle, or else they are determined
to keep matters in muddle, and we really
cam make up our mind which. 1t is hard
to believe that they are so much at loss as
they appear to be, and yet is equally past
belief that they desire to do wrong on ques-
lions of finance, for upon questions outside Of
cir duties as congressman, they are certain.
ly equal to the average of business men in
ability and honesty
We have come to the conclusion that in thi,
matter of finance their appare. t want of fore
sight comes from the fact that in all UGH mat
tiers they yield their convictions to the ews
of supposed experts, such as the officers
stockholders and attorneys of the national
banks in their several districts.
Now the banks have a valuable privilege te
maintain and protect, every one oe them re-
ceiving an annual bonus from government OF
more than per cent. on their entire capital
over and above all national taxation, for fur
nlshlng circulating medium for the country
which is printed and renewed at the expense
of government, AMI which is no better thar
greenback and amounting in the aggregate
to an ANIMAL net bonus to the stockholders ot
the national banks of over 15,OOO 600. Al
the same time government is obliged to main
tain more complicated and expensive system
than would be required if the government is
sued the entire currency of the nation. Sen
slble and honest men out of Congress ash
why this is done, when the nation so much
needs the $15,000,0 900 annually to pay current
expenses? OF ou' senators and representa-
tives, each proposes different remedy 70,
financial evils and an empty treasury. One
wants more "greenbacks !" another nationa
bank notes another demands specie paw
ments on q day to be fixed by Congress: an