The Douglas independent. [volume] (Roseburg, Or.) 187?-1885, 1878-12-21

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policy for the present to limit the aggre-
gate issue of silver dollars, based on the
ratio of sixteen to one, to such sums as
can clearly be maintained at par with
gold, when that ratio should be adopted,
and our coins made to conform to It;
and the secretary respectfully recon-
| mends that he be authorized to discon-
tinue the coinage Of the silver dollar
when the amount outstanding shall ex-
ceed $50, 600, 900.
NATIONAL BANKS.
This system of banks, though Of recent
growth and adopted as an experiment
amid the necessities developed BY the
civil war, has, under wise management,
become the most important business
agency in the country Though still
under trial and subject at all times to the
discretion Of Congress to discontinue and
limit its existence and operations, itmay
be fairly claimed, as already established
by experiment, that the system possesses
certain advantages over any heretofore
existing IN the country, and possibly
only with national system
l. The security Of the bilI-holder
from loss through the failure of the
bank.
2. The rapidity and certainty of the
detection and prevention of coun terfeit-
ing, from the fact that the notes are en-
grared, printed and redeemed at the
treasury department.
g. The frequent and careful exanina-
ton of the banks, and the publication of
the detailed statements Of their condi-
tion.
A. Uniformity and free regulation OF
the notes throughout the United States,
without respect to the place Of their
issue
5. The admirable provisions by which
failing banks are placed in liquidation,
and their assets cheaply and promptly
applied to the payment of creditors.
These and other advantages derived
to the public from a national system Of
banks. over State system seem to to be
fully demonstrated, and, though irksome
and apparently hard to the banks, are
benefit and security to the stockholders
and a safeguard to the public
The only franchise conferred by this
system that cannot be freely enjoyed by
private bankers under State law is the
power to issue circulating notes. This,
it is conceded, is franchise conferred
by the government, but it is not In the
nature of a monopoly. It may be exer-
cised by any five persons who have the
means and will comply with the prcvis-
ions of the law.
Whether the power to issue circulat-
ing notes should be granted to private
corporations or be exercised only by the
government is purely question of pub
lie policy and public interest. In be-
half of a circulation issued by the gov
ernment, it is claimed that the interest
is saved to the public on the full amount
of the notes issued. To this it is re-
piled that the issue of such notes neces-
sarily involves their redemption in coin,
and this can be secured only by coin re-
serves and the ordinary machinery of
banks. II the banks issue notes they
expect to derive profit from their> loan,
but this profit is diminished by the bur
den of redemption, by the large taxes
imposed upon the franchise, and by the
risk always incident to the issue of cir
culating notes. These are considerations
which will no doubt enter into the ques-
ton of the permanency of the national
banking system: but as the bsnks of
this system are each organized under the
law for twenty years, and none of them
expire until June, 1883, it is respect
fully submitted that it is good policy to
continue the experiment until that date,
when the public mind viii be better
prepared to consider the questions in
volved.