Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1879-08-08

Onlteu 6tates. .4sHO x2Uo,5oI,63A Sly2A1siSA,SoJ
In speaking of taxation of the banks and
bankers, the comptroller said one of the evil
results of the system has been to largely in
crease the rates of interest III the rural dis
tricts and thus place its burden upon the
people who, OF all others, are least able to
bear it, Bank take, State and national,
nave ben most arbitrary and. unjust
in many Gases, resulting in the col
lection Of twice or turee times the amount
imposed upon other capital, while the law
provides it shall be exactly The same. Its
evil effects are seen in the rapid reduction
Of capital which has taken place. repeal
of the tax upon deposits should ling ago
have been reached; and if carefully prepared
tables and sound arguments in favor of such
repeal, which have SO frequently been pre-
sented by this association, had received the
favorable consideration from Congress to
which It is believed they are entitled, it
would have long since been accomplished.
Why then has not decided legislation been
Obtained? The sole and only reasons are
the following:
First, the income from the tax has been
needed by the government.
Second, an unreasonable prejudice existed
against the banks. The first named reason
has an abundant answer in $4,000 900
saved to the government the last two years,
though largely at the expense of the banks
who were large holders of United States
bonds.
Prejudice against the banks in this coun-
try has undoubtedly arisen from the losses
sustain. by the people IN former years,
upon the circulating notes of those institu
tisns, but the present generation of young
men have not experienced such losses and
reasons for this prejudice must be looked
for elsewhere. The refusal to loan money
except upon the best security may account
largely for the prejudice against the banks as
a class, but when good times come and peo-
pie generally are prosperous, this preju-
dice ceases to large extent. Holders of
bonds bearing four per cent. interest can
hardly be called ''bloated gold bugs" who
loan money at from two to four per cent.
per annum. Can't we'll be termed smoney
sharks look for a change of opinion
among the people in reference to
bonds and the bankers who
have survived the evil terms through
which you all have passed. If the people
change their minds the minds of the men,
bers of Congress will also change, so that I
feel quite certain the tax upon deposits will
be repealed by the next Congress.
The comptroller referring to resumption,
said: Every citizen feels proud of the late
achievements of the treasury department..
No nation ever before within 100 days sold
$23, 537 100000 of bonds at SO low rate of
interest as per cent. No nation ever be-
fore in 100 days made saving of eight mil
lions upon the public debt. No nation ever
before resumed specie payments with six
hundred and sixtyeight or six hundred and
seventy millions OF paper money in circula-
ton. Never before have any people evinced
such unbounded faith in the credit of the
nation as have the American people during
the last six months. A man can't be found
in all this land, who, since resumption of
specie payments has demanded dollar
of coin because he lacked faith
in issues of country or of the banks. The
amount of gold coin in the treasury and in
bank is to- day greater than on the day of
resumption. The reasury has redeemed
nearly $12O,00O,OOO of United States bonds
with legal tender notes, and not dollar of
com has been demanded in payment.
The comptroller then told the story of the
authorship Of the section In the, coinage act
of 1873 which discontinued the coinage of
silver dollars. He said the coinage act of
registered in the form of statute what had
really been the unwrltten law of the land
for nearly 40 years. In my opinion there ia
not properly any such thing as double
standard. That which is called SO is simply
the alternative standard, silver circulating to
the exclusion of gold.