Grant County herald. [volume] (Lancaster, Wis.) 1850-1968, 1879-03-13
George G. Hazelton.s Speech.

S ot-oh"i Douno, uciitoEou Ill OOu-
gress December 22d, is rather long
tor reprint in full. We give below a
synopsis in which we have endeavored
to present every point in the speech,
but necessarily without its fullness
and the verbatim citations with which
it abounds, from the fathers and
learned Statesmen. Mr.. Hazelton
said
There was bill before the House
to repeal the Resumption act. The
object was to break down Resump-
ton. Mr.. Ewing said last year that
Resumption never would take place.
1t has taken place. The banking
system is a part of the machinery
adopted during the war for the Union
and is the only part of that machinery
not admitted to be so impregnally for
tilted by both argument and events
as to defy attack. The banking sys.
tenn 10 threatened. We are threat
ened with return to the use Of depre.
ciated paper. 1t is not wise to dis
turb existing institutions unless shown
to be vicious or we can replace them
with something better. There is no
sufficient reason for abolishing a sys.
tenn 80 well proved to have good ef.
feet, to experiment with theories re-
futed by experiment and supported
only in the imaginations of visionary
authors. The purpose of the attack
is not to improve our currency but to
arouse passions and make political
capital.
The most enlightened nations have
tested the utility of national banks
England, France, Germany. Eng
lands experience Of 200 years she
woald under nocircumstances abandon
France often repeated experiments
and untold disaster with government
paper organized national bank and
for seventy years has found it sound
and reliable and to the Government
and to trade and industry. The Bank
of Germany is regarded by the people,
in its influence on the welfare of the
country, as second only to the Gov.
eminent itself. Such facts ought to
have great weight. The general util.
ity Of national banks in those coun-
tries is no longer disputed. 1t will
be an suspicious day when Congress
shall cease to treat our financial sys-
tenn as a political football and permit
it to remain in the form approved by
experience and by the most eminent
statesmen of the world. Our own
experience and the sentiments Of our
present and greatest statesmen are
before those Of the monarchies, an
opinion supported by Sedgwick in
Doc. His. of the Bank of u. S., page
So. -Four times has this country 10
emergency resorted to banks and each
time found reliable relief.
In 1870, the darkest days of the
Revolution, the Bank OF North Amer
lea, created by an ordinance Of the
Continental Congress, when the credit
OF the Colonies was exhausted, fur
nished, with the assistance OF Robert
Norris, means to obtain supplies for
the last campaign of the war. After
the organization CT our present gov
eminent Alexander Hamilton, in 1890,
reported plan for a national bank
aud spoke in strong terms of the util-
ity of banks in general. The want of
the times was circulating medium.
Hamilton favored the organization Of
banks with authority to issue notes Of
circulation, in preference to govern.
ment issues. In the case of govern.
ment issues there is no standard as to
quantity of circulation. With bank
issues payable in coin s.the demand
sued than is necessary it will return
upon the bank. Hamilton's plan
passed Congress by large majorities,
and was opposed by only one eminent
man, Madison, because he thought
the Constitution did not give author
ity to create corporations and because
the bank notes would tend to drive
out gold. Mr.. Madison changed his
views and in 1916, as President, APP.
proved the bill Incorporating the Sec
ond U. S. Bank. Washington was
President in 1871. When the bank
act came before him he called upon
the able men of his Cabinet to express
their opinions. After thorough con.
sideration he approved it. thus ex-
pressing his opinion of its general util-
ity and constitutionality. The bank
existed twenty years when its charter
expired. Its notes were always at
par in all parts of the country. The
next year the war of 1912 CAME
There was no reliable support to the
public credit. State banks failed and
government and people were reduced
to the greatest financial straits. A
reliable institution such as the expired
bank would have saved the people so
per cent. and from much suffering.
In 1914 Alexander Dallas, Score.
tary of the Treasury, reported the
then deplorable financial condition of
the country to Congress and urged
the immediate organization of a ma
tional bank. Congress passed char
ter which on technical grounds Madi-
son vetoed. Another was passed with
those objections removed. Immedi.
ately after the organization of the
bank specie payments were resumed
and maintained till after the expira.
ton of its charter in 1896. No period
OF our history was more prosperous.
Jackson became President and
made war upon this bank. The bill
to recbarter the bank passed by con.
siderable majorities in both Houses of
Congress but was vetoed by the Pres.
ident, and the bank compelled to close
in 1886. The President had preyi.
ously ordered the removal of the pub.
lie deposits to selected State banks.-|
The deposits by this time amounted
to $49, 100000. Speculation was thus
stimulated and the we'll remembered
crash of 1897 followed. With nearly
$50,00o,000 standing in these banks
to its credit the Government could
not obtain money to pay its ordinary
expenses. In this emergency Presi-
dent Van Buren, called an extra ses.
sion OF Congress-. In times of pro.