The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1879-06-25
i WHAT WE NEED.


those. tributary to New Orleans. It's first
enactments provide for the issue OF wen 80
cured circulating medium, and Tor loans upon
real estate. We all know how Louisiana ana
her sister States, and how New Orleans
tiourished when that law was In full and TN
restrained operation. The national banking
law paralyzed this State law BY imposing an
unconstitutional tax OF 10 per cent on the
circulation Of State banks, and then pro-
ceeded practically to crush the agricultural
prosperity Of the country by prohibiting the
national banks, to which we're given the mo-
nopoly Of banking, from lending dollar On
real estate.
Were The 10 per cont tax on State bank cir
culation repealed tomorrow by Congress the
State banks of Louisiana, which for years up
held the planting interest Of the Southwest,
would resume the issue Of currency as sale
and sound as United States treasury notes,
and through which new life would be given to
our agricultural districts and the trade OF
this city. The Importance Of this measure. or
substitute for II, at this time, must be evil
dent to every observing mind.
For years our trade, even with portions Of
our own State has been drifting off to st.
Louis and the East That Of Texas, North
Mississippi and Arkansas has almost entirely
deserted US. Railroad connections with
Houston and Shreveport will place Us very
soon In position to compete with st. Louis
and the East for the trade Of Arkansas and
Texas, while our present rail connections give
us fair chance for the trade of the South
west east OF the Mississippi.
But this is not sufficient. To reap the
benefits Of these railroads and bind these vast
and opulent regions to us we must make
New Orleans what ii was before the war-a
great money center. But how are we to do
thig2 The Federal law has paralyzed our
State banks, and subjected New Orleans and
the whole Southwes to commercial vassalage
to New York or to other great cities which
can control capital through the national
banks.
The money power in Congresses too power
full for us to hope for the repeal, at this time,
Of the 10 per cent tax on State bank circula-
ton. Indeed. so far as the Federal govern
ment Is concerned, we must expect, for gen
Grafton yet, to be dominated by the money
power OF the East; to submit to the tyranny
OF the national banks; to be the commercial
vassals Of New York, and to see the trade Of
our people carried to and their interests con-
trolled BY the East.
But Is there no escape2 Have we no remedy
In our hands2 We have at present iii session
In this city Constitutional Convention, and
1t liz composed OF representative men from
every portion OF Louisiana. The highest duty
OF that Convention Is, II 1t be possible. to find
q remedy for this evil. And the remedy IL
plain, easy, effective and simple. r only re-
quires ordinary sagacity to See It, and the
courage to facea temporary clamor to adopt
1t.
I To remedy this evil; to throttle the national
banking law; to make New Orleans once
more the great money center Of the South
west; to once more place It In the power Of
our free banks and merchants to give effect
i've aid to the agriculturists OF four or five
States; to do all these things is a quite easy
and simple matter. How7 ask the country
members Of the Convention; we say country
members because they or their constituencies
are most deeply interested In the question.
We answer by practically restoring our free
banking system. But again the country dele
gate asks: How? This is our reply: 1. It Is
essential that the credit OF the State shall be
maintained by the Convention accepting and
declaring that the State will pay the debt
as 1t now stands adjusted at 8 and per cent
| interest.
Q. This done, an ordinance should be
adopted providing for the refunding Of the
debt at the option OF the holders, into cur
rency bonds OF the denominations Of five, ten,
\ twenty and fifty dollar bonds
! These bonds, bearing four per cent interest,
and OF the size OF greenbacks would readily
pass into general circulation. Should the
Convention accept the body OF the
debt. confidence tn them would be
established at the outset, and
on the payment Of the first installment Of
the interest they would go up to par. The
circulation of our State banks was formerly
based largely on State bonds. The CONVEX
sion Of these bonds into currency will be as
safe and reliable circulating medium as the
notes for which they formerly constituted the
security, and at the same time we can By
\ their issue evade and virtually nullify The
unjust and tyrannical 10 per cent tax or
State bank circulation.
We're this policy In relation to the deb
adopted by our Convention, the evils Of con
traction and the wrong Of the national bank
system would be remedied In this section O.
the Union; the debt Of Louisiana made tt
her people benefit as well as burden, ane
New Orleans given a power to clutch tht
benefits Of her rapidly extending railroad
system, and make herself once more ths
benefactress and beneficiary Of the trade ane
agriculture OF the Southwest.
What say our friends In the Convention tx
this scheme?
PRAYERS AND PENCE.