River Falls journal. [volume] (River Falls, Pierce County, Wis.) 1872-2019, 1879-10-02

tate TO take a national bank note as good,
I no matter whether the bank whose name 1t
bears is located in Texas or Massachusetts,,
in New York or in Oregon? Never. The
national bank note is, therefore, not only
better and safer bank currency than we
ever had in this country, but as good and
safe as exists in any other.
SAFETY AND UNIFORMITY.
In point of safety ana uniformity of value
the greenback certainly does not excel it.
But in another respect the national bank
note is, as a paper currency, vastly prefer
able to the greenback. The volume of gov.
eminent paper money must necessarily be
determined by law; that is, in our case, by
the opinion of a majority of congress, the
executive concurring. Once so determined
it remains fixed and rigid, no matter wheth-
er the business of the country demands
more or less currency than is out, until at
another legislative session it can be changed,
end then IL remains fixed and rigid again.
For il can not be assumed that the exec
utive would be intrusted with the discre-
tionary power TO contract and expand it at
pleasure. 1t is not necessary to discuss
how this would work with such a paper
currency if convertible into coin, for as
have shown, the plan of the Ohio
Democracy tends clearly and newt
ably to make our greenbacks in-
convertible again. Now imagine what the
consequences would be if the fnsnciers of
the "Ohio idea" school were in possession
of the government and intrusted with the
power to determine according to their no.
tons how much money the country is to
have in circulation from time to time. But
even under more propitious circumstances
the volume of the currency would depend
upon the fiat of politicians, and, therefore,
be more or less exposed to the action of mo-
tiyes and influences foreign to the business
interests of the country. 1t would constant
ly remain the subject of uncertainty and
agitation; and, as every sensible man
knows, such uncertainty and agitation can
never fail to be highly prejudicial to that
confidence which is necessary for the sue
cessful conduct OF business.
1t is not so with national banks notes
The volume OF these bank notes, under a
sufficiently strict system of redemption,
will ad just itself to the fuctuating demands
of business without the interference of the
/ government. When more is wanted, the
banks will find it profitable to issue more.
1 When there is an excess, it will flow back
upon the banks for reduction. The gentle
men Of the Ewing persuasion need not in.
I dulge in the foolish fear that the banks
! viii try to make money by unnecessary,
artificial and ruinous contraction, for it is
/ the contrary, the tendency will rather be
in the opposite direction, and it will require
very strict and reliable system of
redemption to restrain that tenden-
I cy. But with such system our
national bank currency will be entirely
/ self-adJusting; it will be reliably governed
! by the wants of trade, and, therefore, the
best currency for the general interest of
business. And this is the bank currency the
i
want to destroy it because, as they say, it
costs ten millions year. The regulator in
q steam engine costs something. You can
save a few dollars in buying an engine
without regulator; but only a foolish man
will forget that the regulator will save
hundred times its cost in the working of
the machine.
The constant and mischievous agitation
of the Ohio school of Democrats for the de
struction of the national bank currency
and the substitution of greenbacks may,
however, serve one good purpose. 1t will
at last convice every sensible man, that, as
long as a government paper currency ex-
| lists, the agitation for an expansion of that
currency will never cease 10 disturb the
public mind, to thresten the maintenance
of specie payments, to endaDger the public
credit and to undermine that foundstio on
upon which alone the business of the coun-
try can safely stand "a sound monetary
system. 1t will at last convince even that
class of wellmesning men, who, al
though in favor of honest money
have been affected by that sentiment.
al Idolatry of the greenbsck which has con.
fused SO many minds, that, after all, under
our constitution, ss in every well-regulated
poIi:y, it is not a legitimate function of the
government to be a bank of issue; that in
the public interest it is necessary to take
the volume of the currency out of politics;
that it is the business of the country to coin
real money and not to print notes; to see
that the coin struck in the minis be of the
standard value to prevent and punish
counterfsiting to regulate the banking sys-
tenn by law so as to make it safe; to act as
bank comptroller so as to keep it safe,-and.
as for the rest, to let currency and trade in
their relations take care of thems selves with
out arbitrarily interfering with either.