Butler citizen. [volume] (Butler, Pa.) 1877-1922, 1880-10-20
PA, WEDNESDAY. OCTOBER 90. 1880

paper money it cannot redeem from
a want of ability, or repudiates
or authorizes institutions to issue, sucl
men will reject it, and theories cannot
save it, for practical individual interes
shrinks from what it cannot use-tht
instincts and practices of men confound
all ideas running counter to them.
The coin of this country has never
been sufficient for the business to say
nothing of its Inconvenience and risk
Of its transfer between distant places
Representative money has always ex
listed. Now the practical question foI
every voter at the next election is
what party has given to the people
and will continue to give them i
sound currency, equal in value to coin
current everywhere enabling every
citizen to reach his best market near OF
remote; and to bring home the pro.
ceeds of business without loss, or the
fear of it,
THE BANKING SYSTEM.
Here again we must attend to lessons
of the past, for it is only by them we
can foretell the future Fifty years
ago the only representative money
was the notes of the state banks and
the Bank of the United States. The
former We're limited in their circula-
tion to the narrow areas of their credit
that is where they were known, and
were subject to frequent depreciation
and even total loss. But the Bank of
the United States being created as a
government fiscal agent to receive,
transmit and pay out the public
moneys, and its issues being founded
on an actual cash capital, its notes
were current everywhere. They were
then the only representative ma
tiOnal currency. The Democratic
party broke down this only form of a
national issue, and transferred the
public moneys to the state banks in
1888. Now, whether the refusal to
charter the Bank of the United States
was right or wrong, is not my point.
Men may think which way they please.
My point is this, that that party gave
the people no other form of national
currency. They left men whose mar
ket was distant no currency they
could bring home and use in their
business. The consequence of this
Democratic dereliction is we'll known.
The state banks. overfowing with
large public deposits, used them by
issuing their own notes. Then came,
first imitation, next speculation then
embarrassment, and finally the sus,
pension and innumerable broken banks
in 1887.
The next Democratic measure was
to provide for keeping the public
moneys in the vaults of the govern
ment-its sub-treasuries. In itself this
was not Objectionable, but no provision
was made for the people, and they
were left without any national cur.
rency good at all points. 1t was the
old thing, every man for himself, and
the devil take the hindmost.
When the country began to recover
under the protective tariff of 1912, and
the state banks began to rise again,
wild cat and local issues inundated the
country, without regulating hand OF
controlling power
The natural consequences followed,
and again came initiation and specula.
tion and the explosion of 1857. Sc
much for the Democratic mode oi
taking care of the people.
In 1861 a change came The Re.
publican party took the reins of gov
ernment, but found itself confronted by
secession and south in arms. War
/ followed, and its consequent destruc
ton, loss, and tremendous debt. But
the Republican party was equal to the
crisis 1t defended the Union, waged
q successful war against rebellion, and
gave to the people two forms Of
national currency, which. while they
afforded the means to preserve the
Union, supplied want the Democratic
party had never filled. These two
/ forms-governmentn notes and the notes
of national banks based on the ma
| tional credit-now constitute a cur
rency so sound that they prevail every
where without suspicion or doubt
giving the people representative money,
good in every state in the Union and
now under careful Republican manage
ment equal in value to gold or silver
coin. Being above doubt they are
accepted by individuals everywhere as
a true equivalent of their property OF
labor The real value and national
character of these forms of general
currency are proved by their constant
appreciation in the face of over pro.
daction, final suspension in 1873 and
bankruptcy among the people, brought
on as the consequences of the war
There is not spot on this broad land
where this national representative
money is not equal to coin, and is not
accepted by men of all persuasions, in
dustries, and parties.
Even the Democrat uses it without
doubt or suspicion"