The state rights democrat. [volume] (Albany, Linn County, Oregon) 1865-1900, 1881-09-02
ksam the iourne II commerce.
TIL. staxDaNIA HAMA ~ Tssk IMAM
taaa sIruAtsue.

w were both snrprisetl and pleased
II the stanl taken BY the Bank Il Cal
iforma on tie ilnancial question sllr>
prised because experiences has shown
US tint institutions Of that character
are usually conservative, to the 'ex-
treme Of even suffering inconvenience,
SCORER than venture, on the, 70 then,
untriea. We are pleased hecsase the
views Of those advocated by the .faar-
aai of Commerce; because for loag
time we estooa alone in their advecacy,
and that now the oldest and one Of ,le
leading banks amongst Us should sive
the stamp of its approval to them. IL
looks to the gradual extinction ef the
National BAnking system from NATURAL
causes goes in for free banking "a di.
rect issue OF paper money, based en-
specie, by the government, and tie
issue of silver notes 1t says:
ct may be set down as an inc m
erovertible proposition that the future
currency of the country will consist, as
in the past, of coin aud paper. We
take it that the coin currency viii be
composed of the same metals as now.
They are naturally adapted to the
fields they occupy, and any attempt to
reverse them can only result disas-
treusly. The gold is needed in the
settlement of large balances whenever
coin is required, and silver can never
successfully take its place ON account
of its greater bulk. Silver is needed
in the smaller transactions of every
day trade, where it is really more con-
venient than gold. The small coins
must of necessity be OF cheap metal,
and the present alloy probably answers
the case as well as any other. The
coinage of gold should continue tree as
now, and the coinage of subsidiary or
token coins should forever remain nm.
der the control of the Government
And again, it ttkes ground directly
against the issne OF paper money, ey-
cept by the government:
Eve maintain that the Government
should alone issne this paper. 1t
should he issued only against
deposits of specie. IL can safely issue
800, ,0g0, 900 for every SO, 200. 900 of
specie. The true solution of the sill
yer question is FOR the Government to
take the ingots from tho mines at their
commercial value and Issue notes
against the same, receivable for all
debts public and private and radeem-
able in gold coiu at the option Of
the holder Specie is the only true IS
sue for paper issue, and no better basis
is known. The silver mining interest
is peculiarly American-that Is, 70 na.
ton has an interest of the kind of snch
large magnitude. Il deserves TO be fos.
terel to the extent named. Il is n
safe proposition for thu Government,
as silver viii ever have nj internation-
al commercial value equal to the aver
age price paid for it. Something will
have to be substituted as bssis q
circulation for the United States bonds
50 rapidly being Cancelled, and silver
is just the thing neetled. Il il al
ways saleablc. and can at any time he
converted into gold to make good aag
decrease in the Government reserve d
| that nature.
It takes ground against tie existing
bank taxation. whica IL praetic,lly
useless as a financial MEASURE. aasl
ought to be abolished.
It's a hopeful siga ef the times 10
lind a great organization ike the hank
of California taking such stanl, and
We hope that all our b.nks viii al IN
to line, and agitate until such sys-
TEN shall be that Of tl.e cotlatry.