The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1884-08-21
THE BANKERs.


y Gage, of Chicago, who delivered the
lie inaugural address. Among the prom.
y. inent points in the address was the
1t following in relations to panics:
e Large Questions in our national
l. finances remain to be settled. Cues
l. lions touching at vital point every
q industrial interest, and affecting by
e their sympathetic but powerful ac-
e ton our own future well-being. The
u national debt, taxation, coinage laws,
: the currency of the future; bankrupt
+ cy legislation; these are a few of the
subjects upon which we should gain
y wise and just views, and to procure
: the proper settlement of which our Ju-
{ dicious infiueIce should be eXerted.
J, AT present we meet i'll the midst of
j some of the most inter, sting and most
e important phenomena of finance, the
e result of what is popularity known as
D d panic. a panic is possible at any
f time. 1t means an unreasonable fear
J, amongst a great mass of people.
| At such times men doubt everything.
: They distrust their own judg-
2 ment, and refuse to act; or if they
act, it is in wild and unreason-
: able manner. Your memories are yet
2 alive with the financial panic of May
last. The causes which led up to it,
the course and range of its action, the
results which have followed and will
fellow; must excite our deepest inter-
est. A proper understanding of it's
causes will suggest valuable safes
guards for the future. Its course OF
; action, If fairly recorded, would be-
, come most valuable reference in
similar periods hereafter. 70 COM
prehend its full and final effects is
important to us all. AS the physi-
clan is called upon in ordinary perl
DDS to deal with ordinary troubleS,b but
must be prepared in times of epidemic
to deal wisely with extraordinary
cases, to which he is not accustomed,
SO we, dealing with the body polite
must he ready to act well not only in
affairs, out also in the extra
ordinary periods, when mems fears
and unreason are epidemic. Upon our
wise action in such emergencies, our
own safety and the material welfare.
of the whole people largely depend,
A panic is an agent of destruction.
Left to run its course, like confagra-
iOn, it will cease only when all it
feeds on is destroyed. With approved |
engines, we put out incipient fires |
With improved guards, we have |
brought down the percentage OF steam
boiler explosions to practical nullity. |
Dynamite is transferred in safety |
from one end of the country to the
other, to do useful work in quarry and
mine. Electricity lies under control,
and lights of 10000 candle power
turn night into day.
Shall we now admit that in the
realm of banking and finance higher
degree Of perfection cannot be
reached? Our conqueSts in ether
fields are sufficient Affirmation that
we shall not fail in this"
Secretary Marsland read resolutions
submitted by the executive council
as follows:
Resolved, It is the sense of the
American bankers association that
the coinage of standard silver dollars
Of 41215 grains Is against the welfare
of the country, and recommends to
congress a discontinuance OF such
coinage.
A committee of three was appointed
to invite Hon. William Groesbeck to
speak upon the question.
Mr.. Groesbeck, of Cincinnati, re-
sponded: He favored bl-metalic
currency, and went on to show that,
for centuries, gold and silver had been
of equal value as currency. The change
took place in 1871 or 1872. What had
been done in the past could be done in
the future. 1t might be impossible
for one country to carry gold and sill
yer alone for its cur
rency, and he favored, un-
der present conditions; the super
vision of silver coinage in the United
States until other nations took action
on the subject.
A vote of thanks was extended to :
Mr., Groesbeck, and the following res !
olutions adopted:
Resolved, That, in view of the fact
that the articles of association OF the
national banks of the country are rap
idly expiring without sufficient in
ducement for reviving them, owing
to the constantly diminishing amount
and high prices of government bonds
upon which the bank circulation is
based, thus threatens serious cur
tailment of the currency of the coun-
try, and since the bank note circula
ton absolutely secured aud issued
under an ample safeguard for
its redemption on demand in
coin, is necessary for the convenient
transaction of the business OF the
country, and such condition can be
best provided through the continued
operation of the national bank asSO-
citation, as has been atteSted by the
events of the last two years, the atten-
ton of the congress OF the United
States be urgently called to the neces-
sity of immediate legislation to meet
he emergency.
Judge Poland, of Utah Territory,
one of the committee on commercial
paper, made some remarks on the
subject of commercial paper. He said
this is an important part and factor
of all commerce. So far, as negotiable
paper was connected with trade, con-
gresS has full jurisdiction over it. He
thought the bill went further than
congress has power to go.
Congress should be asked to pass a
law defining the eXteut to which con-
gress has Jurisdiction of the matter of
national banks. Referred to the exc
cutive committee to press matter to
action.
Secretary Marsland then read
paper on the banking and currency
system in it's relation to the business
of the country, furnished by Hon.
Hugh McCulloch, who was unable to
be present.
MI. B. B. Comegys, of Philadelphia,
presented paper upon the conditions
of safe banking.
Mr.. w. A. st. John, of New York,
presented the Potter refunding bill.
It proposes to refund the existing pub
lie debt into 211s per cents. by means
acceptable to government creditors
and certainly advantageous to the
government; the 21a per cents. to be
offered in exchange for per cents.
are to be payable at the pleasure of
the United States, and exchange to
be made at par; the ~ per cents. to
issue in exchange for per cents, to
be payable at the pleasure of the
United States after A. D. 1907; the
| 215 per cents. to issue for the AZ per |
cents. payable after September,
the tax on the circulation to
duced one-half, and hereafter tn
plus moneys shall be applied to either
| the calling of the bonds or the pur- |
chase of those not due. This will effect |
the greater saving of interest to the !
government. The plan of exchange |
of per cents and ~ per cents is by
the government payment of such a
sum in cash, in each case, as will
equal the present worth of the aggre-
| oota iptarost of the utilization from