The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1891-12-03
MONEY AND FINANCE.
Unusual Increase in Number of
National Banks.
THE CAUSE OF THE sTRINoENcY
Circulation Per Capita IL S24.3S-Re-
dactfon of Rsvenues-Decreass
OF Public Debt.

WARRINGTON CITY, Dec. The annual report
of Comptroller of the Currency Lacey shows
that during the year ending october 81 1873 new
banking associations were organized, with an
aggregate capital of $50, 200. thus exhibiting
agrowth largely In excess OF the annual average
OF past years. Forty-one associations went into
voluntary liquidation, and twenty i've became
insotveut, leaving net gain for the twelve
months OF I27, with capital OF $l2,55S,0oo The
number of banks in operation is 1854, having
capital stock of 1854, 755.345. The bonds de-
posted to secure circulation amount to
$l52,li3.s50. Bank notes outstanding amount to
Sill 6s,S9S, including s33, 1921 represented
by lawful money deposited for their
demption OF the new associations
ninety nine are located west of the
Mississippi river and ninety-fve in the
Southern states. The increase is well dtstrib-
uted, however. New banks have been organ
lied in forty-one states. In the number of fall
ures the present number exceeds any previous
year. Six banks which were closed during the
year were restored by the voluntary contribu-
tions of shareholders. The affairs of 102 insol.
vent banks have been closed at an average ex-
pense of us per cent, with average divi-
dend to creditors of 7417 per cent. Attention
Is called to the necessity of legislation more
clearly defining the duties OF directors; also 10
the need of some further restriction upon ac-
commodations which may be lawfully afforded
to officers and directors by way OF loans and
discounts
The comptroller discusses the causes of the
monetary stringeneyo. 1890 and the issue OF clear
ing house loan certificates III New York, Phil
adelphia and Boston. Theisilures recorded are
looked upon as the result of the collapse of the
speculative spirit which had been generally
prevalent for the past five years, greatly aggra-
waited by monetary stringencies experienced by
most of the nations with which we sustain com.
mercial relations
statement prepared by the treasury depart
ment shows there has been net increase of
1909 in circulation since November l. The
circulation per capita in December is stated at
s243S.
Treasurer OF the United States Nebecker has
submitted his annual report to Secretary Foster
The ordinary revenues of the government for
the past fiscal year were 1892 A., AZ, $40, 1885,
53o less than the year before. The net ordinary
expenditures, exclusive of the amounts paid in
premiums on bonds purchased, were 1888
6S4, an increase of s57 636,l9S. The surplus rev.
enues were thus cut down from sl0J 344, 496 to
s31,239 762. which last sum applied 10 the re-
duction of the public debt. The postal reven-
ues amounted to SCI, 762, 90s, and the expendi-
lures to S72,067 $780, an increase of about s. 900
on both Sides The reduction effected during
the year in the principal of the bonded debt
and circulating notes which cannot be reissued
amounted to SIG, 49, and required an ex-
penditure OF Si26,99l, 493 including premiums
on bonds purchased. This sum was made UP
by taking ss9,75l,7Sl from the reserve in the
treasury. in addition to the surplus revenues of
the year. The consequent reduction in the an
nual interest charge was s4,432,092.
According to revised figures the amount of
money in the country on June &c. exclusive of
certificates In circulation for which the treas
urer held deposits, was sl,676,0 ,102, OF which
ss0,4l2,019 belonged to the treasury and 81 ,495,-
660,0S3 was in circulation. There was a net loss
CT s49,00OoJ0 OF gold, net gain of upward of
600 of other money land q consequent con-
traction of about 49, 900 in the whole volume
The treasurer computes that during the past
ten years there has been an average increase of
s52,20O,000 from the end of June TO December
In the amount OF money actually in circulation,
followed by an average decrease of s14, 10000
from the end of December TO the end OF June.
The increase realized in the past year has been
nearly double this average OF $3S, 600 900, and in
the last two the average has been exceeded by
$43,O00c00. An unusually large amount of notes
OF small denominations has been sent out to the
West and South since July /, chiefly from de-
posts in the sub-treasury in New York. The
aggregate up to the middle of Novem Der reached
upward OF s49.09000o, as against Sol, 000, 900 for
the whole OF the preceding year.
measurable improvement in the condition
of coinage, particularly silver, has been effected
nearly $l,000000 of uncurrent coins in the
treasury having been restored to full weight
AS result of this aud some special efforts in
other directions the amount of fractional silver
in the treasury las been much reduced. Many
inquiries for silver specify new coins. 1t is be-
lieved that but for the prejudice against all
coins showing any signs OF wear the treasury
would long since have been relieved OF good
portion of its load of fractional silver The
treasurer points out that this prejudice in
the of silver coins is altogether
groundless, since they derive their currency
not from weight but from the stamp of the
mint, and are received at the treasury for full
l1.- -
provided the loss of metal is due to natural
causes.
Nearly SCI, COO of national bank notes were
redeemed, an amount much above the average
The deposits of new 2 per cents exceeded the
Withdrawals of Old bonds, and there was an