Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1891-09-06
me Circulation.

The Circulation.
That was an interesting statement which
we published yesterday from the Secretary
Of tho Treasury In regard to the amount
OF currency which was In circulation IN
this country q the dates mentioned by
him. A good many Of the most interesting
OF those facts were used by us In the
Grccnback campaign OF 1878. After learn
ing automatically tho amount of currency
which was In circulation In the United
States In the year 1867 Ct was, we think
wo could never be brought to concern
ourselves greatly % to the amount OF
currency per capita which hos since ct any
given date been the sum total In circulation.
There is another important fact which We
have endeavorsd to impress upon the pub
lilo. but which has not commanded the at
tention IL overwhelmingly, that II the
circulation amounts to fifteen hundred
millions OF dollars when 1t Is all used, or
supposed to be used, only once day, Its
amount may be increased to three thou
sand millions Of dollars by supposing the
whole Of 1t to be used twice day. Again,
official statements Of the Secretary of the
Treasury obtained by him from all the ma
tional banks show that IS per cent OF the
business Of the country Is done by the aid
of checks, drafts. 90, and not by the use Of
silver or gold certificates, greenbacks,
gold. silver. or any other kind of cur
renoy--that is, employing the word eur
rency" In its usual sense. But IL checks
and drafts and other things pay debts and
settle balances and are used exactly as cur
rency is used, what do they lack of being
currency? We suppose that to include
these among the kinds of circulation re-
cognized as currency would be to swell the
amount Of the currency to such grand
total as would surprise the world. Here
are the incredible figures. The recognized
currency now in circulation amounts to
fifteen hundred millions of dollars. Null
tiply this sum-total by 10 (as one TWEEN
tieth Of the business is done in cash and
the balance in checks, &c. and we have an
amount of circulation, including checks,
drafts, aud all other such debt-paying
things aegrcgating so many millions of
dollars that we refuse to credit our own
figures.
Once more: The smallest amount Of cur
rency per capita which was in circulation
between 1860 and 1891 was less than eleven
dollars PER capita. and this was in 1867. Did
anybody in the North know that there was
deficiency Of circulation in 1862? We arc
under the impression that in 1860 there
1oyku IN, thto ctAx, vvhfoh had
each a capital of not hundreds or thou
sands of dollars. but Of millions-not great
~ less possibly than nine millions of dollars.
How does population of eighty thousand
get along with its present banking capital
These are not new questions TO our read
ers. We have called their attention to
them before to-day. as We have to one
other question which we will mention
once more as not unworthy of consid.ra-
ton and study-namely, that as nobody
can toll how much currency per capita is
indispensable to the prosperity OF CON-
merce. go nobody can tell how much gold
it takes to keep any given amount of bank
notes or greenbacks OF par with gold.
That is to say. If the national Government
treats gold, silver, and grecnbacks ns In
t.rchangeablc, and receives greenbacks
and gold and silver in payment OF customs
duties, thereby causing oil persons to re-
coive greenbacks as the equal of gold, no.
body can tell how many dollars in gold it
would require to keep any given amount
of greenbacks at par with gold.
II is noteworthy that the largest amount
of currency per capita in circulation at
any time during tho period named was in
1888, and yet the Greenbackers are clamor-
ing now more than ever for larger per
capita circulation.
We have called attention TO these facts,
not to ccnsure anybody, nor by way of
argument against the theories of any per-
son or party. but as containing food for
reflection. If they serve no other good
purpose. they may cause some persons to
be more liberal in their financial opinions.