The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1892-08-08
,,wrr,D carr BANKS.

Ohio GnluI"'R
VreNILtlos, O., Aug. IAN i'm
n,onse crowd Of people chccred them
solves hOarse yesterday afternoon at
Iinwood Grove. 1t was virtually the
onening of the national campaign o.
1882 In Ohio for the republicans, and
.bo enthusiasm of those present found
ycnt when, ut 1880 y. m, the orator Of
tho occasion was introduced: non.
Charles Foster, President harrisonis
secretary OF the treasury. the great
ontbprsi OF applause was partly III tho
0atvTo Of a tribute TO the personal
]nonnIarity OF the distinguished Ohio9n.
mi pUf VAS gracefully acknowledged by
him. The audience was largely COM
posed Of farmers.
In opCning his address upon tho cur
,cncv Of tho country, Secretary Foster
said: o.,,;e tbo IN.
%.,odr%tion Of a political discussion, and
for his reason the subject assigned mo
IL one that in its presentation Will %
LARGELY historical and free from parti-
sanship. Since l commenced the IN
s"stiration, 60 rs TO be able to give a
tHiI and accurate history Of the subject,
nrn NJ tho great parties Of tho country
b"s in fact declared in favor OF the re-
L"bilotion Of tho present discarded sys.
lem Of state banks.
"It is possible that some oil, my hear
ers may think that l have exceeded the
Sounds OF propriety in whatl may say
mon tho subject Of the proposed sub
s]titution Of the old state bank for the
presont national banks as banks OF IS
sue OF paper currency. " seems to me
that tho blanc, If there BIO any, should
rest upon the convention, and not upon
me"
nm historical account Of American cur
yepcy from tho time OF the colonies TO
the present day, and made tho follow
ing a~llusion to the paper money oil tho
continental period:
at has become more or less fashion,
ablc in como quarters lately TO denounce
onrTcs for It's action during the war
in borrowing money honestly to main.
tain tho government, instead OF paying
tho nations debts in grconbacks. Ex-
poricaco with tho continental currency
shows the folly Of the course these poo
ple would have approved and,the wis
dom OF what was actually done The
continental congress was not to blame
for what 1t did. 1t had no authority
from the colonies to levy taxes, and its
only resource was TO resort to the issue
OF paper money. Tho cost of the Reyo-
lutionary war fell on patriotic people
who received the currency. TheTories,
who were the coppcrheads OF those
times, refused the continental money
and were the only one who escaped
ruin.P
He next reviewed the condition ofthe
circulation prior to 1860, and described
at considerable length the panics OF
1914, 1887 and 1857, and disastrous re.
suits that followed each.
"The arrangement of.the paper cur
rency," he said, "was the Important tac-
tor in each Of the three revolutions.
Tie trouble was always preceded by n
were growing rich. they desired to
grow rich faster. To this end they sub
stituted for the legitimate enterprise
wild speculation in which they were
aided, and indeed, often led, by such of
the banks as Were untrammeled by re-
straining laws.
"Had the banks confined their issues
Of paper money to the proper needs OF
oftrade and industry the panic in each
case would doubtless have been less in
tense and the recovery from depression
more rapid"
He gave an interesting account OF the
war circulation and the means used by
the government TO raise money to carry
on tho contest. Continuing he said:
1.-THE system OF issuing bank notes was
radically changed by the bank act Of
June 8. 1854. The notes issued by state
banks were not uniform in value, even
at home, while very few banks were SO
widely known as to give currency at par
to their notes at any considerable dis
lance from the place Of issue. A trav-
eler passing from one state to another,
or even between distant points in the
same state, was compelled to provide
himself with coin. il he would
avoid the vexation and loss incident to
his condition. An extensive and prof
liable business, known as note shaving,
grew out Of this state Of the currency,
and the loss usually fell on those least
able to bear it But bad as was this
condition, 1t was worse in times OF
panic. Then the suspension OF specie
payments by the banks still further i'm
paired the value otall bank notes. and
IN many instances completely destroyed
It, There is no doubt that the variable
values OF bank circulation before the
war increased the cost OF living and di-
minished tho wages Of all classes, and
that mono wore benefited thereby but
the banks OF issue and those whose oc-
cupatloa was note shaving. There was
another feature Of the state bank circu.
!!ation that was productive of loss and
inconvenience. Each bank had its own
plates engraved in q high or low style
OF art, according to tho means or Gu
price Of tho bank officials. Hundreds
OF dollars, good, bad and indifferent,
were therefore in existence, and only
expert could distinguish c~ountorfeits
IRON genuine notes. This increased
the tendency of the notes to remain
within anurrow circle and at the Same
time added to tho opportunities Of profit
or fraud IN thcir circulation. The rate
Of exchange on New York upon the
pest Ohio paper was about three per
since the establishment OF the ma
tlonal banking system there has boon
no trouble such as marked tho ora Of
state banks. The notes of our Ohio ma
uonal banks are good in every state in
INC Union and the notes OF the national
DanEs OF other s~tatesare equally as good
IN ONO. Tho business Of note shaving
IS unknown and the counterfciter is
greatly detertod in doing his work. The
suspenslon or failure OF n nntionalh bank