The times. [volume] (Richmond, Va.) 1890-1903, 1893-03-19
SUNDAY, MARCH 10. 1898.
ruy nA>K OF ENGLAND's ISSUES.

yIara,v a day passes that we 90 hot
Soar - eaid this Government can MAINTAIN
a s,,v-fve cent dollar upon footing
equal in all respects to that OF iuii
dollar. and the practice OF the BANK Oh
England in issuing notes In excess OF
what II has in its vaults at their back
is cited to prove this.
This reference TO the Bank OF England
&c made bv men who really know nothing
about the Bank of England. IL Is "iele
fore quite in order TO make brlet state
mont OF the conditions that govern tnat
institution.
The Rank of England is governed by
the celebrated bank act OF 1874, winch
has nroduced more discussion than al
most any other act Parliament has ever
nassed. Under its provisions the bank Is
permitted TO issue f15. 900 OF notes upon
Government securities worth all OF that
amount. But for every other note that
II issues It must have its face value IN
bullion or coin in its vaults, and II has
actually had out as much as three times
fifteen million of pounds OF It's notes. The
Bank Of England does not, therefore,
issue notes upon wind. 1t is not permit
ted TO issue pound Of notes without the
corresponding value OF that pound In It's
possession.
We are not defending this policy-we
are only stating fact. In our opinion
the English Bank act, In drawing this
''hard and fast" line upon banking. I'M
Justly limits the power CT those who con-
duct that business and denies them many
favorable opportunities for developing
trade as well as enhancing their own
profits that freedom In banking would
certainly make them take advantage OF.
But discussion OF the question In Eng
land has failed to bring the advocates OF
the two sides any nearer together. They
represent the two schools into which men
have been divided from the beginning
of time and into which they will probably
continue to be divided through all time.
one OF which is always looking to Gov
eminent for protection, the other OF which
asks nothing Of Government but that
1t shall be let alone. This distinction is
at the basis OF all parties that have ever
existed and will be at the base OF all
that are to come. The aristocrat OF
France who drove the common people
into the revolution with his privileges
Tor the support OF which he looked TO
Governmera was one side OF this school.
the masses OF the people demanding the
overthrow OF Government that fostered
special privileges in those who oppressed
and piundered them was the other side
of Il. The Republican OF America who
runs to Washington for a statute to pro-
tect him In some scheme by which he
expects TO secure himself an unfair ad-
vantage over his fellow-citizens Is one
side of this school. while the Democrat
demanding of Government that II keep
its hands OF and leave the people toSvork
out their own destinies In their own way
with equality for all men before the law.
IL the other side Of it. The quarrel will
never be settled while one large part OF
the population remains made ZIP of timid
weaklings begging for protection and
constituencies brigands preying on So
ciety. and the other part is composed OF
bold and fearless men who scoft at aims
and cling to their rights. AS society will
always probably be divided into these
two classes II is likely that II will al
ways have two parties divided on this
line.