The Atlanta constitution. [volume] (Atlanta, Ga.) 1885-19??, 1893-09-12
creasing by various methods the circulating
medium are i'll great number.

|
| medium are i'll great number.
| Yncreasin. the Currency.
! The national banks are increasing the
currency of the country at the rate of a
million dollars a day. They are sending
bonds in large amounts to the United Sta ties
Since the 10th day of June the increase of
| currency from this source has been nearly
| $3O,OOO,OOO
Treasurer Morgan in commenting upon
this increase today said:
There is growing increase in these
bonds. There is sprinkling OF currency
Us, but the bonds consist very
largely of per cents. If the banks avail
| themselves of the law they can issue to
30 per cent of the bonds. Take 80 per cent
of $3OOOO,OOO and we have q circulation
increased by $27,O0O,OOO. This additional
currency is now being printed at very
rapid rate and the work is getting along
nicely"
What is the cause Of the preponderance
of the per cents"
1.-The 1.-The per cents do not mature until
1907, which gives them Il run of about
fourteen Years. They are unlike the 6s,
which fall due very soon and have only Il
few years longer to run.
Then the per cents are redeemable
at the option of the government and only
bne to make the 4 per cents for the pur-
pose OF bank circulation the most desira-
BILE investment. They are now selling at a
low price, about 112, / believe. They have
been within the last few months as low
as 100. The highest they ever went. to
my recollection, was 1870 Is some wears
ago, so you can see how they have fallen ~
Lively Times Ahead.
The house next week will present A
lively scene. The democrats will take up
the proposition to repeal the federal cleo
uon laws, willch, of course. will give Tom
Reed and has followers chance to splatter
Inc depate VIII be of an extremely parti
san nature and the brilliant speakers will
iridesce. Republican members since the
silver question has come up have grown
accustomed to vote regardless of party, the
republicans uniting with the democrats and
the democrats with the republicans on the
repeal question. They will not be apt to be
divided next week, however, and the dem
Ocratlc side will be solid on the federal
election question.
Will This Affect the Certificates?
thursday the treasury department at Wash
ington issued the following circular:
Office oflthe Commissioner Of Intcrna Rev
enuc, Washington, ID. G., September Ito
collectors or internal revenue and revenue
agents: 1t has come to the knowledge OF
this office. through published news items. by
correspondence and otherwise, that banks are
issuing certificates of deposit payable in The
money currency Of the United States. and
that these obligations of the banks negotia-
uie hottS taii?ihS iltle IN tnelr circulation
from mana 10 hand, are paid out and used for
circulation in lieu of the money of the United
States.
"Such issues are taxable. and you will INQUIRE
to the amount Of such issues. and report
them TO this office assessment of the taxes
incurred JOSEPH s. MILLER
commissioner"
The taxable rate Of such issues as describ-
ed in the circular is 10 per cent. The num-
Der now in circulation is believed to be very
heavy as they have taken the place during
the financial stringency of currency or money.
Whether the issues include clearing house
certificates, Is question treasury officials
decline to discuss, intimating that the ques-
ton is legal one that may call for judicial
decision from the courts.