The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1894-12-03

reueemlng Oh nokes 70 pass da WOHSy
among the people. No government has
ever yet successfully engaged in so
doing, and the experience Of the govern.
ment Of the United States has proven
no exception to the rule. =,
These issues out to ba redeemed and
cancelled and the government thus en-
abled TO retire from the banking busi-
ness, a business for which it is so poorly
equipped. 49,.
In the light OF the present condition
OF the governments finances, the comp
troller continues, that which ought to
have been done when there was sur
plus in the treasury cannot now be uu-
dertaken and the same conditions must
continue to weaken the country's credit
and plague the lines OF business unless
a means 10 devised for removing these
Issues from the channel OF current re-
demption until such time as the gov
eminent finds itself in position TO do
that which at first was the intent OF all
gradually redeem and cancel them.
II the franchise is granted the banks OF
issuing circulating notes against their
assets instead OF against a bond securi-
~, il IL suggested that the banks in re-
turn should recomponse the govern
ment by relieving the treasury DEPART
ment OF the current redemption in coin
Of the present treasury Issues.
The ultimate redemption OF coin oil
course must all be upon the govern.
ment, but the embarrassment does not
arise from their ultimate, but from
their current redemption.
As against this deposit OF legal tenders
and treasury notes SO made there should
be issued to the badks, dollar for dollar,
national bank notes. either OF the same
or different design as might be deemed
best, that thus the volume OF the. cur
rency as il is now contributed 10 by the
issues OF the government should not be
contracted so long, at least, as the banks
making auch deposits are in existence.
The percentage Of the bank notes issued
against this deposit should be free from
any taxation imposed upon circulation
and ought TO be such percentage as Is
deemed equitable to be used as part Of
the banks legal reserve held against de-
posits.
The government should not under
take or in any wise become responsible
for the current redemption OF these
notes.
The elasticity of issue in the national
bank circulation will be found in the
percentage OF issue against assets. sub
]ect to the necessary rate OF taxation
and insured by an adequate safety fund
to guarantee the note holders against
loss. No violent contraction OF the
currency would follow such course.
but whenever contraction occurs 1t
would not be less gradual than at other
times the expansion incident thereto.
A CURRENCY COMMISSION.
II ia suggested that as necessary
element to the securing Of proper elias.
ticity OF issue in our bank note cur.
rency, section 8. act OF July II, 1892
regulating the retirement and issuing
of circulation to banks within fixed
period Of time, should be repealed, and
also that an amendment should be
made to the law necessitating the
banks keeping in the Office Of the
comptroller OF the currency sufficient
amount OF blank notes rs will enable
them to secure circulation at once in.
stead of after period OF delay.
Suggestions have been received from
many, eminent sources that the whole
question Of banking and currency sys-
tenn ought to be referred BY Congress to
q commission TO be created by law, ap.
pointed by the President, and clothed
with proper authority.
A commission, non-partisan in its
character, composed of men OF eminent
abilities, could unquestionably devise
currency system sound in every part
and one which would commend itself
to every interest Of the country. It
could largely take the question out OF
politics, and have it considered simply
in its business aspects and upon Its
merits; but If the present Congress is to
enact law upon the subject, appoint
ment OF commission could avail moth
ing. II, however, nothing more def.
mite can be accomplished, the question
Of the creation OF such commission
ought to be considered and acted upon.