The Atlanta constitution. [volume] (Atlanta, Ga.) 1885-19??, 1894-11-05

in motion. Why is this money, so mucn
needed at home, accumulated in New YORK
and other centers? 1t is because OF the
policy adopted by the republican party In
the administration of the national banking
system. 1t is policy fostered by the
great national banks of the reserve cities
of the nation and continued under demo-
requires all national banks outside OF GER
tain reserve cities, such as New York.
Boston, Chicago, ETC., to keep reserve Of
Is per cent of all deposits in order to
made upon the bank by depos-
tors Under the rulings of the
department this reserve may consist OF i;;t
of legal tender money in the vaults or the
bonks or deposits in national banks In re-
serve cities. which the Comptroller has
designated as a reserve bank for the deposs
iting bank. The great national banks of
country banks (by country banks l mean
the banks outside of reserve cities) to keep
large deposits, have been in the habit
of paying interest on the reserve deposit
illus there has been withdrawn from local
circulation and placed on deposit IN the
of the 100000. aside from the immense
amounts on deposit in other cities. =.
There can be no question about 1t.
That if this vast sum OF money was
driven back to its home circulation 1t
would stimulate every enterprise and re-
While it is true that the reserve fund can
not be loaned out, banks having their re-
n considerable sum of money, almost, IL
not equal to the reserve, for their current
serve. in all cases where the reserve or
the bulk Of 1t. is kept in the reserve cities
on interest Any policy which would com
pei the banks to keep their reserves In
their vaults would at once release and put
in circulation all the money when mas
been kept for current purposes. An exam
nation OF the reports OF national banks 10
Comptroller Wright show what vast
amounts are thus licked up from cir
nlaff ion Go. - al
any policy which will drive the reserve
funds from the central cities ana force
IT, or the greater part OF IT. INTO clrc9iat'on
the people Besides this. it IS Il TACT that
during the panic of 1895 money in New
York banks. which under the comptroIlers
ruling was counted as reserve. was not
in fact available, the banks there shei-
tered themselves under the clearing mousse
issues and would not let the country banks
have their currency. The New y DIX banks
made great claims for saving the country
and relieving the pacnc. 1t should DE re-
membered that whatever they may nave
done in that line was effected III "Iedt
measure by the money OF me County,
banks on deposit with them. The easiest
way to accomplish the result desired IS 10
forbid national banks in reserve cities from
paying interest on deposits. and reducing
the amount, which shall be counted as part
of the reserve. of deposits in reserve banks
say only one-third OF the reserve shaA
consist IN deposits IN reserve banks. -,
When there is cry on the part OF the
people for more currency, the answer Is III
more currency, but more collateral. Ihere
Is not a dollar III the banks of Atlanta Tor
loan which viii remain unloaned any rea-
sonable time, il the rate Of interest Is
reduced, SO that profit can be made on II.
And | warrant YOU that the collateral upon
which the banks here loaned in the paSt
and will continue to loan ia the fture Will
be considered safe. What we need as
much or more than anything else, IS more
come down and more profit can be made
Of it by borrowers. If the millions OF dol
lars belonging to the banks OF the State OF
the north, was forced back 70 its home
and put in circulation it would prlnS me
and vigor hum the idle WheeiS ana Ecu
the discontinued working element all over
the state. ONE OF THE PEOPLE.
Truitt on Cotton.
LAGRANGE. Ga, October 2s-Editor
Constitutions: Every farmer VINO can
hold cotton and everv farmer who can
induce his merchant to hold for him ought
to do il. IT'S way below the cost of pro-
duction, and enough money has already been
lost by the farmers on this crop TO have
great influence on the production next
year.
| am in weekly communication with
telligent cotton growers from North caro-
lima TO Texas and will wager my plaall.a
ton that Mr.. Neill, TIverpoofs famous ,
istfcian, is over one million out OF line.
| am thoroughly satisfied that this crop
will not be over eight and one quarter 10
VIII not be many weeks more tadinS this
out Then better prices will follow, and an
other fact will be heralded and will have
its effect-the farmers are certainly going
To quit trying 10 raise these great piS
crops. They have been several years COM
ing 10 that conclusion, bat keep your eye
on EN- and see if my prediction doesn pan
out.
We have been taught for years that I.iv-
erp0ol likes the priCc-and | have not doubt
ed it-bUt / am strongly of the opinion that
the fellows who have been producing is
are going to have more of say-so in it
in the future. The time is coming when it
will take as long to dispose of Il crop Og
cotton as il does TO make it.
There is going to be big fat hog or more
stand guard over every bale Of cotton; with
sheep, cattle. mules and horses, wheat,
oats. hay and other crops, to draw on. Then
we viii see who fixes the price!
We have got TO the turn in the lane. Five
cent cotton is hard us; some Of us are
going to suffer, but it's the best thing that
could have happened 10 the farmers of tho
south. Hold your cotton If you are able,
and If you are not, get your merchant OF
your bank to help you TO carry it, Then
these enormous port receipts Will fall Off
and the price will surely advance.