The Greenville times. [volume] (Greenville, Miss.) 1868-1917, 1894-06-23
CAToHIsGs on THE STATE BANK TAI,


proposing to repeal the Tax on State
oanks, Mr.. Catehings spoke as fol.
lows:
am free to say that in nv judg.
hent the proposition involved in The
amendment, which has been so well
discussed here, does not stand much
chance of adoption.
very much regret il; but | wish
10 say to the gentlemen from Maine
ana gentlemen on the other side, that
nothing is more certain than that in
Inc course of time some system will
be adopted by which very large
portion of the circulation medium of
TINS country will come through bank
Issues, whether those issues, be the
issues Of State banks or of national
banks. The national-bank system
which we have to-day, and which was
the creature of Republican legislation,
Is a miserable abortion in so far as it
seeks to set up system of banks of
Issue.
The national banks do well enough
rs banks of discount and deposit but
as banks of issue they are a miserable
and contemplate failure aud whether
We propose 10 have this enlargement
of our bank issues through State
banks or through national banks moth
Ing Is more certain than that the pre-
sent system deserves the condemnation
OF every thinking man. | believe my
self that If this act were repealed we
would have system Of State banks
which would be most useful and valu-
able to the commerce of this country.
| believe that but for the Intervention
Of the great civil war we would long
since, through the ordinary processes
of evolution have established a system
of State banks which would be entirely
satisfactory to the country.
There can DO no parallel drawn be-
tween the condition of to-day aud the
condition of 1860. AT that time we
had but $14 per capita, including all
kinds of money, including the issues
OF the State banks themselves, and
with that narrow circulation 1t was
necessary that Interstate as well as
domestic business should be transact
ed largely through the issues of State
banks. But 1t appears from state
mcnt prepared by the Director Of the
Mint that we have now $33 per capita
in this country, every dollar Of which
may be said to be national money.
| do not mean In circulation, but |
include in that statement the national
bank notes. We have, l say, in this coun-
try 1888 per capita, all of which may
be said to be national money, which Ia
an abundance with which to transact
business, and II we had State banks TO-
day, the interstate business would be
transacted entirely by this money, and
the issues of the State banks would be
useful to the country.
I regret that the amendment Is mol
to pass, aud l say again TO the gentle.
man from Maine that the financial
thought of this country Is going 10 be
directed more and more to the estab'
lishinent ofa system by which, through
the agency of some kind of banks, the
people OF this country can have asutfi'
cient and an elastic currency for The
transaction of their business.
The TIMES agrees with Mr.. Catch
ings; that the repeal OF the State bank
tax act would lead TO system o.
State banks which would be most use
| full and valuable. This would not o.
course supply the full need of bank
of issue, but 1t would be a most excel
lent auxiliary to any comprehensive
scheme providing for this need. STATE
banks modelled after those OF Louisi
| ana and few other States priol
to 1860, would be especially valu
able in preventing currency congestion
at the great centres of capital. Bu
such reflections are now idle. Wheth
or well or III founded, all opposition
, has been developed to State bank
which is stronger than the platform 0
the majority party. Further conten
ton against this opposition Is Idle a
railing at IL is silly and sonseles'
Undoubtedly the measure was weak
enod by having the Democratic pla'
form for its warrant. This did 10
/ prevent preJudiced and over caution
Democrats from voting against j
And many Republicans who iavo
0 such law, opposed it knowing The
were simply displacing 1t for a nor
partlsan Que which will have the sam
:. object. Party lines are drawn natu
rally on revenue policies and o'he
economic lines But on measures d'
finiug and providing sound ireel
circulating currency, party memoe'
J ship will surely divide. Such mea
nres must appeal directly to the bus
ness sense; must stand or fall by pol
ular support.
nm. n, Cafchiups saws III the col