The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1895-12-10

SSSoIunenG In pay e of silver DUR
Cuaaos u1Cer the act of 1890. believe
LUIS SOuId De quite readily accomplished
~ me exchanges of these notes for
nno oHates bonds of small as well as
o,so denominations, bearing a low
toUo VI LnCerest: They should be long
I'LL! OonOs, thus increasing their de.
sneonIUy as investments and because
their payment could be we'll n-ocsDonoS
to a period far removed from nEsao0t
financial burdens and nernIev;tios
when with increased Dr0sOeritv 90
resources they would be more easiIU
met. AS
To further insure the cancellation Of
these notes and also provide q wev hu
which gold may be added to our cnT.
rency ia lieu of them a feature in the
plan should be an authority given to
the Secretary of the Treasury to dispose
of the bonds abroad for gold if neces
sary to complete the contemplated re-
Fdemption and cancellation, permitting
nina to use the proceeds of such bonds
to take up and cancel any of the notes
that may De in the treasury or that
may be received by the government on
any account.
Oh, YES!
p The increase of our bonded debt in
vOlved in this plan would be amply
compensated by renewed activity and
enterprise in all business circles. the
restored confidence at home, the rein
stated faith In our monetary strength
ABROAD and the stimulation of every in
Gerest and Industry that would follow
the cancellation of the gold demand
obligations now affecting us. In n
event these bonds proposed would
stand for the extinguiehment of a
troublesome indebtedness, while in the
path we now follow there turks the
menace of amending bonds with our in
d~ebtedness still and aggravated in
every feature.
WANTS TO STRENGTHEN THE MONEY
TRUST.
The currency withdrawn by thu re
tirement of the United States notes
and treasury notes amounting to prob
ably less than 1886, 900, 900 might be
supplied by such gold as would be used
in their retirement or by an increase in
the circulation of our national banks.
Though the aggregate capital of those
now in existence amounts to more than
1864 600, 600, their outstanding circula
ton based on bond security amounts
to only about $3.50, 900, 900. They are
authorized to issue notes amounting to
80 per cent of the bonds deposited to
secure their circulation, but in no event
beyond the amount of their capital
stock, and they r obliged to pay 1
per cent. tax on the circulation they
issue. I think they should be allowed
to issue circulation equal to the par
value of the bonds they deposit to
secure it and that the tax on their Cir
culation should be reduced to one
fourth of 1 per cent , which would I'm
doubtedly meet all the expense the
government incurs on their account.
In addition, they should be allowed to
substitute or deposit in lieu Of the
bonds now required as security for
their circulation those which would be
issued for the purpose of retiring the
Unite d States notes and treasury notes.
The banks already existing, if they
desired to avail themselves of the pro
visions of law thus modified, could
issue circulation in addition to that
already outstanding, amounting to
$478, OOO, 900, which would nearly or
quite equal the currency proposed to
be cancelled. AT any rate | should
confidently expect to see the existing
national banks or others to be organ
lied avail themselves of the proposed
eDcOuragements to issue circulation
ard promptly fill any vacuum and
supply every currency need.
1t has always seemed to me that the
provisions Of law regarding the capital
of national banks, which operate as a
limitation to their location, fails to
make proper compensation for the sup
preston Of State banks, which came
near to the people in all sections of the
country and readily furnished them
with banking accommodations ard
facilities. Any inconvenience or en-
barrassment arising from these restric
lions on the location of national banks
might well be remedied by better
adapting the present system to the
creation Of banks in smaller cOmmuni
ties or by permitting banks of large
capital to establish branches in such
localities as would serve the people
so regulated andorestrained as to secure
their safe and conservative control.
X X
s. Whatever is attempted should be en-
tered upon fully approaching the fact
that by careless, easy descent we have
reached a dangerous depth, and that
our ascent will not be accomplished
without labOriOus toll and struggle.
We shall be wise if we realize that we
are financially i'll and that our restora-
ton to health may require heroic treat
ment and unpleasant remedies.
THE QUANTITY GUS NO FIGURE.
In the present stage of u difficulty
it is not easy to understand how the
amount of our revenue receipts directly
effects it. The important question is
not the quantity of money received in
revenue pay ments, but the kind of
money we maintain and ability to
| continue in sound financial condition.
10Y TOLERANT!
wbi1o 7 bovo opdoouorod +o ~oLo n