The Durham recorder. [volume] (Durham, N.C.) 1879-19??, 1895-07-11
WASHINGTON LETTER.

request of your correspondent the
comptroller Of the currency pre-
lpared the following practical ex-
position Of the sound money doc
trine. There are few abler finan-
ciers than Mr.. Eckels. He is very
popular throughout the West and
has made most enviable reputa-
tion during his brief residence in
this city with politicians and busi-
ness men with whom he comes in
daily contract:
The agitation for the free coin
age of silver fortunately has re-
ceived its first serious set back in
the south. The action of the re-
cent democratic convention in
Kentucky demonstrates that the
only thing necessary to check it
aid set the people right upon the
question is an intelligent discus
sion of monetary principles. Such
a discussion was afforded the citi-
zens Of Kentucky by Secretary
Carlisle and the action taken in
dicates how clearly his points
we're presented and how ready the
people were to put aside the error
they were about to embrace.
Throughout every portion of the
country where the citizens are not
directly interested in the owner
ship of silver mines, or the min
ing Of silver ore, the demand for
free coinage Of silver is based upon
the idea thasthe is too small a
volume of the circulating medium
with which to transact the coun-
ltry's daily business. This was
the complaint puring the agitation
for the unlimited issue Of green
backs. 1t is based on the erron-
eous notion that great volume Of
currency is an essential thing.
The volume Of the country's cur
rency is ofvery little Importance
If that currency is sound. The
soundness OF il is the vital
point. The money suggested by
the greenback advocate twenty
years ago was unsound, and hence
the increasing Of the volume of it
would have simply made matters
worse instead Of better. The same
thing is to be said Of the free coin
age silver, as advocated by the
free silver people. They propose
that silver shall be coined at a
ratio Of I6 to /, when as a matter
of fact the bullion ratio today is
more than 30 10 /. AL coinage
| of silver heretofore to 1873 was
founded upon the commercial value
Of theItwo metals. II never was
suggested until now that that
value should be disregarded. The
production Of silver also up to
that period was only sufficient for
the use and waste Of it, and no
danger resulted from the free coin
age Of il at its commercial ratio.
II. however, the suggestion of the
advocates Of independent free
coinage at the artificial, instead Of
the commercial ratio, OF I6 to i, is
carried out, the United States will
be made the dumping ground for
all the silver Of Mexico, South
America, Europe, and even Asia,
for with the mints Of Europe shut
to free coinage our country will
furnish the great field ofprofits for
the holders Of silver.
The truth is and II will some
day be recognized, that this
whole question must be settled
through the country's having
better banking facilities. There
Is no need for a large volume Of
Icirculating media, but there is
need for better facilities for
using that which we have.
What Is more needed than
banks Of issue is banks Of depos-
II and discount. This Is espe-
cially the case in the South.
With each community having q
proper bank Of deposit and dis
count the money In thet COM
munity could be properly util-
lied and economized. Through
the economy brought about by
the introduction Of checks and
other credit instruments the
volume Of money needed Il
greatly lessened. But TO have
fhn hanalit az those credit in.