The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1897-03-24
DEMANDS Of DIXIE
AS Understood by Col. D. A.
Tompkins Of Charlotte.

Baltimore, March 1S-Mr. D a.
Tompkins, leading manufacturer Of
Charlotte, n. g., contributes to this
weeks Manufacturers Record an
article in advocacy of greater fex;
bility in banking methods He
writes
"Originally the psesent national
banking system was devised to put
banking capital in large quantities at
the disposal of the government for
war purposes. 1t served the purpose
with eminent success. For banks of
deposit and discount the system is
still most excellent. The conditions
which made it entirely satisfactory
during the war and in the period of
| prosperity succeeding the war have
so changed that it is no longer suited
to banks of issue Conservative
Judgment calls for reform which
shall correct this deficiency without
sacrificing anything of the soundness
of money OF the safety Of banking.
In order to accomplish this it is gen.
orally conceded that
"l-The money Of this country
shall be kept as good as that of any
nation. Therefore it must be re-
deemable in gold
"2-That the national government
must itself retire from any pa,ticip'
tion in the banking business.
"3-That the national government
shall supervise the issue of all pa
per money, require its REDEEM
ption in gold on demand and be-
come responsible for its value
"4-That the issue Of this sound,
redeemabIe and guaranteed money
shall be proportionate to the demand
of legitimate trade and no more
"5-That the comptroller oe the
currency or other authorized gov
ernment agent or agents, shall have
discretionary authority to constrain
the extent Of money issued to the
limits of Legitimate trade
"All the proposals to bring about
the reform rest on the principle of
permitting the issue of bank notes
upon the assets of the banks instead
of upon the basis of government
bonds :"
Mr.. Tompkins believes that the two
most promising plans now formulated
seem to be that of Hon j. 81. Walk
er, chairman of the committee Of
banks and currency, and that of Mr..
G G. Homer, known as "the Balti-
more plan" He says after snalyz-
ing the plans either of these sys-
| TENS would give entire relief from
present difficulties and troubles, pro
vided they could be put into effect
withou. too much disturbance to
banking and business interests.
cit has been suggested that sys
TEN of land mortgage banks be start
ed for the benefit Of the south and
west. If the needs of these sections
were reduced to point where it was
necessary to mortgage the land to
give the people currency, it would
be most unhappy condition.
"The south has abundant resources
outside of it's landed interest 1t is
today in better condition than the
west because its lands are not mort.
gagged to the extent Of about 70 per
cent. of their assessed value (; those
of Nebraska, Y per cent ; those of
New York, ~ per cent; those of
North Carolina, 10 per cent /; South
Carolina, 10 per cent, (; and of Geor-
gia, 7 per cent. What is desired for
the west and south is not better facili-
ties to mortgage land. to consume the
capital Of the people, but only q
sound currency---a medium OF ez
chang for manufactured products.
"The prevalent idea," he contin-
ues, "of permitting small banks.
with less than $50. GOO capital, would
give no relief 1t is worthy OF con-
sidering whether the minimum cap.
ital might not be increased to $780,
600 to advantage. 1t is useless for
the people to have to pay manage
ment for lot of small banks
If larger ones will furnish the needed
accommodation. With larger capital,
better and cheaper management can
be had, and the general banking busi-
ness be made safer.
"The advocacy of free silver in the
south is simply manner of inter-
preting need for some circulating
medium that will circulate 1t can
not be said that silver could not be
used TO, advantage in the absence of
any other money Call it cheap
money, ahd the answer comes back,
comes qdick. cheap money is better
! th - ~ ~ v,oouov Of oil w hat ia want !.