The times. [volume] (Richmond, Va.) 1890-1903, 1897-03-16


ter thorough study Of this question:
have arrived az the conclusion '""'
tho true bank-note IS unknown III mo
I United States" This IS wei ana u"'S
said OF The currency We have had since
no oatioual-bank act was passed. We
had the true bank-note prior 10 '"o
var but we have since had a monde
script with an tho disadvantages OF an
lrredocmable currency. and with few ad-
vantaccs Of any sort.
il is very well, also. TO note the io'-
lowing remark which he makes OF inc
Bank Of England. and We note il because
The Times has repeatedly said the same
thing. ..so
"At the suggestion Of Lord Ovcrstone'
! ENGLAND has adopted an automatic oe-
vice which works well in ordinary times
bat the inoniciency Of which has ollen
been demonstrated ia critical times. We
may note. in addition, that the BANKS
/ regulations, which are practically use
less in normal situations, become iuuie
/ or oven dangerous when the panh -
called upon for unusual cXcruons.
Mr.. Dcs Essais then addresses hlmseIi
/ I" '"v '"'" "' --
of paper-currency system we should
have. ana this is what be says:
"NVhat is lacking in the United States
/ is "a focusing of the banking power
/ central establishment. 10 serve as
/ banker for the banks. and 10 nave II
piiNii-se on is'"' '''', -. e,,,orsi,,e
/ mic' 'houiu ne az ''''' ''., a.. az,
! ihe Hted on '"'n 81, 49, to..,id
/ lmp'ialiNe tl"' 'io '"'''' ....
! theineeifea c'i"p'h'u =" ''' ~ 49,.
/ OF emergency ItulAtoU'''''s "-
| for issuing hduclaly paper ""0' 80
! exact nature Of the cieailhs-houae '''
! tlCate but FL is mere hmllauOh' "'
rather "a carcaturc. OF the true nole-
| ISSUING function. and IL falls FAR snort
of tho services We have right to
exnect from the use Of real paper money.
r-b. WON. force Of circumstances. then,
,n,..t conner or later compel the ostaD-
n.hmcrt of a great hank of issue model
| LA ,lnop th. bank of France. the Bank
of ENGLAND or the Reichsbank, 10 cite
! only fine prfucipal types. Nevertheless
th,.c guroreau Institutions If transfer
red without modification TO the United
States. would probably not suit either
the needs or the customs Of tle people.
In my opinion the territory of the Union
ie TOO extensive for it's needs 10 De met
by o. single bank. the proper management
of the numerous branches il would Doe
compelled 10 establish i'm order TO cover
$50 broad field would present difficulties
practically nsurmounlable. II would he
preferable. therefore. TO establish se''ial
perhaps four TO six, central banks on ihe
matter of number American bankers are
best able TO Judge. These banks should
Doe stock corporations with q very large
capital invested. not principally I'D lheT
own business Dui IdIteiy lh Di''''' '''',t,s
''' ,..' 10 co. u.s. 10 ,1.i, ,nvestmsnts and
f..-s - ,.r.iaofion for t.eir notes. The
busiue.s of These banks should Dee simple
and cover as few different lines as pos
.l1le' SUCH Tor 'A"inpie as uiscou',,'''s
, ,''' ~ 81. a., nm and hearin,, three
good signatures or two very eoodi three
months. loans on United states po"os' OF
"l p'i'us "i 'i'r ''.' 'o ,,.,,r,i ' sertis
o., t,e ,.r,,. hiobest claes. the purclase
ana sale Of foreign bills Of exchange; The
acceptance Of securities ON deposit; the
acceptance on deposit ana ,u' i,','i''' t,o
''...'5 ~ a,1 .io ~ me nrecio,s metals
These banks should be authorized 10 IS
| sue bills payable at sieht TO bearer elmer
ID return Tor ls"lul i',,'y vi a,' ,,
49,. 90. 90 io,, mon collateral. There
! should De- mo- fixed limit to the amount
of their circulation; but q tax might pe
| lelitd upon an DIS ls7u'u ''s o"" "
c...,.".' ,rti i..,,i,, .,o,,ld acccnf cach
o,,.r.. Hills making pcriodical settle