Triumphs and Wonders of the 19th Century: The True Mirror of a Phenomenal Era / A volume of original, entertaining and instructive historic and descriptive writings, showing the many and marvellous achievements which distinguish an hundred years of material, intellectual, social and moral progress

by James P. Boyd

We cannot get a correct understanding of these figures without going back to earlier dates and making comparisons. In 1798 there were twenty-five state banks in the country, against 3965 reporting to the Comptroller of the Currency in 1898, which is perhaps about 90 per cent of the total of such institutions now existing.

A hundred years ago the capital of the state banks was less than twenty millions, compared with $233,971,643 now reported. They had, all told, but $14,000,000 of specie—half as much as is now held by one New York city bank alone. Their circulation was only $9,000,000, compared with more than $200,000,000 of national bank circulation now outstanding.

The national banks also show a remarkable growth. In 1869 there were 1620 banks in operation, reporting $420,800,000 capital, $547,900,000 individual deposits, $17,500,000 specie, and $1,517,700,000 total resources. Thirty years later the number of banks had increased to 3590, while the capital was $608,300,000, the individual deposits $2,232,100,000, and specie $371,843,400, while the total resources had increased to $4,403,800,000.

The total wealth of the United States in 1895 was estimated at more than $80,000,000,000,—far exceeding in the aggregate that of any other country in the world. It is expected that the census of 1900 will show our total wealth to be more than $100,000,000,000, or probably double that of Great Britain, the next richest nation.

But while the nation is piling up wealth at an unexampled rate, it cannot be said that this is a land “where wealth accumulates and men decay.” Great in its material resources, the country was never before stronger in those elements which constitute the chief reliance of national power. A united citizenship, possessing an honesty that adversity cannot sully and an intelligence that when once aroused penetrates the most cunningly concealed economic sophistries, working out the problems of the future under laws and conditions assuring to the individual the largest opportunities, points to a development in the twentieth century in no wise inferior to that of the hundred years preceding.

II. COINAGE AND PRODUCTION OF PRECIOUS METALS.

The prevailing systems of coinage in this country and among all great commercial nations are the result of development and growth. Gold and silver have become the principal money metals by a process of natural selection, which has chosen the instruments best suited to the purpose. In recent years, and under the laws of development, nearly all the great trading countries of the world have selected gold as the standard of value. In the future, gold itself may give way to something better, for it only relatively meets the essentials of a perfect standard.

Among Greeks, Romans, and Oriental peoples, cattle were generally used as a standard of value. The modern rupee of India is the old Sanscrit word roupa, a herd. Capital is but the estimate of Roman riches in cattle. The Latin pecus, cattle, is the root of pecunia, riches, and the origin of our word pecuniary. The Icelanders measured values in dried fish; the Hudson Bay country in skins; the early Virginians in tobacco; the Indians of the United States and Canada in wampum; the Chinese, even in recent times, in squares of pressed tea; the Africans in bars of salt and slaves.

These primitive devices gradually gave way, under the demands of international trade, to the use of metals as standards of value. Tin, copper, gold, silver, and iron all were used, and, at first, passed by weight. Government coinage of money is thought to date from the seventh century B. C., and is credited to the Lydians and to Pheidon of Argos, the official stamp being a guarantee of the honesty, weight, and purity of the coins.

Modern coinage dates from the reformation of the coinage of Rome under Constantine, who introduced the gold solidus of $3.02 in value, and a silver coin of like weight but of relative value. After the time of Julian, this silver piece, called siliqua, was given such value as that twenty-four of them equaled a gold solidus. In the Frankish Empire, under the Merovingian kings, the relative values of the solidus and siliqua fluctuated greatly. In the eighth century, on account of the scarcity of gold, there was a gradual transition to the silver standard, and a silver unit, also called a solidus, was substituted for the gold solidus, the former being divided into twelve pence. This silver solidus afterwards became the shilling of England and Germany. At first 300 pence were coined out of a pound of silver; but under Pepin the number was reduced to twenty-two solidi of twelve pence each—264 pence—out of a pound of silver. Under Charlemagne it was provided that only 240 pence, or twenty solidi of account, should be stamped out of a pound of silver, and this system was introduced, with more or less success, in what is now France and Germany. As to form, it has remained, up to the most recent period, the basis not only of the countries of Charlemagne’s Empire but of England.