Circa1865

Commenting on the presidential election of 1864, Lincoln’s Assistant Secretary of War, Charles A. Dana, stated that the whole power of the War Department was used to secure Lincoln’s reelection. Dana was in earlier days a Brook Farm socialist, and while employed by Horace Greeley’s prewar New York Tribune, contracted with Karl Marx to write a weekly column on his radical social views. It was Dana who ordered the imprisoned Jefferson Davis to be manacled in irons.

Bernhard Thuersam, www.circa1865.org

Lincoln’s 1864 Reelection Assured

“During the fall of 1864 it became evident that Pennsylvania was a “doubtful” State. Gen. McClellan, the candidate of the Democratic party, was not only popular there as a native Pennsylvanian, but, even among those loyal to the administration, he had a strong following and great sympathy, from the belief that he had been a much abused man.

Lincoln was advised by the Republican State Committee of Pennsylvania that the prospect was very uncertain. It was felt that, on the result of the Keystone State, hinged the fate of the national election. A gentleman belonging to the Republican Committee then, as now, one of the leading politicians of the State, had a consultation with the President on the situation. He thus relates the interview:

“Mr. President,” I said, “the only sure way to organize victory in this contest, is to have some fifteen thousand, or more, Pennsylvania soldiers furloughed and sent home to vote. While their votes in the field would count man for man, their presence at the polls at home would exert an influence not easily to be estimated, by exciting enthusiasm and building up party moral[e]. I would advise you to send a private message to Gen. Grant, to be given in an unofficial way, asking for such issuance of furloughs to Pennsylvania soldiers in the field.”

Lincoln was silent for some moments and seemed to be pondering. Then he answered: “I have never had any intimation from Gen. Grant as to his feelings for me. I don’t know how far he would be disposed to be my friend in the matter, nor do I think it would be safe to trust him.”

The President’s interlocutor responded . . . ”Then, let it be done through Gen. [George] Meade, the direct commander of the Army of the Potomac – and Gen. [Philip] Sheridan, how about him?” At this question, Lincoln’s face grew sunny and bright. “I can trust Phil.” He said; “he’s all right!”

As a result of this conference, one of the assistant secretaries of war was sent to Petersburg with a strictly unofficial message to Gen. Meade, and another agent was deputed to visit Gen. Sheridan. Some 10,000 or more Pennsylvania soldiers went home to vote when the time came, and Pennsylvania was carried by a handsome majority for the [Lincoln] administration.”

(The South’s Burden, The Curse of Sectionalism, Benjamin Franklin Grady, Nash Brothers, 1906, pp. 131-132)

Those in attendance at Lincoln’s November 1863 short address after Edward Everett’s long speech were disappointed and Lincoln himself described his remarks as a “wet blanket.” After his assassination, presumably by Radical Republicans who wanted him out of the way, Lincoln’s apotheosis began.

Lincoln’s Revised Gettysburg Address

“General Donn Piatt, who traveled with Lincoln during his campaign and knew Lincoln perhaps as well as any man: “When a leader dies all good men go to lying about him. Abraham Lincoln has almost disappeared from human knowledge. I hear of him, I read of him in eulogies and biographies, but fail to recognize the man I knew in life . . . Lincoln faced and lived through the awful responsibility of war with a courage that came from indifference.”

Ward Lamon, intimate friend of Lincoln and his United States Marshal for the District of Columbia, and Colonel in the Secret Service; Historian Shepherd of Baltimore; W.H. Cunningham of the Montgomery (Missouri) Star, who sat right behind Lincoln at Gettysburg, all agreed and publicly stated that the speech published was not the one delivered by Lincoln . . .

[B]oth Edward Everett and [Secretary of State William] Seward expressed their disappointment and there was no applause; that Lincoln said: “Lamon, that speech was like a wet blanket on the audience. I am distressed by it.”

These gentlemen who heard the speech all say that the speech delivered was not the one which has been so extensively printed. Even [Lincoln secretary John] Nicolay says: “It was revised.”

William H. Herndon, under whom Lincoln began his law practice and longtime friend, wrote one of the first biographies of Lincoln, “Story of a Great Life,” but because of its frankness in unfolding the life of Lincoln it was bought up and suppressed. It was republished some years later, much modified . . . Lamon, in his “Life of Lincoln,” said:

“The ceremony of Mr. Lincoln’s apotheosis was planned and executed after his death by men who were unfriendly to him while he lived. Men who had exhausted the resources of their skill and ingenuity in venomous distractions of the living Lincoln were first after his death to undertake the task of guarding his memory, not as a human being, but as a god. Among those participating in the apotheosis Lamon names Seward, Edwin Stanton, Thad Stevens and Charles Sumner.”

(Two Presidents: Abraham Lincoln, Jefferson Davis, The Naylor Company, 1973, pp. 78-79)

President John Tyler’s son Lyon Gardiner Tyler was incensed in 1917 by a New York Times editorial which compared Southern planters to Hohenzollern autocrats plaguing the world. In 1928, Tyler was provoked again when the Virginia legislature adjourned on Lincoln’s birthday and declared publicly that Lincoln did not merit the honor. Time magazine fired back that President Tyler was a dwarf in comparison to the rail splitter, and Lyon published a book in 1929 defending his distinguished father – who had met Thomas Jefferson as a boy.

Bernhard Thuersam, www.circa1865.org

Lincoln, Grant and Beast Butler

“The reader of [Dr. Tyler’s] book will also have called to his attention the fact that in the recent World War this country had its flag fired upon time and time again and its citizens killed on the high seas without resorting to war, and Lincoln knew that the capturing of a fort guarding and controlling the most important city of South Carolina meant merely protection for that city and not an attack on the North.

It could be likewise been shown here that just a matter of weeks before the ballyhoo about “firing on the flag” at Sumter had been set to work to enrage the North, the flag had been fired upon when the Star of the West was shot at and turned back, but under Buchanan’s calm rule there was practically no excitement.

As to Lincoln’s cabinet [in contrast to John Tyler’s], “the accounts teems with the insubordinate actions of Seward, Stanton and Chase, to say nothing of Welles, while Stanton and Chase reveled in insults to Lincoln.”

As to the ideas of the two men in regard to personal responsibility and family obligations . . . ”Lincoln wrote to Grant in February 1865 (the war almost over), asking that his son, aged twenty-two, who had been kept at Harvard in spite of the draft, should be put on his staff and “not in the ranks.” President Tyler had four grandsons in the Confederate army, one of whom was killed and another wounded, and two sons by his second marriage who surrendered at Appomattox, aged sixteen and seventeen.”

“When [Beast] Butler issued his notorious “Order N0. 28” at New Orleans (an order that shocked decent humanity), which Lord Palmerson, the Prime Minister of England declared in the British Parliament was “unfit to be written in the English language;” Lincoln did not revoke the order, but on the contrary promoted Butler to responsible positions and wanted him as his running mate for the vice presidency in 1864. Yet Butler is the man who, Dr. John Fiske declared, “could not have understood in the smallest degree the feelings of gentlemen.”

(John Tyler and Abraham Lincoln, Dr. Lyon G. Tyler; book review by A. H. Jennings, Confederate Veteran, June 1929, pp. 213-214)

Acclaimed historian Dr. Clyde Wilson has written that the Republican party was solely responsible for carrying out the bloodiest war in American history against the American South, to destroy self-government. In South Carolina, a Republican-rigged postwar convention erected a corrupt political regime kept in power by Northern bayonets, carpetbaggers and freedmen.

Bernhard Thuersam, www.circa1865.org

Republicans Instilling Lessons of Hatred and Hostility

“When the war came to an end, and the Southern States lay prostrate at the feet of their conqueror, they experienced the bitterest consequences of the humiliation of defeat. There were no revengeful prosecutions (a few judicial murders in the flush of the victory excepted). The Congress devoted itself to the work of reconstruction . . . on the principle of equal rights to all men . . . there seemed to be no reason why the States should not proceed harmoniously in the career of peaceful progress.

But there was an element in the population which rendered such a principle fatal to all peaceful progress. In many of the States, and in South Carolina particularly, a majority of the people had been slaves. All these were suddenly elevated to the rank of citizens. Were this all, even then there might have been hope.

The slaves had always lived well with their masters, bore no resentment for past injuries, and if they were let alone in their own mutual relations, the two races might, and doubtless would have harmonized and soon discovered the art of living together in peace. But this was not to be.

With the progress of Northern arms grew up an institution founded ostensibly, perhaps really, for the protection of the rights of the newly emancipated slaves. This institution, known as the Freedmen’s Bureau, became for the time the ruling power in the State. It interfered in all the concerns of whites and blacks, its officers were generally men who not only had no love for the South, but who made it their mission to foster in the minds of the blacks a bitter hatred and mistrust of the whites.

They were, on all occasions, the champions of the Negroes rights, and never failed to instruct them that it was to the Republicans that they were indebted for all the rights which they enjoyed. In the train of the Bureau came the schoolmistresses who instilled into the minds of their pupils the same lessons of hatred and hostility.

The consequence was, that though the personal relations between the races were friendly, though the blacks invariably addressed themselves to the whites as to true friends for all offices of love and kindness, of which they stood in need, they would never listen to them, if the latter wished to talk about politics.

This feeling was intensified by the introduction of the Union League, a secret society, the members of which were solemnly bound never to vote for any but a Republican. By such means, the Negro presented a solid phalanx of Radicalism . . . a new business arose and prospered in Columbia, a sort of political brokerage by which men contracted with speculators to buy the votes of members when they were interested in the passage of any measure. Here was a corruptible Legislature under the influence of men utterly corrupt.

In South Carolina . . . Society was divided into the conquered whites, who were destined to satisfy the voracious appetites of the carpetbagger, and the needy and ignorant Negro, directed by his hungry teachers. The whites had no rights which they were bound to respect; if they paid the enormous taxes which were levied upon him, the Negro was satisfied; he had done all that it was necessary for him to do in the degenerate State.”

(Last Chapter of Reconstruction in South Carolina, Professor F.A. Porcher, Southern Historical Society Papers, Volume XIII, pp. 76-79)

Seldom mentioned as a direct cause of the War Between the States is the Republican party refusal to compromise with Southerners in Congress in order to save the Union. As president-elect, Lincoln is said have led the resistance to compromise and pushing the South toward secession. After its first national electoral contest in 1856, the Republican party in 1861 would destroy the Founders’ Constitution and the union of fraternal States it had created.

Bernhard Thuersam, www.circa1865.org

Republican Block Schemes of Conciliation

“Congress was in session beginning December 3 [1860]; and in a bungling, legalistic fashion it was going about the business of saving the country. Incidentally, this should be borne in mind as a sidelight of Buchanan’s policy. With Congress seeking modes of adjustment, the President would have been going counter to the national legislature if he had taken warlike measures against the South.

Panaceas and compromise solutions piled up in such quantity that each house chose its committees to centralize the discussion, sift the numerous schemes, mediate between opposing points of view, and report such solution as seemed most hopeful of success.

In the House of Representatives this function was performed by the “Committee of Thirty-three,” a special “grand committee,” one from each State, created at the suggestion of Representative [Alexander R.] Boteler of Virginia. On the one hand the committee was embarrassed by the attitude of the radical Republicans, in Congress and elsewhere, who seemed intent upon blocking schemes of conciliation . . . [and on] December 13 . . . a group of Southern members of Congress, before secession had been voted in any State, issued an address to their constituents which read as follows:

“The argument is exhausted. All hope of relief in the Union, through the agency of committees, Congressional legislation, or constitutional amendments, and we trust the South will not be deceived by appearances or the pretence of new guarantees.

The Republicans are resolute in the purpose to grant nothing that will or ought to satisfy the South. We are satisfied the honor, safety, and independence of the Southern people are to be found only in a Southern Confederacy – a result to be obtained only by separate State secession – and that the sole and primary aim of each slaveholding State ought to be its speedy and absolute separation from an unnatural and hostile Union.”

(The Civil War and Reconstruction, James G. Randall, D.C. Heath and Company, 1937, pp. 200-201)

Famed historian Douglas Southall Freeman edited the Richmond News Leader from 1915 to 1949 and lived by the maxim prominently displayed in his office: “Time alone is irreplaceable. Waste is not.” He lived to regret supporting Woodrow Wilson’s war in 1917, feeling that he had been swept up in the psychosis of war hysteria. In his commentary on the Republican party below, Freeman mentions the notorious GOP method of ballots being “distributed wholesale to rascals who were divided into “blocks of five” and paid to cast them illegally.”

Bernhard Thuersam, www.circa1865.org

Making the South a Political and Social Inferno

“On the political front, Freeman was writing his first partisan editorials on behalf of [Woodrow] Wilson’s reelection. Virginia was reliably Democratic . . . [and] Freeman lashed the Republicans with gusto and turned loose his most vicious attack with a history-laden philippic. “Yes, the country knows” about the Republican party he wrote:

“It knows that during the forty-seven years and more of power of their party since the close of the war between the States the Republicans, in 1876, stole the presidency, and in 1880 bought it with their “blocks of five.” It knows that they forced upon the South the reconstruction additions to the Constitution in violation of that instrument; it knows that they turned loose upon the South an army of alien cormorants to prey upon what little substance was left us after the wreck of the war.

It knows that they made parts of the South political and social infernos, and that in malice and envy they aimed to uproot and destroy the very foundations of Southern civilization. The country also knows that they, the Republicans . . . retarded Southern industrial recuperation and Development . . . bound the nation to a juggernaut of robber protection . . . and perpetuated a banking and currency system that entrenched a currency monopoly.”

Freeman tended to be more restrained in his attacks on the Republican nominee for president, former Supreme Court justice Charles Evans Hughes. “We have had in previous years a high respect for Mr. Hughes,” he wrote, “and we have believed him a man of courage and capacity.” Now that he was the leader of “the party responsible for the most criminal class legislation the United States has ever seen,” Freeman dismissed him as a “camp-following wagon-driver.”

(Douglas Southall Freeman, David E. Johnson, Pelican Publishing, 2002, pp. 120-121)

To quell the fears of Northerners who feared emancipated slaves flooding their way in search of employment and wages, Northern leaders began advancing interesting theories. Giving the freedmen political control of the defeated South would “drain the northern Negroes back to the South” as they fled the race prejudice common in the North. Lincoln and other Republicans advanced ideas of colonization; Grant as president gave serious thought to deporting freedmen to Haiti.

Bernhard Thuersam, www.circa1865.org

Freedmen Fleeing Northern Race Prejudice

“As the war for the union began to take on the character of a war for freedom, northern attitudes toward the Negro paradoxically began to harden rather than soften. This hardening process was especially prominent in the northwestern or middle western States where the old fear of Negro invasion was intensified by apprehensions that once the millions of slaves below the Ohio River were freed they would push northward – this time by the thousands and tens of thousands, perhaps in mass exodus, instead of in driblets of one or two who came furtively as fugitive slaves.

The prospect of Negro immigration, Negro neighbors, and Negro competition filled the whites with alarm, and their spokesmen voiced their fears with great candor. “There is,” [Illinois Senator] Lyman Trumbull told the Senate, in April, 1862, “a very great aversion in the West – I know it to be so in my State – against having free Negroes come among us.”

And about the same time [Senator] John Sherman, who was to give his name to the Radical Reconstruction Act five years later, told Congress that in Ohio “we do not like negroes. We do not disguise our dislike. As my friend from Indiana [Congressman Joseph A. Wright] said yesterday, the whole people of the northwestern States are, for reasons correct or not, opposed to having many Negroes among them and the principle or prejudice has been engrafted in the legislation of nearly all the northwestern States.”

So powerful was this anti-Negro feeling that it almost overwhelmed antislavery feeling and seriously imperiled the passage of various confiscation and emancipation laws designed to free the slave. To combat the opposition Republican leaders such as George W. Julian of Indiana, Albert G. Riddle of Ohio, and Salmon P. Chase advanced the theory that emancipation would actually solve northern race problems.

Instead of starting a mass migration of freedmen northward, they argued, the abolition of slavery would not only put a stop to the entry of fugitive slaves but would drain the northern Negroes back to the South. Once slavery [was] ended, the Negro would flee northern race prejudice and return to his natural environment and the congenial climate of the South.

One tentative answer of the Republican party to the northern fear of Negro invasion, however, was deportation of the freedmen and colonization abroad . . . the powerful backing of President Lincoln and the support of western Republicans, Congress overcame [any] opposition. Lincoln was committed to colonization not only as a solution to the race problem but as a means of allaying northern opposition to emancipation and fears of Negro exodus.

(Seeds of Failure in Radical Race Policy, C. Vann Woodward, New Frontiers of the American Reconstruction, Harold M. Hyman, editor, pp. 126-129)

The freedmen did not receive the franchise because of their political maturity and judgment as the clear intent was to simply keep the Republican party in power. The Republican party’s Union League organization taught the Southern black man to hate his white neighbor, and to vote for Northern men whose own States had initiated Jim Crow laws. An excellent source for Northern antebellum racial views is “North of Slavery: The Negro in the Free States, 1790-1860,” Leon Litwack, Chicago, 1961.

Bernhard Thuersam, www.circa1865.org

Lincoln’s Party of White Supremacy

“The Republican leaders were quite aware in 1865 that the issue of Negro status and rights was closely connected with the two other great issues of Reconstruction – who should reconstruct the South and who should govern the country. They were increasingly conscious that in order to reconstruct the South along the lines they planned they would require the support and the votes of the freedmen.

And it was apparent to some that once the reconstructed States were restored to the Union the Republicans would need the votes of the freedmen to retain control over the national government. While they could agree on this much, they were far from agreeing on the status, the rights, the equality, or the future of the Negro.

The fact was that the constituency on which the Republican congressmen relied in the North lived in a race-conscious, segregated society devoted to the doctrine on white supremacy and Negro inferiority.

“In virtually every phase of existence,” writes Leon Litwack with regard to the North in 1860, “Negroes found themselves systematically separated from whites. They were either excluded from railway cars, omnibuses, stagecoaches, and steamboats and assigned to special “Jim Crow” sections; they sat, when permitted, in secluded and remote corners of theaters and lecture halls; they could not enter most hotels, restaurants and resorts, except as servants; they prayed in “Negro pews” in the white churches . . . Moreover, they were often educated in segregated schools, punished in segregated prisons, nursed in segregated hospitals, and buried in segregated cemeteries.”

Ninety-three per cent of the 225,000 Northern Negroes in 1860 lived in States that denied them the ballot, and 7 per cent lived in the five New England States that permitted them to vote. Ohio and New York had discriminatory qualifications that practically eliminated Negro voting.

Ohio denied them poor relief, and most States of the old Northwest had laws carrying penalties against Negroes settling in those States. Everywhere in the free States the Negro met with barriers to job opportunities, and in most places he encountered severe limitations to the protection of his life, liberty and property.

[Many Republican leaders], like Senator Lyman Trumbull of Illinois, the close friend of Lincoln, found no difficulty in reconciling antislavery with anti-Negro views. “We, the Republican party,” said Senator Trumbull in 1858,” are the white man’s party. We are for free white men, and for making white labor respectable and honorable, which it can never be when negro slave labor is brought into competition with it.” [And] William H. Seward, who in 1860 described the American Negro as “a foreign and feeble element like the Indians, incapable of assimilation”; [and], Senator Henry Wilson of Massachusetts, who firmly disavowed any belief “in the mental or intellectual equality of the African race with this proud and domineering race of ours.”

(Seeds of Failure in Radical Race Policy, C. Vann Woodward, New Frontiers of the American Reconstruction, Harold M. Hyman, editor, pp. 125-12”

Lincoln reportedly gave a great deal of attention to the last half of his “House Divided” speech, a trumpet call to form ranks against a South which he claimed wanted to push slavery into the Northern States, when no such threat existed. With that paragraph, Lincoln “gently cut the [Republican] party loose from its old Whig moorings and warily charted its course to the port of the abolitionists.” This solidified his party of disunion, and forced the South to react.

Bernhard Thuersam, www.circa1865.org

Moribund Republican Party Saved by Lincoln

“Lincoln possessed political sagacity to a high degree and well understood the force of public opinion. When [he] sounded the “eventually all free” note in his campaign against [Stephen] Douglas, he had a very definite political object in view. His immediate purpose was to win enough votes to get elected to the United States Senate.

His ground for asking for the votes of his fellow Illinois citizens was that he would represent those who did not want slavery to spread into any of the national territories. However, at the time he was making this race for the Senate with Douglas, it was becoming increasingly clear that slavery did not have the ghost of a show for establishment in any of the unsettled lands then belonging to the nation because the economic basis for the system was lacking in all of them.

The defeat of the slave-State constitution in Kansas made it certain that none of the land which Douglas had opened to slavery north of 36-30 would become slave. In view of the economic circumstances it was becoming more evident that unless the Republican party acquired new tenets there was no reason for continuing its organization.

The purpose for which it had been organized, i.e., restoring the free status of the land north of 36-30, having been accomplished, it would fall to pieces unless it acquired new reasons to continue its existence.

[William] Seward, one of the leading lights of the party, and [Horace] Greeley, the leading editor of the party, were willing at this time to dissolve the party, but Lincoln was unwilling for the Republicans to disband their distinctive anti-slavery organization and have nobody to follow but Douglas, who did not care whether slavery was “voted up or voted down.”

Accordingly, in his debate with Douglas, he had to supply additional material for the sustenance of the party’s life; for the time was rapidly approaching when it would become obvious to everybody that the extension of slavery into the territories had been checked permanently by prevailing economic conditions.

In order to win victory at the polls in 1858 it would be necessary for a Republican candidate not only to hold persons already enrolled in the moribund political organization, but also gain additional recruits . . . [and] two groups from which new members could be drawn were the bona-fide abolitionists and the Henry Clay “Whigs,” who had hitherto refused to enroll themselves in the sectional political party.

The abolitionists supplied the soul of the anti-slavery movement of the north, but they had in general refused to vote for anybody who compromised on anything less than a declaration in favor of abolition of slavery in the slave States. The Henry Clay Whigs of the North opposed further acquisition of territory which could be devoted to slavery but desired ultimate abolition only under conditions equitable to the South. They had the most kindly feelings toward the Southern whites and like Clay preferred the liberty of their own race to that of any other race, although they were no friends of slavery.

Lincoln so skillfully calculated the wording of his famous House-Divided speech that it won converts to his following from both the above-mentioned groups. It carried water on both shoulders, so to speak, for it was so constructed that it was acceptable to both radicals and moderate conservatives.”

(The Peaceable Americans of 1860-1861, A Study in Public Opinion, Mary Scrugham, Columbia, 1921, pp. 17- 20)

With his war bankrupting the national treasury and consuming available gold reserves, Lincoln’s solution was to create a national banking system controlled from Washington, claiming military necessity as the reason for printing paper currency of questionable value and legality. Radical Ohio Senator John Sherman knew national banking “would centralize power in Washington” and he urged congressional colleagues to “nationalize as much as possible,” even the currency, so as to “make men love their country before their States.” All private interests, all local interests, all banking interests, the interests of individuals, everything, should be subordinate now to the interest of the Government.”

Bernhard Thuersam, www.circa1865.org

Revolutionary War Financing Precedes the Federal Reserve

“At the time of the Civil War the [United States did not have a nationalized] system of banking and banknote currency, and one of the important matters of [Northern] war finance was the creation of such a system.

“[Treasury Secretary Salmon P. Chase] . . . in his report of December, 1862 . . . outlined his plan for national banks and national bank currency. What Chase proposed was a system of national banking associations under Federal supervision, which would issue bank notes based upon United States bonds and guaranteed by the Federal government.

It became law on February 25, 1863; but this law had certain defects, so that Congress faced the whole problem afresh and reframed the statute. It is therefore to the law of June 3, 1864, that one must turn for the legislative basis of the national banking system as it emerged from the Civil War. Other provisions of the act were concerned with the maintenance of a required reserve against both banknotes and deposits; the depositing of such reserve in “reserve cities” (which permitted the concentration of bankers’ funds in New York City); . . . and the use of banks as depositaries and financial agents for the government.

As a method of stimulating, or rather forcing, the sale of United States bonds, the national bank act became an essential feature of Civil War finance. After the war (1866) a tax was placed on State banknotes in order to tax them out of existence, so that national banks possessed a monopoly of banknote currency.

To think of the national banking system as a purely fiscal measure innocent of politics and free from exploitation would indeed be a naïve assumption. Investigation shows that it soon “developed into something that was neither national nor a banking system.

Instead it was a loose organization of currency factories designed to . . . [serve] commercial communities and confined…almost entirely to the New England and Middle Atlantic States.” One of the chief injustices of the system as actually administered was the favoritism shown after the war to the eastern States which received the lion’s share of the $300,000,000 of banknote circulation assigned by law as the maximum for the whole country.

As explained by George LaVerne Anderson, each State in the New England and Middle Atlantic regions obtained an amount of banknotes in excess of its quota, while not a State in the South received an amount equal to its quota.

“Massachusetts (writes Anderson) received the circulation which would have been necessary to raise Virginia, West Virginia, North and South Carolina, Louisiana, Florida and Arkansas to their legal quotas . . . The little State of Connecticut had more national bank circulation than Michigan, Wisconsin, Iowa, Minnesota, Kansas, Missouri, Kentucky and Tennessee . . . Massachusetts had more than the rest of the Union exclusive of New England and Middle Atlantic States.

[An] interesting comparison [he continues] can be made between comparatively small New England towns and the Southern States. Thus Woonsocket, Rhode Island, had more national bank circulation than North and South Carolina, Mississippi and Arkansas; Waterville, Maine, had nearly as much as Alabama; New Haven, Connecticut, had more than any single Southern State.

If it be said in answer to these facts that distributing according to population is absurd . . . it should be kept in mind that not a single Southern State had obtained, by October 1869, its legal share of the $150,000,000 which was to have been apportioned according to existing banking capital, wealth and resources.”

With some modification [this] national banking system continued for half a century. Though it had some merit, it created an inelastic currency, tended toward the concentration of bank resources in New York, opened the way for serious abuse in the speculative exploitation of bank funds, and contributed to the sharp financial flurry of 1907. Proving inadequate as a nationwide control of currency and banking, it was tardily superseded by an improved plan in the federal reserve act of 1913.”

The Civil War and Reconstruction, J.G. Randall, D.C. Heath and Company, 1937, pp. 455-458)