A more valid objection to the lending of money by the government at a fixed low rate of interest, instead of at whatever rates it might obtain according to the state of the money market, as private banking institutions would do, might be found in the liability that the parties to whom it was loaned might reloan it at higher rates, and thus use the good offices of the government as a means of personal profit. The measure could hardly fail, however, to lower very greatly the general rate of interest in the business world. It would be important, of course, to keep this large sum in circulation, and thus avoid the evils arising from hoarding. Its utilization for the regular expenditures of the government would be likely to do this, and the consequent reduction of taxation would be a great public advantage. Although the idea of loaning money at fixed low rates upon certain securities, such as land and staple products, might prove impracticable from various considerations--such, for instance, as the injustice of discriminating in favor of any particular classes in the community, as such a scheme would appear to do--there should be no difficulty in devising some practicable system for using to the advantage of the entire public the extensive funds which thus would be placed at the disposal of the government. The postal banks would doubtless very largely take the place of present institutions of deposit. To what extent this would be the case, it is, of course, impossible to say. For all ordinary purposes, and for the needs of the average business man, their advantages could not fail to be great. Their effect would probably be to withdraw from the market large sums now available for speculative purposes, and divert them to legitimate uses. The speculative tendency would, therefore, be likely to be discouraged by so much. Necessary limitations might make the postal banks unavailable for those whose financial transactions are conducted on a great scale, and their wants would continue to be met by private institutions, which would offer special inducements to large depositors, just as the trust companies now offer special inducements over the present national banks by paying interest on deposits. ANOTHER VIEW OF NEWMAN. BY WM. M. SALTER.