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live power, to fix the Maori of w.-i-. ht* nnti tm .'.sun's, —the ob-
jects being simihr. N »w, if mtr exp •.■.•<? Ins proved any thing,
1' fits tintjtiv shown that .*■• lot t:s the Government is connected :
with the banks, and their notes received in its transactions, as I
money, so long it is i,» > >. * i •to ,e:\ thin" lilco st ibilit v to the
of v able; and that ["•?•'; ot' coining, and reyulatitn’i
tie’ coins, becomes in a great ni.':>.*tii'< .ir-rc nntlitv. Every dollar
issued in bank notes, whii it is ma le th ■ substitute for nionev
drives out of circtil tii m more < r I. -s es tie? precious meta s; .and I
when the issue becomes e.xorb't ■ oi I ar. ! silver almost entirefv '
dis tppe trs, as our experience at |'.‘ ti n ' proves. Th" effect* tiro !
ttnalatrotts to alloying or clip:>'nj th ■ co; i, a . far as stability of stand- !
ani is concerned; and it wm! I be tmt I.s* r.tiiontil t > suppose, that >
such a [mwer on the part <d in li. i I ; i!*, w.mi i be consistent with a :
uniform and stable c-arreni'V, than to ~,[•■> , • the receivin'.’ ami treat- :
ingdtaak notes as a si|!>>: imte for mon v by die Governm 'Ut, would
be. The only check nr ternedv is to r■. let them to th. ir proper
sphere, to circttl de in ca: . imn with 1 of exchange or other pti-
v *ito nn.l loi'-il piper, for t:m cotivetiien.- •of husiness and trade. So
far from sm h a course operating injurioasly on tin? people, or from i
being liable to the charge of forming om> currency for the people ;
and another for the Government, us Ims been so often and with
such effect repeated,—it is the vety reverse. Goverttmenl bv re- !
fusing to receive bank nates, as it is boon I to do, would in fact fur
nish a choice to the 'people, to take either mon ,'V or mites at their
pleasure. The demand of the Government will always keep a
plentiful supply of the former in the connin', so as to afford the peo
ple a choice, while the opposite would expel the money ami leave ;
uo option to them but to take bank notes or worse, ns nt present. |
I have now shown how it is propose.l to form the league of batiks,
and have presented the constitutional impi'diments that stand ii the
way. These are numerous and strong ; so n.m b so, that they ought
to be irresistible with all, except the latitudinous in construction ;
but I cannot expect they will produce their full effect. 1 know ton
well the force of long entertained impressions, however erroneous, to
ba sanguine—how strongly the mind rebels against the expulsion of
the old an I the admission of new opinions. Yet, in tin* ease, where
we dearly son how gradually and silently error crept in under the dis
guise of words, appli.. I to new anj totally different ideas, without ex
citing notice or alarm ; and when wo have experienced such deep
disasters in consequence of parting from the plain intent and mean
ing of the Constitution, I cannot but hope that nil who believe th t
lh<i success of the Government depends on a rigid adherence to the
C.»iwt»| ir «r— r ■ 11 Htn.i.t»«ll pn ■ t iers IntprrxMlTfis,'taken up with
out reflectum, and give to the objections their due weight.
1 come now to the next point, to show how this league is to be re
vived or stimulated into life. Till this <aa be done, the substitute,
should it become a law, would be a dead letter. The selection is to
be made from specie paying banks. None but such can receive the
public deposites, or have their notes received in the dues of the Go
vernment. 1 here are none such now. Ihe w hole banking system
lies inanimate ; and must be vivified before it can be re-united w ith
the Government. Noone is bold enough to propose an union with
this lifeless mass. How then is the vital spark to be revived? how
the breath ol life, tho Pro tetbean fire, to be breathed into the sys
tem anew, is the question ? This is the task.
I hem >vo: t. Ils us, that it must be the work of the Government,
fie says that is bound to aid the hanks to resume payments; and for
that purpose ought to hold out to them some adequate inducement.
He tells us, that they have been long preparing and had made great
efforts, but can go no farther ; have rolled the round huge rock almost
to the summit, but unless the Government put forth its giant arm, and
give the last push, it will iccoiland rush down the steep to the bot
tom, and all past labor be lost. Now, what is this adequate induce
ment I \\ hat this powerful stimulus, which it is proposed the Go
vernment should apply, in order to enable the banks to accomplish
this herculean task I The substitute shall answer.
It proposes to fix the Ist of July next tor the period of resumption;
and a.s me in lucemenl t > resit me, it propo es to select twentv-five of
the most respectable and solid, out of the resuming banks to be the
depositories ol the public moneys, and the fiscal agent of the Gov
as has been already stated. It also proposes, and this is
the .stimulus, the essence ol tho whole, —*o make the notes of such
banks as mty resume on or before that day exclusively receivable
in the public dues. Here i\ quidjiro quo ; something proposed to
be d.me, for which something is to be given. We fi ll the banks
plainly, if you resume, we, on our part, stipulate to m ike Iwedy
five of you our fiscal agents and depositories of the revenue ; and we
further stipulate that those who resume bv the time fixed, shall have
the exclusive pri vilege/or errrof having tl n .jr notes receivable in
the dues ot the Government, in common with gold and silver. If
the banks perform their part, we shall be bound in honor ami good
faith to perform ours. It would be a complete contract, as obliga
tory as if signed, sealed, an I delivered. Such is the inducement.
ilie next question is, will it be adequate 1 Yes, abundantly ade
qnate. Ihe battery is strong enough to awaken the dead to life ; the
consideration sufficient to remunerate the banks for whatever sacri
fice they may be compelled to make, in order to resume payment,
ft is difficult to estimate the value of these high privileges, or prerog
atives, as I night justly call them. They are worth millions. If you
were to enter into a similar contract with an individual, 1 doubt not,
that he could sell out in open market for at least thirty, forty, or fif
ty millions of dollars. Ido then the mover the justice to say, that
his means arc ample to effect what Ire proposes. As difficult as is
•the work of resumption—and difficult it will nu n out to be when
tried tho inducement will prove ail sufficient. But the resumption,
however desirable, may be purchased too dearly; ami such would
prove to be the case, should the project succeed. Not only is the of
fet ton great, but the mode ol effecting it is liigl I v objectionable. Its
operation would prove not less disastrous titan the bargain has been
shown to be unconstitutional, which I shall now proceed to establish.
The offer will have a double effect. It will ad as a powerful stim
ulus to resumption, but will act at the same time with equal force to
excite a struggle among the banks, not only to resume themselves,
but to prevent others from resuming. The reason is clear. The
advantage to each will increase, as the number ol the resuming banks
decreases ; and of com sc, the great point of contest among the strong
will be to restrict the proffered prize to the smallest number. The
dosei the m moptdy die greater tho profits. In this struggle, a com
bination of a few powerful and wealthy banks, the most respectable
and solid, as designated in the substitute, will overthrow and trample
down the residue. 1 heir fall will spread desolation over the land.
Whatever may be the fate ofothers in this desperate contest, there is
one, in relation to which no doubt can be entertained: I refer to the
UnitedyStattfU Bank ot Pennsylvania, a long name and a misnomer ;
and which, for die sake ot brevity, but with no personal disrespect
to the distinguished individual at the head, I shall call Mr. Biddle’s
bank. I hat, at least, will be one of the winners—one of the twen
ty-five to whom the prize will be assigned. Its vast resources, its
wealth and influential connexions, both at home and abroad, the skill
and ability of the officer at its head, and, what is less honorable, the
great resource it holds, in the notes of the late United States Bank,
of which more than six millions have been put into circulation, in
violation, to say the least, of a trust, constituting more than five-sixths
of all its circulation, and which is not bound to pay—with the still
greater amount on hand, making in the whole more than twenty-six
millions, and vvhich may be used tho same way, if not prevented,
would place it beyond a,] doubt among the victors. Ho starts with
out proper weights, ano will lead the way from the first. Who the
others may be is uncertain ; this will depend mainly upon liis good
will and pleasure. It may be pat down as certain, whoever thev may
be, that they will be powerful ami influential, and not unfavorable to
ns interest or aggrandizement. But the mischievous effect will not
be limited t« this death-like struggle, in which so many must fall and
bo crushed, that might otherwise weather th- storm. The forced re
sumption, for such it will be in effect, would be followed by wide
spiead desolat.on. It is easy to sink to suspension, but hard to re
turn to resumption. Under the most favorable circumstances, and
when conducted most leisurely and cautiously, the pressure must he '
severe ; but, il coerced or precipitated by bankrupt laws or tempta- ,
turns such as this, it will be ruinous. To make it safe and easy must
he tb-work of tim-. Government can do but little. The disease 1
originates mbHUbudm.-K'. aud d,o only remedy is pav.yent
or reduction of debts. It is estimated, fffat when the bmffi, e,,
ded |>yments tb.i was indebted to them the enormous
sum of $ I i 0,000,000. 1 o reduce this within the proper limits, is not i
Mhc work of a few days, and can be but little aided by us. The in
dustry ano the vast resources of the country, with time, are the on- !
ly remedies to be relied on fur the reduction ; and to these, with the
Mate L’-gidttiires,and the public opinion, the resumption must be’
left, ro undelstand the subject fully, we must look a little more in
to the real cause of the v.
This enormous debt was iuciirre.l in prosperous times. Theahmi- '
4ant means of the banks, from the surplus revenue and a rombina
tien of other causes, induced them to discount fie< ly. This increasetl
the circulation, mid with its increase, its vulue depreciated, and pri
ces rtw proportionable. With this rise. . nt<T|>rise and speculation
seized die whole community, and even one expected to make a for
tune at mice; Hml this m turn gave a new impulse to discounts and
orrtdahmt, nil tha swelling tide ImrMed its barriers and d-luged the '
land. I Iw, v j,
it had fir m, possible to return it back to the banks, the sources’ from
Winch i; flow./, through iisdebtors, the speed ding, enter,,ri Ju-, and
busmois p.rlmnof th i community, th-mischief would have been!
in a great umasure avoid-d. B d tin ului.m hi I flowed off into mb- I
er reeuvmrs; loose of lb-moneyed men and bankers, who hoard
when pnees are htglt, and buy when they are low. *rhe onion
thus drawn off and liel I m d .posite, eidu rin banks or th- t het ; of I
indivi.l.uls, was >s< ff-cmtlU lost, a t fat as the debtors of the banks I
were funcerm d, as (f db .d been bond. The means of payment !
was thus diminished; puce, fell i„ |)r .,p ntim,, and the [nes.ure in- 1
creased as they fell. Though the am i„ eirenlmion b„ ., r< :it v I
reduced yet the banks are afraid to !i,. num, let on r, smnption, the I
« ' ” /'l'' li' ld bv mdividuais or other banks, should '
b° It't bi ,«•, an I, m a I litio.s t.wliat ml-!,! be pm imo circul di. ~
shmild dtst-o mt< be made, wool I <-ui,e an ,thm- inundation to be fol
lowed !>v another suspension. H >.v h this difficulty to Imsafi-ly stir- 1
mounted, but by unlocking the hoarded means ? And how is that to '
bo done, without deciding the currency question ? This is the first
and necessary step. That done, all will Im able to calculme ami
tetermnm wlm to do. The period of inaction and uncertainty would
cease, and that of business revive. Fund i that are now locke.l up,
would Im brotig it again mt i operation, an I the chaunels of ciiml
tmn be icp.enisim lin the only mod thm am Im done with safeiv. |
J hus tbmkmg, lum now and have been from th c fir,; i„ f UV p r o f an 1
early de 'i-.toi’, and averse to all coercion, «r bolding »mt temptation '
to resume ; leaving the disease to the gradual and sale operation of
time, with as lit'le tampering as possible. In the mean time, I hold
it to Im unwise to cease discounting, and to adopt an indiscriminate
system ol cmtailment., its eflccts are ruinous tothi' business of the
country, and calculated to retard, rather than to accelerate a lesump
tion. The true system, I would say, would be to disci not with lu
-mess paper as freely as usual, and cm tail gradually on permanent
debts. The farmer would revive business, and would increase the
debts to tho banks less than it would mv'ease the ability of the com
munity to pav them.
Having n.iw shown how this league, or combination of banks i, ;
to be formed and revived, with the difficulties in the way, it remain- j
to determine, whtit will be tie' true character and nature of the com
liin ition when formed. It v. ill consist of’ Slate I'imks r-taining their
original powers, that of discounting and all, without being i'n tlm
i slightest degree impaired. To these the substitute proposes to tub)
important additions ; to receive their notes as gold and silver in the
; public dims ; to give them tho use of the public deposites, and toor
i ganizo Mid blend the uhole into otm, as the lis< al agent of the Go
; vernment, to be placed tmdertliu immediate siipoivision and control
jul the Secretary of the Treasury. Now v.bal does all ibis amount
’to ? Sh ill 1 name the word—lie not s'ar'h'd ; A BANK a Go- j
vernment bank—the most extensive, powerful and dangcrutts, that !
■ ~y( >r existed. This substitute would he the act of iticorpora- I
Ilion; and the privileges it confers, so much additional banking
! capital, increasing itmm/nsely its powers, and giving it an uidimi
| ted control ov: i the business, and exchanges of the country.
Tlm Senatni'from \ irghii i (Mr. Rives) was rightia supposing; that this
now tn lot tl’c t;x perime it n mild be ::ei !e itii'b r very •iffei cut l ii cttm - :
■ timces from the first, ati'l v.-.m1.l Irive a ilifiei eat termination. Tiiat too.
like this, was a fiank—a (jovernrneut him!'., as »li>t'mguished from the
late bank, to n hich it was set up. as a rival, ami was at tho time con
st m'ly so derigu ited in debate. But the c now are imfeed
difle-ent—very different, and so would he tlm tho experiment'
1 his bank would not be the s.iir.e t iekety concern That
curled in anarchy, and this would in despotism. I will
The former failed not so much in consequence of the atl verso cirytni
stauces of the times, or any essential defect in the system, as from tYi>»
warn of a head—a common settsoriutn, to think,—to will,and decide.
for the whole, which was indispensably notfcssary to ensure concert ami I
give uuity of design mid execution. A head will not be wanting nptv.
Mr. Biddle's bank will supply the defect. His would bo not only one of
the resuming banks, as I have shown, but would also be on -of the 25 I
to he selected. If there should lie tho temerity to omit it, tlm present'
"'.',!<l shrne ilwsioi*. . I
the head of those excluded, would be an overmatch for the selected, in
skill, capita! and power ; and tlm whole league would inevitably be over- I
thrown. But il sdec.'r d. th ' pusirion of his bank in the league would tie !
certain. Its vast capital, its extensive connections, its superior authority, !
mid hisskill, abilities ami influence, would place it at the head, to think
ami act for the whole. The others would be ns dependent on his as the
branches of the late bank were on the mother institution. The whole
would form one entiro machine, impelle I by a single impulse, ami m
king a petfect contrast with its predecessor in tlm uuity ami energy of
its operations. °
Nor would its fate be less di-similar Anatchy was inscribed on the
first from Hie beginning Its deficiency in the great ami essential ele
ment, to ensure conceit, was radical and could not be remedied. Its
imioii ivilli tho Government conld not supply it. nor avert its destiny.
Blit very ddlerent would be the case of the present. Add its intimate
union with thc Government, for which the substitute provides, to it.
other sources of power, and it would become irresistible. The two, Go
veitiment and hank, would unite ami constitute a single power; btlt ;
which would gain the ascendency ;—whether the Govcimnent would
beeomedhe bank, or the bank the Government, is neither certain norm i- i
tcrial ;for whichever it might lie, it would form a despotic money < racy,
(if 1 may lie permitted to unite an English and a Greek word,) alto- |
getlier irresistible.
It isnot a little surprising, thatthe Setmtor from Virginia (Mr. Rives)
whose watcliful jeahmsy coul 1 detect, as ho supposed, the embryo of a
Govcimiie.it batik in the bid, should overlook this regular incorporation
of one by bis own substitute. Out of the slendet m itci ials of Treasury
| w.irrants and drafts to pay public creditors, m- transfer funds from pl tec
j toplace, as the public service might require, and four ,iiinci|tal receivers
j to keep the public money, he has conjured up. with the aid of a vivid
iiihi^iur*tio:i, h tuiuiu crnnictit bauk, which ht; told 119, with thc ut- •
j most confidence, would rise like a crowd, at first as big as a hand, but
: which weu d soon darken all the horizon. Now, it is not a little unfor
: ti.nme fm liisco.ifi,lent'predictions, that these seminal prineiplts from
which the hank it mspring, h ive all exist’ d from the coaimenccrnent <d
‘ our Government in full force, except the four reccivois, without slmiv m'’ '
1 til? least tendency to produce the result he anticipates. Not only
; but every civilize I Governm nt lias the powei to draw' Treasury war- ;
| rants, and transfer drafts ; nor has the power in a single instance termi- :
I uate.l 111 a bank. Norcun the fact, that the money is to he kept bv re- i
i ceivet s. contribute in the least to produce one. The public funds in their
j I* «'H l>e ns much eyond the control of the Executive, as it was
;in the vaults ol the banks. Bat. to shorten discussion, I would ask.
| how can there be a bank without the power to '.i-com t er to use the de- j
posites ? and j ut of which of the provisions of the bill could the Treasury,
I liy any possibility obtain either, under thc seveie penalties of the bifl'
j which prohibits tho touching of the public money, except on w.ir.auts I
■ or drafts, .Irawn hv those having authority, in due form, aud for the pub-
■ he service.
1 But the danger which an excited imagination anticipates hereafter'
| from the bill would exist in sober reality under the substitute. There it
would require neilhei fancy nor conjecture to create one. It would exist !
j with ail its biculticH and endowments complete: discount, deposites, i
; and all; —with w Inch immense means, guided by a central and directing ■
! head, and blended ami united with the Government, so as to form one i
| great mass cf power. What a contrast w ith the bill ! How simple and
I harmless the one. with its four principal receivers, twice as many clerks,
j and live inspectors, compared with this complex and mighty engine of
[towel I And yet there are many, both intelligent ami patriotic, who op-
! pose the bill audsupi ort thesubstitute, on the ground that the fminer j
1 would give more patronage am! power than the latter I How stran-e -
and woml 'i'fiil the diversity ol the human mind I
Ho far from being truc , the very fact of the separation of the Govern- '
merit from the banks, provided for in the bill, i.ould, of itself, be the :
most <1 cisiveblow that could be given againstGovermnentpatronage
and the union cf the two, the most derisive in its favor. When their
notes me received in the public dues, as cash, ami the public money de- I
i posited m their vaults, the banks become the allies of the Government on 1
I all questions connected with its fiscal acli-n. Thc higher its taxes an I 1
| du.ies. the greater its revenue and expenditure ; ami the larger its sur
[ilus. the mine their circulation and husiness, and, of course, the greater
then-profit; and hence on all questions of taxation and disbursements/!
! ami ilie accumulations of funds in thc Treasury, th-ir interest would throw |
| them on the side of the Govcrmncnt am! against ti e people.
j All this is revcrsi d. when separated. Tho higher the taxation and dis- '
j bm-sements, and the larger the surplus, the less would be theirprofit; ami ’
| their interest in that case, would throw them with the people, and against !
j the Government. The reason is obvious. Specie is the basis of bank- |
i mg operations; and the greater a.nomit they can command, thc greater
; w ill be the tin ir business and profits ; but when the Government is sen
| arated from them and collects and pays away its dues in specie instead ■
: of their notes, it is clear tiiat the higher thc taxes and disbursement!, and
| the greater the surplus in the Treasury, the more specie will be d.awn
Iron, the use of the banks and th ? less will be left as the basis of their
| operations; aud, consequently, the less their profit. Every doilai wi'h- |
drawn from them would diminish their business four-fohl at least ■ ami
i hence a regard to their own interest would inevitably [dace them on th- S
1 side to which I have assigned them.
! * ,!e e ‘ r '. ? " !s ? ri ,ilc !>°ldicsof thc country would be great and salutary. !
he weight of the banks would be taken from thc side of the tax consu- j
. mere, where it has been from the commencement of the Gorertimetit, !
and placed on th., side of the larders. This greiUdivEiun ol thecom
, tnmutym.eessardy grows out of (he fiscal action of the Government.
1 akc taxation and disbursement together, and it. will always be found
that one portion of the community pays into the Treasury, in the shape
ol taxes, more than n receives back in that c.f disbursements, receives
ami that another hack more than it pays. The former- are the tax
i papers, and the latter the consumers,—making the great essenlia!
and controlling division in all civilized communities. If, with us’
[ the Goverim ent has been thrown on the side of the consumers, as it
has. it mud.ic attributed to its alliance with the banks, whose influence I
| lias been, tn consequence, at all times steadily and powerfully mi that !
j side, it is to this mischievous and unholy alliance that may be traced
. almost all the disasters that have befallen us, and the great political dc-
I geueracy ot the country. Hence the protective system ; hen-e its asso- 1
I ctated and monstrous system of dislmrsemeuts; hence thc collection of
; more money from the people th m the Government could require ; hence I
theva-t and corniptiug surpluses; hence legislative and Executive usur
; patmus; and finally, hence tlm prostration of the currency and thc dis !
j asters w hich give rise to out present deliberations. Revive this fatal I
cotim. tmii ; adopt this- substitute, and all Ibis train of evils will again
follow m ilh n*(ioul>lu<l disawh ih and corruption. Refuse i| u > < <>nncction ; I
| adopt tliis bid, and all will lie reversed, aud we shall have some prospect
j of restoring the C'onTitutiou and country to their [u iinitive simplicity
I and purity. ’1 he effect of the refusal on the patronage of the Govern
ment would be great nnd decisive. Burke has wisely said, that the
| ‘•revenue is the State in modern times.”—Violence and coeieion are no
I longer tile itistruim nls of Governim'iit in civilized conmiuiiities. Their
I rci 'ii i- past. Every thing is now done by money. It is not only the
sinew of war, but of politics; over winch, iu the form of patronage, it
I exercises almost unlimited control. Justus the revenue increases or
'imini-, ies, almost in the same proportion, is patronage increased or'
diiniuished. n
But admit f„r a moment, that neither tho separation nor the connec
tion womd have any sensible effect to increase or diminish tlm revenue;
and that n would lie ol the same amount, whether the bill or substitute
should he adopted ; yet even on that suppo-Tiom th- patronage of the
I nter w ould be at. hundred fold greater tli in the former, hi estiimiti.i
he ammmt of p'.tromigc of any me isure, three parliculm's must lie taken
tn o the < ili'iil.itioii , lae number of persons who may lie effected by it • '
tlieir infi icnc .' m t!ic commimity. mid the extent oft.be c uitrol exer’i
cised over them, h will be found on comparison, tiiat the sulisiitute !
com; im s all these elements in a far greaterd-gree, than the bill, as I shall I
now pierced to show. I berm with the number.
I he liill pruv. f. s. a-: h is been stated, for lour principal receivers '
mg.dor Urn ch rks ami a suitable immher of agents to act as inspectors,' I
-u iking in the whole, say 2.5 individuals. These would constitute tlm |
only additional oflicrrs to k-cp mid dis'u’.r.-e the public money. The''
“ti 'stitutc. in .'Edi'i.'it 'o the'oliii-ers now in service, provides fm the se I i
I cttmi of 25 banks to Iw taken from tho most powerful and inHuential. | i
and winch would have, on an average, at the h a.t. Ufif offi< ers mi l i
stm-klmb -rs ea. h, makin/ in tlm aggregate, 2.5 G) poisons, who would i
I - directly interested in the banks, and ol course, under the influence of i
tlie < »ov(’n;ni< nt.
As toilie iclative influence of the officers and the selected banks over '
the community, every impartial man must acknowledge, thatthe prep -n .
dertmee would bo greater on the side of the latter. Admitting tlm res :
pe< tibdily of tlm receivers and other officers provided for in the bill, ami i
Hie ofliccrs and stnckholdcrs of the banks to lie individually tlm - hiic <
Still the m-aiH of control at the disposition of tlm forim r, would Im as <
noi l,mg compared to that, of the l itter. Tlmy could not tom b a cent of
[mlibcmom y. I bcm-means would be llmimd t„ their salary, which s
would be too small tube felt in the eoinmtmity. Very different would s
be the cn«! with ihe officers and stockholders of the banks. They ofall I
persons, are by far tlm most influential in the cmnmimif-. A greater t
ÜBUiber depend on them for accommodation ami favor, and the success t
lof :|,- I l.(-. rn ss ml ~ . rl , in h(e< |(| , n , ( .. y ( . (| ~s jn .
ami tms would be especially true of the banks connected wi.ffi the Go
vernment •
It only remains now to compare ilie < Xt-nt of tlm control that may be
(Min-ed by ‘tic Goveriinh nt over the two, in order io complete the
< omp.utsoii; and here again the preponder nice w ill 1.0 found Io bo stri
-son ti.e same side. 1b- v. hole amount of expenditure under the
lull would md exceed f.':i(>.Old) or $ K).(U)I) mmmtlly.it the very farthest;
aim- constitnU's the whole ammiutof control which tho Goveinment
can t xeicise. I liere would lie no p-i quisites, no contracts, jobs or inci
i.ent.ilgains. Ihe olii< ('rs and salaries would be all. To that extent,
llinse nho may hold them would be [icpcnilent on the Government, and
I H'.usta" they may be controlled. Howstamls the account on the other
side? \\ hat value shill h<> [mt on the public dei>mnt«s in the banks ?
| \v hat on the reeeivnliility of their hides, ns cash, by the Government !
M hat on llieir comK'i'iion with the Governm nt, a“ their fiscal agent,
wbieh would give ■■ > o lt - a control over tho exchanges and business of
tlie cotmtiy ? Mow many millions shall these lie estimated at, and how
ittsigmfieimt must th- paltry sum of fil-illjilftl or ,«< 10,000 appear to those
countless millions held u'ndur the piovi.ions of the substitute at the pleas
ure of the Governiqcnt 1
Having now finislied tho comparison as to tho relative patronage of
tlie tw o measures, ! shall next compare them as fiscal agents of tbu Go
vern::) nt ; and here let me say. nt tiro outset, that the diseu tsion had cor
-1 rectcd an error, w hich 1 once entertained. 1 had supposed that the
I h izard id keeping th • public mmi 'y tmd.T tlie custody of officers of th
j (iovcrttuK'nit, would be greater, than in bank. The. Senators from New
j 11 impshire and (.'mniectieiit. Messrs. Hubbard and Niles have proved
from the record, that the hazard is mi theotner side : ami that we have
I -st more by th : banks than by th- collecting and disbursing officers com
bined. hit can be done to increase the seem ity In judicious selection
of ollict-r:i, and [>ropt r organization, is strongly illustrated by the fact
i stated by the chairtn .it (Mr Wright,) in his opening speech ; that in the
War Bepai tment. tiiei c hasbecn no loss for 15 years, — from’2l to'3i>,---
on an expenditure certainly nor less than fill 1)0,001).000 I take some
pride in this result ol an oiganizatien. wliich I originated and established
when Secretary of War against the most formidable opposition.
As to the relative expense of the two agencies, that of the bill, as.small
as it is. il we arc to judge by aiqiearunces, is the greatest; lint if by facts,
the substitute would be much the most so, provided we charge it with
all the advantages, w hich the banks would derive from their connection
'he Government, as ought in fairness to be done, as the whole
uJfrhfctjejy t omes mil <;f ihe pot kets of the people-
i Ina single paricular th? banks have the the a.! vantage as fiscal agents.
| They ”’ou'd be the mor" convenient. To this they are entitled, and I
, wish to withhold from them no civtlit. wbieh'hey may justly claim.
i he Senator from 5 irginia (Mr. Rives) appeared to have great ap
prehension. that the t -M-etiott of thc pubHlkiues in specie mi K ht laud
. tw.mdmg. lie may tlismiss Ills “e r. .<u (hat hi ad. It is not thege.iius
I of modern ami civilized Governments to h >:ird;and ’f it were, the batiks
will take care, that there shall bo no extriardinary accumulation of
' cash in the Treasury. Pass the bill, and I underwrite, that we .shall never
i have again to co.nplaiir of a surplus. It would rarely, in ever in peace
and settled times, exceed three or four miliions at the outside. Nor is
his apprehension that ho irding of specie would lead to war. less ground
less. The danger is in another quarter. Waris the harvest of hanks,
w hen they are connected with (Government. The vast increase of rev
enue and expenditures, and thc enormous public loans, which necessarily
enure tnaiidy to tb-ir advantage, swell their jirofiis in war to the utmost
limits. But separate them from Government, and war would then bel
to them, a state <d famine, f >r reasons which must be apparent after what
has been said, which would throw their weight on th ■ si le of peace and
gainst war ; just as c-rtain.y, as I have shown, that the sep n ation
would throw it on the side of tax payers, and against the tax consumers.
1 come now io ilie conqiai ..on of the efleets of the two nieasures on
the currency of the country. In this respect, the Senator from Vir
gin! i (Mr. Rives) a, emed t > rhi ik. that his “iilistiiute would have a great
superiority oyer thebili; hut his leasmis were to me wholly unsatisfactory.
If we me to judge from experietce, it ought to lie prono'tmeed to be the
worst possible measure. It his been in operaiion but t" ice (each
' for lint a few years) since the coiitnencement of the Government; ami
it has so happened, tiiat the only ivo explosions of the currency occur
red during those periods. But, w ihout relying on these disastrous oc
currences, we hue seen enough t« sutisfx the most incredulous that
; there are g.e.at and radical deleeta h our bank circulation, which no
i emedy heretofore applied, h<s been able to remove. It originates in
the excess of p iper, cumjure ! to spe-ie, mid the only effective cure is to '
iuerease the latter mid re< lice the foreer ; mid this thesubstitute itself
impliedly ticknow ledges, by proposing;) rem-dv that would prove wholly
. inoperative. It proposes that, aftei a e, tain pel od mentioned, tmtm |
of the banks to be soleeted, should iss< v notes under ten dollars. The :
(iie< I wo.ii.c l»t, h»)t a ditniuur -i ol rhu circtila-iou oi\njall notes
nut a new division . f the banking' bu-iit ss, in wliich the issue of l. r-e
mites would f ill to the lot of the seleeld banks and the small to the I
otlieis. wiilimit restricting in the least,the aggregate amount of paper '
circulation.
; But what the su’istimte wonld fail to do. the bill would effectually
remedy. Num? doubt. I -:it the separ;>ti ai from the banks would greatly '
increase th- proportion of specie t:> p::pw; but th" Senator from Vir- j
gin;a ( ,r. Kivcs) apprehends, that its opemtion would be two powerful:
so much so, in I ict, as to destroy the bank'!. 11 is argument is, that spe- I
tie would be always at a premium, mid’hat it would be impossible for '
. the banks to d/msiness. so long as thatw :; S the case. His fears aie j
groundless \> !> it fie dreads would be but a temporary evil. The I
very fact, that specie would btara premium would have a double effect, !
to diminish paper circulation and mereas - he importation of specie, till I
| an equilibrium between the two would he restored, when they would
:be at par. At what point th'.s would betffected , is a little uncertain ;
but the fear is. that wit h otir decreasing revenue, instead of the specie
being increased toexcess, it would nut be increased sufficiently to give
' the desired stability to the ctiri eney.
Jn this connection, the .-enatur urged tn objection against the bill,
I Wiiieh I regard as w holly groundless. He said, th itihe payment of the
; dues of the Government in specie, would create a double demand ; a
domestic, as well as a foreign ; tlie efl. cts of wbieh would be io increase
greatly, its fluctuatii ns; ami so deeply was lie impressed w ith the idea,
/hat ha drew a vivid picture of its alternate flow from the coast to the
interior, and from .North to South, and back again. Ali this i., the work
iof imagination. ’I he effect would be directly the reverse. The more
numerous the demands, the less the fluctuation; so much so, that the
| gieatest stabibry would be, where it exclusively performed the function
i ch eolation, and wxhere each individual nmst keep a portion to meet his
daily demands. 1 his is so obvious, tint I shall not tin ert.ke to illus
trate it.
Lilt the superiority o: tho bill over th<?substitute would not be limited
only to a mote favorable proportion Itetween specie and paper. It would
line another important advantag that cannot be well over estimated :
. it would make a piactieal di-tinetion lietween currency and circulations
; —between the currency oftfie country, aud private ami local circulution.
midi r w liich head hank p :j:: r would be comprehended. ' The effects
would lie. to remle- a general e.xplosionuf the circulation almost iinpos-
Mol.'. 'A hatever tier tn,i iiii nts might "ccitr, would be local and con
, fined to some one particular commeri ia: sphere ; and even, within its
• limits, there would be a .sound currency to fallback on, not partnkiuc
; ol the shock, and which would greatly diminish the intensity and
tioii of the distress. In the mean time, the general business and finan
ces ol the country w ould proceed, almost without feeling the derange- i
inent.
H ith a few remarks on the comparative cffacts of the tw o measures
' on the industry and business of the country, I shall conclude their com
parison. What has been said on their relative effects <;n the cm reiiey,
goes I.tr to decide on the question of their relative effects ou business
1 tmd industry.
1 hold a sound and stable currency to be among the greatest encour
agemeuts to industry and business generally; and an unsound ami flue
tuating one. now < x; am'in.- and now < < nir u ting, so thal no h.meat man
: can tell what to do. a? among ’h- f.ieatest discouragements. The dol
lar and tho eagle are the measure of value.the yard ami the bushel
j are ol quantity: and what would we think of the incorjioratimi of com
panies to regulate the latter—to expand or contract, or slioitcn or
li ngiheii thetn at pic t ure, with the privilege to sell by the contracted or 1
I shortened, nod buy l y the expanded or Irti-tln tied ? is it no! seen that ■
it w ould pl ice t!ii- whole industry and business of the country under
the control of such companies ? But it would not m ire certainly effect j
it, than asimilar control possessed by the' money institutions of th?
country, over the im-a-mreof value. But Igo further, and assert c :nfi
dently. that the if piijitr currency,as wll as its unsteadiness is un-
favorable to the industry and business ofthe country, ft raises theprice
of everything, and consequently increases th- price of production and
' consumption; ami is, in the end’, hostile to every branch of industry.
I hold l hat specie and pa, ■■ have eai h their proper sphere; the latter
i lot large and distant transactions, and the former for all others; anti that
, the nearer our t iidilation apj'ioaches gold and silver, consistently with I
! convenience, the belter lor the iiide-trv and the husiness of the Coimtiy. (
1 lie more spec le the better, till that pornt is reached. When attained, j
it would cembirn' tn th" greatest [Ms-itdedegree. soundness and fuilitv. I
i am. woul.. be favorable to th. productive classes universally; 1 mean !
tm 1 1. i 'Usiner... [datitevs, tn ere limits, arid m ami fact urers. as well as ope- I
I Hives, ft would be par.ieularly fr.v .. Me lo t | le bonth. Our great
, staple, are cash aruel -s . very w li. i’e ; , I? ,d it . v ;u well remarked bv
i i< . cuatoi l.ein Anssi.-isippi. Mr. W alkc:. at the extra session, that we i
so.tl area, ft prices and bought al papei p h-s; that is, sold low ami !
mmgjit high. 1h- m muf.ic uimg. commercial ami navigating imerests
"” u 1 <»i s ’» leel Hs iKiieficial clh uis. iI \\ <*huapcn pi odurtions and :
be to iiiimiilaetmers in lieu of a protective tariff. Irs effects would be
to enafile tlicfn to meet foreign competition, not l>v raising prices fix
u„ t < on. s, but by enabliii;: them to sell us clu'iip <»■ cheaper titan the !
tiiieigtier, w inch would li irimmiz.i? evei v interest, a <i place onr man- I
ii.u Int oil 1 1|_. mus s basis. I; is iljd only ino*'e by which the
■’“H J* r < : ‘ n evcr he < <iillJi;i!i<led ; hii<l uouim »l>(!e<i it would be,
wii i.i sound :ui(| nioder.ttely expanded rnirent y. Our inji<*ntiiiv, in
venmrn, and industry are equal to am people; ami all our mamilactiif
ers w ant. u. a Humid ciinem y and an even < Inuiee to meet petition '
with Miecess any w here, at home or ac il>i( ,|. Bin with a bloated ami'
■u< > ti.it ing |),i|'ei cit c(i la tiou. this will be impos“ilde. A moil" it* many
(li-awlmcks, it levte* an ciiot'mmis tax ou tlie community.
ru ids slated, ilrd lhe community isestimut <1 io have been !
« <l hr d to thebanks 0.0 O ai d,.'. inion es sp.-uie p !y -
i ll '*; 10 Hiicrrston tins Him, estimated nt six per crul. (ii ought to 1
'. l ** i •) " ould give an aiimril income to I liose institutions ofnp wards '
ol thirty millions: and this is the sum yearly paid by the community for
> hi "/ci otiHimdatioiis, to the ex.of which we own our bloated an I
it'L.t mm eir.'iil itioi). Never wis a circa' cion »o worthies:, furnished
al ?o, mil a |.,ne. .lo v imi"!i of t ii* v ist in?onietn iy lie considered as
11,11 ton I'"a! c ; i|ii: t!, it is ddiii'idt to eUinite; lint it would. I sup
pose. be ani' le to set d >wn ten millions to th H ii ■ id, whicli would leave
up ' a rd* of twenty mi! limn :1:11m ally, ns the pi oli I* derived from bank
ing privilege* over and above a fair coinpeiisatioii for thecapital invest
ed- which some body tmi*l pay. and which must ultimately fall on tin'
in us ry ami business of the country. But this eimrnmtts expansion of
tlm svstoni is not. astonishing; so great is the slimnlns applied to it.,
giowih. liigciiiiw men <n oilier ages, devoted ihemsidvcH in vain to
discowr lhe at of con vertin? Ihe baser metal- into gold and silver ; but
we have confeircd mi a portion ol the coinmiihity. an art still higher,—
ol converting paper lo all intents and purposes, into the precious metals;
and ought w to be surprised, that an article so cheap lo the mannfac
hirers, and so dear to thcrestof the community, should be no greatly
oym supplied, aud without any reference to lhe interest, or lo the wants
of the communitv !
If we ri to !uTnjvo iho *?en itorfrom Virghiin, anti others on tho same
si<<e, we owe a boost all our improvements ami prosperity to the banking
system ; aud if it should I iil, the age of barbarism would again return.
1 had supposed thatthe basin of our prosperity wove onr free institutions ;
the wide spread and lei tile region wo occupy, ain I tho hereditary iti
telh*jence .mil energy of the stock, from whitli w’c are descended*, but
; I hs. ems that all tiu'se go fm- iioiliing. ami that the banks are every
- i I make no war on th-m. AH 1 insist on is, that thc Government
| -.I i. a-p mate from them, which) believe to ba indispensable, for the
!' ! • '''' :1 " ] ;. I-I otb now and form t-ly. But 1 cannot com ur
• ' i i atlrnmttiig to t.iein our improvements ami’prosperity. That they
• emiirmute.l to give a strong impulse to imlmtrv and enterprise in the
e.’.rl' stages ol th-n- operation. I doubt m,t. Nothing is more slimula-
: ting than an expanding and depreciating currency. It creates a deltt
t s;vo iq.pemance i.t prospertiy. which puts every thing in motion. Every
-me leelsas H Im wa, growing richer, as prices ii.se, and thal Im lias it. in
. bis [rnw. r, by lores.ght and exei tiou, to make his fortune. But it is the
I n ittirc o stimulus, moral as well as physie;,l. m excite at first, ami to
i ' 'i 1 ' 4 ' ’l'attglir, which at first c:iu,cs imnalural excite-
i 'i ' ' , l '’’ Ule 1,1 b'rminate in corresponding depression and
1 ' ■ ,| , | 11 i' H H | H - H ' <,,M t- I ’ ll ,l 10 of a currency, ex-
, anding heyoml i's proper limits, follows the same law. We have had
. th. , y.imnafioti, and the depression has succeeded. We have had
' [’, <!:l Ol experience the pain of becoming
,s K<’»e ami tho evil has snccee led ; ami on a fair cab
' r H "J'. 1 I,C 1,0 greater than the former. What-
cI 1.0,011 ,e th' bankmg system was calculated togive lo our
m t ami pr.pmt has already Imen give,, ; ailli lllc ~e vel, s (; v .. ;|l
I t.a u. ...low ummstim system should umJe.go great and radical
"»■■ d ”i" i ""
I have. Ir. Piesid. nt, finish' d what I inten l< dto say. I have lorn’
an li'q.mt'd the present crim, i, !tt <li(| ( . xpei . r ihf ;u .> iva| ti|jie ’
Ah.u l s.„v t.s approach. 1 , mo!veil to do mv duty Im the consequen
ce ome what they mt.hl. :-ml 1 lny ;! , k< p,,. A , |t!l „ r ,
win') : '' V '•e.'.lation and opportunity to dischargJ,
at horn stly 1 . nevctl to Im that duty on thi; great subject.
■ h.rw the qne.Htmn wtllbe decided, is ;.< knowledgeil to be d übtfitl, so
> ai , are the two Houses s.qq-. sed to Im divi-je.l ; but whatever may be
' / 7." ■ ' < -"llfi.letme in its /a .7 triutnj.h. The
| h. attentton ts ron-cd- rim subject will Im thoroughly investigated.
; . I have no b ars l, tll tlm “t.!e I support w tli prove to be tlm side of
C, '‘ inicllectttal t-xcellenre.
--v< ly-M Kir
T Wa;ATF-F aFTH ( u3l FSM-Secon d 'Session.
IN SENATE,
, Thursday, March 1, 1838.
rtlf. tiitcnatian presentml tlm follow ing memorial:
lot he Senate and JJnuse of licpresent.alines of the United States
in Congress assembled.
rim iinilersignetl, delegates ot the people of Pennsvlvania
to a cmiyemiim now in session at the cily of Philadf Iphia to
reform tlm r -..'-n JJ ....j-..—.
lli.it in the present crisis of public affairs, the mid-rsigned
deem it their solectn duty, as well as their unquestionable fight,
to counteract by memorial and remonstrance the false impres
sion which may be made in Congress as to the will of the peo
pie of this St ile concerning their deranged monetary interests,
of which will and interests the undersigned believe they enjoy
as. good means ol being well informed as any other represent
atives of the people of this State.
W The people, at every election since the Bank of the United
States, first, and afterwards various State banks, have, by vi
olent and improper efforts, been struggling to t ompel the com
munity .o submit to a banking control, contrary to the Con
stitution, an<l the well understood public interest and will: the
people have at every election chosen representatives instructed
to put an end to such bank control, and restore the an hority of
the p ople; but too many of those representatives have been
mided to sacrifice the will anti interests ol the people to those
of the banks.
Your memorialists have reason to believe that there are very
tew, w hethi r of the people or their representatives, not unduly
mlmenced by banks, who do not now desire that an entire sepa
ration should be realized between Government and all banks,
and as speedy a restoration, as may consist with the ge.era)
W' Hate, of tin- hard rac.ney which the banks have driven out of
circulation; and these two fundamental principles, viz: fir-t,
tlie fotul separation of Government from all banking opera
tion-,, and, secondly, the earliest possible restoration of per
in itrnnt hard m mey circulation, your memorialists respectfully
represent to Congtess as the will of the p<<>|ile of Penns vlvania.
Tim object of this memorial to Congress, therefore" is, that
no delay may he suffered to prevent the accomplishment of
: tlioseen.ls, but that forthwith, during the present session of
Congress, the Senate and House of Representatives n ay be
I induced to enact such laws as, under the praiseworthy recom
mendation* of Hie President, w liich your memorialist’s believe
| are in perfect accordance with the will of the people, may, as
soon as possible, afford relief from the present banking incou-
■ venience.
Whereupon the undersigned, by this memorial and remon
strance, respectfully but earnestly request that Congress, es
pecially the Senators and Representatives of the Stateof Penn
sylvania, w ill lose no time in accomplishing this important object.
J. Ingersoll Ezra S. Hayhurst
George M. Keim Wm. Gearhart
Wm. L. Miller John J. VV. Cohen
George Shilleto Ephtaim Banks
Wm. Curil W nl . Overfield
Jas. Dunagan Virgil (Grenell
James Clarke James Kennedy
Joh. Fulton William Brown
Devid (Gilmore Geo. W. Riter
William High Robt. Fl-ming
John Ritter Jos. Frv,jr.
Thomas Weaver D. Nevin
Sami. Cleavinger R.M. Crain
Jabez Hyde Thomas Taggart
Thomas Hastings Alex. Magee
Mark Darrah Jno. B. Sterigere
li. (». A hite Lebbeus E. Bigelow
C. Myers John A. Gamble
Sami. C. Bonham Geo.T. Crawford
John Foulkrod David Lyons
Abm. Helfienstein Geo. W. Woodward
Jacob Stckel John C unnnin
J. R. Donnell C. Brown
11. Gold Rogers Thos. S. Bell
Joel K. Matin Pierce Butler
1 obias Sellers Andrew Bedford
Henry Sheetz A. H. Read
Jacob Krebs Jacob Dillinger
Wm. Smyth Hiram Paytie.
Geo. Smith
Philadelphia, Feb. 15, 1833.
Mr. B ichamin, in presenting this memorial, said, that in
point ot talents, integrity and patriotism, these gentlemen were
equal to any other fifty-nine geutlt men who could he selected
in Pennsylvania or in any other State of the Union. He had
the pie. sure of know ing them al!, or nearly al), personally, and
their opinion on any subject was entitled to the highest consid
i tation, and ie-p»ct from this body*. Besides, no gentlemen
< mild have.t better opportunity than tljt-\ bad of knowing the
let lines and wishes of the people of Pennsylvania, in regard
to the Sub-Treasury Bill, or any other question of public im
portance.
F ACTS FOR THE PEOPLE.
It is a remarkable lad, thatthe Fetltralisls in this State have
: passed no laws to restrain banks, taken no measures to guard
j and secure the public, or protect the interest of the stoek
i holders.
It is a well known (act, that i.i 1834, the last year of
j Federal ascendency’ in Connecticut, a large batch of banks w as
j granted.
It is ;i fact, that the Democrats gained the ascendency the
. follow ing year, and rejected every application for a bjink char
ter; ami not a bank has been established since the panic year
1834. ' J
It is a fact that the Democrats demanded it reform of the
banking sy-tem in 1833 and 1 834—immediately after, the Uni
ted States Batik, assisted by other institutions, began to oppress !
the people, and created a political panic.
Ittsa fact, that the Federalists resisted every effort to reform
the system, in the Legislature, through the press and public
meetings—misrepresenting and perverting the views and in
tentions of the Democrats.
It is a fact, tiiat the Democrats commenced a gradual reform
in 1835, by restraiuing bank issues, and enlarging the spei'ie
bases—that they steadily pursued the reformation in 1836, by
appointing rs composed of the highest financial '
ofiict IS in tile State, Messrs. Beers, Brown, and Field; and that I
in 1337 on the report of these gentletm n, and pursuant to th ir '
reconmiendatioii, the Democrats passed a law to guard the i
public, and secure the interest of stockholders.
It h a lad, that in all these pioceedings in relation to banks,
the Democrats have exhibited great deliberation, produce,
w isdoin, justice, ami firmness, injuring none, but protecting all, 1
ilEreg/riling the cl imor of the Federalists for thc special Lett- 1
cut ol the few, in a sincere determination to preserve the rights <
and welfare and the many.
It is a fact, that the Federalists, who have opposed each and ’
all I hese measures of reform, calling them the “destruction of
tlm banks and credit system,” would have continued all the old t
abuses, and refused all reformation, provided they had controll
ed the State. * 1
It is a lad, that our bank would have been in thc same de
plorable condition with those of the Federal Whig State of ,
Massaclmsetts, with the same disastrous calamities to our cit- ,
izens, and io tlie ruin of the stockholders, lint for the reform ‘
which the Democrats commenced and have already effec.ed.— ’
Hart ford ( Ct.) Times. ,
STATi: RIGHTS and STATES
t —r.-=7 —— - ” /'■*
'The friends of the Union are. our [riendr,aid its enemies, our eneinies.' f
‘ ( ——
utils toss s
TUESDAY MORNING. MARCH 20.
MR. OALHOUN’S SPEEC 11.
We lay before our readers to day, the entire speech deliver
ed by Mr. Calhoun on the 15th nit. upon the Bill to divorce
the Government from the Banks.
In recommending this masterly effort to the attentive consid
eration of’ the public', we do so, not a> the eulogist of Mr,-
Calhoun, hut with tlie sole view of placing in the hands of our
countrymen, a powerful argument* upon a great subject.
We believe it lo be conclusive and unanswerable, and that
no unprejudiced individual can rise from its perusal, without
the strongest conviction of its truth.
It has tripped up, and scattered to the winds, the chop logic
of the federal bank party, and demolislied the “ baseless fabric’* 1
of the conservatives.
Li t it be read, and let every man, after he has attentively
con.'idcred it, set his own mind to work, for reasons and argu
■ -tttfhb to comoat the j>i'-mgij>les it sustains, and our word on it, it
will be found a hopeless underTakbig.
I'ite connexion of the Government and the Banks, has ex
isted already too long, and the sooner the separation takes,
place, the better. If there was no other reason, the objects
and pursuits of the two, are so different, that they should never
be united. The Government should have nothing to do with
money matters, except the collection and disbursement of its
own revenue. It possesses no constitutional power to loan mo
ney, or to speculate, while money making and spe illation, are
the sole objects of Banks. If the Government has no right to
lend money, or lo embark in speculations, can she place her
| funds in thd hands of others, lo loan out, and speculate up
on. I his is a question, worthy of the most calm and close re
flection.
The light which has lieen shed upon this subject, since the
measure was recommended by Mr. Van Buren, at the Extra
session in September last, is making a vi-ible and salutary im
pression upon the public mind, and if, by any and every sort of
tiii k and stratagem, it should lie defeated at the present session,
it will be a shortlived triumph to its adversaries.
The causes of the pressure of the last twelve months, are
every day, b: tier understood, and will be ultimately traced by
the intelligence of the country, to the proper source, and as
sure as “ truth is mighty,” so sure will a vast majority of the
people decide, that nothing has contributed halt so much to
bring about the embarrassments of the period to which we allude,
as the connexion between and the Banks. The
great increase of the public revenue, threw into the Banks,
some thirty or forty millions of dollars, upon which they car
ried on Banking operations. The possession of so much mo
ney, and the desire to make the most of it, induced them to
extend their issues and accommodations, fai beyond the real
wants of the people ; and the consequent facility of obtaining ’
funds, excited a spirit of will and reckless speculation, which
has involved thousands in misery and ruin, who would other
wise have now been independent and happy. Hence it is shewn
that the loan of the public money by the Banks, lias created
an indebtedness among the people, of, from thirty to fifty mil
lions, which would never have taken place, if the Government
had kept its own money in its own hands. It is within the ex
perience of everyman of com sense, that when the use of'
money is easily obtained, the temptation is so strong, that ma
ny cannot resist it, who embark in various enterprises in the
hope of great gain, most of which, prove in the en , to be whol
ly delusive ; and such lias been the effect of placing the public
revenue in the Banks.
But there i; one class of political economists, who denoun
cing the removal of the deposites in 1832, as the primary cause
of al! the difficulties we have since encountered, very gravely
tell us, that if the United Stabs Bank had been rechartered,
and the public money had been placed in her custody, we
should have been spared the calamities which have befallen the
country. To this we answer, that had their wishes been grati
fied, had the United States B ink been rechartered and the rev
enue rem lined in her hands, there would at this day, have been
scarcely a State Bmk i.i exi-tencc. Assuming the authority
of the Government, it would have ruled the State institutions
with a rod of iron, and those which might have survived, would
have owed their existence to a servile acquiescence to her im
pel ions dictation.
The Government must now decide, whether it contains in
its siructure and attributes, the power to manage its ow n affairs,
or w hether there exists in its constitution, the germ of imbe
cility, winch renders it inadequate to the performance of its
most important functions—iu short, whether or not, those insti
tutions which have been founded by the wisest heads and pu
rest hearts, are too feeble tn be sustained without the aid of
money changers and privileged associations.
If upon a full and fair investigation of the subject, the peo
ple shall decide that the Government is incompetent to collect,
keep, and disburse its own revenues—that Banks are the only
agents upon which it can rely, to fulfil this high trust, then may
we no longer boast of our republican in-titntions Then may
we remodel our constitution, ami proclaim to the world thal
the American revolution was a farce, and our subsequent repub
lican career, a humbug.
Bitt we cherish no such gloomy forebodings. We know
ant! feel, that there is wisdom, energy, and patriotism in our
Government, and that it is amply aide to perform all its obliga
tions to the people, with ability and integrity. That it will
prove itself worthy of its immortal founders, in its capacity to
perform the full measure of its duties, and that under the
shadow of its wings, the people will find peace, liberty, and
security.
As it regards the B ink*, we would leave them to the man
agement of their own affurs ju*t as we would leave individu
als, subject alone, to the supervision and control of the res
pective State*, believing' that, managed as they should be, they
may prove advantageous to a valuable portion ofthe com
munity, while on the other hand, if injudiciously conducted
they cannot fail to prove a curse to the country. "
Upon no subject has onr mind been more thoroughly made
up, than that of dissolving all connexion between the Govern
•nent and the B ink*, and we are still more confirmed in the
opinion, from the fact, that all the ABOLITIONISTS are op
posed to the measure.
railed Stales Esq of
this (I ty, has been appointed Marshal ofthe United States’for
the dtstrict of Georgia, in the placeof Peter Solomon, resigned
Mr Clay—This luminary Os the VVesf, is getting into
very poo,l odour with the abolitionists, and if he can
Mr. Webster out of a nomination for the Presidency, will be
a very acceptable candidate to the fanatics. Wil] the South
take up any man who receives their support?