XlAXiBXGH, 17. C. WEDNESDAY, S33PTELTBEII 13; 1837
VOLSSVIII.
HO 33.
!
. V !
I
J
1
to
" THOU IS J. LEM4V 1
-tPITOB5P f gof ilETOBi
: tbiims. ; .
8carairria.Tt lUice doltari per annum--one
..if uhnHti i - -
-,.w rutitlHic llhj
rlihout iht Slal will be
required If J
. i WY Ae amount of bc Tear",
n4jlMiaj.ii,.itj-
uV TKS or ADVERTISING.
for ewy MUre (not exceeding 16 linet Ihii
tiie "rM 'nM'r,i,, pn dullirt each eub-
I ke ailTcrlieraenta of Clerk and Sheri.Ta
be chm-fd Si per cent, higher and a de
tiuctkxi of 33 erent. will be elude from tlie
ri-gular price, lor advertiser! by die year.
Letter to the Editor matt be poil-paid.
3TIESSACJE.
FROM THE PRESIDENT OF THE UNI
TED STATES
T the lira Ifoutet of Concrete, al the earn-meiu-ement
of tiejtrtl oetriun f the U'aren-ty-Fifth
Caagren.
FclltiirCttizeru of the Senate
and fame of llepvttentati veil
The act of the 23d of June, 183G.
regulating the deposilcs uf the-public
money, ami ili reeling tl:e employment
rif State, Dint ric t, and Territorial banks
for that purpose, made it the duty of
.i.. o .. . ' .1 - f A... i--
..... r,.j.. ..... . ..,-.,.- ""uieist.-uiiling of the remedies I feel it
r in i ii is a ii r en aril en in iimni ss
should at any time refuse
any time relume to redeem
their notes in specie, and to subst.tute ,
umer oai ks, provi. eu n sumc.eni num-,
public depositee upon the terms and ;
conditimis therein prescribed.. 1 he ;
c-'ral and almost simultaneous sus -
f v.on oi specie paymc.us oy i..c
jM...-a - -. . . -T
- ,i.R 4n niayi, rehuerea me per
, y . , , ,
rej)cci iw mu$v nmvii uceu se
lected under the acl; and made ft, at
the same tune, impracticable to em- otlm. faciutic9 for the acquisition and
ploy 4hc requisite number of others. enargement of crciiti At tIie cmn.
upon the prescribed comliimns. rhe . mcCemcnt ol the year 1834, thebank
S)ecific regulations estab . shed by Con-1 in? Ciipiu, of the (TnUe(, Sutc8t ;nc,u
gross for the depos.teai d afe keeping !di tlut of llic na(i()na bank then ex
oflhe public money, having thus un-, Uti ,m;nlnfcd t0 nbont two Lundred
expectedty-lierouie inoperative, I felt . mi!ioil, cf dollars; the bank m.tes then
it to be my duly to . afbid you an early ; ; c;rcuati)n to about ninety-five mil
wrtun.ty lot the exercise or your long. ati tht Luanruldiseottntrof
suoervisory powcra veMheubjectv-,rie uiU,ks to three hundred and twen
I was als led to apprehend that the , f j.r0ar.n.illioii!u Between that time
suspension if pecw payments. icrea- aillt ,h r1i( sf hr JinarV, 1836, being
stng the emb;u rassmeiits before exist- the )ategt pc,.ioj ,0 whi-,, BCCurate nc.
ingin thepecuniarvaft.iiisoftheroun-!C0UIlU,.lve been recvlV(.tt our bank
try, woul. so far d.minuh the public ; ,,, capita was incrcasPd to more han
revenue, that the accruing receipts m-, tw 1Undred and fifty -one millions;
tt the Treasury, would not, with t!et uur paper circulation to more than one
reserved five millions, be sufficient to. ,Umret anj frf, ,ijns. and the
defray the unavoidable expenses of the! ioans an ,i8C0Unt4 to more than four
Government, until the iifua period j hundred and fifty-seven millions. To
for he meeting of Congress; whilst the
suiiLomyao-ct -upoa tHetatcsrior , mall. n,ilions of credit, acquired by
portion of the sums deposited w'nli ; means of Toreign loans, contracted by
them, wa too restricted to enable the-the. States and State hu'itutioi:, and,
Department to realise a sufficient above all, by the lavish accotnmoda
motint from that source. These ap-!tion8 extended by foreign dealers to.
prehensions have been justified by sub-! our merchants. - - -
sequent results,
w.irch render it cert 1
tain that this deficiency will occur, if
1. 1;. ..i
5UmJUiuvJUtaJienui
"nP . ," ... ...la .foreign .debt contracted ty our nti-
-- The difficulties experienced by the ,,enS) t.stimated in March lait atjnore
mercantile, antrest, weetmg -their thatnliTrty millions of dollars; the ex
engagements, induced them to apply tension to traders in the interior of our
to me, previously to the actual suspen- coun(ry 0fcredits for supplies, greatly
sionol specie payments, for indulgence beyond the vants of t!Ve people; the
upon their bonds for duties; and all investment of thirty-nine and a half
t!.e relief authorized by law was mWi 0rdollars in unproductive pub
promptly and cfieei fully granted". T ie jic Un,,it n the ears l833 arill ,83Gi
tlndenre of the Treasury upon the vj,ilst in the preceding year the sales
avails of these bonds, to enable it to amounted t only four ami a half mil
make the deposites with the States re. ion8 tj,e crcVlon or debts, to aii al
1'iired by law, Ld ine in the ouUet to ,ll0st C0.jntCS9 amount, To7 re.l estate
limit this indulgence to the first of j, el;t;n, or anticipated cities and
September, but it has since becii ex- villa-es, equally unproductive, and at
.1 "U";
Jurtner. direction.
Questions were aIs- cxpet ted to a-
riseinlbe recess in avspdcttoaheOc -
wt.er instalment oi timse-neposites,
j::x.!vr44Ht'n--i'i--v-
A provision of anlher act. nassed
sTiitit the "same time, and intended to
ii ' 1 i " l
Miration of the United States, to sat-
imv an ucmanus upon tijeiii n specie
or its equivalent, prohibited the ofter
Many bank note, not convertible on
HVT int0 501,1 or 6llver at tl,e
holder; and the ability of. the
goyerflmcnt. with luillions on deposite,
toineet jtsengagemcnls in the manner
thus required by Jaw, was rendered
very doubtful by the event to which I
Jiaye-relerre-
Sensible that adequate provisions for
flicse unexpected exigencies could on-
ly be made by Congress; convinceil'
that some of them would b indispen-
sahly necessary to the public service, that the prospect or revulsion was pre
before the regular period or your meet- Bcnt to the minds or cons'ulerate men
t- at . I . - j . - -w--i.--...
ing; ami uesirous aisoio enaoie you in before it actually came. None, how
exercise, at the earliest moment, your ever, had correctly anticipated its se
full constitutional powers for the re- rerity. A concurrence of circumstan
hefol the coyntry, I could not,, with . ce inadequate of themselves to pro-
jirupneiy, avoiu suojecung you 10 me
inconvenience of assembling at as ear-
ly a day as the state of the popular re-
presentation would permit. 1 am lure
rt I have done but justice to your
'relinss in believinz that thia inconve-
lienctt will be cheerfully encountered.
m the hope of rendering your meeting
conducive to llTe-good ot Uie country.
nng the earlier stage of the re-
MinHigii wnicn we nave jusi
flSSsed, much acrimonious discussion
arose, and great diversity of opinion
existed, as to its real causes. This was
not surprising. The operations of cre -
y uiver,m4d am the inBaen -
j wiiicn aueci them.
o
numerous,
rid often so subtle, that even impartial
and welt-informed persona are seldom
found to agree in respect to them. To
iiflterent difficulties were also adtjed
other tendencies, which were by no
means favorable to the discovery of
trutli. It was hardljr to be exgectedA
tbsn1fb'1i'KMippVol e3 tlie policy
of the Government in relation to the
currency, would, in the excited state
of public feeling produced by the oc
casion, fail to attribute to that policy
any extensive embarrassment in the
monetary affairs of the country. , The
matter thus became connected with the
passions and conflict of party opinions
were in ire or less affected by political
considerations; and differences were
prolonged which might otherwise have
been determined by an rppcal to facts,
by the exercise of reason, or by mutu
al concession. It is, however, a cheer
ing reflection, that circumstances of
this nature cannot prevent a communi
ty so intelligent as ours from ultimate
ly arriving at correct conclusions. En
couraged by the firm belief ol this
truth, I proceed to state my views, so
l.ir as miy ue necessary to a clear un
i Hi tr i! tl r f r a wittl a ami nf rtio i,taarn a
.
Ihi'u t' tJ k.... i.:.i v..
l J J l T IU l.lVUUlk, Ulll US kllVM k UJIIS
fhe,n
The , j t f . . t, ... .
.(r.trd the most convincing evidence
that our u conilillon fs cliefly to
lw I.Hl.ltlV,.wl .L,...ri:,.n in n.i
wuiiwttivui liv w 1. 1 lav lav ii ail VIIU
depai.mt;nti, 0f business: an over-action
v,icrivjnA j,cr!uisjts..J
irom aniecctient causes, out stimuia-
jted to its destructive consequences by
t!,ls vast i,icreaseJU(LioJiU-4
Tii -,..ipniipnrp nf tlii4 r.iltiti(1?in.
cv 0f credit, and ol the fnint ff rp'rVi
. tt . - . .
by it, werv-
Ve iiiw aeen lit hnvrt Seen oreaftv
to titeir real value;
the expenliturc of iuununsc sums in
improvements which, in many cases,
have been:W1 1 :beZ Tuliiidiayl imi
provident: the diversion iuuther Pur4
suits of much ot the labir Jhat
should have been applied to agricul
3n liture ( larjc sums in"the mparta-
tiousol grain Irom Europe an expen
diture w:,ic,t amanti, 1 834 tt
in
about two hundred and fifty thousand
dollars, wasr-in the first two quarters
of the present year, increased to more
than ,wo milli,'n, of t,ul!rs n,,. fi-
nally, without enumerating other inju-
rious results, tTie rapid growth among
all classes, and especially in our great
commercial towns, or luxurious habits,
fottnjea too often onmecely fancied
detrimental alike to the
industry, the resources, and the mor-
aIs of uur people,
It was so impossible that such a
..at- 0r -it,;--.. rilt.i i,- r..niiini..
..juce guCH wule spread and calamitous
embarrassments, tended so greatly to
aggravate them, that they, cannot be
overlooked in considering their bisto
r- 'Among these may be mentioned,
mn. i.mmiii.ni: th r n. nt
emporium in the fire of December,
1833 a loss, the effects of which were
underrated at the titne, because post-
poneu lor a season oy the great laciii-
lie nf credit lhin nuhmr- th ilUfmh.
n effects, n our commercial cities,
ot the transfers nf thtv nnhlic monrva
required by the dep'osite law of June
1836; and the mttrci adopt
measures adopted by
the foreign creditor of oar merchanta
to reduce their debts, and to withdraw
from the United States a large portion
of our specie.
: However unwilling any of our citi
zens may heretofore nave been to as
sign to these causes the chief iostru-
state ot things, the developments sub
sequently made, and the actual condi
tion of other commercial countries,
must, as it seems to me, dispel all, re
maiiiing doubts upon the subject. It
has since appeared that evils, similar
ito those suffered by ourselves, have
been experienced in Great Britain, onent to the advancement of private in-
the continent, and, indeed, throughout' terests itr the one as in the other; and
the commercial world; and that, in
other counjries, as well as in our own,
they have been uniformly preceded by
an undue enlargement of the bounda
ries or trade, prompted, as with us, by
unprecedented expansions of the sys
tems of credit. A reference to the a-
muunt of bankin capital, and the is-
sues of paper credits put in circula-l vast powers conferred unit by Con
tion in (It-eat lititain, by bunks, and in grcss, did not or could not prevent for
other ways, duriiiji the years 1834,
183J, and I33G, will show an augmen
tation of ihe paper currency there, as
much disproporlioncd to the real wants
of trade ai la the United State. With'
this reduncy of the inner currency,
there arose in that country also a spir
it of adventurous speculation, euibra-
cl ifg "fit e uTiuTe r ai vji; oTTi 3 man enteral
prise. Aid was profusely Riven to pro
jected improvements; largo invest
ments were made to loretxn stocks &
loans; credits for goodswerejrasAedlable t-pevtt ntnnulw eaitstoii lit
in foreixn countries; and all the means
of aciuiriii; and cmnlovinr credit
were put in active operation, and ex- j bank, in the derangement alleged at
tended in their effects to every depart- present to exist in the domestic cx
ment of business, and to every quarter , changes of the country, vr in the facil
of the globe. The reaction was pro-1 ilies it may be capa,blj of affording
portioned in its violence to the extra- j them. Although advantages of this
ordinary character of lite events which sort were anticipattLvheiLilit:--fiitst
preceded it. The commercial coin-1 Bank of the Uuited States was created,
muuity of Great Britain were subjectT they were rcijarded as an incidental
eil to the greatest diilkuHioSta
tlebtJisIn this country were not only
suddenly ilepr ved of accustomed and
CS peeled.. credits, but called jhii- for
payments, which, to tlie actual posture
nf thing Jiere, could only be made thro
a general pressure, and at the most ru
inous sacrifices.
In view of these facts it would seem
impossible for sincere inquiries after
truth to resist the conviction, that the
causisof the revulsion in both coun
tries have been substantially the same.
juhld-tlie-ptwHiaiorrs, the-mnsfTSoin metciul i
the world, en"Vin but recently the
highest degree of apparent prosperity, fy the creation of an institution to pro
.ind maintaining with each other the mote such objects. On the contrary,
clo-est relations, ate suddedly, in a they justly excite among the commu-
time oi proiounn peace, anti w.inoui
iiny great national disaster, arrested in
their ciircer, and plunged into a statejjtojkvajtda-wbk
nr M'""'-?""
i. . . . . .. .
ootli cwiHries wenavc-verrncsspcrTne
satiie redundancy of paper money, and j
other facilities of cretlit;-the same fer essentially in their nature, opera
spirit of speculation; the same par- timi, and utility. .One class of them
tial successes; (he same diiliculties :
and reverses, and, at length, near
ly the same overwhelming catastro
phe. The most material d fferencc
between the results in the two coun
tries has only been, that with us there
has also occurred an extensive tie
rangemeutin the fiscal a!fars o the
Federal and State G:ivernmen s, occa
sioned by the suspension of specie pay
ments by the banks.
The history of these causes and cf-
States, is substantially the history of
the revulsion in atl other commercial
cou nines.
Tiw- present and visible eflecf if
these -ceeowTHtttccs tin llie operations
of the Government nml on Hie nidus-' (nanner. J'hese bills have formed, lor flexibly maintained. -try
of the petiole, point out the objects : the last few years, a large prono; tarn -'--jily wn ytrytgfihg AllMta;t JTOUOE
frmclrnltiiir yi)!!!' lintnediate atfen-
tion.
They are to regulate by law the
safe-keeping, transfer, and disburse
ment. if the public moneys; to desig
nate the fun Is to be received and paid
by the Government; to enable the
Treasury to. meet promptly every de
mand upon it; to prescribe the terms
of indulgence, and the mode ol settle
ment to be adopted, as well in collect
ing from individuals the revenue that
has accruedras In withdrawing it from
former depositories, and to devise and
adopt such further measures, within!
the constitutiiTfral competency of Con
gress, as will be best calculated lo re
vive the enterprise and to promote the
prosperity or the country, ( : ,
. For the deposite, transfer, and dis
bursement, of the, revenue. National
and State Banks have always, with
temporary am! limited exceptions, been
heretofore; employed; but, although ad
vocates ot each system are still to pe
found, it is apparent that the events
of the last few months have greatly
augmented the desire, long existing a
tnong the people of the United States,
to separate the fiscal operations of the
Government from those of individuals
or corporation. ; .". : '
Again to create a national bank, as
a fiscal agent, would ' be to disregard
tho popular will, twice eo!emily .and
unequivocally expressed. On no ques
tion of domestic po''cy ,,ere tng
er evidence that the sentiments of a
large majority are deliberately fixed.
and I cannot concur with those who
'think they aee,- in recent events, a
proof that these sentiments areTori
reason that they should be, changed,
Events, similar in their origin a.nd
character, have heretofore frequently
occurred, without producing any such
viiog, "i-- 'j-u
musvDe iorgiHien.il we suppose that
the present overthrow of credit would
have been prevented by the existence!
of a national bank. Proneness to ex-i
cessive issues has ever been tlie vice ol.
the banking system; a vice as promi-
neat in ISational as
National as in State iustitu-
tions. Tliis propensity ii as subservi-
those who direct them both, bcin prin-
cipally guided by the same views, and were favored by those most deeply in
influenced by the same motives, will teresteil; and few can doubt that their
be equally ready to sfiiuulate extrava- own interest, as 'well i thegcneral
gance of enterprise by improvidence: welfare of the country, would lie pro
of credit. How strikingly u this con-! mated by leaving sucn a subject in the
elusion sustained by experience. Tlie! hands of those to whom it properly be-
Rank of the United Stales, with the
Rank of the United Stales, with the t
mer ami .similar emuarrassmeiiisj nor
has the still greater s'reng'.h it has
been said to possess, under its present
charter, .enaiiled it in the existing e
mergeiicy, to cjieck ollierlhstituUons,
or even to save i'sclf. In Great Brit
ain, where, it has been seen, the same
same ctt'ects.a national bank; possess
ing powers far greater, than are askeil
fur by 'the warmest advocates of such
an institution here, has also proved un
creiiit, anil tlie evils, mat 11 mv i,-om it.
Nor can I find any tenable ground for
tlie re-establishment ot a national
not-uiie-jvhich the
l' erteral uove nment was Dounu, or
could be called upon, to furnish. The
aecommotlatimt is nowrindeed,-after
the lapse of not many years, demand
ed from it as among its first duties;
and an omission to aid and regulate
commercial exchange, is treated as a
ground of loud and serious complaint
Such res'ults only serve to exemplify
the constant desire, among some of
our citizens, to enlarge the poweri of
tleGtH i ejiimejLtjnji extenil Jts con-
n
trol to subjects with which it should
not interfere. I hey can never justi
jniiy a more uingeiu inquiry
n to the
character of those operatlnns of trade,
such ucculiur favors.
j i ne various iranaciions wuicn. uear
. i i .
the uamu of domestic cxclianges, tlit
consists of bills ol exchange, drawn
if... .u . .. . r ....... t r.. . . i .. i
lur iitv JUlitfc ui iiaiiaiciiin avium
capital from one part of country to
another, or to anticipate the proceeds
of property actually- transmitted.
Bi'.U of this description are highly
useful in the movements or,lrade, ami
well deserve all the encouragement,
which can rightfully be given to them. I
Another class is made up of bills of
exchange, not drawn to transfer actual,
capita! nor,onUie.credi
Transmit ted , but to create - fictitious -
capital, partaking at once of the char-1
ai ter of notes discounted m bank, and '
of bank -notes i
liKircutatton, awisweJ
ling the nmss of pa iter credits 4.
vast extent in .the most oujeclionaule
;if what arti 4ermel ' luo domestic cx-
changes ol the country, serving as
jlhe means of usurious profit, aim con-
stituting the most unsafe and prerau-
ou i.per In circulation. 1 his spe
In circulation. 1 his spe
cies of trafic, instead or being upheld
ought to be disrountena'need by the to the people fo apprite them distinct
Government and the people. ly, that, in the event of my election, I
In transferring its fund from place would not be, able to co-operate in the
to place, the Government is on the 're-est tblishment of a national bank.
same footing with the private citizen, To these seutiments, -1 have now only
anil rany resort to the same legal mean, to add the expression of an increased
it may uo so tnrotigii ine metnum 01
bills drawn by itself, or purchased from
others; and in these opeiations it may,
in a manner ununuuieuty coiisuiutioit-
al and legitimate, facilitate and assist
exchanges of individuals founded oil
real transactions of trade. The extent
m a manner undoubtedly constitution-
to. wliich this niayJba Uonejmd (lie best
means i riici-iiii it oiv ciiiiucu iu into cxtsictice couccnirat.ru niuneycii
the fullest consideration. -This has power, hostile to the spirit, and threat
been bestowed by the Secretary ofthe ening the permanency, of our republi.
Treasury, and his views will be sub- can institutions. r .,..,'.'.'
mined 10 you in ins report.
But it Was not designed bv. the con-
4. .' I . s" a .. v .- . . .
stitution that the government should
assume the management of domestic-
or foreign exchange,
thorized to regulate
merce between the :
vide a general standard of value, or
medium of exchange,-in. gold and -ail- terof its successor; and, thirdly, dur
vert but it is not its province to sid in- ' Sng the limited period which has nov
dividuals in the transfer of their fuhds,-o abruptly "cfosetf.: i The connection
otherwise than through the facilities
aiiorueu oy vie run omcc ii-purt.-
meot... As justly tnjght it oe, called on
to, provide for tho transportation of
tneir mrrcnnnuixe. 1 ncse re ppera-
tions of trade." They ought to be con
inpToyment of the State bani was guard-"f'
them, in the same manner that the in-: ed especially in every way which ex-
cidental difficulties: of other pursuits' perience and caution could suggest.
are encountered" by .other classrsof cit-j Personal security was requiredfur the :
lzens. Such aid has not been deemed
woe received j anu iuii-r-
out Eurupe, the domestic as well as
the foreign exchanges are carried on
bv private .houses, often, if not tene-
rally, without the assistance ol banks,
Yet they extend throughout distinct
sovereignties, and far exceed in amount
the real exchanges of the U. State.
There is no reason why our own may
not be conducted in theair.e manner,
with equal cheapness Mfd safety. -Cer-
tainly this misrht be accomplished, if it
longs. A system founded on private
Interest, enterprise, and competition.
without the aid of legislative grants or
regulations by law, would rapidly
prosper; it would bo free from the in-
llucucd of political agitation, and ex
tend tlie same exemptian to trade itr
self; and it would put an end to those
complaints of nelect, partiality, injus
tice, and oppression, wliich are the un-
government,-in tlie proper concerns of
tiuivid Hals. All lormer attempts on
the part of the government to carry its
legislation, in this respect, further than
was tiesigned oy the Constitution, Tiave
in the nd proved injurious, ami have
served only to convince the great bi
dy of the people, more and more, of the
certain dangers of blending private Jn
tercets with the operations of public
business; and there is no reason to sup
pose that a repetition or tlwm would
now be more successful.
-Jt-nnot bctflnccalctt "tliTit Iticre
exists, in our community, opininns-and
feelings on this subject in direct oppo-
isition to eaclv other. A large pomotr
of them, combining great intelligence,
activity, and influence, are no doubt
8incprein1heirbetitnlvatnhffirpcra-
tions of trade ought to bo assisted by
such a connection; they regard a na
tional bank as necessary for this pur
pose, and they are disinclined to eve
ry measure that tloes-not fend, sooner
or later, to the establishment uf such
an institution. Oil the other hand, a
majority of the people are believed to
bo irrcc41tMypposel t that
tffiTTrt
sure: they consider such a concentration
of power danger mis to their liberties;
and many of them regard it as a.viola
tion ot tlie Constitution. This collis
ion of opinion has, doubtless, caused
flituci,!fllia iwbiirfassment fowh?tdi
(he commerciiil transactions of the
Uankin
of the
suffered in the conflict ut parties,
speedy termination'' of this state of
things, however desirable, is scarcely
to l expected. We have seen, for
nearly half a tentury, that lhoc who
advocate a national bank, by whatever
motive they may lie influenced, consti
tute apportion nf our community loo
nnnrous to allow us to hope for
an early abandonment of their favor-
ite plan
Uit the outer hand, thry
must indeed form an cwoneous esli
mate of the intelligence and temper
of the American people, jvhq suppose
iimuiRcieut grouudr their-f ersevefing
opposition to such an institution; or
that they can be induced by pecunia-
; ry-preswirreTttnbyTiny trthcrenmbina-
tliw of, circumstaeHh---w''Wr
principles they have so long and su id
changed., . I hey have ocen tepeateiiiy
and unreservedly announced 10 my lel-
low citizens, who, with lull knowledge
0f them,
tiuuei reu unun inc ins two
highest offices of the Government. On
highest olficc-s of ihe Government.
the last or these occasions, I felt it due
conviction,; that: the re-establishment,
'0f gUch a bank, in any form, whilst it
Vould not acoomplisli the beneficial
purpose promised by US ad'
: would impair the rightful suj
'of the popular will; injure the
te'rand tliminish the influenci
purpose promised by its advocates.
pfemacy
the charac-
iienceofotix
ouce more
1 i a" a a
.. Xiocai nanus. nave oeen employed ior
the deposits and distribution... of the
revenue, at atl times partially, and. on
three different occasions exclusively;
nation of that institution and the char-
thus repeatedly attempted, proved un-
natismcioryi on cacn, successive occa
Mon, .notwithstanding .the various
measures which were adopted-to facil i-
iaie or insure us success. us me imi
occasion, in the year 1833, the em-
guhtry ii!ivgT3Tcty tii'en fypiiTrrntttTTnTwtntrifrrnrm .
a itat Ucoma an.oirticaf topic nesarr-Hot!tf!th'rtW! UtL-HLifi:!- -' -
highest interest, i and' trade ItasfTicaaury t !wc have no load of nation- V'
- It is indeed au- , first anterior to the establishment or the
by law the com-j first Bank of the United States; second
5iates and to pro- Jr. in. the Interval between the termi-
safe-keeping and prompt pajrotnt.flL.
turns of their condition were, from
time to time, to be made by the d-
positoriea. In the first Itaaes fhe inca- -
sure was eminentljr successful, not-
withstanding the violent opposition of ,
the Bank ofthe United States, and the ' '
unceasing efforts made to overthrow ir, .
The selected bauks performed with ',.;
fidelity, and without, any embarrass
ment to themselves or to, the communi- Y
ty, their engsgement to the Govern-jK
inciit, and. the system promised to be
permanently useful. . Hut n-hen it be-li
came necessary, under the act of June, ,
iS3u, to withdraw Irom them the pub
lic money, for the' purpose of placing :
it in additional institutions, or or trans-.
fernng it to the States, they found it,
in manv cases, inconvenient to com
ply with the demands of the Treasury, '
ami numerous and pressing appl!C5
tions were made for indulgence otitr-i".
lief. As the inslalmcnta tinder thov4
deposite taw became -ijayablei-thetrT -
own embarrassments, and the necessi-
ly under which they lay of curtailing
their discounts and calling iq their
and contributed, with other Causes, to
hasten tlie revulsion iA which, at length.
they, in common with the other banks,
were fatally involved.
Under" these circumstances, it be- '
comes our solemn duty to inquire) ,
whether there are not. in any connec
tion between the ; Government and
banks of issue, evils of great magni- X
tudc, inherent in its very nature, and
against which no precautions cat) tfi
fectually guard. , L , v 1,
Unforeseen in the organization of tlia
Govethment, and forced on the Trea
sury by early necessities, tho practice '
oi eniiioying banks, was, in truth, from
Pie- brgtnntngy-morenneasure of e-
mergency than or sound poltey.- ;
When we started into existence as ac
llatidh7 in" addition 4o (ha burdens of
the ne,w Government, we assumed all t
the large but honorable load of debt .4
which was the price of our liberty; but "t,
we hesitated to weigh down the infant V '
industry of the country by resorting to.
adequate taxation for the necessary v
revenue. The facilities of bauks. in
return fur. the privileges the acquired. A
wrerrprninptly btujrcd,- ah d pct liaps ion
readily-received, ; by an embarrassed .-''.- -Treasury.
During tlie long continu- -?
a nee of a national uebtadAheiuterpi-.---w
vening difficulties of a foreign war, tha "
connection .was continued from mo- -
livei bTconveniencjrtuTthese causes,T
have long since tassed away. Wa :
al debt to provide lor; and w e have on
actual deposite-a Jarge surplus. " No -f-public
interest, therefore, now requires L
the renewal of a connection that ci
cumslanccs have dissolved, The com- J
pfe t e orgn niza t ioif bf nu r -O ov t in mc 1. f, '! "i
the abundance of eur tesourcs, thaV
general harmnywhkh prevails be
tween tne u tictent Mates; vnd Willi ,
foreign Powers, all enable us now to
select the System most consistent with
t le Lonstitotion, and most 'conducive
U the public welfare. Should we, I
then, connect the Treifurv for afourth ?!
miU-iut-Utnlbitk r t amntityi-r
l4 under Au.uWCtio.njht .rftt lailures
have arisen from accidental, not in-
herent, defect.' r. .'i;''''.;V'- 'V'"
-"A dangerrtfifliculr, if nof lihporsIbfeT
4o iit atoidetl in such ah arranglemclnv"
is ma le strikingly evident In the very , j
cfent by which it has now been de-
ttc$& AtodVnrctTjf the bankrin-
truste t with the runds of the people,' ;
J p ives the Treasury, without fault or
agency of the Government, f the abil-..
ity to pay its creditors in 4he currency f;
they have by law a rijht to demand. 5"
This circumstance no fluctuation of
commerce could have produced, if (he
Jiuu ii. iticimc i.iuii ui til I'M IV fcl Cm 10 VIIO t . ,
egal currency, and kept in that form :
by the officers oT the 'I ceasury. The.
cit.ir.en whoso money was in- banks re- ' -ceiyes
it back; since the suspension, t W.
a sscrifice( in its amonnf ; whilst he r
who kept it in the legal currency of
the country, and in his own possesion, '?
Eursues, without loss, the 'current of
is business. Tlie Government, plae-? -ed
in the situation of the former, is in- - '
bfokcdJjt eiiibnrassme)tsiL!co
have sufiered had it pursued tha course
of the latter. These embarrassments '
are, moreover,' augmented by those
salutary and just laws which forbid it 1
to use a depreciated currency,' and,
by so doing, take from the Govern
ment, the ability! which individuals '
have of accommodating their transac
tions to such a catastrophe.
A system which can, ' in a tune ot
profound peace, when there is a large
revenue laid by, thus suddeuly pre
vent the application and the use or tha
money ofthe people, in the manner
and for the objects they have directed, "
cannot be wise; but who can think,
without painful reflection, that, under '
If, the same' wnforseen eveht might "
have befallen us in the midst of a war, .
and taken from us, at the moment when
most 'Wanted, the use of those very :
means which were treasured uptapro
4,'
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a:
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