Newspapers / The North-Carolina Star (Raleigh, … / Oct. 11, 1837, edition 1 / Page 1
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mifii "' ' m"" r-mr -'.' -Tw-WWt!1-im!W!-' - ,r' ' 1 ; ...... . .. I - . ii - .1 ! - v ' -.-' II ALEIGH, IT. C. WEDNESDAY, OOTOBEH 11, 1037 VOL 2XVIIL ITO 42. ar . . . v a a a. r m J iv m. m v k sr r - jaw- -l r a a, bi -sui ik j. . a THOMAS J. LEMAT, r 1DlTSR AID PBOPBJBTOH. eMirTtx, r.uc dollsrt per annum on h.ir ' ')"" ' . . .Lji.-iitjuig .vi'JioiiL. Hit 5!i(s h ,..ir'l o $J t1rwA amouirtol iboyaar i Lu-ircii" ''vane'. ' " IllTrVrOK ADVEHTISIXr.. , ": - . trrry wvure (not esereding 18 line thi jig. irpe) nrt iinertion, one dullarj cacb ub iMar'at intertion. twenty -fie tentu rrf I'be advertiwmnt of Clerk and ShtrilTt - witi be ehured 9i fer eeotr ttijliwtand de duction of 3.IJ er ceiit will be mdeJrom the regular price lor advertfter tVv the year. . m Letter to the Editor' innrt be oi-pld. PAINTS, OlLs7 Ac. - ;T!)t tu'riler lm jit reerned frrnn Ibe Korib, a tutl supply' of tU b;.'vVti!r, ton inline, ol Whke lH s' 1 do Ground !a Oil i:i ' Li. Spanith Brown .' Jlo do Ground i oil Yellow Oehie l): " do tirooudio Oil Venetian Ked .Term )e Sirnna Lamp lllatk Turkey Umber Miiriia ruittin , l,ineed Uii Omul and Japan V All ol wbioh will bl.i on rrotislle tcrnit T s lUicKwiru km, HaNii-h, April 14. 137, is tl "ivrlt-"rtel--i--rlr---t will speak forMaf. - 1 I (ie aent to Mev. Turner It Ifiirhe;"' ""llookarlifVa. KH!riKh,' N .""CTT"" ml iboe jiiMljr telbrled French tiiaud Aetioli I'iano Forte, marie by Storfart, Worecitpr and ((orbam, ( i.ea makerlj wbicb I brt nT unirerally eam Itird and iritdj ibcao mitrumenH are ao cry dii-rable.-iweet. mellow, and powerful In lone, at well beamiful In tbtlr eaitrinr, ibal I houd .iipnote all b.i want Piano al all would vail llieinielvrl or Ilia eppoitunhy of gHnig utb The prieet ry from two hundred and fifir oj liimilrfd noiiitrt, nie oi. nnw hundred and filiydollaia. "r ; Sole ai-e-nt liir Virginia aiid N. Carjilina. I .ili .n'.l Cenlletnrn r r0'ieted to call ""it the ;'TJoriliXfinin IV.iuV Store, and roin (or t!iemela at ibryli i a ery plcaiatil room furtii'ir aeeommoiinif o. -- tuhxkr k iiur.iir.s. JiiHt received a larjje supply of .Kngliih DrawiuK piper, xytupnainn Aiunjuari. an, louble Kleplum Columbia, AtUa Klcpbant, aml all oilier lixi a in ne- Alan. a eomplc-ie aa jurlmcnt of KoL'liik Letter panes, Gilt and plain -Gold natier, Kk. pper."rariii:iret "tapr, I'lWii!? usiier. Moroceo unprr, 1 lltue papvr. Ililnl II .J.nli, Knibntted Koarda, ptrlomted t:rd, Maihrmatieal lntinwcnt, Koglisb and i;rminitividrra Scale. I'em. lead IVucili. lo ll .a Ink, Xeowui'a Water Culoura, Uravct" Wa ter Coloora, in Hiaea nud by aintle Cuke, Par allel Kulea ronod and Dotch Opaque and oemm jii Qoilla, Sealing AVa. nw-wted eoloura. UJUrri (Hurled aolgili t, limca, nen, jaib ami floilwriimRli.ki, glS eo.k, af.ie kronioand wondm InhMauib, '' Hoxea, Ink Powdora, "K'l and bliek, r iUuii-X toitrtt ops hir, ttiU, toi.lb,nil.ebmbin'!l''v"lf Bruahea, all l ....rin nn.liir. ItUeLiii? lrilic tc lllaek- Ing, and a ririy of oilier iriM Hpo tedioui in inilna V.f ala' at III Xorlh Carolina Kaok Store, No, il. Kart itille atreal, HaleiBh, C. T V ltN"KH trtHH.J Mr-- raiQSPECTL'S. THE IflERCHANT'ANO BE- Eiiilcdby Diiff Green nl R. K. Cralle. The iMvrchunt la a daily paper printed in Baltimore if the rate of eigUt dollars per annum. The vSjrmai ia the country paper, published at U.WmigtoH City, three tiraea a week during the aeaaion of Congrcaa. and aemi-weckly du ring the rereaa, at ait dollar per annum, which may be diachnrgud by the payment of five dot lira in adrancc. The Reformer ia a continua tion of the United State Telegraph, and devo ted to the interest of the State Right Party . rWeaararrarW &" Hugliel lr IjJfSiiW Tor" ttf- leih and Wake rouiity TJIK SOUTJIIil5I lit. ,. f- Thia work will be tevived and pobliahed in AVashingt.Mi City, under the editorial charge of Jurists A. r. UMitua or Virginia, a gr-nwemaa whoae niune truaratitee that it will take rank among the ablest periodical of thia or any oth .-.. -..j. .:,..,. ..ii,.... er age or country, ma conmiiwiu !rthiaBid..fho.tronaet nd the ouudct peiia of thia country. It i intended to I the esfc- - .rial trptwnt at. Stwithwn ral',)Bcakwegg . a nl litcraliiHi. i h& first. Ji maitei & il UM: ed as : iooarreoThTOTtriir"u trf rts-ra are obtained. Terms five dollar, pnyaldio an the -v deliver of the first num!er. Mcura. Turner & Huihca. ofJialcilh, are affi'nta. -r f-- Persons who desire to aid the circulation of cither of theae worka, are rejwet fnjly reqiie J to cut out thia advertisement and paata It on blank heeHf writing pojierr 'I'lMMiama of aubacrber ati-l fund received for anbacrtp tinna .Imul.l be remitted to Dcrr Oitii, at " .BaiU!ii3re....f'"-iS:,,i UENAUJTS OF Mit. C.lLlTOlDTr, In Iht Senate f thm Untied Stutr$,n V Bill aHlhoi-iziii f an hf ef Treating .'te n the th-September, l'3T. , M r. Pa ks i D Evr : ' A n e x t ra n rdi n a ry course of events, w.itivwbji-h all re too familiar to need recital, lias aeparafetl in fact, the Government and the banks, j "What relation shall they bear here af ter? Shall the bank! again be used as ! fiscat agents of the Government?. , Be ' the depositories of the public money? Add,- above all. shall their notes be considered and treated, as money, in the receipts and expenditures of the Government? This is the great and leading question; one of the first mag nitode.Htnhfutl of consequences.) , I have given tt my most anxious and de liberate "attention j and, have come to the conclusion that we. have reached the period when the interest botbtf the a t m AM f a n rl kavtba rkaliiTva kaaa. union. I now propose to offer mi rea son for this conclusion. I ahall doit 'uh that perfect franknesa due to the subject, to the country, and the posi tion I occupv.j All I ask is, that I, "iay be heard with a candor and fair ties corresponding to the sincerity -. H i iuct, i Riaii ueir liver my senti inenN.- - s T7io w!h support a reunion of the biii L an! t government. have to o- ercome a prelim!narj ditScaltj. Thej re now separated py operation or law, n(l cannot be united' liile the present a.tate of tilings continps, without' rr- ie;ling the law which'yiasvtlisjuinetl i m.I ask, who is will i g fa propose at repeal r r 4hert rdj oa who, du rjiig the upcnsion of specie payments, trouid ailvocate their . employment as cie li-ical ngent of the Uovernmenf, who w.fuld make them 4he denositunes thfel pii'jlicjreveiiue, or :whu would teceivje'tnti baj axvaj their notes in the public dues? If there be none, then ft results the separation muat continue r the present, ami that, the reunion rn'ttt be the. work of time, and depend ing on the contingency of the resump tion of specie paymenta. " 15 nt suppose thin tlidiculty (o be re moreiL, anu ihat the -bank were regvu Inrly redeem ig their nots, from what pirty in this b i:ly can the proposition Come, or dt which can jt be supported, fur a reunion between them and tlie Gorernment? : Who, after what has Happened, can advocate f lie reunion of the fjiivcrimient witli the league ol Statiaiiks?lCaailij)ppmUionAvhQ f.ir year havebecndenounctns it as the most ilangerous instrument pi ppw er, ami efficient me:tns-ot cotr fnil 'controlling lli'e Ooveriimcnr ountrv? Can the." after the exatL. 'ulnTficiit"or"'a'n.' tucir predictions ol isting circnm tances. In order to com lisastrous tonseouences troin the con-1 p'd tlie State institutions to pay specie. ection. now turn-round and support that Artilch ther tiaveTifftoriflnd loml-ror It condemned? We have heard much from the opposite side of untried . expej innSfnts on the currency. I concur in nay. Iniswouid give it an immense the justice of the censure. Nothing can ' capital, jiot much lest than one hun be. more delicate than the currency. died millions of dollars, of which a Nothing can require to be more dc'li-j larg. proportion, sty twenty millions, rately handled. It ought never to he must be specie. rom what source is tampered with, nor touched, until it it to be derived? FronUhe slate banks2 becwiMbsolnelrnwarTiBu,tif It-weul4. empty their-vart9iafld4eave pnntried expeiim'nts justly deserve censure, what condemnation would a From abroad, and Kngland in particn-t-epetition of an experiment that lias' lar, it would reproduce that rcvu'sive failed deserve,? An experiment that'' current, which lias lately covered the has so signally failed, both in the opin-' country with desolation.' The .tide is ion of sunnnrters and opponents, as to still running to Knrope, nnd if forced all dwn-4he bitter denum-intton-trf - those who tried it. If to make the ex- foreign debt is paid, cannot'out be lol periincnt was folly, the repetition ; lowed by the most disastrous consc- .wnuld be madness. IJut it the onposi-. ftion cannot support the measure, howj 'can it be exnectetl to receive support from the friends of the administraiionJ in whose hands the experiment has so sirrnally failed, as to call down from ! them execrationrdtfen arid to II? Mr. President, there be any one point fully established by experience' and reason, I hold it to be the ulter m- create the instrument of their oppress comnefencv of the Statcbanks to fur- inn? A few of the more vigorous might nUhvof rtcfrtsetwerr annua til"itaTir't currency. They may succ ed in pros-' pcrous times, but the' first adverse cur-' rent necessarily throws them into utter found to cive them the requisite strengtli and stability, but a great cen- sum e, b itby destroying them and la tral and controlling bank, instituted , king their place. under the authority of this Government -Thnsjs wlu take a drflerent view, and I go further. If we must continue our so lonrlly anticipale relief from a Na connection wih the bairks if we must tional Btk, are deceived, by a sflp- rcceive and pay iway their notes as posed analogy between tlie present sit moneyr we pot only have the right to ation of the country, and that of 1816. retrulate and Tve uniformity and sta- when the late bank was chartered, af- "bility to them, hut we are botfnd to do'ler the war wkh Great Brif i?n. I was so. and to use the most efficient means'' Jin actor in that scene, and mar be per- for that purpoe. The constitution makes it our duty to lay and. collect the iaxes and duties uniformly through- out the Union, to fulfil which we are btmnd to rrive the hishest possible e- qliaiay.olya.lueliroughoul.fye ot the country, to wnaieyer meuiutn it mrence o me grraicai i.h,i. ihuh-, may be collected inj anl if that be ; far as the present question is roncern baofe rtesr.tojflp4 4hernjr perieriee has shown to be a Bank of the Uni'ed States. This has been long my bpirtloit. I entertained it in 181 6, and, the real issue to which all must come, and ought now to be openly art! fairly metT But there are difficulties, in the way of a National Batik, ho less formidable than a refcivticrtion with the State banks. Iris .tiHterly impraclirable at present toTsJabltsh one. 1 here is rea son to believe ihat a majority oi tne people of the United States are delib erately and unalterably opposed to it. At ail" events, there is a numerous, rei spectable, and -powerful party, I refer to the old State rights party, w ho are, and ever have been, from the beginning of the; Government, opposed to the bank, and whose opinions' thus long and firmly entertained, ought at least to be ,o much respected as . to forbid the creation of one without an amend' ment of the constitution. To this must be: added te insuperable difficulty, that the Executive branch of the Gov ernment is openly opposed to it. and pledzetl to interpose his veto, on con ftitulional grounds, should a bill pass to incorporate one. For four years at least, then, it will be impracticable to charter a bank. WV hat must ba done in the mean time? Shall the Treasury b organized to perform the Junctions, which have been recently discharged by the banks, or shall the State insti tutions be again employed until a bank can be created? In the one esse,. we -l-ii i .l. v :it:c.i .-.t l aiiaMl tittva iu Bui iyn- a wiue -auu repeaieti it in my piace nrre on me tie-1 inyir ri;c!iiv v "Mi-" i r umnu' posite question in 1834. The only al- jmrnt on its stock,' which mainly caused lAi-notiva- tbpn ia tliaoniao ir u rnn.llii! ausn 'hsiont irt nroof of which, it U nuy, between a disconnection ami a fa "remarkable fct; 'that "the deprecia Unik f thi I7niii.il Stat.. This is, trmrot bank papejf -under cltl and -t. denounced i,ub-treasuryrVltT CatIrdr 1 and in the other, UiincuUies insur mountable would grow up against the establishment of a bank. Let the Stare institutions be once reinstated and re 'ujiited to .lbeGyerVmeriia. their Ja cal agwits, and-they will be found the first and most strenuous opponent of a national bank, by which they would be overshadowed and curtailed in their profits, I hold it certain, that in pros perous times, whea the State banks are in full operation, it i impossible to es tablish a national bank. Its creation, then, should the reunbn with the State binksttke place, will be postponed, u u t 1 s m e. jl iia ter si mil at ta th prs-. sent, slul I again b-fall the country. But it requires little of the spirit of prophecy to see, t'lat'such another dis aster would-be the death of the whsle system. Already it has had two par alytic strokes the third would prove fttl. V llat suppose, .these diiWcnlties were ovorc!:ne, I would still be opposed lo the incorporation of a bank. So far from afT-trilinj the. relief, which many anticipate, it would -bel45e-most 4isiH trousmnsure 'that-could be adopted. As oreat' as is' the calamity under rantjns! which, the countrj is suffering it is iT annoWnilo crc"a-1 . ' i- i . t 1 . i I tian -iuchan-instiWtifrHr wmrer-ex the bank must hav a capital jas great, neaHys gTtafriTp existing institutions, as the late bank ha I when eitjildished, to thaseol 'hem in the most helpless condition. - back by y4ifit;kl rauserWfore4he qatences. - - But suppose tots difTicully overcome. nd the banK ree$taiisiieti. l bsk wnai would bo the effects under such cir cumstances? Where would it find room for. business,- commensurate with its the State institutions, enfeebled by the withdrawal of their means in-order to survive f :trfftar-greaifOonitoirr with their " debtors, creditor, , and stockholders would be involved in common ruin. The bank would, in- cnauiing tne existing institutions to re- imitted to speak in relation to it with ,sbme Ijllle authority. Between the two periods, there is 4tttlc nr no analdgy. They stand almost in -contrast.' In 1815, the government was a debtor to government ; a solvent and able debtor, who credit held by the banks in the shape of stock, ATSS ftt par. .... It was vet Wa about erfrat"tnlie' proportion wlurlv the govewitnent stock held by the lrnkfl-bwe-44-theit4!iv -It-was . this excess Ihat hung on ,the market depressed the value of their notes. Th" solution is easy.;. Jh$,JAnkUiHt the Government stock payable -ifMwIve years, and issutd their note's foe the same, pavabie on demand, in violation of the , pfainest principles of banking. It followed ol courge, that when their notes were presented for payment, they had nothing but government stock lo meet them. But its stock was at par, and all the banks had tado was to go into market with the stock they held, and take up their notes, and thus the excess which liungupon the market and depressed their value,-wouid'have, been withdrawn from circulation, and the residue would hate risen to par, or nearly oar with gold and silver, when specie payments might be easily resom- eu. ; ; 1 MS iney were oiiwuuiig . w u. They were- profiting tevcry way; by drawing interest on the stock by dis counting on it as capital, and. bv its continued rise in tho market. , Ilbe came necessary te compel thetn to sur render these advantages. Tw4 meth- mil nranfoil iUma-lpt fine 'a "bank nmt Uur an.t th otKor National nji.lt. 1 vaa nnnosed to . the fdrm'TJ iKn aa I am una. I rpr-ardil it aWf a harsh unconstitutional mrasurc op? nosed to t'.ie ri-rhU of tlie States. .If they hate nrt surirntlere4 tflerihts tol4tat4H incurnocate banks, as is conceded, its exercise cannot be controlled by the action of this Oorernment, which hal no power, but what is expressly grant ed, ind: no -authority, to control lhc! States in the exercise of thcir.rescrTed Eowers. It remained to resort to a lational Bank, as the means of com pulsion. It proved effectual.' - Specie payments were restored, but even with this striking art antai 1 1 'a lullovtea. by great pressure-in 181 3, 1 9 and $0, as all w ho are old enough to remember that period must recollect. Such in fact, must erer be the consequence of resumption, when forced under the most favorable circnmaitances,- and such accordingly it proved even in R igland with all hr resources, and with all the caution she uso44n resto ring a sirccie circulation, alter tnje-torrg suspension of l"9r. What then, AvnuUf be it' effects in the pres"ftt rnndition of the country, when the Government is a creditor, instead of a debtor, where there are so mmy newly created banks without eitabliahed creuit when the - ver-44 uesnreso gr a l ; aua wc n so large a portion of the debtors are hot In a condition to bi! coerced. Asrcats is the tula of thsaster whioli is passing bveMhTianl. It wouW be as nothing ...1. ... . to wWat-wl4fol ijW'-w-ere-a-N atHmal li tnk to b established as the means of coercing speciii pay mcnts. I am bound to speak wit.mut .reserve (lieu is that, if it should he determined to compel the restoration of specie payments by the agency ol banks, there. is our. one way, out io mat i navp in superable objections I mian the adop tion of the Pennsylvania bank of the United States at the fiscal agent of the government. : It as already in opra- tinrad trstainrd- by-greatresource and powerful connexions, uotli at home and abroad. Thn.ugh its agency spe cie payments might undoubtedly be re stored, and that with far less disaster than through a newly created bank; but not without severe pressure. 1 canno4v -however -vote for suchra-mea sure: I cannot agree to give a prefer ence, and 'such advantages to a bank of one of the members of this tonfedera cv, over that of others a bank dfpen- dent upon the will of a Slate, and sub ject to its influence and control. I cannot consent to confer such favors on the stockholders, many of whom, if ru mor i to ba trusted, are foreign capi--talists, nnd without claim on the boun ty of the government. But if all these, and many olher objections were over mine, there is still one winch i cannot surmrni nt; r - There hat been, as we all know, a conflict between one of the depart ments of the government and that in stitQtiffnrTirwhTch7ln ":ti-jrimo1irTTVe: depnrtihenfr cannot consent, after what has orrurr red, to give to the bank a tnuinpii over the government, fiVr such jts adoption as the fiscal agent ol the government would necessarily be considered. It would degrade the government in the eyes of our citizens and of the world, and go far to mike that bank the gov- rnmen t itself. - - - - .-r But if nil these difficulties were o vercom3, there arc others, tome, whol ly insurmountable. I belong tn the Sate Riglits Party, which at all times, from the beginning of the government to this day, has been opposed to such an Institution, as unconstitutional, in expe(Iicnt',an ever dreaded the union of the political and-wnwfed nowef i m4 -hetrtf a4-F tion- nf the-gnrcrn m cntrto' whichrl t t strongly tends; and at all times have trenuojsly resisted their junction. Time..: and experience have confirmed the truth of their principles; anJ this above all oth-r periods is "the one ! which. i tLw oo U be most dangerous to depart from tlfin. Acting on them. I have-never givea my counlenauce or support to a National Bank. bu under a compulsion which I felt tobeiinperi- .(.lil3AtuL.tievexwiLhj!ytt ration of my opinion as unfavorable tn a bank. ' --r:"'- " .w.;- -;"- '" In supporting the bank of 1816,1 openly declared that as a question tie novo, I would be decidedly againt.1 the bank, and would be the last to give it my support. I also stated that in sup km ting the bank then, Lyielded to the necessity f Jhe case, growing out of the th-rt existin-r nnd long established connexion between the government and the hanking system.,; ) took the ground even at that early period, that i t long as the connexion existed; so long as the eovernment received and paid a- way bank notes, as money, . they were bound to regulate their value, and had no alternative but the establishment of a National Bank. I found the con nexion in existence and established -before my time,' and over which I could have no control. 1 1 yielded to the ne cessity in order to correct the disorder ed state of the currency, which had fallen exclusively under the control of; tm . . - . a . r ss: the Stales. , I yielded to what l could ant reverse, just as any member of the Senate now would, who inigirt oeuevi .i . . ....,.... A . t I that Louisiana ; was unconstitutional y admitted into the Union, but hd would, nevertheless, feel compelled to vote to-extend the laws to -that State, Us one of. its members, on the. ground constitutional or unconstitutional, which he could not reverse. - that is, Government took one-half for In 1834 I acted in conformity to the the liberty of introducing the other, same principle, in . proposing the re- Countless millions were thus poured BewaLfifjyjil.tauk' the treasury beyond th wants of period.. My object, as expressly avow- the Government, whtcb became in tima ed, was to use the bank to break the the source of the most extravagant ex connexion between the Government & penditnres. This fast increase of re the banking system gradually in order ceipts and expenditures; was followed to avert the catastrophe which has now byi corresponding expansion of the. befallen uv nl which I ! then clearly . business of tlie banks. They had to ferceived. But the connexion, which discount and issue freely to enable the -believed to be irreversible in 1816, merchants to pay I heir 'duty bond ss has how been broken by operation of well as to meet th vastly increased law. It is now an open question. I expenditures of the governoacnt. An feel itiysclf, free for th fu st tiie Jo other effect followed tits act of 1 828, choose my course on this important which gave a still further expansion to subject, and, in opposing a bank, I act the action of the banks, and whi.h ia in conformity to principles, which I worthy of notice. '- It turned the ex Iwve entertajnedccr-since I have fuU:changes with England iu fa.vor of -this iy invesugaieu me suojecr, But my opposition lo a r my opposition to a reunion wnn the banks is not confined lonbjections of the high duties, could no longer re limited to a National or State Banks. turn with profit, in the usual articles, It goes beyond, and comprehends oth- which we had been in. the habit of re ers of a more general nature relatingltt ceiving principally from that country the currency, whichto me are decisive, in exchange for our exports, returned -I am l tluimprcssion Ihatrthe ierv-in g14 and silyej, in. order to purchase nexion has a most pernicious infiuenceysimilai articles at the north. "This over bank currency j that it tends to was the first cause which: gave that ilistut b ihat stability and uniformity of vUXSa wYichis esscntlsTto a 8ountl"c ur-j mtcy j antMs-mon g-A4te4etMlwg au t ges ol that tendency to expvuum anutivnti me exciiange tn our luvur, aim contraction, which experience has consequently no demand forjjold and shown is incident to bank noles, aa-ailver enrrency; TTiey are in my opinion, at o.-at,-wuhout the requisite qualities' to constitute a currency even whsn un-' conhecTH w-iih the Govern are doubly tlisqualilieil by reason of that connexion, which subjects them to tudJen expansions and contractions, and exposes them to fatal catastro phes, such as the present."' ! 1 -wrlf vxjA ainwy-vrews. A 4jan k note circulates not merely nn account ot the credit of ths institutions by which it is issued, but because Govern ment receives it like gold and silver m all its dues,-and thus adds its' own credit to that of the bank. It, in fact, vislly-emxIoTWMi wthenote-of-csrywnt.:" Tlt4mk-4a4t,6rssiiirg4ts b spacie paying" bank Mreceivalle by I siness, acted in obedience to the condi-i Government in its dues." To under stand howttrcatly-thisadds to thexir- culation of bank notes, we must re member that government is the great money dealer of the country, and the holder of immense public domains, and that it has the power of creating a de mand against every citi.en . as high as it pleaes, in the shape of a tax or du ty, which can-be discharged, as the law now is, only by bank noes or gild and silver. Thisf of course, cannot btft add-"atly-to4heTredttof-tj7rnk-mUes. and contflbaTe Tilffdi to Hheir circulation, though it may be difficult to determine with any .precision to rwTi'ttexTentr'-r It" ccrtaTnTyis very -.- -' .,-;(-.-...-... -i - ,.,, ....... t I. . . . greai. ror wny is u Hint iiii individ ual of the first credit, whose responsi bility i so indisputable, that his friend of equal credit endofct his note" for nothing, should put his with his friends, being their joint credit, into a bank', and take nut the notes of the bank, which is in fact but the credit of the bank itself, and payrsit per cent, discount betwern the credit of himself and his friend and that of the bank? The known and established credit of the bank may be one reason, hut there is another and powerful one. The gov ernment treats he credit of .the bank as gold and silver in nil its transac tions, and does not treat the credit of Indrvidilat test the truth, let us reverse the case, and flfftfbr tm joTntremrwheinaivwuais na tnnnev. and not I lie credit of the bank and is it not obvious that instead of i borrowing from the bank and paying tlx per rent, discount, the bank would be glad tn borrow from him on the. same terms. From-this we m-it per.: :i ceive io e powcriui inuurnce : . .i . . .. i n ... i l ', which Bank circulation derives the ronnec - tion with the credit of the Government. It follows as a ? necessary consc- quenzc, that to the extent of this influ. ence, tuc issues oTirierbanTCi"-CxTrawTrmty-i and com itract with the expansion and tion of the fiscal action of the rontraotio: Government 'with the increase of its duties, faxes, income and expenditure the country, a -powerful impulse, with the deposits in its vaults acting as u Banks sprung up in every direction: additional capital,- sn-f the amount of liscounts and, isMiis increased almoas , bank notes withdrawnin Consequence, 'withhut limitation and an immense, from circulation all of-iviiich must li- surplus revenue accumulated in ths rectly affect the amount of their busi- eposite banks, which after ths pay nest and issues, and bank currency ment of the public debC the most ex must of caurse partake of all those vi- fravagant appronriationi cou'd notex bratiohs fo ; which the fiscal action of haust, and which acted as additional the government il necessarily exposed, banking capital the value of money and when great and sudden! must ex- daily depreciated prices rose, sn'il pose the system to catastrophes,' such then commenced ; those unbouodetl as we now witness. In fact, a more, speculations, particularly in public suitable instance rannot be selected, to' lands, which was transferred, by mill- illustrat the truth of what I assert, ions of acres, from ths poblic . to ths, than the present as I sh ill proceed spccuUtr.rs for worthless bank otesfc tg show:: ' ' f ': till at length ths swelling flood was . To understand the , causes- which checked asd ths rsrulsivs surrent have led to the present state of things, burst its barriers, and overspread anJ. we most go back , to tho year .1824, desolated the land. - - i' ; When ths tariff system triumphed in The first shetk came from the Bank Congresses system f which' imposed of England, which, alarmed at the loss duties, not for the purpose of revenue,' of its precious metals, refused to dis but to encourage the industry o! one count American bills, tn order to prev portion of the Union at the expense of vent a further decrease of its cash the otlver-., This was followed op br means, and raue return, of those the act of 1828, which ronsiimmattfd which it had lost. ,tThn fol.owed ths the) system. , It raised the duties so extravagantly, that out. of an annual thirty-two passed into the treasury 4 country. I hat portion i the'procecu oi our-exports, which in consequence western direction to th precious met- aTs, the revulsive return of winch ha abroad and the vast demartd tor. money attendant on an increase D ilis revenue, almost every restraint was removed on the d'tscounls and Usues of section ol the Union, where these can acs principally operated. ' With their increase, wages and price or every e. scription rose in proportion, followed of course by an increasing demand on the hanks lor firtheT-;iasues.This - is -the true cause of (that expansion of the rorrencfj which oegan about the com mencement of the 'ate administration i but which was erroneously, charged by it to the Bank. of the United States, l't rose out of the action of the Govern tion of things at the time, and in con formity with the banks generally in this same section. - It was at this juncture ihat the late administration" came intd power a juncture remarkable in ma ny respects, but more especially in re lation -fc the question" pf the currency. " " lajVtf't j( the. causes which have sine terminated in the complete prostration of the banks ami the commercial pros perity of the country were in full ac-' tivity. ;;.v: f. , ' "-Another; eatiii-A.tr.t).iat-4tmfI do not remember the precise date, ) be" " gan to produce powerful effects I rr ' fr to tlio last renewal of the charter of f the Bank of England. -' It was renew ed for ten yearr and, among other p i o visions, tontained one making the notes of that bank a legal tender in al t cases except between the bhnk'and its credV ' itors. Tlie rffect wa to dispense still further with the use of the precious metals in t!;at great commercial coun try, which, of course, caused them to flow out in every direction through tits various channels -of its commerce, -A large portion took their direction hith erwsrd, and served still further to in crease the current wbkh, from causes already enumerated, was flowing so strongly -in this direction, and which still further increased the force of the returning current, on the - turn ol ths; The administration did not compre hend thc:diiScjiUiwaniidangor -suffourSded it.r Instead of perceiving . uie true reason oi me expansion ol tnr currency, ami adopting the .measures j necessary lo arrest it, they attributed ,it to the Bank of the United States, and made it the cause "or pretext for waging war..; orohat institution. onthat institution. A- iiiaii-i the first acts of hostility, the de- !poites were removed, and Iraaferrctl . ' to selected Stale Banks: the effect of ' which, instead of rrsutina; the tenden- cy to expansion, w as to throw off the institutions of the country in check' and of course gave to the swelling .tide, which was destined to desolate evocation of. the i nepone acr, wou r instead ol . a remedial measure. as it. j . a . i -er i. . -.- .
The North-Carolina Star (Raleigh, N.C.)
Standardized title groups preceding, succeeding, and alternate titles together.
Oct. 11, 1837, edition 1
1
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