Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1815-12-12

the paper of ,he Banks Of ,he N,rthern part of
Virginia, ard of some OF 'aoss Of The District o
Columbia, lcce.ling i@rn the erection of 10 MANY
at tbs unpropiiious period, felt viii yeutdrc
10 affirm, ia all tsst eouutr,. The Farmer must
inevitably bnJ every tor ign article much higher
price, than il such depreciation did not exit 10
exp,u tl,,s let US take single transaction:
The price al barrel Of Hour in Alexandria, tho
pail Tor in /, per of the Mercants' Bank, is not ii
is believed higher, or even high, that of the
quaHtity in lhiadeii'hia Suppos then
Farmer sells 100 h'rrcls in Alexandria when hour
is ut $40 iur $1,000, AMI receives psyIieot in
' Merchants Back" ro;cs, which are below par
Ia Philadelphia. When lie goes into the Phi.aiel.
pi.ii inarset to pu, chase goods, let suppose
these nct,s II discount oil ten per cent. His
$1,000 of Merchants Bank are then DAY equal
e, 5000 of other money hcl, is at par; (Nirgina
chartered back notes for inst,nce.) So that his
loo barrels ol G0ur which ought to have brought
$1,000 worth oil goods, will bring him only $500
worth. Here there is clear losi u! 100 on 100
barrels nf flour.
This simple calculation aids in accounting for a
fact, othvrwse unt easily understood; that tho
goods are So abundant; they are SO dear. The re-
tail mel chant, who recsses pay tnent Tor his goods,
III tie unehartered notes that the Farmer got for
his -four, IN order to keep the loss, which, in the
example have given, !cil tue Farmer from
falling on himself is Obliged Ia add to the selling
price oihis goods, to make up Tor the depreciation
and discount, upon that very paper when taken To
| the market where he makes his purchases and
| LAYS III lis stock. Tie FGTRacr, as experience
proves. cannot make the .fc~chGnt tn whom he
| sells his produce, allow for the discount; bu, in
has own Sealin;s with the sore-keeper, it is sure
| To be taken into the account OF the price OF the
| goos. Ii Is true the Farmer may gain somewhat
occasionally in small advance in the price oil Hour
| but 1t is very certain, that this does not compen-
safe tn discount h indirectly pays upon The paper.
The same operation is in truth going on, in rela-
| zion 10 trade will, the t~nsatlantic market
| From the excessive quantity OF paper circulation
rs well IS from other causes, the baiance Ct trade
! and The price of bills is very much AGAINST u.s.
| The remarks of late esseyist appears to ne To
| be applicable and we'll expressed:
% II Il nation" he observes Z" regardless Of the
quantity Of paper in other countries Issues any
yer proportion, it viii be deprecated 70 discount
| commensurate with the over issues. Specie be-
| comes the common value over the world, and The
paper viii be the Deprecated standard OF the c1uii-
| try"
II was my original stcntion to have enlarged upon
this subject (G) no less import ant than tlicuit s.
obstruse Bat fnd 1t necessary t. hasten TO 4 con-
! casOn Of these essays, area'!y drawn ont to a
| greater length than contemplated ; and
| shall! therefore all remarks on this and some
| other important matters. ich fell within my orr
| gnai design. The ensuing parer will conclude the
developement, have attempted, OF the pernici us
| Effects oI that general di6uSsB OF the banking
| system, which will follow from their unlicensed
| establishment.
| DIsISTEnEsTED CITIZEN.
@ See Thornton l9s, &c. the effect issue,
oPaper and the corresponding high price of goods in turn
| ing the balance oftrade against nation.