Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1816-12-19

q
: do justice To the subjcct-but. contended,
that the banks were so many fires, applied
TO different parts of the Commonwealth !;
: that they only made the poor poorer, and
F., tle rich richer, and increased that ineqoal-
/ ny which aiready existed between the rich
and the poor.
mr. Mercer went into = long train OF ar
f, gumSnt 10 combat this proposition, and
10 slow the utility ofihese Institutions
he asked, fit were equal Justice 10 grant
eleven banks 10 the Eastern part OF the
state, and none To the Western HE ask
ed, how banks could prove favorable 10
Homeopathy ofproperiv, or hostile to the
liberty ot the people Banks were either
Banks of Deposit, of Discount, croft rcu-
lation. How did the first produce any in
equality IL has TINS advantage, that ii
saves many bars, many clerks, &c which
wonid otherwise be necessary if the cani-
tai was to remain in the hands of the nu-
merous stockholders-He instanced the
Bank al Amsterdam, which had furnished
The merchants of Holland with a circua-
ting medium, which bore Il premium of s
! per cent. thus adding III that proportion
to the wealth of Holland. The Banks of
Discount, ONLY did for stakeholder what
Inc would nave done for himself; for eve
~ man had the right to lend ont his own
money at Is per cent. The Directors of
Bank were only hisaftornics TO lend out
his money. Could not the rich lend ont
| theirmoney, though there were no Banks
II II be urged that in this WAY be does il
with more convenience and facility NAV
we not as well object 10 the use oiplaister
over clover, or ofdeep ploughing, or any
other labour-saying machine, which is
calculated 10 add 10 tie prosperity of a
M NH. al. n
stores IN town, which bring together the
goods which would otherwise be scatter
Ell over the country III the manufacturers
shops. You bring the money TO one spot
which would otherwise be distributed o.
yer tine whole country. He who has mo-
ney To lend, knows where To deposit il
ana lie who wishes 10 borrow, knows 3t
once where 70 30 for it, ard knows the
terms on which he can borrow it.-As
TO banks Of Circulation, which issue their
paner for specie-Mr. NJ. admitted this
was The most complicated view of the
subject; but be cOntended thatno man WAS
bound TO take bank note that il WIS
his. own convenience only that made him
do IT. Where, then, was the injury done
OF The restraint imposed spon him MIR.
NJ. commended that this convenience was
very great-it might be fairly estimated at
tour or f1ve per cent; that being the
premium which the Eastern notes bore
IN Kentucky before the war.-He
shewed the convenience of bank pa
perS IN their portable characte: as
wlthoat them, how could man travel 4
or 800 miles, the specie being so heavy 10
carry, and bills of exchange being some
times so difficult TO obtain He pointed
ont the advantages of bank notes in e.
quallzing the balance of trade; In saving
the annual wear and tear OF com
which, according TO Adam Smith, costs
The Bank of England, at least 7O.OOOl.
annually TO repair-and how much more
would II be, If the whole medium was OF
specie t-fie asked, how we were TO get
specie, If we had no mines OF our own
And showed how much it would cost us
III oar exported products to purchase the
metats-He admitted that they would in
deed flow IN, lfthey were wanted, but ii
would sometimes take considerable
time TO do it-whereas bank could soon
issue as much of Their circulating mcdi-
um as was necessary begged the
COMMITTEE to cast their eyes to the eff
reefs OF these institutions elsewhere
Was there village, where one was esta-
b!ished, which had derived no benefits
from them ! From the top of mountain
IN the Western Country, he had seen
eight villages III the State of Ohio which
were hourisllIng because they had banks
-'at when he had cast his eyes TO the
Virginia side, there were no villages in
view, no smoke ascending to mark their
sclte-Mr. M. cOntended that if we had
no banks of our own in the Western parts
oi this State, still they would be flooded
with the paper of other States, overwhose
institutions too we had no Coutroul. He
Judged from his own counts IouaouD.l
that other counties could employ with
advantage bank captal-amd on this
subject, me gave statistical view of the
resources and demands Of that county
for additional capital Mr. M. combat
ted the idea, that it was owing 60 fhe pre-
sent banks ihat the circulating modium
was so much deranged-be ascribcd if TO
the war, and to the loans made for IFS
prosecution contending, that if there
had been no banks at all, and the war
had been carried on by a government pa
per, the depreciation Of that medium
would have been greater than that of
the bank paper is atpresent.
Mr.. j. Thompson (of To succeeded Mr.. |
Mercer-i1e contended that if the tsper
of tie new banks were not TO be received |
for the taxes, their multiplication would |
but add 10 the eyil-that as 10 these being |
specie-paying banks, he would as soon ex- |
pect the discovery OF the Philosophers
Stone, turning the rocks and trees into |
gOld-that the National Bauk would OBJ |
struct the prosperity of these institu- |