Alexandria gazette, commercial and political. [volume] (Alexandria [Va.]) 1812-1817, 1816-09-13

It VIII be the same III eli st, whether i
De in JanuaIy or June, it hey do not in
tend to pay specie before he lst of Jmv
". That the attempt, b, all The banks
to make any adequate reduction of lbe;,,
bills discounted at the ,aesent ne, inl
when the trading and commercial part of
the community have all heir Resources
locked up, and when an Almost universal
stagnation prevails, canno possibl, tail f.
produce. the most ruinous consequence,
V. That the city banks may reduce
their discounts easily, when the Bank Of
the United States is in ope alton, and 90
pable Of filling the void this measure win
create.
The first position being admitted. as r
think it must be, it felloNa cieariy, tb.t
there is not the smallest eeasi,u to exnpc,
the wanton and wicked ttestility winch
is so much unprecedented, and the dread IS
which has impeIled the banks to the =.
doption OF those measure, of curfailaect
that have operated 50 peraiciousiv. Can
It De Supposed that such oody d Direct.
ors as we must presume VIII be checon
would earn " the curses deep and lonl ;,
which . ould pursue them, Ii Ing & de,l
il they took measures to ehice any Gill;
sister Institutions to bankrupcys lYers
they abandoned aud wicked eoouoh ~
plan such hideous scheme. conld Ho
De SO stupid and blind as not 70 see Gst
such base attempt would operate fatal
lyon thecreditof all bankina io,titpt;ons
their own as we'll as others Awaytban
and forever, with such miserable iIcs
unworthy of the age we I've iD-and nn'
worthy of this community. Let Us fond.
ly hope that it woald D.. Impossible 70
form a board Of directors in the civ of
philadelphia, who coulI for moment
'lafbor such a fell purpose. far less a.
tempt 10 carry it into execution
The ground being thus cleared of two
third OF the difficulty that attended tbe
DISCUSSION, proceed to the second posi.
.ion
II. That to promote their own inte.
'ests and those of The stockholders, thew
must discount, and to We y considerable
amount, say at least, fouf or five, or six
millions Of dollars. in tbs city"
This divides lis &c INTO tuo points,
|. For whom viii tnos, discounts be
lone ? AID
2. On what will they be praaicated
|. Trey willbe generally done fer per-
ons Indebted to the other banks, ani who
vii be obliged to discha sc their Debts
o those banks, with the proceeds Of the
lstes discounted for them BY the new one.
Ill. They will be pred;cated either
|. On notes Of the bank of the United
states, or
2. For limited time. on tie notes of
he state banks, of which notes the bank
# the United States will be- in possession
u immense sums. received in payment Ct
lutles, al least till the 22d Of February
s. Or, finally, for the same limited
inc, on both kinds Of notes together
Let US see the operation IN al! these
,ases,
1t the new bank discounts Cor limited
inc, say 90 or 50 days, in whole or in
,art On the nates of the state basks, for
persons Indebted 10 those banks, then it
obviously follows that the latter, When
heir notes are thus paid 10 by those WHO
eceive them from the Baak of the Unit
ID States, will 4e enabled to reduce th IN
within such limits as they may jadse.he-
essary.
But suppose, on tile other hand, that
he bank Of the United states discounts
My on its own notes, the result will be
xactly tbe same. The discounts. as /
ave already stated, will generally be Tor
ersons indebted to the othet ba,&s. who
viii pay their debts with The noics Of the
lew bank. And these notes Vii form
all and fair Offset agajnst,ae Claims OF
MS bank upon the others, arising trom
IS becoming the depository OF The public
MONIES.
The third, fourth, and nth positions,
re necessary corollaries from the fist Il
econd. 'Ihe object OF the state. banks
'eing to redace their specie ,esPonslbl!i'
les. previous topaylng specIe: 1t not be-
NJ OF any importance whether that reduc-
ION takes place one month, or three or
tx lnonths before the resumption OF spe'
lie payments and it being impossible 10
fleet that object to any great extent pre-
.lous to the COMMENCEMENT of 'be new
ank, aad perfectly pr ticable alter mat
vent takes place carly folio"s 'i"'
continuance of Gu meat OF bank as-
at pres t, is a g'atu''pus
nd unnecessary inf ctlon OF run Oh q