Portland gazette and Maine advertiser., 1816-08-13


.achuselts, the Maine banks are bankrupt,
their currency destroyed, cash annihiialed,
and the people brough, to more distress
than the war created. Now i, must oS
ner(ectly understood that the oppression oi
the Maine banks complained of is the
s,riclness of the laws by which they are re-
ouired to redeem their bills on detoAnd, and
The relief to be expected, were it nol for the
roinous control OF Massachusetts, would
he PERMISSION to suspend specie pay
ments.
Its certainly very convenient thing To
have plenty of money; bu, II Is OF very
little use to be overstocked with money oil
such description that nobody else coset
il. The Maine banks may now issue, aId
sc,ual, do issue as many bills as ,hey nave
prospect ofaeirS able faithfully 10 redeem,
and no more. he consequence Is, that
their bills are in good credit, have all ex-
tensive circulation, are generally received
without hesitation in payments, and fur
nlsh very large proportion OF The circula-
ting medium of this state. hey constitute
more of the currency Of the commonwealth,
than in the proportion of their capitals To
the bank stock Of the state probably four
fol5 Compared then with other banks
they have no cause 10 complain. But let
these banks be permitted to refuse redeem
ing their notes with specie, and lei them
continue to issue them, without securing
the means OF redeeming them on demand,
and they would at once cease to circulate.
pf of
money out of the District. and il the people
81 home, out Of Patriotism, or for wan, of
other money, continue 10 give them cur
rency among themselves, the greatest EN-.
barrsssment would soon ensu., payments
could not be made out OF the distric, ut at
great sacrifices, merchants and traders
would lose all credit abroad, and all means
ofmaking foreign purchases. The relief
afforded would extend only 10 one class oil
people, and even that would be exceedingly
transient. All the evils OF the present scar
city would soon be fclt,and with them others
more distressing anc more irremediable.
Its intimated in the passage quoted, that
the Maine banks have been prey to the
banks in Massachusetts, abiding probably
ing their bills from the holders at a small
discount, and carrying them to the banks
tlom which they issued for redemption. II
Is yexatious enough no doubt, to banks
which are anxious 10 keep their bills in cir
culation, that there should be any body who
will take the trouble 10 make weekly Jour-
ney from Boston to Maine, for no other
purpose than TO bring them home. But it
hvery absurd 10 complain of it. It's the
hcility with which these bills return to be
redeemed, ana the certainty that there are
persons who for small profit will carry
them to be redeemed, that makes them re-
ceivable in the first place. Why should
receive bill of the bank Of Cas,ine, in pay
meni Of debt, when the next moment
may have occasion to use il in pay ment Of
debt at a bans in Boston, where Boston
money only will be received receive it
because l know that the New.England
Bank, or some broker, will give me 80 cents
tor every dollar of it and this small sacti.
nee most persons, on small payments, are
content to make; especially % for many
purposes il may be ag ain passed away with.
out any sacrifice. 1t is because these bills
can be at small sacrifice made to serve all
the purposes of money, that they are adj
milted into circulation in this town and
state, TO the almost entire exclusion of Bos
ton bills. But if they could not in case Of
necessity be converted into Boston money,
lithey could not in any way be made to pay
my most important and pressing debts, and
must keep them until am travelling to
Casne, or until find person who prefers
aCastine to Boston bill, would sooner
than receive them, take my pay in white
pine shingles, or take the risk OF losing
my debt. Whether this kind of brokerage
ns proper employment OF banking capital,
We will not pretend to say, but certain it is,
H'here were not large capitol constantly
employed in redeeming ,hesse bills in Bos
ton, at small discount, and returning them
'o'he banks from which they issued, they
would no, be admitted into general circula.
uon IN this part OF the state. The constant
Return of,he bills is necessary 10 the pre-.
servatlon OF their credit, in such manner
holder.
But The independence Of the district
would not put stop to this .rsfiic, if it is Of
q Nature IN h.. al Of Il.