Alexandria gazette & daily advertiser. [volume] (Alexandria [Va.]) 1817-1822, 1819-02-10

relief. Nor is Il conceived that this mes
sure can in any degree, repress or alleviate
the suferings Of the community, resulting
from the excessive Multiplication OF banks.
and consequent inundaticn Of bank paper
which il was manifest could not be CONVEX
ted into specie at the will Of the holder.
II the banks shall be constrained by law,
by public opinion, or by eorrec, know
ledge OF their Interest, to stop their dis
counts when they cease to discharge their
notes in specie when demanded, and con-
fine their exertions exclusively to The COL
lection and payment of their debts, the e.
wills which now Cypress society will be
gradually diminished, and currencs every
where will become equal to gold and silver:
But, during this process, and after it shall
be terminated, property of every descrip-
ton will be greatly diminished in value
and especially that which is fixed and per
manent in its nature. In the liquidation OF
the existing debts, the relation Of debtor
and creditor will be sensibty changed in
favor of the latter, who will be paid in mo-
ney Of greater intrinsic value than was re-
ceived by the former. But this is an evil
which necessarily results from fluctuations
in the currency of every state, and cannot
he charged upon the government, which in
the present case, will be most seriously af-
fscted;
Ii is, however, conceived, that paper
currency, founded upon metallic basis; is
more liable to sudden and violent huctua.
tions than one which is purely metallic. In
the present state of the precious metals, IN
genera circulation, metallic currency, it
is confidently believed, could not be simnl-
taneousiy resumed by the different states
Of the civilized world. We are then COM
PEELED, under existing circumstances, to
continue paper currency, founded upon
metallic basis, With all its liability to sud-
den and violent fluctuations, aggravated by
the circumstance that more than twenty diff
ferert sovereignties claim and exercise the
right of increasing, ad Abitum, that cur7cn-
cy, through the fundamentally Of banking
Institutions. These circumstances, toge.
Their vi th the drain of specie produced by
the East India trade, present the most seri-
Gus obstacles to the preservation Of the
currency at an equal value to gold and sill
yer. These obstacles now exist in, perhaps
their greatest force. The praclicabi!ity of
preserving the convertibiliiy Of bank notes
into current specie, under circumstances so
extremely adverse, is in a fair course OF ex.
pertinent. Whatever may be the result
Of this experiment, until it is obtained, no
legislative interference is conceived to be
necessary, except for the enforcement Of
the obligation on the part Of the banks to
discharge their notes in specie when de-
handed. This can be most certainly ef.
fected by considering and Furnishing, as an
act of bankruptcy, any attempt Onthe part
Of bank 10 circulat its notes whilst II re-
fuses 10 discharge them in specie, or the
notes of other banks in the same situation.
have the honor to be, sir, very respect
fully your most obedieni servant,
WIN. II. CRAWFORD.
The Hon. J. w. EPPEs,
Chairman Of the Committee of Finance.
1.-THE aboue report has been agreed to by
IL