The Massachusetts spy, and Worcester County advertiser. [volume] ([Worcester, Mass.]) 1825-1831, 1829-01-21

system forced into that city. How this could
furnish evidence of insolvency, we are at loss
TO imagine. If some of the Boston banks at
the same lime had been obliged to provide for
meeting all the demands against them at
place fifty miles distant, and to be prepared al
so to meet them at home, equally strong evil
denee of their insolvency would, probably, have
been furnished
1t is argued in the Courier that the country
banks cannot be iniuriously affected by the par
system, because the relative circulation of their
bills is greater than that of the city banks.
This proves no such thing. The country cir
culaton is, always, necessarily better than that
of the city, and if the country banks are res
trained by this system from issuing as great an
amount of bills, as they otherwise might, with
safety to themselves and the public, then are
they injured by it. That such is the fact, no
one will doubt, when it is known that consd-
cradle portion of them have not bills in circua-
ton equal to hall the amount of their capital
stock. 1t is also argued that the community is
not injured by the system, because, as it ap-
pears by the last return, the banks of this State
have larger amount Of bills in circulation than
at any former period, except in December,
1927. This reasoning is falacious By the
return of Dec. 1926, it appears that the bank
capital of the State was then $17,969, $40,
notes issued, bearing interest (Which are equiv
alent to capital,) 81 ,693,354, aggregate, $l9,-
663, 224 ; and the amount of bills in circulation.
$4,759,755. By the last return, the capital is
$50, 40,O5O, notes issued bearing interest.
$3,7l3,262, aggregate, 23,853,312, on which
there was, in circulation, bills to the amount of
only $5,O34,593, when to be in the ratio of
1876, II would have been more than hGlf mil
lion of dollars more. Formerly, too, there was
large amount of the bills of other States in
circulation here, but the system has driven
them almost entirely away, while the circua-
ton of those issued here has been much extend
ed abroad, so that the amount remaining in cir
culation here, must have been exceedingly d.
minshed.
But, we are brought to conclusion by the
printers admonition that our columns are full
In whatever we have, now or heretofore, writ
cere and honest convictions of our minds. We
have viewed the allied bank system as one
traught with consequences most injurious to
the COMMUNICATIVE injury, temporary and
partial to the country, but deep and lasting on
the welfare of Boston. The country will soon
pass from Under the penumbrotion, because it
possesses the innate sources of wealth and pros
perty, productive soil, great water power
mineral riches, and hardy, entcrprsing, and
industrious population. With Boston, the case
is different. The causes of her prosperity are
adventitious, and may be taken away That
such may be the effect of this system we do
most firmly believe, though none would more
sincerely regret than we, the drying up of any
of the sources of her wealth We view her as
the pride and glory of our state, and would re-
joice to behold her becoming as pre-eminent in
trade, as she now is in moral, literary, and in
telectual riches.