Vermont phÅ“nix. [volume] (Brattleboro, Vt.) 1834-1955, 1836-09-23

from emitting bills oil credit, ana from ma
king any thing but gold and silver coin
tender in payment Of debts i is equally OBJ
yious that they intended as general rule
that the currency Of the country should be
metallic and not paper currency Wheth-
or thew also designed to divest the States of
their antecedent right to incorporate banks
il would now be more curious than useful
to inquire. That matter, SO far as relates to
the mere question Of power, must be regard
ed as settled in favor Of the continued au-
thoritv of the States. Assuming that this
was contemplated by the trainers of the fed
eral constitution, it is then most evident that
their hopes Of sound currency must have
been based upon their expectation that the
respective governments would faithfully dis
charge their peculiar duties, and as faithful
ly con6ne themselves 10 their respective
snheres that the Federal Government would
exert all its constitutional powers, not only
bv creating and diffusing a metallic curren-
cy, but by protecting it against a paper cir
culaton of the same nominal value, whilst
the States supplied such emissions of paper
as might be actually demanded by the me-
cessites OF commerce, and not at variance
either in denomination or amount with the
existence of an adequate specie currency
Had such policy been pursued, there is
the best reason for believing that just pro-
portion between paper and specie might
have been preserved, and sound currency
uniformly maintained. But instead OF pur
suing this course, the federal government,
at an early period, authorized the issuing of
paper money. and with the intermission of
a yerv few years. continued 10 DO so until
the expiration of the charter Of the late Uni
ted States Bank, and as if anxious to con-
tribute their shares 10 this inroad upon the
policy Of the federal constitution, the State
Governments have not only created swarms
of banking institutions but, until recently,
most of those institutions were authorised to
issue notes of as low denomination as
single dollar The consequences OF this de-
parture from the wise policy OF the trainers
of the constitution, and from the appropriate
functions of the federal and State Govern
ments, have been extensively injurious
We have seen them in the almost total ex.
cluson of gold, and to great extent Of sill
yer also, from the circulation OF the country
in the enormous issues OF paper, which have
been made whenever business was inviting
and public confidence strong; the contrac-
tions which have followed an adverse state
of things, and the mischiefs which these
fluctuations have occasioned in the frequent
depreciation, and in numerous instances, the
utter wor,hlessness of bank paper; in the
temptations held out to the crime OF forgery
and the general prevalence Of that crime );
in the injurious collisions which have &C.
Cured between the State banks and the
bank established by federal authority and,
shove ALL in the daring attempt Of the lat
ter. first to control tho public will through
tho medium Of elections, and nfter this effort
had been rebuked by the intelligence and
virtue Of the people, to e1tort reversal Of
that decision by a reckless warfare on the
business of the country.
It is time, high time, that we should re-
turn to the constitutional policy and the
first step in the way of REFORM is that the
Federal Government confine itself to the
creation OF coin, and that the States afford it
a fair chance for circulation. Can any one
assign even plausible reason why the u.
States cannot maintain as stable a currency
as either France or Great Brtain7 None,
can imagine, other than that it has not
been the policy Of the Government that it
should be So In all material respects, so
far as can Judge. we are in an equally ia
vorable if not superior condition. Whilst
both these countries must rely on importa-
tions from abroad for gold for their minis,
we derive three fourths OF million annual
ly from our mines, and are besides nearer
the great supplies Of it in South America.
Nothing therefore. but a faithful prosecution
by the General Government and the States,
OF the policy of the present administration
in regard to specie circulation, is necessa-
ry to place us on footing of equality in
this respect with other nations Such re-
suit once accomplished, it will require no
labored argument to prove that more will
have been done for the permanent interests
and improvement of the currency, than was
ever accomplished by the Bank of the U.
States, or than ever could, in the nature OF
things. be accomplished by such an nstilu-
ton. We may find it in what has already
been done, the greatest encouragement to a
vigorous prosecution OF this policy
In the years 1926, 1927, and 1925. the
gold coinage amounted to only Sl54,655
annually. Since that period, it has been as
follows in 1881, S7l4,270; in 1882, $685.
ABS; in 1888, S978550; in 1894, $685.
270; in 1885, S2,ls6, IS; and for the first
six months of 1886. l.OO6,575; and in the
remaining six months Of the present year, it
is expected TO be much larger there having
been coined in the month of June alone over
one million Of dollars. The next year our
means to coin will be greatly increased, by
the completion of three new branch minis
And under what circumstance has this ex
traordinary and regular increase Of the gold
coinage been ACCOMPLISHED In the mids