Herald of the times. [volume] (Newport, R.I.) 1830-1846, 1836-12-22

stocks in the first instance-and then by re-
ducing the imports to the exports. Now the
fact stbat al this moment the exchanges arc
all in favor Of this coun'ry-that H. yo" can
bny bill Of exchange on q foreign country
cheaper than yon can send specie 10 thal
icountry 3 Acc cordingly,much specie has come
jn-none' gocs out. y'This too al nomeht
,.y hen the exchange f,S the hst crop IL eX'
1aus,cd.end that ofIthe newcrop has not yet
come INTO the markef1sand~ when we are on
the point OF sending to Europe the produce
of the conntry,to the amount of eighty or one
hundred millions Of dollars. How then has
the country over-,raded? Exchange with all
the world is in favor Of New YORK. How then
can New York be an ovt vtr-tradcr? Her mer-
chants have sold goods TO the merchants OF
the interior who are willing to pay, and IN
der ordinary clrcums,a noes able to pay-but
by the mere fault Of The government. as obvi-
Gus as if on earthquake had swallowed them
up, their debtors are disabled from making
immediate payment It not that the Ailan-
tic merchants have sold too many goods, but
that the government prevents their receiving
payment for any. Moreover in the commerce
ial cities money eau be had, though at eX
travsgsnt rates, for apitalists add to the or
dnary charges for the use OF 1t high insur-
ance against the loss Of IT, It's not then so
much that money is not to be procurcd,as that
doubt and alarm increase the hazards of lend
ing u. .....I..I ..HF
/ Then as to the Banks. 1t is quite probable
that many ot the Banks have extended their
'ssues--but whose fault is 1t? Who callca
these Banks into existence? The Executive.
Who tempted and goaded them to these IS
suee? Undoubtedly the Executive. The
country five years ago, was in possession OF
the most beautiful machinery of currency and
exchanges the world ever saw. IL consisted
of number of State Banks, protected, and,
at the same time, restrained by the Bank Of
the United States. . ... ...,.
The people of the United States, through
their representatives rcchartered that institu-
tion. But the Executive. dscontented with
its independence, rejected the act Of Congress
and the fayorte topic of defamation was,
TINT the States would make Banks, and that
these Banks could create better system of
currency and exchanges. The States &C.
cordipgly made banks--and then followed the
idle parade about the loans Of these banks,
and their enlarged dealings in exchange. And
what is the consequence? The Bank of the
/ United States has not ceased to exist more
than seven months. aud already the whole
currency and exchanges arc running into in
extiicab bic confusion, and the industry Of the
country is burdened with extravagant charg-
( cs on oil the commercial intercourse OF the
Union. And now, when these banks have
been created by the Executive, and urged IN
J to these eXcessGs instead of gentle and grad
ual remedies, n fierce crusade is raised a.
gainst them the funds are hnrshy and sud-
denly taken from them. and they are forced
TO extraordinary means of defence against
the very power which brought them into be-
ing. They received, and were expected TO
receive. in payment for the Government, the
notes of each other, and the notes Of other
banks, and the facility with which they did
so, was n ground of special commentator by
the Government. And now that Government
has let loose upon them demand Tor specie,
10 the whole amount of these notes. l go
inrther. There is an outcry abroad, raised
by faction and echoed by folly, against the
Banks in the United States. Until it was
disturbed by the Government, the banking
system of the Uuited States was at least as
good Ms that of my other commercial coun-
TRY. What was desired for its perfection.
was precisely what have 80 long striven TO
Iaccomplisli--to widen the mcsaic basis of
the currency, by greater infusion of coin
into the smaller channels Of circulation. This
was in gradual and judlcious train Of ac-
compishment. But this miserable foolery a
bout an exclusively metallic currency ia quite
as absurd as to discard the steamboats,, and
go back to polling up the Mississippi. Banks
may often err from want Of skill, and occa-
slonaiIy be injurious as steam is-bus 1t ls
not the less true, that the banks Of this conn-
try have been the great instruments of its
improvement, aud that during all the convu..
sions Of the last fifteen years, for every A.
moricnn bank which has failed at least ten
English banks have failed.
So with regard to the lands. For the last
few yoars.tEc amount of the sales Of the pub
lie lands has bccn n constant theme Of con-
gralulalion with the Executive. In the very
last message. on tho 18th of December, 225,
he repeats the same strain. "Among the
'vidences Of The increasing prosperity Of the
coukiry, not the least gratifying rs That Afford
ed by The receipts OF the public lands, ,ohich n
mount IN The present yecr TO cleren millions of
doilnrs. This circumstance attests The rapid
~ ioith ,Ohich agriculture, the first and most
important occupation Of man. advances, and
contributes 10 the Wedih and po,cer Of our er-
tended ferriiory." in the sume message he
declared that "the circulating medium has
been greatly improved. BY the use Of the
otdt' DaHks u IL ascertalbeo t"Ht az We UdWS
G the community IN relation 10 rrchdnge and
currency arg supplied as ,ceH as they haze erer
been betore.' Scarcely seven months clapse
when these pastoral and financial visions,
dissolve in air. Agriculture ceases to be
"ihe rrst and most important occupation of
mon"-the State Banks cease to be the mod
els of exchange and curreucy-but forth is-
sues the Secretary with declaration, that to
protect fra nj
ton and monopolcs in the purchase of pub-
lie lands"-lrom "excessve bank credits"-
from "ruinous extension Of bank issues"-
nothing shall be received for land but gold
and silver. ....... ....
Now what nm ev vhiI;,inn is thiss