The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-10-20

ing institutions Of the country can be found ,un.
means Of accomplishing the two great objects of re-
storing specie payments, and miniserng hereafter
IN all ordinary times, convertible currency, which
Is all thai we can expectto do
Sir, do not wish 10 be misunderstood. II Is of
the utmost importance, that the paper of The banks
should not only not in fact be deprecated Gas be-
leve IS actually the but should be able To stand
the only sure, and TO the public at large, satisfactory
test OF that fac-l mean eOarenbility into specie
am luily aware that the accident Of failure in the
means OF making their payments in the precious
metals Is one against which according to the course
of modern commerce, there can BE- no complete Sc
curily, and that nothing be more abSurdy exag-
gerated than the importance attached To that occur
renee, which happens in consequence of an extraor-
idinary dram for price, or Otherwise by persons not
familiar with the principles Of banking. Nay more
admit that the most usual effect Of great revusion
In trade IS 70 throw much paper oul Of circulation
contract The currency and 50 to bring down
changes and prices and raise The value of the money
that remains in the hands of the public But suS-
pension of specie payments, though il may not be
present evil is always fraught with danger II is the
Indispensable duty Of statesman To put end TO il
as soon possible, either by encouragement or BY
compulsion 1t is for this, among other reasons that
| so cheerfuy acquesced in the issuing of Trea-
sury roteS inasmuch as it relieved us from the
necessity either of directly refusing TO take the paper
of the banks at par or by receiving it, as we might
Otherwise very safely have done, OF beraying those
companies into an impolitic engagement OF their
! issues, before the balance OF payments had been
turned in our favor, as hope IL will be by the
coming crop ] regarded il as excellent tempo
rary expedient for avoiding, al present. this choice
of evils So far think nothing more unfounded
than the general charge of insolvency against all
our banks which are inconsiderately uttered BY
The press and in debate well as the assertion re-
peated over and over again, on this floor, that the
country is laboring under an exclusive and depre
ciaed currency. 1t is not yet so; but II WILL fear
very soon be So if the banks do not make an effort 10
return to specie payments in the course OF few
! iSth a tsf,at Hn 81 fhair
issues are contracted, that importaiions have been
checked that exchanges are become more iayofl
ble and that great southern crops, about to be SEM
| forward TO make them still more So Let every one
interested in the fate of these institutions, well
in the commercial prosperity of the country, exert
whatever influence he may possess, TO bring about
that result and TO deliver the banks from the tempta
tions To dangerous excess to which The return of an
active and prosperous business will inevitably ex-
pose them if they do not once more, lay themselves
under the restraint OF convertibilily.
Sir, should they unhappily take different course,
and should this Government after using all its in
fuence and authority, to establish the currency Of
the country on better footing fail of success in its
most jealous endeavors, ] admit that il may be
driven TO the necessity of taking care of its own
business and creditors, by independent Legislation Of
its own There is no doubt that rariouSly depre-
ciaed currency cannot be tolerated as the settled
system of the country. The ports OF one State can
not be preferred TO those of another in this way, any
more than by an express statute to that effect. Nor
can the public creditor be justly paid in money rcay
deprecated, mean not in reference merely TO gold
and silver, which are themselves liable to great
fluctuations in value, but to the general mass of
commodities that compose the conveniences and
necessaries of life. The effects of redundant cur
rency they begin to be distinctly perceived,
coun,eracted by general rise of prices Money is
twice easy to be got but you have to pay twice
much for every thing which it buys. But there is
one class of persons who have means of indemni-
fying themselves BY raising the nominal value OF
their property their claims 1t is the class OF
those who live on fixed incomes-annuitants, fund
holders, functonaries of States, pensioners. They
are paid certain sum, and with every diminution
in the rate it expresses, they lose just much OF
what they fairly entitled TO. In this view of the
subject therefore it is quite clear, that Government
is under the highest of all moral obligations to see
that their dues be not paid them in what is really
worth great deal less than it purports 10 be.
(T0b be continued.)