Southern telegraph., 1837-11-14

causes which led it to flSw backwards o.
Forwards: that by this vi,dert procedure the
Bank OF England had boon obligt Ed in its
own defence Tin order to prevent its own
vaults from being drained Of all its specie,)
70 put stop 70 American credit and call in
Its debts. If it had not done so, il
would unavoidably have been forced to
suspend payment. Now, if the natural
laws oftrade had been allowed to prevail
II the merchants of this country could have
been allowed 10 obtain specie TO paw the
debt, and could have RENTED it to England.
no embarrassment would have followed;
but the specie which they required was
drained away to the West by tho unnatural
and violent process of the specie circular;
IN consequence of which scarcity
of specie wrs~ created on the Atlantic
seahoard. The effects Of the specie circl-
lar, while thus ruinous to the commerce of
the East, were not less disastrous to the
trade and business of the West. The banks
there were drained of specie by its opera
ton: it was in fact the commencement of
general run on them, begun by the gov
eminent itself; most impolitic and fatal
procedure. Thus cmbarrassmcnts were
created on all sides, by attempting to force
things to flow unnaturally in channels con-
lrary to the course and order of trade
Thus, run against the trade and trading
| institutions of the country land, by conse-
| anence, against all the people Of the COIN
try,) was instituted and carried on by the
very government of the country itself, and
against its own country! a suicidal course,
which perhaps, has no parallel in the histo-
ry of the world
Among other positions, Mr.. K. brought
forward the following, which he m,int timed
by various arguments, and Illustrated with
clearness and force.
| l. The banks are not broken and insol-
vent, merely because they d. not pay spe-
Gle. Specie is made to be an article of mer-
chandse-it is no longer an item of cur
rency. 1t never can become current, and
be an item of currency 50 long as govern
menf, by its exclusive measures IN refer
cncc to specie, forces itup AT a premium
that is TO drive i; out of the general curren
cy. 1t is now commodity kept in broker
shops, ready for sale as any other merchan
disc.
9. The adoption Of hard money cur
TCuCys anu ttIc CACtiiSiOI VI ii DdiIcI CutiCu
CIV would be equal to the confiscation ofon
& third of the property of every individual Il
the country.
s. The paper currency of the country i
5 not, as Is now represented by some, depre
!. cia.cd in vnluc. Cla the contrary. it Ia
{ risen in value, and is now, at this momen
! above the value that specie bore before tn
suspension. For land, houses~@and othc
f property, can now be purchased with goo
, current bank notes, for Ipss than the sam
could have been purchased hef,re the sls
pension, in gold or sEer, when, by the re
: lative excess of tN currency it was les
: valuable than move Therefore paper is a
. less depreciation than when there was
!. currency of gold and silver and paper
4 that is before the suspension of specie pay
f mems.
+ 4. The results Of the specie circular, b
a its acting in violation of all laws of exchang
d were most ruinous. Such were the result
d of what the Senator from Missouri, IN
l. Bentor) called the ACKNOWLEDGEMENTS
c specie circular" referring to the lanynas
: used by Mr.. Benton few days ago. Her
e Mr. b. nodded assent and said ely, g.or
;, ous."] We now, however, (said Mr.King
n have found that this glory had sorcwhi
deprecated, like some bank rags, and froI
n the same cause, namely, that it was tonn
1t not to have rested on very solid basi
, We now, Che sadly beheld orr govcrnmc,
= insolvent and disgracedina tins Of profour
n peace; our young and prospcruos natIo
ID branded as nation of fraudulent bankrup
+, and swinsIlers-i;s merchants bankrup
Il manufacturers langIishng in idlcness al
of distress; planters ruined; and two thirds
r. the working class threatened with actin
starvation. So much for glory! Mr.. |
Id thought this too much glory TO be endure
d. any longer.
Il. Mr.. K. called upon his political frien
e. to Join him in restoring the control OF Il
o. finances of the country to Congress, n
ic rescuing them f:om exclusive executi
Sc legislation. Mr.. K. did not say that the
q had existed no disease in the banking sy
re tom; bat the methods adopted to cure Il
Sc disease were Just as bad as il, a physics
lr- were to turn !. man heels upwards to Gu
ct him of an apopleyv.
no In relation to the bank Of thel Unit
no States, Mr. X. spoke with great cner
ed and ponte dness. He said tho fate Of tt
N bank was very extraordinary. Bat bcfa
~ he could venture to utter a word IN tas
IT, Of that institution, he felt he must give
err reasons FOR speaking, for whoever NJ
he would open his month in its defence "
en- obliged to defend himself as il he were
at lelon or n traitor.
en- He had grown up from his earliest lilt
lat democrat in habits and associations. 4
he K. was democrat in heart a real dcn
he lscrat he used not the word as 4 cafch- wol
We Inc dispiscd catch-words. lie went for
economical Administration, md NJ 9