Martinsburg gazette. [volume] (Martinsburg, Va. [W. Va.]) 1833-1855, 1837-09-13

quivocally expressed. On no question
of domestic policy is there stronger
evidence that the sentiments of large
majority are deliberately fixed and |
cannot concur with those who think
they see, IN recent events, a proof that
these sentiments are, or a reason that
they should be changed.
Events, similar in their origin and
character, have heretofore frequently
occurred, without producing any such
change and the lessons Of experience
must be forgotten, if we suppose that
the present overthrow of credit would
have been prevented by the existence
of national bank. Proneness TO ex.
cesSive issues has ever been the vice of
the banking system; vice as promin.
cnt in National as IN State institutions.
This propensity is as subservient to the
advancement of private interests in the
one as in the other and those who di.
rect them both, being principally guild.
ed by the Same views, and influenced
by the same motives, will be equally
ready TO stimulate extravaganza by
improyidence ofcredt. How striking.
ly is this conclusion sustained by expe.
rience. The Bank Of the u. States,
with the vast powers conferred on it by
Congress, did not or could not prevent
former and similar embarrassments !;
nor has the still greater strength il has
been said to possess, under its present
charter enabled it in the existing emer.
gency, to check other institutions, or
even to save itself. In Great Britain,
where, 1t has been seen, the same eau
SEES have been attended with the same
effects, National Bank, possessing
powers lar greater than are asked by
the warmest advocates of such an in.
stitutian here, has also proved unable
to prevent an undue expansion of cre-
dit, and the evils that flow from it,
Nor can find any tenable ground for
the re. establishment OF u national bank
in the arrangement al,edged at present
TO exist in the domestic exchanges Of
the country, or in the facilities it may
be capable of aflording them. Although
advantages of thus sort were anticipa-
ted when the first Bank ofthe United
States was created, they were regard.
ed rs an incidental accommodation
not Que OF which the Federal Govern.
mcnt was bound, or could be called up
on, to furnish.
This accommodation is now, indeed,
after the lapse Of many years, demand
cd from it as among its first duties and
an omission to aid and regulate com.
mercial exchange, stroated as a ground
of loud and serious complaint. Such
results only tend to exemplify the con
slant desire, among some Of our citizens
TO enlarge the powers OF the govern
ment, and extend its control to objects
with which it should not interfere
They can never justify the creation OF
an institution to promote such objects.
On the contrary, they justly excite u
mong the community a more diligent
inquiry into the character of those OPP
cratons OF trade, towards which it is
desired TO extend such peculiar favor.
The various transactions which bear
the name of domestic exchanges, differ
essentially in their nature, operation,
and utility. One class OF them consist
Of bills of exchange drawn for the pur-
pose of transferring actual capital from
one portion of The country to another,
or to anticipate the proceeds OF proper.
ty actually transmitted. Bills of this
description are highly useful in the
movements of trade, and well deserve
the encouragement which can rightful.
" be given 10 them. Another class is
made up Of bills ofexchange, not drawn
to transfer actual capital, nor on the
credit of property transmitted, but TO
create fictitious capital, partaking at
once ofthe character of notes diseuun-
ted in bank, aud of bank notes in CIR.
cuIation, and swelling the amount of
paper credits 10 vast extent in the
most Objectionable manner. These bills
have formed for the last few years,
large proportion of what are termed the
domestic exchanges ofthe country, ser.
wing as the means Of usurious profit,
and constituting the most unsafe and
precarious paper in circulation. This
species Of traffic, instead of being up
held, ought to be discountenanced by
the Government and the people.
In transferring its funds from place
to place, the Government is or the
same footing with the private citizen,
and may resort tothesame legal means.
1t may do so through the medium Of
bills drawn by itself or purchased from
others; and IN these operations il may,
in a manner undoubtedly constitution
al and legitimate, facilitate and assist
exchanges ofindividuals founded on re-
al transactions of trade. The extent
to which this may be done, and the
best means of eflecting it, are entitled
to the fullest consideration. This has
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