The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-10-12


ment of the public dues, notwithstanding they
constitute the general circulating medium OF
the country, proves that the Executive re-
CARDS the metallic as much sonnder and
safer currency than bank paper, although il
may possess the essential quality OF conserti-
bllity into specie. In the proposed scheme,
the bank note circulation will be left exclu-
siyely TO the people; and il il be not SO safe
OF sound as the metallic, then il follows that
the currency less sound and less safe, is con-
fined 10 the people, Take this fact in con-
neciion with the fact, that the major part of the
circulation is now, and likely will be, bank
paper, and upon the principle Of the distinc-
lion drawn in the Message, the conclusion is
irresistible that there will be an exclusive me-
tallic medium for the Government and its Of
ficers, and a medium mainly paper for the peo-
pie. The bill now under consideration, as
does the Message, draws the distinction, and
IFS consequences must follow Can this be
sound policy! Is not the distinction invidi-
Gus Does it not make the Government SUI
preme whereas the people should be, and
are supremei Sir, in my humble opinion, it
strikes at the very foundation Of our system;
itmakes the people subordinate to the Govern
ment, whereas the Government is subordinate
to the people. |, know. sir, this is not de-
signed by the President, bu, il is the ineyita-
BILE result of the distinction Mr. Chairman,
there is no sound reason for this distinction,
none whatever, the business transactions OF
the people are infinitely greater and more ex-
tended, and therefore of greater interest, than
that Of the Government, and demands the
soundest medium for their operation. If then,
the metallic be the only safe and sound me-
dunn for the Government, it is necessarily
more important for the people if the paper
medium be safe and sound for the people,
there is no reason why il is not equally SO Tor
the Government and instead Of the Govern
ment ,disparaging and discrediting the medium
necessarily belonging to the people, il should
by the judicious employment OF It's immense
revenues aid in preserving its safety and
soundness, and extending its credit This
Government is charged by the Constitution
with the regulation, the encouragement and
protection of commerce 1t could not more
successfully perform that duly than by giving
full credit to the general circulating medium
Of the country, SD long as it is worthy. Sir,
the conviction that tho proposed system, con-
tains this unjust, and anomalous, and invidl-
Gus distinction between the Government and
the people, is fast riveted on my mind. and u
true. ought on that account, if no other, TO be
repudiated.
The sixth objection which urge to the
present system IS, that it will greatly aid, if
not render iadispensably necessary National
Bank | assume it as a fact, which the ex-
perience of the past well justifes that unless
this Nation and the States Of this Union. shall
abandon its commerce, their systems OF IN
ternal improvement, so fourIshlng aud SO ra-
pidly increasing, and their literary instltu-
tons, that the banking system in some form
viii be maintained; they have increased, and
will continue to increase as the wealth, popu-
lation, manufactures, agriculture and com
merce Of the country increases. The Presi-
dent himself expresses the opinion, IN his
Message, that the States will not abandon
their systems of banking. The power of the
States to incorporate these institutions, and
the want of harmony in the exercise OF this
power, has rendered it difficult even with the
aid Of the national revenues, and the advan-
tages of national credit to preserve sound
medium of circulation, and perform the fiscal
and commercial duties which have devolved
upon them If then, they are farther discre-
dited by the passage Of this bill, and their
operations reduced to narrower bounds, it Is
manifest that they will not be able, and Will
not have sufficient credits to supply the coun-
try with safe, sound and ample commercial
medium; for without credit, they are totally in
efficient II is admitted on all hands, that
while gold aud silver are safe and sound, they
are not ample and convenient, hence the
country will demand some other medium to
keep pace with its rapid improvement, and
that will be National Bank medium. In the
necessity Of the demand all constitutional
scruples will be overlooked, and National
institution incorporated. Sir, | shall not, II
here. vote for it, but be assured that the over
whelning influence of public discomfort will,
as in 1876, drive to this resource, and when
again established, it will obtain hold which
nothing can break, and will with all its OBJ
noxious and fatal tendencies be the permanent
policy Of the country. This brings me to con-
slider whether the passage of this bill will not
discredit the bank paper, and impair Its value
as circulating medium. II the course al
ready taken by the Treasury Department
toward these institutions, the calling OF Con-
gress together on account of the suspension OF
specie payments, the recommendation OF the
Message to discontinue them as repositories,
and the receipt of their notes in payment OF
the public revenue, if the charge OF the Ike
cutive that they have been faithless fiscal
agents, more so than the Bank of England
under like circumstances, and the sanction OF
these charges by passing the present bill, be
not sufficient to discredit and cripple these In
s,itutions, then there is no cause whatever but
absolute unqualified bankruptcy that would
discredit them We already see the blight
ing influence which the withdrawal OF the
confidence Of the Government has exerted
upon the banks, and we may well anticipate
the fatal effects which blow from the repre-
& Il. LII r,rnlucc. all oil