Litchfield enquirer., 1837-06-29
CREDIT, THE POOR MANS LIFE.
From the BOstOn AIas.

q Production is the result of combined Applica- ton of labor and capital. Without capital, it is obvious that labor can do but little and capital is quite as helpless without the aid of labor. The interests then of labor and capi- tai are coincident, not antagonistic. Any state of things which benefits the laborer, ben efits the capitalist; and when the capitalist suffers, the laborer cannot escape from parti- cipating in his misfortmes.
 There can be no production without capi- tai. But should all production be therefore confined to the capitalist! Should those who have all the capital be permitted to engross all the production? Certainly not. The large capitalist cannot superintend all his nity. What, then, is he to do with his capi- tai? lift is specie, shall he hoard it! If it is land, shall he leave it untitled! lift is work shops or machinery, shall he keep his work shops and machinery closed and unemploy- ed!
 Every man answers of course without he's itation, in the negative. The next question touches the employment of the rich mans capital. How can this be most benefcially used! By loaning tito trust worthy individ- uals who can themselves superintend its em- ployment. Here we enter the province of credit. What is credit! The facility of borrowing capital. Who desires and uses credit! The poor man and not the rich.- The capitalist has no need of credit, and very frequently neglects the means to secure it, A man who draws check on his banker for all he wants, has no call for that kind of com- mercial credit which would enable him to negotiate bill on time.
 It is the poor man, then, who wants credit; and it is the poor man who derives all the ad- vantages of credit while it is the capitalist who runs all the risk.
 Take an instance. MT. Bullion is retired capitalist, worth million of dollars. Ifthis property is suffered to be idle, it is of no sort of benefit to any living being. For any good derived from it by society, it might as well be in the middle of the sea. But MT. Bullion is desirous of making some use of his capital, in way that may promise reasonable re- turn to himself, and at the same time contri- bute to the means and enjoyments of those around him. What course, then, does he pursue He determines to loan his capital. And to whom! The rich man does not re- siness, who do need it-whose capital is hon. estv, industry, knowledge of their business, and punctuality in fulfilling their engage ments-a capital situated altogether in their heart, head, and hands.
 He loans, therefore, portion of his capital to ship builder-as much more to manu- facturer, a mason, wool merchant, house builder, an importer, a farmer, wool grower, and to men engaged in various other branch es of domestic industry. Thus, by the pro- cess of credit, the rich mans capital is SO distributed as to produce the greatest possible good to society. It stimulates productive in- dustrv. It creates demand for labor. It of course raises the wages of labor, which, like every thing else, depend upon the relative demand and supply.
 Being thus possessed of the rich mans cap- ital, the manufacturers, the farmers, the me- chanics, the merchants, go to work upon 1t. They employ labor. They have the means of paying labor, and either weekly or daily, the wages of labor are paid. The laborer is not asked to work upon credit He receives All that the borrowing and lending in the case has done, is to give him employment and wages.
 When the products of combined capital, credit and labor, then are thrown into market when the crops are raised, the ships built, the houses erected, and the broadcloths and kerseymeres are ready for the counter fthe retailer-what is the situation of the laborer! He has found employment and received his wages. He has eaten, drank, and been cloth cd. Whatever may be the loss on the pro- ducts of his labor, his own share of its result is secure. How is it with the employer and capitalist? The state of the market may be such that the ships, houses and woolens may be sold at profit. In that case all parties are gathers. The capitalist is paid for his capital, the merchant and manufacturer is paid for his credit and enterprise, and the la- borer suffers nothing, because his employers have reaped benefit corresponding to their respective interests.
 But how is it when the reverse of all this is the case? How is it when the result ofpro- duction will not bring an equivalent for the capital consumed, and the labor employed? How is it when houses and ships are sold at loss! Who suffers in this case? The la- borer? Not at all. He has received his pay, in advance. It is the employer. who is thus unable to fulfil his engagements with the cap- italist. and thereby loses his credit; and the lender himself, who receives back only a por- tion of his advances, and thus loses portion of his capital.
 Who then suffers from the system of cred it! Who runs all the risks and sustains all the losses of the system? The capitalists Who derives all the benefit in the stimulation of enterprise, and the competition of labor, and the consequent advance ofwages' The laborer. Who can get along very well with out credit! The capitalist. Who can do nothing without credit! The poor man, Who suffers from the destruction of credit All whom credit has hitherto employed. Suppose Mr. Bullion, after having loaned to his own profit and that of his borrowers-at l any rate, to the benefit of all the laborers whom his capital has employed-should be- come all at once a convert to Gen. Jackson's notions. and make up his mind that all who do business on borrowed capital ought to