The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-08-26

which have been granted TO them, and extending TO
them the good will OF the community SO long they
discharge with fidelity the delicate and important public
trusts with which they have been invested"
The Hon. William c. Rives, in his excel
lent speech upon the subject Of the currency,
delivered in the Senate last winter, held the
following doctrine, which seems to have been
heartily responded to throughout the country,
and by many, considered " the most reason
able sentiments upon this subject ever put
forth" Mr.. Rives says:
"My object then would be, not the destruction Of
the banking system and the total suppression Of bank
paper but an efficient regulation OF IT, and its restriction
TO safe and proper limits not the exclusive Of spe
Gle a circulating medium but such a substantial
largemen and general diffusion Of it, in actual circua-
ton, would make II the practical currency Of COM
life, the universal medium Of ordinary transactions
in short, the money Of the farmer the mechanic, the
aborcr, and the tradesman while the merchant should
be left in the enjoyment Of a sound and restricted paper
currency for his larger operations Such reformation
in the currency this would in my opinion be produc
tive OF tho most beneficial results. II would give
curty to the industrious classes Of society for the pro-
ducts OF their labor against the casualties incident to
the paper system. II would give security great ex-
tent the whole body Of the community, against those
disastrous fluctuations in the value Of property and
contracts, which arse from the ebbs and flows Of
unrestricted paper currency II world give security to
the banks themselves, by providing them IN the daily in
crna circulation OF the country, an abundant and
cessibe fund for recruiting their resources whenever
they should be exposed to an extraordinary pressure"
Again, in the language of prediction, now
proved history, he says:
1.-The requston Of specie in payments to The Govern
ment will not only not avail to bring gold and silver into
circulation, but if insisted on, while gold and silver yet
form, comparatively, but small part of the actual cur
rency of the country it will inevitably have the effect Of
diminishing their circulation. While bank paper forms
the great OF the currency Of the country, II the
Government refuse TO receive it in payment of the
public dues, and demand specie exclusively the ncces
sary consequence will be to enhance, TO greater
less extent the value of gold and silver in relation to
paper. That being tho case, gold and silver will
longer circulate freely. Those who have specie will be
unwilling to part with it, except at premium and those
who have notes will be anxious to convert them into
specie. boarding OF the precious metals will then
commence, and but little of them be seen in circulation
No one, presume, Mr.. President, attaches much i'm
portancc TO the collection Of the public revenue in
specie, ultimate object, If It can be made equally
safe by other means II is only an instrument of
purifying and correcting the currency that it deserves
the consideration of practical statesman. The great
object not to specie in the public treasury,
in the vaults Of banks but to dluse its healhul
rency through the business Of society, and bring it
into active circulation AMONG the people. This can only
be effected by the previous suppression of the small
notes and any attempt by the Government, before that
done, to collect its in specie, instead Of pro-
noting and extending the circulation Of gold and silver
tends directly to narrow and diminish their circulation"
The Hon. Nathaniel P. Tallmadge, in his
speech in the United States Senate, upon the
Opposite Act, which has been extensively
quoted and commended, expressed the follow
ing views. 1t is proper, also, to remark, that
these opinions have recently received the
centre appreciation" of about "seven hun
dred members of the democratic republican
party, in the city of New York. whose con.
nexion with the commercial interests, and
knowledge of commercial wants. should en-
title their views to great weight on subjects of
this character. He says:
"What, then, do they expect and desire answer
more no less, than every real friend TO his coun
try is willing to adopt, namely, preservation, and at
the time, regulation of the credit system. In
all such measures of reform will go far as he who
goes arthest Preserve and regulate but not destroy
is my motto. Enlarge your specie basis introduce, as
far practicable, gold currency, by the prohibition OF
small notes provide means for coming at the mint
take all proper measures to prevent excessive issues Of
bank paper and the increase Of bank ncor
porations repeal your restraining laws as to permit
the free employment and investment of foreign capital
Whatever danger there may be, to be found in the
abuse Of the system and not in its existence. Guard
against these abuses and correct them when discovered
An entire abandonment Of the credit system, and
return to sole and exclusive mcaliic currency, if it
practicable, would produce, desoation and de-
struction from extreme to the Union to the other
Such notions ought not, cannot, must not prevail
Hon. Silas Wright, Jr. in his speech in the
United States Senate, in January, 1884, re-
marked
"The Senator from Massachusetts has asked-If
you will not rcchartcr the bank establish brink,
what will you do He (Mr. Wright) would answer as
an individual, expressing has sentiments that he
would support the Executive Department Of the Co
vcrnment, by all the lawful means in his power, in the
attempt now making to substitute The State Banks for
the Uniied States. He believed them perfectly and
completely competent 10 the object and he tchohy
unm0ted by the alarms that had been sounded to
their insecurity and the dangers that to be appre
hendcd from the change He held that the steps al
ready taken to effect the object IN view were all
ranted by the Constitution and taos Ct The hnd 1t
his firm opinion that the steps which had been taken
would rebound to the honor and hest interest Of the
country and ought to be sustained by the People and
their Representatives
In conclusion, Mr.. Wright observed:
:" He would merely pronounce his opinion that the
country would sustain the Executive arm OF the Go
vernmcn, in the Experiment now making to substitute
the State Institutions for the Bank Of the United States
He had the mast entire confidence IN The full and com
picte success Of The Experiment."
Mr.. Woodbury., in his Report to Congress,
in December, 1884, says:
" 1t is the part Of sound philosophy and true political
"a N the
srtutional difficulties our presen, mixed currency
When 1t is remembered that, after long experience,
almost every Of Europe, and especially the most
enlightened and commercial ones have, though possess
ing full power abolish wholly the paper system deem
ed good economy and great to retain 1t