The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-11-21
DEBATE IN THE SENATE.

MONDAY, September 25th, 1887.

The Senate having resumed the consideration Of the
bill imposing additional duties, repositories Of the
public money, certain officers Of the general govern
ment-
three hours. We cannot undertake TO report all he
SAID, exactly said. We must content ourselves
WIN exhibiting view OF his arguments, employing ge-
neraiy the language in which it was expressed
lie commenced by observing that, feeling an anxious
desire to see eectusl plan presented TO correct
e disorders IN the currency and TO restore the prospe-
ny OF the country, he had avoided precipatng himself
IN The debate now IN progress that be might attenvey
examine every remedy tina, should be proposed and i'm
partially weigh every consideration urged in its support
No period had existed in this country in which
the future was covered by darker denser, moro
impenetrabe gloom None, in which the duty SO
imperative as TO discard all passion and prejudice, all
party ties, and previous bias, and look exclusively the
good OF our afflicted country In respect land he
thought It fortunate oneour present difficulties
disngushabe from former domestic troubles, and that
Is their universally. They felt is true, in differ
ent degrees but they reach every section every state
every interest, almost every in the Union. All
iee, see, hear know their existence. As they do not
array, like our former divisions, portion Of the
federacy against another it is to be hoped that
suterings may lead TO common sympahles and common
councils, and that shall at distant day. be able to
see clear way Of deverance. II the present state Of
The country produced by the fault Of the people
If proceeded from their wastefu extravaganza and
ton II public measures had no agency whatever in
bringing about, would nevertheless be the duty Of
government to exert all its energies aud TO employ all
lis legitimate powers 10 devise eicacons remedy
But II our present deplorabe condition has sprung from
our rulers; if is TO be clearly traced their and
operations, that duty becomes obligatory and 60
yement would be althess to the highest and most So
lemn of human trusts should il neglect TO perform II.
And is il not too true that the evils which surround
TO be ascrbed those who have had the conduct OF
public affairs!
In glancng at the past, Continued Mr. O. nothing
be farther from my intention than to excite angry
feelings, or TO find grounds Of reproach would be
far congenia 10 my wishes that, on this OCCASION
should forget all former unhappy divisions and ami
mosities But, in order to discover how to get out OF
our difficulties, we must ascertain, If we cam how we
got into them. 49,
Prior TO that series of unfortunate measures which
had for its object the overthrow OF the Bank OF the
United States and the dsconnuanee OF its fiscal agency
for the government people upon earth enjoyeda
better currency had exchanges better regulated than
the people Of the United States Our monetary system
appeared TO have attained great perfection as any
thing human possibly reach The combination of
the United States and local banks presented true image
Of system Of general and state governments, and
worked quite well Not only within the country had
we general and local currency perfectly sound but In
whatever quarter Of the globe American commerce had
penetrated, there also did the bills OF the Bank Of the
United States command unbounded credit and confi-
dence Now are in danger Of having fixed upon us,
indefinitely to time, that medium-an iredeemable
paper currency, which by the universal consent of the
commercial worst, is regarded the worst. How has
this reverse upon US Can ii be doubted that it
Is the result Of those to which have adverted
When at the very moment Of adopting them the very
consequences which have happened were foe,od as IN
evitable is it necessary TO look elsewhere for their
cause Never prediction more distinctly made, ne
yer fulfIment more literal and exact
Let US suppose that those measures had not been
adopted that the Bank Of the United States had been
recharcred that the public deposites had remained un-
disturbed and that the Treasury order had never been
issued Is there not every reason to believe that we
should now he in the enjoyment Of a sound currency;
that the public deposes would bic safe and forth
coming and that the suspension OF specie payments IN
May last, would not have happened
The Presidents message asserts that the suspension
has proceeded from in
diligence Of spirit Of speculation produced by bank
and other facilities think this is view Of the
entirely too superficial 1t would be quite as correct
aud JUST in the instance OF homicide perpetrated ny
the discharge Of gun, to alege that the leaden ball,
and not the who leveled the piece, was responsible
for the murder. The true inquiry is, how came that
excessive ovcr-tradng and those extensive bank faci
ties which the message describes !! Were they not the
necessary and immediate consequences OF the overthrow
OF the Bank, and the removal from its custody OF the
public deposites And is not this proven by the vast
multiplication Of banks, the increase Of the line OF their
discounts and accommodations prompted and stimulat
ed by Secretary fancy, and the great augmentation OF
their circulation which ensued1
What occurred in the state of Kentucky, in conse-
qucnce of the veto Of the recharter Of the Bank OF the
United States, illustrates its effects throughout the
Union That state had suffered greatly by the banks
1t was generally opposed to the re-esablshment Of
them II had found the notes OF the Bank OF the United
States answering all the purposes Of sound currency
home and abroad and it perfectly conened with
them At the period Of the veto 1t had but single
bank of limited capital and circulation. After il, the
state reluctant to engage in the banking system, and
still chershng hopes Of the creation OF new Bank oil
the United States encouraged by the supporters OF the
late President hesated about the incorporation OF new
banks But at length, despalrlng oil the establishment
of Bank of the United States, and finding itself expos
ed to currency in bank notes from adjacent states, It
proceeded to establish banks Of its own, and since the
veto since 1889 has Incorporated for that single state,
bank capital TO the amount Of ten millions Of dolarsa
sum equal the capital OF the first bank OF the United
States created for the whole Union!
That the local banks to which the deposites were
transferred from the Bank Of the United States were
urged and stimulated freely to discount upon them, we
have recent evidence from the Treasury department
The Message TO reconcile us TO our mlsiortunes, and
to exoncrae measures Of our Government from
all blame in producing the present state OF things, re-
fers the condition Of Europe, and especially to that
Of Great Britain II alleges that IN both countries
we have witnessed the redundancy OF paper mo-
new and other facilities Of credit the same spirit OF
speculaton; the same partial successes the same diff
cuies and revcrscs and, at length, nearly the same
overwhelming catastrophe"
The very clear and able argument Of the Senator
from Georgia lMr Kng) relieves me from the necessity
of saving much upon this part Of the subject II APP
pears that during the period referred to by the Message,
of ls33-4-5, there was, in fact no augmentation,
or very traing augmentation, in the circulation Of the
country and that the Message has totally misconcelved
the actual state Of things IN Great Britain According
to the publications to which have had access tho
Bank Of England in fact diminished lis circulation COM
pairing the first with the last Of that period, about IL
millions sterling and although the joint stock and pr-
waite banks increased theirs, the amount OF increase was
neutrslizcd by the amount Of diminu,ion.
If the state of things were really Identical or slmaE
in The two countries would be fair TO trace II to ST.