The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-08-23

equivalent to gold and silver, which, and no
other, they were authorised, and had the ex-
elusive right TO issue.
Such state Of things cannot and ought not
to be tolerated any longer than absolute neces-
sity requires it. We are very certain that
you unite with us in the opinion that it is tho
paramount, and most sacred duty of the Banks
to exert every effort, to adopt every measure
within their power which may promote and
accelerate the desired result and that they
must be prepared to resume specie payments
within the shortest possible notice, whenever
favorable alteration shall occur in the rate
Of foreign exchanges.
We are quite aware of the difficulties which
must be surmounted, and of the impropriety
Of any premature attempt. No banking sys-
tenn could indeed be tolerated, which was not
able TO Withstand the ordinary and unavoida-
BILE fluctuations of exchange. But the diff
ference is great between continuing and re-
Stunning specie payments and we do not be-
lieve that the Banks in the United States can,
without running the imminent danger Of an
other speedy and fatal catastrophe, resume
such payments, before the foreign debt shall
have been so far lessened or adjusted, as to
reduce the rate Of exchanges to true specie
par, and the risk of an immediate expectation
of the precious metals shall have thus been
removed.
The appearances in that respect ha- ~
come more fattering; and it is not in1h
that the expected change may tako "a
shortly after the next crop of our principalA
icle Of exports shall begin to operate. Yer
we are sensible that we must not rely on con-
lectures and that the Banks cannot designate
the time when they may resume, before the
ability to sustain specie payments shall have
been ascertained by the actual reduction in the
rate Of the exchange.
But even when the apprehension of a TO
reign drain Of specie shall have ceased, the
great object in view cannot be effected with
out concert of the Banks in the several Sec
tons of the Union. Those Of this city had
the misfortune to be, with few exceptions, the
first that were compelled to declare their ina
bility to sustain for the time specie payments.
1t appears that il became absolutely necessary
for the other Banks to pursue the same course;
and it would be likewise impracticable for
those of any particular section to resume with
out general explanation of at least the prin-
cipal Banks Of the greater part of the country.
~
spectiye situation, prospects and opinions
seems to be necessary preliminary step, to
be followed by a convention at such time and
place as may be agreed upon.
As relates to the Banks of this city, we are
Of opinion that provided the cooperation Of
the other Banks is obtained, they may and
ought to, we should perhaps say, that they
must resume specie payments before next
spring, or to be more precise, between the
first of January and the middle of March,
1888
Both the time and place of meeting in con-
ventien, must of course be determined in con-
formity with the general wishes of the Banks.
In order to bring the subject in definite
shape before you, we merely suggest the lat
ter end Of October as the proper time, and
this city as the most eligible place for the pro-
posed Convention.
A sufficient time will have then elapsed, to
enable us to Judge Of the measures which
/ Congress may adopt in reference to the SUBJ
ject Whatever may be its action on the
currency, the duty of resuming remains the
same and must be performed by the Banks.
If any thing indeed, can produce an effect ia
vorable to their views, it will be the know
ledge Of their being sincerely and earnestly
engaged in effecting that purpose. An early
indication of the determination of the Banks
will have a beneficial influence by making
them all aware of the necessity Of adopting
the requisite preliminary measures; and the
information is also due to all the varied in
terests of the country.
We address this letter to no other Bank in
your city or state, than those herein designa-
ted; and we pray you to collect and ascertain
the opinions of the others, and to communi-
cate the general result as early as practicable.