The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-11-03

cy with which am familiar nor appre-
hend are our true northern democrats Of
texture any whit inferior. But desire my
| constituents at least TO know to what sort OF
democracy the merits Of this bill are adj
dressed by its friends. Not 10 intelligent
and thinking men, but to a class who are
counted only by their numbers, and are csti-
mated to have no influence in public affairs,
save as a mass, holding certain position to-
ward capital.
TMr. Pickens here asked the floor. and was
| understood TO say, that he did not lay down
the proposition as broadly as was stated by
Mr.. Mason He meant only to say, that the
tendency of the institutions at the north was
to organize capital, and To make labor tribu-
tary to it.; and unless such tendency were
checked. would finally reduce labor there TO
a state Of yassalage
Having thus given my objections TO the
passage Of any law at this time, which has
not for one of its principal objects reiorma-
ton of the currency, or should more proper
" say, which will not by its operation, lead
back the banks TO resumption OF payment,
| | proceed briefly to suggest what my opinions
| are of the ultimate attitude which the Govern
ment should assume toward these institutions.
have no expectation or belief, notwthstand-
! ing the cry which has been raised against the
banks, through the press and otherwise, that
by any action of this Government these in
! siitutions can be destroyed. Ii is not In
your power to do SO, sir, if YOU would. and
| if attempted by any means direct or indirect,
every effort that you could make. would even
tuate in defeat. They are created by the
sTATEs-are incorporated, and have life given
TO them by their separate law-for their be-
| ing they lean upon the STATES, and are as en-
tirely independent of you, as you can ever be-
| come OF them. Most Of the States have
! large moneyed interest in their stock, and par
ticipate largely in their management by the
immediate appointment of directors.
Virginia has an immense fund invested IN
her banks--the income from which is APP
propriated to education to internal improve
ment. and TO other favorile objects Of her
state policy. Besides all which, the banks
of each State furnish to each the entire paper
4 circulation within its borders-a source OF
profit in which the States themselves largely
participate. For good or for i'll then, these
banks are so closely interviewer now, IN all
their relations with State interests, that they
cannot be eradicated, even by the power upon
which they depend for existence.
They enter largely into, and influence to
great extent, all the elements which affect
the trade Of the country, and thus whether
YOU are connected with, or divorced from
them. Whenever trade or the course OF ex-
change lin which they largely deal) is de-
ranged or injured, your finances will be I'M
mediately affected. You may be divorced
from them a mensa, and ripcnLs, and should
a period ever occur again, when there is
general suspension Of specie payment, your
Treasury will stop payment IN unison with
the banks, precisely as it has done now; and
the only difference between you will be. that
they will stop payment as measure OF pre-
caution, and you from necessity.
say then emphatically, that the present
embarrassed condition Of the Treasury is not
owing to its connection with the banks
You have not now money enough to the Gre
dit Of the Government in all the banks north
of the Potomac put together, (the quarter
where the principal revenue is collected,) to
1 carry on the Government, for two weeks
The Treasury is without money, not because
the banks have stopped payment, but because
its supplies are cut off. Its revenue is stag
nant il the hands of its debtors, and not IN
the vaults of the banks. There is money
enough due to YOU. but you can't get it in, and
so it is precisely with the banks. You and
they are both obliged, being operated upon by
the same causes, to give time to your debtors,
and to wait for the reaction OF trade, the re-
vival Of commerce, before you can again get
ahoat.
Neither is this reasoning at all weakened
bv the fact. that you have some FIVE or six
millions yet on deposi,e, in the southern and
western states, which is styled "unavail-
able'-meaning that you can't command it
for use You can't command it, simply be-
cause you have no use for it. in the place
where it is In the northern and eastern
States, where you had use for money, you
have Withdrawn it rapidly since the suspen-
sion, and so you would have done, from those
south and west, could you have used the mo-
ney at the place where it was. Suppose
then, that this money, instead of being on depo-
site in The banks, was locked up in Subtrea-
suries in gold and silver. Five or six mil
lions OF bullion, is TOO large sum to be sud-
denly transferred from one quarter OF the
country to the other, without producing very
serious effects upon the trade and business of
those places whence it is taken and yet you
would have no other resource whatever in
order to make it " available" but to bring it
away in bulk, transporting it at heavy cost
across the country, from the place where it
was collected to the place where it was
wanted.
You could not command a dollar by means
of exchange for the very causes that now
make your deposite unavailable" there, has
run up exchange to rather more than the ex-
penses Of transportation. And thus that whole
fund, even if now in gold and silver, and in
Subtreasuries, to boot, would be just as UNI
available to government, in the present con-
| ditinn &c the country az their dennsite Is in