The Rhode-Island Republican. [volume] (Newport, R.I.) 1809-1841, 1837-06-14

New York on Monday and has brought
London papers of the 18th ult. They fur
nish news of but little additional interest to
that brought by previous arrivals.
The Army and Navy Chronicle says that
Gen. Jcsup has asked to be relieved from
his command in Florida, but hns been in
formed that his services cannot be dispensed
with, until the Indians shall have been
removed from the limits Of the territory.
RUODE-IsLASD BANKS & BANKING
NO. 2.
The Providence Republican Herald of
the 7th and the Newport Herald of the
Times Of the Sth instants-both seem dis
posed to kick our shins, The former, a
little in good nature, and the latter with
moro severity. The truth is, that we have
not ipfu.ed party spirit enough in our work
to suit either.
We agree with the Providence Herald,
that there is much moonshine Bank capital.
We agree that much of the capital is held by
persons who owe much more money to the
Bank in which they are stockholders, or to
some other person or persons, than they own
Bank stock. We agree that Banks are
created, sometimes, almost wholly out of
credit, and were pettioned for by, and got
up, not because the principal actors wanted
to let their money-but because they want
ed to hire the money of oihers-and also to
own But we did think Mr.. Simons nigh,
have seen that the main object Of No. l was
to show, that the expansion of bank credits
at times of plenty, and contractions of bank
credits, in times of approaching scarcity
and alarm. caused each Of these seasons to
run into the greatest extremes-producing
by the former, unwarrantable extravngancc
in business, as well as in domestic habits
and in the latter, degree of prostration
and distress, far greater than could ever
happen, but for the enormous extravaganza
of banking.
Perhaps we may compromise with Mr..
Simons, and satisfy him by confesslng that
banks, in full operation, with the exception
of their specie, real estate, and bank furni-
Iture, are made wholly out Of their own, and
their neighbor's credit. We will also con.
fess, that this mass Of credit, IN Rhodes Is
land ,-amouniine at this time, to more than
n million of dolars--so far as specie, only,
is concerned, rests on about $3.50, ,O00-not
one dollar to forty-but we do not deem it
fair, to say that the banks Of Rhode Island
rest, to any considerable extent, on this ba-
sis alone.
! We recommend, to our frien Simons, to
read our statement over again--with his
spectacles on--and see if he has not passed
over some things unnoticed.
The next in order of time is the Herald
of the Times or 'One Of the People y
Now Mr.. Unit let us sit down AVID argue
out the matter! In your first paragraph
you express n hope that we shall, in our
, next number, take back The whole Of the
first, aud there stop; but we are not so dis
posed we think, however, we shall stop,
bu, can't tell exactly when.
In your sncond paragraph you uunccc,-
sariy invoke party to your aid that we
fear is your strong hoid, which has guided
your hand throughout your whole answer.
We, the people, are of all parties, and no
lpar,y-we are in pursuit of truth-we wish
to look to the bottom of the well, and assist
. others to look there also, and would thank
= you to desist from fouling the water.
7 You say the banks 3" are Of ritai is,por-
tanec TO The merchant, mechanic, tarmers-
and il may be said 10 all classes. Tier
n furnish the only circulating mediani for III,
g community, and i broken docs there is M
y other substitute r'-W Wholesale assertions
y Again. "lt is certain that tue most obsli
!, nate defenders of the specie currency pro
y ject, have abandoned it," You have full,
decided already, the mast prominent point
Is y Of the question at issue. But stop little
: aud let us review your decree. tn
,g banhs furnish the only circulating mrdium 2
K This is true--iiterally too true. But ,hi
s. is not the kind the people want, nor til
:, kind the banks promised 10 furnish. If the
8 can, then they ough, to furnish better; nm
es. il they cannot. it argues dcfec, in the 81,