The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-11-07
SPEECH OF NM. wEBsTEa,

SPEECH OF MIR. WEBSTER,
OF MASSACHUSETTS,
In Senate, September %, Is37--The Senate having
resumed the consideration of the bill imposing
additional duties, as repositories in certain cases
| on public officers" with the amendment offered
| thereto by Mr.. CALHOUN
tConcludedl
i Is the duty them Of this Government 10 see that
currency be maintained suited to the circumstances Of
the times, and TO the uses Of trade and commerce.
| need not, sir on this occasion, enter historically
into the well known which led to the adoption Of
the present Constitution. Those familiar to
all public men and among ttem certainly, this
ny matter Of giving credit and uniformity the money
system OF the country. The States possessed no sys
TEN OF money and circulation and that among the
causes OF the stagnaton of commerce. Indeed, all
commercial affairs were in DISCOUNTED, deranged, and
miserable state. The restoration of commerce, the
object Of giving il uniformity credit and national cha
racter were among the first incentives perfect
union Of the States. We all know that the meeting at
Annapolis, in 1856, sprang from desire to attempt
something which should give uniformity to The CONNER
cia operations Of the several States and that in and
with this meeting arose the proposition for general
convention TO consider OF new constitution Of Govern
ment Every where State cunences were deprecated
| and continental money deprecated also. Debts
could not be paid and there was no value to property
From the close Of the to the time Of the adoption OF
this Constitution, verify believe, the people suffer-
/
dered state Of the currency and the prosston OF
merce and business as they suffered during the
All our history shows the disasters and Affections which
sprang from these sources and il would be of
time 10 go into detailed recital Of them, For the re-
medy Of these evils, Of its great Objects and
great any one, the Constitution formed and
adopted.
Now sir, by this Constitution Congress is autho-
rzed to ICON money, to regulate the value thereof,
and Of foreign COINS and all the States prohibited
49,. \
gold and silver coins tender in payment OF debts 49,
Suppose the Constitution had stopped here, it would
still have established the a-important point Of uni
form money system BY this provision Congress is to
furnish CON- regulate CON- for all the States There
is to be but money standard for the country And
the standard Of value be established by Congress
1 TO be currency, and not bullion merely because we
find it is to be that s it is to be The other
Of the precious metals bearing authentic stamp Of
value, and passing therefore by tale. That is TO be the
standard Of value standard OF value, therefore, and
money for circulation, were thus expressly provided
for. And if nothing else had been done, would it
have been reasonable and necessary inference from
this power, that Congress had authority regulate and
must regulate and CONTROL any and all paper, which
either States individuals might desire put into cir
culaton purporng to represent this con and to take
its place in the Of trade and commercel It is very
evident that the Constitution intended something
than to provide medium for the payment of debts to
Government. The object was uniform currency for
the use OF the whole people, in all the transactions OF
/ life and IL was manfestly the intent Of the Consu-
ton, that the power maintain such currency should
be given to Congress. But it would make the system
! ncongruous and incomplete, it would be denying to
Congress the means necessary 10 accomplish ends which
were manifestly intended 1t would render the whole
provision in great nugatov, il, when Con-
gross had established coin for currency and crcua-
ton, should have power TO maintain it actual
circulation, to regulate control paper emissions
designed TO occupy its place, and perform the same
functions that it would on the coinage power alone;
and fair and Just and reasonable inference from it,
therefore, should be Of opinion that Congress
thorized, and was bound, to protect the community
against all evils which might threaten from deuge Of
currency Of another kind filling up, in point Of fact, all
the channels OF circulation. And this opinion is not
new 1t has often been expressed before, and was
gently urged by Mr. Dallas, the Secretary OF the Tea
sury IN his report in 1916. He says, whenever the
emergency occurs that demands change of system it
seems necessarily to follow that the authority, which
was alone competent to establish the national coin is
1 alone competent TO create national substitute"
But the Constitution does stop with this grant Of
the coinage power to Congress II expressly prohibits
the States from issuing bills Of credit What bill Of
credit is there be difficulty in understanding by
any acquainted with the history Of the country
They had been issued at different times, and in various
forms, by the State Governments The object Of them
to create paper circulation and any paper issued
the credit of the State, and intended for circulation
from hand to hand is bill Of credit, whether made
tender for debts not whether carrying interest
not Is it issued with intent that il shall circulate from
hand to hand money, and with intend that it shall
circulate the credit Of the State II is, 1t bill
of credit The States, therefore, are prohibited from
issuing paper for circulation their credit and
this provision furnishes additional and strong proof that
all circulation, whether Of coin paper, intended
to be subject to the regulation and control of Congress
Indeed the very object of establishing commerce
for all the States, and money for all the States,
would otherwise be liable to be completely defeated II
has been supposed nevertheless, that this prohibition
the States has not restrained them from granting
individuals or TO private corporations the power OF
issuing notes for circulation their own credit This
power has long been exercised, and admitted to exist
But could it be reasonably maintained looking only to
these two provisions, (that is to say to the coinage
power which is vested exclusively in Congress- and to
the prohibition on the States against issuing their
paper for crcuation that Congress could not protect
its power and secure to the people the full benefits
intended by and for them against evils and mischiefs, If
they should arise threaten to arise, not from paper
issued by States but from paper issued by individuals
private corporations II this be So then the coinage
power evidently fails Of great part Of its intended ef
feet; and the evils intended to be prevented by the
prohibitions the States may all arise, and become ir
resistble and overwhelming in another form.
But the Message intimates doubt whether this pow
or over the coin given Congress preserve the
people from the evils of paper money or only given to
protect the Government itself not but think this
very remarkable and very strange. The language Of the
President is, " there be doubt that those who
framed and adopted the Constitution having in imme
date view the deprecated paper Of the concderacy, Of
which FIVE hundred dollars in paper at times equal
to only one dollar in coin intended to prevent the re-
curencc Of similar evils far at least related to the
transactions Of the Government" Where is the
foundation for the qualification here expressed On
what clause, construction Of any clause is found
cd Will any gentleman tell what there is in the
Constitution which led the President, which could
lead any man. to doubt whether it the purpose Of
that instrument to protect the people, well the Go
vcrnment against the overwhelming evils OF paper mo-
ney Is there word practice in the coinage power,
any other power which countenances the notion that
the Constitution intended that there should be mo-