Liberty advocate., 1837-10-24


as gold and silver, we are boundAQ create
such bank. WhateyqEwe makdSAoney /
will be money, and we are bound VI make
it uniform. There isgpo alternat3ye, NJ
total disconneosion. aor.tlle Greatly ia \
United States Bank. A .di pints
against this last alternatives, IN the con |
objections Of large party inI
this country, entitled to respect, and an
ather in the number and power OF the
rival institutions which have sA hung up.
there would be necessity that such a
bank should have capital OF eighty or a
millions, with due proportion
Ii metallic capital. Thecollectionof this
amount Of specie would pro6uce another
reyulsion equal to5that which we have just
experienced. He adverted to the condl-
lion Of the Bank in 1916, which was very
different from what its condition now is,
we were hen debtors 10 the bank. lie
gave brief history OF the financial dlih-
.culties and operations of that period. A
bankrupt law was then proposed. lie was
opposed to that measure then and now as
harsh, but above all, as unconstitutional.
He who would try Bank of the United
States now, would find the recoil over
whel ming He, as one the States Rights
party was opposed to United States
BanN as unconstitutional, inexpedlent, and
tending to the concentration of power IN
the government. His own course, in re-
lation 10 the United States Bank he ex-
planned. He had submitted TO Bank un-
der state of things which he considered
irreversable in 1916. There was but one
mode in which the government could re-
unite itself with the banks, but that was
eminently obectionable--he meant by
calling the Pennsylvania Bank of the u.
States the fiscal agent of the government,
this would compel resumption OF specie
payments in less disastrous manner than
by the establishment of new bank. But
he would oppose this because he would not
! give his sanction to the creation OF an
agent wholly under the control Of the
State; and again he would not aid to give
that Bank a triumph over the government,
much as he believed the government IN
the wrong in the late contest between
them. He objected to q reunion which
would make The credit of the government
Identical with the credit oil u bank. lie
| illustrated his argument by reference to
cases Of suppositious character in private
lie. As government operations contrac'
or expand, SO would the bank circulation
He traced the present disastrous condition
r Al hook tn 1904 when the
Tariff system was remodelled. In 1898
the evil was increased and fixed by new
Tariff act. One effect was the expansion
OF bank currency; another was the IN
crease of Custom House Bonds. These
causes swelled the expansion of the clrcu'
lation Of the Bank Of the United States IN
1881, and it was not the fault of that IN
stitution that its issues were thus expand
ed. The recharter of the Bank OF Eng
land in 1889, had Its effects on the course
of things. 1t was at this time that the
President of the United States, not com
pretending the real state of things, strucf
his blow at the United States Bank, blow
which completed the catastrophe. 1t was
remarked, that the three great suspensions
Of specie payments here, in 1918, ana IL
England in 1897, resulted from the con
necton of the Banks and the Government
He wished to know on what principle we
could lend the credit Of the Government
to body of stockholders, in preference t.
any other of the citizens Of the Unlte(
States. The effect was to give prefer
ence to one body TO the injury oil all th'
! rest of the community. The increase o
banks was enormous, and is still increasing
, in an enormous degree. The various
, remedies proposed would be Intellectual t.
produce relief, and only ellectual to IN
} crease the evil. He touched on the COZ
] rupt practices and corrupt influences con
nected with legislation on the subject Q
banks. He then commented on the cours
, of General Jackson; who had produce
e the intimate connection between the gov
: ernment and the banks in 1884, which ha
: ever since existed, and which would ior
t long time commingle the national poitlc
0 and the banks. If then there could be n
Y reunion with the banks, no United stale
C Bank, nothing remains but to recoghlz
J. the Treasury to meet the new condltio
of things. He had not looked into tn
h present bill; but he would object to an
$, measure which unnecessarily swells tn
2. patronage of the government Inc II
sumption of specie payments, howeve
under the existing law, would renew IN
, connection with the banks. He would
!, !, proper time submit an amendment Pr'
" y yiding that after the 1st day OF Januar
} next, three-fourths Of the debts to the !
! ! States may be paid in the notes OF spec
i paying banks, and gradually TO reduce N
y " proportion each year until the total sept
= = ration shall be effected. He objected
y !: the issue of Treasury notes bearing ln'e