The North-Carolina standard., 1837-10-25
a,.ohiecssof i Wholesome

it is one e the great ohiecss.of q Wholesome /
education to subdue. Butthe frequent and
Sudden feverses 10 which every man As
exposed, of being rendered, a nabob today
by an expansion, and beggar Tomorrow by
contraction, must, in process of time engen-1 !
der all that loose morality which characteriz-
es the professed worshippefs at that shrine
of fortune. Such is the effect upon holders
of property and upon the laborlng man 1t IS,
if possible, still more baneful Tor him there
i. ne hour of prosperity, but he suffers great
lv. if not equally, both in the ebb and flow Of
the tide. In contraction, money OF course
becomes scarce, and the laborer, whose only
commodity is his labor, is compelled TO bring
1t daily into the Market and take whatever
price it may command while the holders OF
provisions, less limited in point of time tor
The conversion of their commodities into
money. hold them back, not willing to sub
nit to the diminished prices, and in the
meantime the laboref mast starve, or buy at
the price demanded. On the other hand,
when an expansion takes place, and money
becomes plenty, labor is the last thing to fnd
the level. The continual necessity which
the laborer is under to bring his commodity
into the market, prevents any competition
In demand, and it is not until the general
spring which is given to enterprise has O.
pened for it new resources, that an lncreas-
ed demand for labor makes. an increase IN
price. In the meantime, the laborer must
purchase those commodities upon which
speculation is most apt to seize-the neces-
saries of life. 1t is impossible for the Coy
ernment to remain connected with the banks
without contributing to this mischief, for
when the supplies exceed much the neces-
sites of the Government, they must lie in
the banks, whose directors must resist the
strongest, or, at least, most general passion OF
the human heart-cupidity ifthey suffer them
to remain unused, and in using them, an ar
tificial expansion of the currency is, OF course,
created. On the other hand, when the Gov
ernment shall find it necessary to make hea-
Wv drafts upon the deposite banks, great
contraction is the inevitable consequence
These are evils which the Government can
not prevent, butts should abstain, as tar as
possible, from exciting them ); and this she
can do only by disconnection. rs.I u, ~ .I
:, These evils, if they go on to increase, as
they must and will do, ifthe exciting causes
are continued in action, and no exciting
cause is equal to the union of the banks
with the Treasury, will, in the end, bring
upon this country a pecuniary catastrophe
which it, is frightful to anticipate; and so
strong, in that event, will be the reVulsion
of public opinion against them, that their
real capacity for utility will be overlooked;
and the whole of them cast away among the
lumber of past ages. In this, view, no sim
cere and enlightened friend of those institu-
tions should desire a continuance of the I'M
prudent connection. But the separation
will not be. merely negative in its effects.
1t will create demand for specie in thus
country, and water does not more certainly
follow the ditch you. excayate below the level
of pond with which you connect it, than
specie finds its way wherever a particular
demand is created. This specie will natu-
rally flow at first into the banks, and, widen
ing their specie basis, give them additional
strength: their notes will still supply as
much as ever the ordinary channels of trade,
whilst their specie, having no tendency to
emigration, will only be-. drawn out as the
Government demands shall acrue. But when
thus drawn by the Government into the
Treasury, it will not remain there In large
quantities, but, being required only for the
payment of the Government creditors, viii
thus, OF, the greater portion of it at least, be
thrown again into ejaculation by those ere;
ditors, (who are seldom hoardefs of money!
and gradually find its way back to the banks
notes !; repeat the process of going to tht
Treasury, to be paid out again to the Go
vernment creditor, and be by him thrown In
to circulation, to return once more to tn
banks. This rotation must have healthfu
operation upon the currency and upon thos
who supply it ;; and, in addition to this, i
will have tendency to prevent that grca
aggravator of other evils-banking upol
bank paper (; for the demands then made NO
being confined to bank upon bank, cannot b
met by the more presentation of other ban
paper but every bank being liable to b
called upon with considerable portion &
. its notes for specie, must keep itself prepal
ed to meet them, and must regulate its is
sues accordingly. Another advantage t
the banks, by no means inconsiderable
think, resulting from disconnection, is, thu
their own operations would be greatly sin
pli6ed and their perils diminished. No III
looked for treasury would flow in upon thel
in deposite, demanding some provision ft
its use, and thus disturbing the even tent
of their course. No sudden demand fl
what had been deposited would put them
their wits end for the means of returnin
it; but, pursuing regular system, not SUI
]cct to such unforeseen fluctuations, the
would accomplish legitimate, just, and prais
worthy objects-the realization of reaso
able profits, with safety to themselves, al
convenience to the community.
To these advantages some objections a
opposed and here must be allowed to sa
that from the high-minded, honorable al
talented Senator from Virginia, an arg
ment has proceeded, which am surprised
hear upon this floor, and especially fro
him. have seen it among the newspap
slang of the day, to which I had thought
adapted. The Senator from Viroinia iii