The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-09-28

.
ration Of National Hspk before IL House,
nor is il designed, SO or as 4 am i6lbnnsd, 20
present one during the present session II
such proposition were presented, and q Ma
tional Bank were incorporated, it could not be
organized and put into operation in time TO at
ford any relief 70 the present embarrassmenis
Of the country, even il il would have that Of
feet, which by no means admit. The in
corporation Of such an institution, with such
a redundancy Of bank capital and bank circu-
laiion, would, in increasing the demand upon
the existing banks for specie, and diverting il
from the course of trade, do more to continue
the present embarrassments Of the country
than all other causes combined. In this state
OF things the question to be decided is, whe-
ther the continuance ofthe present State Bank
system Of fiscal agency, with the improve
ments and restrictions which experience has
pointed oat as necessary and proper, or the
anfried experiment" OF excluding the State
Banks as repositories of the public money,
and restricting the receipts Of the public re-
venue to gold and siiver only, shall be adopt
ed This 10 the true issue, to the decision of
which, as affects the future happiness and
prosperity Of the nation, the most serious and
deliberate attention Of The House should be
directed. need not here repeat what have
before stated, that whenever the question of a
National Bank is presented, il | shall have
the honor Of a seat upon this floor, that shall
oppose it, both upon the grounds Of the want
OF constitutional power, and its inexpediency.
The opinions imbibed in my earliest youth,
learned from the state papers Of Jeffer-
son, Madison, and their republican cotempo-
= - al.
become tenant of the tomb.
Although the recommendation Of the Presi-
dents message, and the provisions Of the bill
from the Committee Of Ways embraces in its
immediate scope, an exclusive metallic cur
rency, for the operations of the Federal Co
vernment alone, yet il is manifest that in its
operation it must come in collision with the
"credit system" and wage war Of extermi-
nation against it, in every form and shape, as
medium of circulation; with what prospect
Of success il is not for me to undertake to de-
termine. This presents to the American peo-
pie question of momentous Importance. In
modern times banking institutions have been
adopted as the most safe and efficient agen-
cies Of credit, by all the most enlightened and
most commercial nations Of the world They
had their origin in Venice, in the days of her
commercial prosperity, and have been sue
cessiyely adopted by all commercial nations,
particularly in England and France Early
in the history Of our own Government, they
were adopted, and have grown with our
growth, strengthened with our strength, and
have been enlarged from time to time to meet
the exigencies of our increased and widely
extended commerce, until they have become
SO intimately interviewer with our commerce
and connected with our local institutions. as
to make the separation difficult and dangerous
in the extreme. This scheme however pre-
SCENTS the question, and it must be ultimately
met and decided. In the conflict, this exclusive
metallic system proposed for the Government
must be abandoned, or all our banking insti-
tutions perish; there is no middle ground.
Let it be remembered, that under the vivi-
flying influence and salutary operations of our
banking institutions, our country has flourish
ed and prospered beyond parallel, in the his
tory Of nations. When we compare our
condition, at the close Of the revolution, with
what il is at the present day, we perceive
that In population, agriculture, commerce,
manufactures, our Improvement has been ra-
towns, and our systems of internal improve
ment, fourishing and improving beyond exam
pie, bespeak an increase of wealth, power,
and commercial facilities, which would not
exist without the healthful action of sound
system Of credit The secret Of the system
is, that by its operation, it throws into active
circulation, more. than three times the amount
Of actual capital, and thereby supplies trade
and commerce with the means Of successful
operation in the absence of an adequate sup
ply of the metallic medium. 1t is true, that
these institutions, like others, constructed and
managed by frail human agency, have been
mismanaged and abused. There is no per-
lection in human nature, and nothing perfect
can be produced at its hands. What esti-
mate would be placed upon the intelligence
of the man who, because the boiler Of the
capacious and majestic steamboat sometimes
bursts, would recommend the destruction of
the steamboat, and the re-adoption Of the
canoe navigation Your Government which
my much esteemed friend from Virginia, (Mr.
Jones,) says is an experiment, has sometimes
been abused. What estimate would YOU place
upon the intelligence Of the man who, for this
cause, would recommend the entire destruc-
ton of our system, as the proper remedy!
So in reference to the banking system, would
it not be wiser to correct and cut off the
abuses, and preserve the system, than rashly
and inconsiderately destroy it? If the ques-
ton were now presented as an original one,
whether we should adopt the banking system,
perhaps my own mind would be led to The
adoption of system organized upon quite
different plan; but we have the system, and
the question is, how we shall act in reference
to it, There is no man who really thinks
that there is the slightest prospect that this
system will or can be eradicated for a length
of time, if ever hence we must accommodate
our action as far as we can, to the state of
things as they are, and seek rather to aid and
assist the State Governments in correcting