The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-09-06

In addition 10 the evidences which have
adduced, that the policy Of the late Admins
tration was that which now advocate, refer,
10 the Report Of the present secretary OF the
treasury OF the l2th Of December, 1884. in
which this whole subject is ably and elabo-
rately discussed, and results in the preference
of the State Bank system. also refer TO
the letter Of the present President OF the U.
States to Sherrod Williams, in which he ably
yindicates the State Bank system.
Upon the main question, have nothing TO
add The subject has been so ably and so
fully discussed by several writers in the En-
quirer, and particularly by your Washington
correspondent, that | should but obtrnde upon
your columns and the public patience, II
were to continue the discussion. Public SEN
timent is repudiaiing the sub-treasury system
as dangerous, not only to public morality, but
to the security Of the Government and the
liberties Of the people They will not quiet
ly see the purse, uncontrolled and unchecked,
pass into the hands Of the Executive, already
holding the sword, and thereby endanger their
dearest interests. The extension of Execu-
tive patronage is dangerous in the extreme. II
is already more than sufficiently large, and
In the present state of things, when the inner
chants are heavily indebted to the Banks, and
the people to the merchants. a drain from the
Banks Of their specie, as this system would
inevitably produce, would make call by the
Banks on the merchants, and by the merchants
on the farmers necessary to an extent, which
would produce in the farming interest scenes
of sacrifice and distress too appalling to con-
q. L. l,,
pal sufferers in such a state of things. Ii
ever the sub-treasury scheme should become
necessary or proper, which trust in Heaven
may not be the case, nop is not the time. The
country is not now in condition to bear It,
The foreign and domestic debt must be great
ly reduced, and the agricultural community
further removed from Bank dependence than
at present, before such system could be
adopted without ruin to the country. The
States have an interest in sustaining sound
ness in the Banks-the Banks have an inter-
est in securing sound credit, from which |
do not doubt that the defects of the system
will be reformed and corrected. To effect
this object, it is desirable that the Federal
Government should so employ its revenue, as
to aid the States and the Banks in giving to
the country sound and safe paper circulation
as far as it is necessary. BY this employment
of its funds, it will render much more service
to the country, than in abstracting itself from
the general interests of the people, whose hap
piness' and prosperity it is bound to promote,
and whose affection and confidence it should
cultivate, and seeking better currency for it.
self-than that which is provided for the peo-
pie.
While am ready and willing to use every
exertion in my power to aid in reducing the
Bank, and enlargng the specie circulation to
the utmost extent desirable, and making that
reformation in the Banking system which ex-
perience has taught to be necessary and pro-
per, yet do not feel inclined to enter upon
any rash and untried scheme, or to convulse
the country by any i'll advised precipitation
from one system to another. If even an ex-
elusive metallic scheme were practicable and
desirable, yet its accomplishment should be
sought gradually. As the paper circulation is
retired, so ought the metallic to take its place,
or CONFUSION would be the consequence.
To avoid this, Bank notes, commencing with
the smallest denomination Of notes, should Pc
riodically be retired, and specie fill up the va
cuum By gradual operation of this kind,
a specie circulation to the desired extent may
be introduced without any effect upon the pro-
perry or produce Of the country, which prin-
cipally suffers by every commercial revulsion.
As this subject will bemore ably and more
amply discussed in Congress, and as the ses-
sion is near at hand, | close this discussion on
my part, intending simply to answer Such fur
Their remarks of the Globe, as | may deem
indispensable to truth and my own defence.
CAMILLUs.