The Rhode-Island Republican. [volume] (Newport, R.I.) 1809-1841, 1837-09-20
NEWPORT.
WEDNESDAY, SEPT. Goth. 1897

THE CuRRENcY.-One of the objections
most frequently urged against the adoption
Of the plan, recommended by the President.
of an entire separation Of the government
from all banks, is that, it will establish one
currency for the government, and another
for the people. This, SO long as the banks
refuse the payment of their dues in specie,
VIII IN some measure be the case, but nev-
er 10 any great extent. We must remem-
Der that, IT the government dues are paid in
specie, SO, also, are the government expen-
ditures, and that the salaries Of officers form
very inconsiderabe portion of the latter
that the expenditures will, for some time
to come at least equal the receipts, so that
Whatever be the currency, it will remain, as
lar as the government is concerned, in a
state Of equilibrinm-and if advantages do
now occur to the recipients of the public
money such state of things must be tenn
porary, as the resumption of specie nav
meets by the banks will Immediately place
the holders Of their notes upon the footing
of the holders of specie.
To pursue an opposite course, and re-.
celve deprecated and irredeemable bank
paper in payment of government dues.
would postpone the resumption of specie
payments to much more distant period
than Is at present anticipated, and, us the
President so clearly shews, it would "de-
stroy that equality of imports, and identity
Of commercial regulation, which lie at the
foundation of our confederacy, and would
offer to each State a direct temptation TO
increase its foreign trade, by depreciating
the currency received fer duties in its ports"
This course, therefore, can hardly be Sc
rlousIy recommended by any one, as its eff.
fects would evidently be the reverse of SAL
utary. That the banks will ever resume
specie payments until prompted by their in
terests, or compelled by the strong arm of the
law, we do not believe; therefore, as long
as the people will quietly submit to de-
Preclated currency, so long will it be i'm
posed upon them. Without destroying their
usefulness, II would, we allow, be mpossi-
bic tor the banks in this, or any neighbour
ing state, to resume specie payments, by
themselves. We must therefore, in the abb
sence of any general law regulating bank
ruptcies-the Presidents recommendation
OF which, it does not appear will probably
he acted on immediately-look to the con-
certed action of number of states, to fix
the period when the resumption shall take
place.
such measure we hope soon to see n
1opted, allowing sufficient time to prepare
or the event. This consummated. il an
'ears to us, that the views of the President.
in his message, regarding the in
luence which the use of specie only in the
transactions of The government would have
n regulating the issues of the banks, would
e found correct.-He SAYS, "by using spe-
lie only in its transactions, the Government
'ould create demand for it, which would.
great extent, prevent its expectation,
nd, by keeping it in circulation, maintain t
broader and safer basis for the paper cur p
ency. That the banks would thus be rem d
cred more sound, and the community more II
,fe, cannot admit of doubt" e.
In this measure then would be found,
'at great desideratum-a regulator of the
effective than National =
ank ever has been, or, in the nature of
'ings, ever could be.