The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-08-26

| cohncciioh Win DdHklng nbtltutlOnS, II IL
worse than idle to talk Of divorcing ourselves
from them altogether.
And now, may we ask, what are the adj
vantages proposed to be derived from the IN
Production into the States OF this Sub-Tfea
sury system! For my own part do mos,
candidly own, that deeply and anxiously as |
have revolved the subject in my mind, | have
hitherto been unable To discover one single
circumstance that can Justly cntitle il TO Il
preference over the employment of State,
Banks, euen as these at present erist. Will
| the public funds be more safe under its aus
| pices, than when deposited in the most re-
spectacle Banks in the different States! This
| utterly deny; and ! confidently appeal to
the experience of the past to bear me out in
the assertion. From September, 1888, the
public money has been kept in the State
Banks, and we are, not aware that any portion
Of it has been lost. Even now, after one of
the sevcrest commercial revulsions on record
we have the authority Of the Secretary of the
Treasury for the fact, (see his circular dated
July 3d. that "he has received satisfactory
information from all the Opposite Banks and
that strong conviction is entertained, that no
loss will be ultimately sustained by the Co.
sernment." But, grant that some inconsider-
able losses may unayoidably be incurred, are
we to suppose, that under any plan which the
ingenuity OF man may devise-let it be Sub
Treasures, or what you will-that the same
effects will not be experienced, when the like
causes occur Are we seriously to expect
when the nation itself is bankrupt, and when
the whole people are more or less embarrass-
ed that the Government will be able through
the agency of some unexplained miracle, TO
avoid the contagion or, rather, that when the
only source from which it can derive health
and strength, viz: the general prosperity of
the country, is palsied for a time, it will be
able even then to wallow in luxury and plen-
ty? The idea is absurd in the extreme In
a Republic, too, this seems doubly strange
In prosperity or in adversely, our Government
to be rightful and faithful to its trust, must al
ways represent our precise situation, our
wishes and our pecuiarities. 1t is WELL that
the governor should ever be liable to share
the different vicissitudes of the governed
Besides, what right have officers of Govern
ment, in n season of general ruin and distress,
10 be paid in currency that commands
premium while the great body of the people
are under the necessity of giving and receiv-
ing a deprecated medium in their daily trans
actions
! Thus then, sir, we see at once land ii must
require prejudiced and perverse mind, in
deed, not to see iD that in every aspect in
which this question can be viewed, it is diff
cult TO find one single good or even plausible
reason, in behalf Of this Sub-Treasury scheme
over the State Banks lst. Because we have
seen, that SO far from having given the latter
a fair and final trial, we have permitted them
to exist to this late hour, without ever having
once successfully engraited on them those
salutary checks and reforms, which our own
reason tells us are proper, and which the long
experience Of other countries has demonstrate
ed to be necessary. 3D. Because it is clear,
that the public moneys are as safe or safer in
them than under the proposed substitute: in
consequence of the additional risk always
imminent) attending the continual transporta-
ton oflarge sums Of money and also because
of the great number of persons necessarily
employed under such system, which always
has tendency to divide responsibility and
to encourage fraud 3dly. Because of the
increased power and patronage which it be-
slows on the Executive branch of the Govern
ment. 4thly. Because of the very expensive
preparations that must be requisite to carry on
such an establishment, amounting probably to
hundreds Of thousands of dollars 5thly. Be-
cause of its useless or nugatory character
altogether. In ordinary times it can prove
but an incumbrance because we all know
very well, that then the transfer of the funds
of Government from place to place, can be
more easily, expedtiously and economically
accomplished through the agency of the
Banks, as has been the case for the last three
or four years In times Of pressure and en-
barrassment, of what possible benefit or use,
ask, can such an institution be? Is it sup
posed tina, in such times when specie always
commands large premium, men will be
found simple enough to purchase it at an i'm
mense sacrifice in order to pay it over to the
Government On the contrary, we are all
well aware, that in such a season of pressure
the commerce of the country becoming stag
mated, and all importations being nearly at a
stand, Of course no duties are paid, and their
Sub Treasures will not be of the least use,
but may as well be locked up till the times
have bettered. Most truly, may it then be
said that under such system, mhether tie
tide Of prosperity elcuateS, or The returning eth
OF adUerS,ty dcpreSSes us, one only result IS
sure, increased burtAens on the people IN order
TO meet the eupenses of so complicated an esta-
bhshment.
Sir, let us prof, whilst we may from the
experience of the past, and the knowledge of
other countries on the subject. The fact
seems clear and irrciragable to my own mind,
that a mixed currency Of paper and the pre-
cious metals, cautiously restricted, and right
fully propor,ioned, is the very best the most
suited to the situation and actual exigencicS
of society, and entirely devoid of all reasona
bic objections. The legitimate question we
have 10 decide is not whether the institution
Of Banking be theoretically GOOD or bad but