Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1837-09-21
Important from ~yashinwton.

fuller than any paper has yet published. The admin.
israton appear to be carrying every thingin the SEN
ate This will give them victory in the house.
In addition the information given by our cores
pondents, we learn that heacetorh John C. Calhoun
iriH SUPPORT the administration, sal ". {. Rires,
Of Virginia oppose IT, There is every reason 10 be-
ieve, therefore, that Mr. Van Buren, will carry every
measure he intends to propose. union between
Calhoun and Van Buren, is inevitable. They have al
ready restored the social relations that exstedn 1885,
| '27, and '2S Next week we learn that Mr.. Calhoun
will dine with The President; and arrangements are
making to consider him heir TO their succession Not
50 bad either Calhoun is brilliant fellow, and we
like changes and revolutions of all sorts and sizes.
From our correspondent Rotischad, No XVI
WAsHIScToN Sept. 49, 1887, 2. l.. NJ
have merely time 10 say that Mr.. Rycs brought
IN Oil ths morning directing the KIND OF monies 10
be received hereafter III payment Of debts to The GO
vernment. 1t is similar to the one that he proposed
last session. After the year 1871 the notes OF no bank
issuing less than 20 dollar bills, shall be received
Nor will the notes Of any bank ever be taken unlesst
shall bona tide specie payments before Janua
ry 1888. Mr. Hives occupied nearly two hours IN ex-
planning his objects, his position and why ne stood on
the floor Of the Senate defender of the Sete Bank
deposlte system. All his arguments were old and ia
ken from the beaten track. The Senate is in Sc
cre session. In the House Mr. Bell s entertaining
the members with a dlsqusltlon on politics and
finance
Mr. Calhouns ideas upon currency founded on
the credit OF government to bear strict relation 10
the law of demand, are by no means new. Even
John Law, the Scotch Banker, has chapter in his
valuable work on Money, upon the nsufhclency of
all means proposed to augment the precious metals,
or TO establish credit ruth promises 10 pay in coin.
This able writer goes over the same ground that MIR.
Calhoun assumes IN his speech, and proves that land
ed property has steady value than the previous
metals, because it is based upon the demand for it.
But unfortunately for Mr.. Calhoun, the experience of
the world since l7l6 goes 10 ovcriurn the doctrine
that government is capable of bestowlng par credit
on its own promises to pay, merely because it is an
act of supreme power to create them and declare
them payable in all debts from the citizen to the GO
yernment. These governmental promises to pay
must be convertible at some time or in some way,
into real value. II they do not bear this impress they
will constantly fall below the par OF coin.
Again, the faith and character of governments are
liable to change as banking institutions are to ex-
panson. The bank promises to pay are guarded by
the interest of the institution issuing them, and by
the value they acquire IN being declared as money by
the government Government promises on the con-
trary merely depend on the stability faith of the
government, whose changes and Policies would be
far fatal TO the value of its paper money than
the greatest evils of the banking system.
Mr. Calhoun appears TO have been led astray IN the
estimate he places upon the credit OF a government.
Whence is that credit derived? Does II not spring
/ from the wealth Of the nation Unless con-
vert pleasure the credit paper Of such government
into part OF the wealth II represents, how can
il be equal to the value that subs between different
kinds OF property? Mr.. G. says that he would have
this credit currency based upon the law Of demand
III TOO much were issued it would 20 below par II
too little, II would rise above IT. The great object
would be then 10 issue csi 50 much would be equal
to the absorbing power Of the national taxes. Indeed
This is the difficulty in bankngto the ofbank
issues is the cause OF the present revulsl0n to be
cribed. Does Mr.. Calhoun suppose that similar ex-
In government credit issues would not be attend
ed by similar rum! Letme tell him, that an abuse OF
his favoTi'e system similar 10 that of the banks in
1896 would have plunged the country into gulph OF
ruin, from which neither he any Of the finance al
doctors Of the day could have exricated in half O
century. Ipolnt HIM to French history for a reai-
za,ion Of his hopes. French financial affairs furnish
| men.
When Mr. Crawford, rs said a day or two ago, in
one Of my letters, cal ed on 10 suggest
rency other than Bank paper or gold, he could no.
agree TO credit currency. His gigantic mind foane
the subject invested with the most Insuperable diff
cues. What has taken place since to remove those
difficulties They exist in all their original force
il be true, as Mr.. Calhoun asserts, that currency
should bear to the property OF country the ratio o
one 10 twenty five why does he insist that the colo
and silver accumulated in consequence Of this pro
perty cannot perform the business Of currency
Because in the present state Of the world, currency
representing the actual property Of nation 10 too
dull, sluggish and heavy to keep pace with the acivi
um that is TO enter into this new and extraordinary
combination OF social and commercial elements
And yet instead of basing that credit upon the in
tnnsic currency Of the country and terrifying il b.
the cdicis OF law declaring it money, he propose
10 dig away the corner stone on winch all whole
some credit stands, and substitute the crumbiing ma
| teria Of the government authority
| All human Institutions imperfect Because tn
connection of banks and governments have producet
| three suspensions Of specie payments II that an,
reason that il should bo broken TO introduce n system
that plunged France IN misery and Indebtedness 70
fifty years? Must throw out Of the scale the i'm
| mense advantages rsssltng from the connection II
ENGLAND and America for fifty years pact, wreal
our vengeance, in this enlightened day, upon the in
stituton OF banking? No. We should only eDdca
vor 70 modify the connection in such a way that pas
evils may not be experienced again
Dir. Calhoun has proclaimed himself in favor o
separation, and yet he is unpIepared 10 say how tn
Treasury shall be reorganIzed. opnc, he will I'm,
more difficulty IN coping 10 CONCLUSION IN ihi
head than he did in arriving nj the opinion that con
} necton Of Bank and State was injurious 20 the grea
body Of The people. IL weuld be we'll for him 10 &c
about this subject NJ once. His genus and talent
peculiarly fit him for the task. The country v oul
be indebted 10 him for the tho sand'h time il he w
, suggest plan by which his scheme may be carr,s
into ELECT without giving the Executive new and dar
ssrous patronage I ace the Truth of the adaee. eve
nv day more and more" It's easy 70 destroy BIT
buld vp tbs the labor Of Hercules" Mr. CaIhou
wn find il 40 before he IL dene.
|, II The opening Of Demonico's new and msgn