Martinsburg gazette. [volume] (Martinsburg, Va. [W. Va.]) 1833-1855, 1837-11-15

But 1t has been auxiliary only and
freely admit, that in my very humble
judgment, a well founded objection to
our banking system lies in this very
thing that banks Of discount, organ.
zed ms our American banks are, yield
the facilities Of credit 90 readily and
amply to the demands of trade, with
out n power of discrimination between
such as arise from the extension, or
accidental vigor ofbeallhlul, commerce,
and such as have their origin in a wild
and gambling spirit of speculation.
Commerce requires credit. From
the day that men passed in their deal.
ings beyond the first simple stages OF
barter, credit, in some form, entered
into the affairs of trade. Its agency
soon came to be understood, and the
winds are not more active in circulating
the onmon air, than credit now is, all
over the world, in circulating through
every land, the productions of every
soii.
Trade and commerce then becoming
drunk with prosperity, have drawn too
lavishly upon the credit offered them
through the banks-or il you will have
it otherwise expressed, the %expansible
character of bank credit has offered
too great temptations TO commercial
enterprise, and we are now suffering
Under the consequences ofover. action,
as well or the part of these who used
this credit, as of those who gave il.
In this reasoning, am borne out by
the message ofthe President-Iie says;
that our present condition is chiefly
to be attributable to over action in all
the departments Of business an owe
action deriving, perhaps. its first i'm.
| pulses from %antocedent causes, but
stimulated to its destructive consequent
! ces by excessive issues of bank paper,
and by other facilities for the acquisi.
ton and enlargement Of credit"
| have entered into the subject thus
far, only that | may invite you TO a
more enlarged view of the difficulties
to be met, than are presented when
our inquiry is confined simply to a con.
sideration Of the safest custody that we
cun provide for hat portion of the peo-
ple's money which is to pass into the
public Golfers.
My great objections TO the measures
proposed in this bill, are, that they are
not at all commensurate with the ext.
eencies Of the times. They do not
meet the real difficulty. The bill vim.
| ply ordains that the Government, after
a limited time, will receive nothing but
gold and SILVER in payment Of public
dues, and will cntrust It's keeping to It's
own officers alone. Now, if there
| were n creative power in our law if
by this simple enactment the bank pa
| per could be driven out of circulation,
back whence il came, and the precious
metals substituted in sufficient quanti-
ties to meet the wants of society, us
we'll as the demands of the revenue,
the chief ground ofmy opposition would
be at once removed. can well sec,
from the experience we have had, Of
the evil tendencies OF the banks To ex-
c~essive issues, (aad such, at present,
are my decided imprcssions,) that
whenever the currency is placed IN Il
condition to bear the tribute, the true
policy Of government may be fourd to
be to exact its dues altogether in com;
and TO withhold its evcnue while res.
ting between its collection and lis dis
bursemont, from the use Of the banks,
ms u fund 10 increase their discounts.
NV reasons for this | will give hereaf-
ter, when treating ofthe proper position
which the Government may ultimately
assume toward the State Banks.
The bill is to operate on the curren.
CIV as il aow IS, Tor we have not only
no guarantee that it will be found in
an improved condition at the end Of
twelve months (the limited time, but it
is susceptible almost Of demonstration,
that one necessary consequence from
the proposed law, will be TO continue
the country in its present debased con.
dition.
The precious metals, all will agree,
are now banished from circuldtioa.-
They are in The country, | grant you,
and in sufficient quantities, perhaps, to
answer their accustomed duty oil CIR
cuIating IN those channels beyond the
reach of bank paper. But they no
LONGER pass from hand TO hand as a
medium of exchange. Their former
exchangeable value has been convert.
ed by the course Of trdde to which !
have alluded, TO a value exclusively
marketable aad thus they have fall
len back, and are entirely merged in
the common and general mass Of mer-
chand1Se. Specie, whether in coin or
in bullion, is now merchandise and not
money; and those who require II for
any purpose, must go into the market
and buy it at market rates, as they