Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1837-09-28
From our Evening Edition Of yesterdayl
Washington COrresDondence.
From our Correspondent RoMschd, No. XxxLI
WASHINGTON, Sept Is, 1887
MIR. CLAWS SPEECH.

WASHINGTON, Sept. rs, 1887.
MIR. CLAWS SPEEcH.
The sab treasury bill and Mr. Calhouns separa-
ton amendment being before the Senate, IN commit
tee of the whole.
Mr. Clay rose and urged that the present state Of
the country required great IN making up our Judg
ments upon the measures Of relief proposed He had
examined all the propositions before The Senate and
thought he only in them further aggrayailon OF
the evils in which we were now plunged. AS to the
causes of the late rcvuslon no regrets could eff
feet them. Oar suffering is upon US. We see it,
feel it. we know il. The government should remedy
our ills. They were universal, and the cure must be
universal No more eXpedents should be resorted TO,
TO restore past prosperity He should refer TO the
history of the past eight years not 10 reproach the
tors in but to take from it the lessons ofexperence
There the facts were 10 be found. We want facts.
In 1882 we had sound currency, wholesome
dit, regular system of exchanges. The instrument
that furnished these things was then doomed to the
altar The first deed was done after in the ia
tai removal of the deposes He did not go farther
bask for causes of the present ruin. He found them
in the war upon the United States Bank. The result
of that war was predicted. 1t was fulfilled to the
very letter. A philosopher would 20 no further in
his INQUIRIES because he would look only to the ngre-
dents on which an experiment was tired.
AS to the condition of Europe referred to in the
message, the President was utterly mistaken The
Senator from Georgia had, on Saturday, saved him
the trouble Of exposing the misconceptions of MIR.
Van Buren, If the causes were the same, the results
would have been the same. The only object OF as
crbing difficulties of general causes was to recon-
Gle us to them But he pointed to Mr.. Kings speech
as a mastery exposition Of the Presidents errors.
Mr. Clay showed the contraction of paper money
in England through every possible source fr sm Octo-
Der, 1885, December, 1886, over half million
pounds sterling, when the President says the expan-
sion of credits went on equally IN both countries In
America the expansion was $50 per cenlln the same
time. Tae President was right when he said the con-
nection between England and the States was intimate
and il was this very intimacy that made England
feel our revusion She suffered just in the proportion
she connected with us. So did France, so did
other countries
The trua causes of our disasters to be found in
the refusal TO recharer the United States Bank-the
stimulus produced by dispensing the public revenue
among eighty more deposte banks-the gold bill
the collection of the foreign indemnity in speoe-the
disturbing of the level Of the metals by this course
the treasu circuar-and the direction of the Secre
tary of the Treasury to the deposte banks to loan the
public moneys. MIR. King had most ably showed the
operation of all these policies The orator then went
into detail Of the ills produced by them during
which an amostbreathless silence was maintained.
He next alluded to the subordinate causes of our ca
lamtles. The deposlte law and the motives OF Sena-
tors IN passing II were clearly and eloquenty exam
ined and set forth. He showed how bunglingly it
was executed
The great evil inflicted by the treasury circular
thediscredt into which it brought bank notes. 1t
the first shovel full Of earth taken from under the
foundation of public confidence in paper money. The
undermining went on silently. The amount Of spe-
Gle taken at the land offices was proof OF its inu
nous operation 1t caused the boarding up of the me-
tails. We had borrowed coin from Europe when we
in debt to her. This addition of specie formed
the basis of undue expansion of bank paper in the
east The treasury circular took IT out Of the eastern
banks and carried it TO the west. There it became
the basis of fresh issue of bank paper The llth Of
May came and the whole edifce blew up.
The overthrow of the United States Bank was the
cause of the increase of banking. II was so in
Kentucky he knew. The same cause operated in
other States.
A.o.har .,x;I;o~, o,,sa "a our oyar IN, noyt;no and
consequent dealing was in the policy of the ad
ministratisn towards the compromise act Capital
dreaded to embark manufactures when heard the
doctrine advanced on this floor, that Its bonds were
as silken threads. To under manufacturing caused
by this wicked policy is owing our ever importing
Hence our large foreign debt.
Mr. Van Buren, talks of over trading the cause
of our evils Ii was result of previous causes. As
well might you say that the bul ct was the homicide
and not the man that levelled the piece NO, Sir
Our overrading the effect ofthe policy of the ad-
minlstration.
The tariff had come in for IT'S share of blame. The
surplus was not owing 10 the tariff Had It not
been repealed, the present evils would have never
been felt. Our manufactures would have flourlshed
and a surplus would never have occurred The sur
plus arose from the sales OF land consequent on the
policy of Gen. Jackson. Separate the receipts for
lands from the customs for five years past and the
former exceed the latter by almost eight-tenths
Had the land bill of 1882 passed no surplus from
this source would have arisen. Ii would have flow
ed fro,a The land Offices gradually to the states, and
no shock would have been given 10 business
There is another cause for difficulties. We have
not enjoyed the practical benefits of free govern
nen All we have left is the form. The Jackson
party would not have mlsgoyerned the nation, II II
had had It's way Our msfortunes not owing to the
want OF WISDOM but the want OF firmness. He
pointed 10 the history of every great measure OF the
last reign. The recharter Of the Bank, the non-re-
mova OF the deposites, the condemnation Of the
Treasury Circular were all Of the party, and yet
they were all dlsregarded. The will of one man con-
troed. The party afterwards approved. Nay, whole
legislative bodies turned round II was not the want
of wisdom therefore, but the want of firmness. Mr..
Clay illustrated his position by the case Of Mr. Dial.
las in relation TO the U. S. Bank He did not ascribe
motives. One man governed ALL We are living I'M
der despotsm. The duties of the legislator are SUI
perior all the ties of party to any allegiance you
may owe the chief of party. II not, free gov
eminent cannot exist
He adverted to the project of the administration.
They were to GENE back 10 the constitutional currcn-
CIV and 10 restrict the Federal government to the nae
of the precious metals To effect this policy i was
necessary to provide a system of sub-treasures. a
bankrupt law for the state banks similar law to an
ply to the banks IN the district, and suspension of
the fourth insalment of the surplus TO the states
Why were not these things all embracedi in enc bill
He should take them together as essential to each
others existence, and to the success of the new poll
cy. The real purpose of the administration was to
kill all banks by the sub. treasury scheme and the
bankrupt law. To see the operation of the latter look