Edgefield advertiser. [volume] (Edgefield, S.C.) 1836-current, 1838-03-29

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~ upon his good will and pleasure. lima
oe put down as certain, whoever they ma,
ne, mat they will be powerful and influen
tial, and not unfavorable to his interest O
nSSrandizcment. But the nischcvous CT
fect viii not be limited to this death -lik
struggle; III which SO many must fall aud b.
crushed, that might otherwise weather tb
storm. The forced resumption. for such i
will be in effect. would be followed by wild,
spread dcs0lation. 1t is easy to sink to sus
pension, but hard to return TO resumption
Under the most favorable Circumstances
aud wien conducted most leisurcly ant
cautiously, the pressure must be severe; but
II coerced or prccipitatcd by bankrupt Inv.
or temptations such as this, it will be r,l.
nous. To make ii safe aud easy must be
the work OF time. Government cannot dc
hut little. The disease originates in cxccs.
sivc indebtedness, and the only remedy is
payment or reduction of debts. Ii is csti-
mated, that when the banks suspended
payment the community was indebted ,o
mem the enormous sum of 475,0OO, 900.
10 reduce this within the proper limits is
not not The work Of n few days, and can be but
little aided by us. The industry and the
vast resources of this country, with time are
! tho only remedies to be relied on for the re-
duction;4nnd 10 these with tho State Lenis-
| laturcs, and the public opinion, the resump-
| tIon must be left. To understand the sub
lcct fully, VIC must look little more into
the real cause of the difficulty.
This enormous debt was incurred in
prosperous times. The abundan, means
Of the banks, from the surplus revenue aud
combination Of other causes. induced
them to- 3disconut freely, This increased
tho circulation, and with its increase, its
value deprcciated, and prices rose propor-
tonablW With this rise, enterprise and
speculation seized tho Whole community,
| and evcfy one expected to make fortune
al once and this i'll turn gave new i'm
pulse 70 discount and circulation, till the
swellinStide burst its barriers and telused
the lang Then began the opposite pro-
cess of,Iabsorbing the excess. If i, had
been fLSsiblc 10 return it back to the Bank,
as 'Sro oI: .r!I.....i:.eS -..s-.Is..s"s.
and business portion of the community, the
mischief would have been in a great meas.
ure avoided But circulation had flown
of into other reservoirs; those OF the mo
ncycd man anL bankers, who hoard when
prices are high, and buy when they arc low
The portion thus drawn oil and held in de-
posite, either in banks or tho chests Of in
dividuals, was as cffec,ually lost, as far as
as if it had been burnt. The means of
payment was thus diminished; prices fell
in proportion, aud the pressure increased,
as they fell. Though the amount in circu-
iaIion be greatly reduced, yet the banks
are afraid to discount, lest on resumption.
the boarded mass Ofdcposi,cs held by indi-
viduas or other banks, should be lct loose,
and, in addition TO what might be put into
circulation should discounts be madc,-
would cause another innuudation to be fol-
lowed by another suspension. How is this
difficulty to be safely surinounted, but by
unlocking the boarded meaas! And how is
that to be done. without deciding the currcn-
cy question? This is the first and ncccssa-
~ step. That done al will be able to cal
culatc, aud determine what 10 do. The
period of inaction and uncertainty would
censc, and that of business revive. Funds
that are now locked up would again he
brought into operation, and the channels O.
circulation would he rcplcnished in the onl J
mode that can be done with safety. Thus
thinking, | am now and have been from
the first, in favor of an early decision, ant
adverse to all coercion. or holding out temp
tation 10 resume; leaving the disease TO tn,
gradual aud safe operation of time, witt
as little tamperinS as possible. In th'
mean time, hold il to be uDwisc to ccas,
discountne, and TO adopt an indiscriminat
system of curtailmcnt. Its effects are ruin
. Gus TO the business OF The country, and cal
, culatcd to retard, rather than to accclerar
, resumption. The true system, Iwoul
say, would be to discount with bl,sincs
$ paper as freely as usual, and curtail .rad,
t ally our permanent debts. The fOrmC
: would revive business. and would increas
t the debts of the banks less than it woul
e increase the ability of the community I
: pay them.
y Having now shown how this league, c
5 combination of banks is to be formed an
v revived, with the difficulties in the way.
II remains to determine, what will be the tru
: character and nature of the coustiulio
: when formed. 1t will consist Of State banl
0 retaining their original powers, that of di
n counting and all, without being in I'll
l., slightest degree impaired. To these ii
J., substitute proposes to add important add
Il tons: to receive their notes as gold M
al silver in the public dues; 10 give them Il
{. Use of the public dcpositcs, and to organi;
= and blend the whole into one, as the fisc
s. agent of the Government, to be place
ID under the immediate supervision and col
ID troll of the Secretary OF the Treasury.
at Now what does ali this amount to!-Sh;
,e | name Tho word-bc not startled ; a BAN
le IA Government bank most cxtcnsi
re powerful and dangerous, that ever existc
4 This substitute would be the act of incC
a poration; and the privilege it conters,
of much additional banking capital, incrcasi
I'd immensely its powers and giving it an u
IN limited control over the business and C
;,- changes of tho county,
&c The Senator from Virginia (9ir. Rive