Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1838-03-15


altogether from the Senator's statement OF the case
England the principal customer OF the planter, 10 quite
much if not more. paper country than ours. And
the paper money prices OF the country are
by The paper money prices Of the other country II the
argument were true that paper money country trades
with hard money country we ought
to continue employ paper medium TO coanterbaance
the paper medium OF England And II we were 10 panish
paper and substitute altogether metallic currency,
should be exposed to every inequality which has been
insisted upon Bat there is nothing in that view OF the
which is presented by the Senator from South
Carolina IT, as he asserts prices were Always ihiated
in this country beyond their standard IN England the
rate of exchange would be constantly against US. An
examination however, into the actual state OF exchange
between the countries, for long serles OF years
evnces that it has generally been IN our favor. In the
direct trade between England and this country have
no doubt there is large annual balance against US
but that balance adjusted and hqudated oy balances
in our favor in other branches Of our foreign trade,
which have finally concentrated in England, as the great
| centre OF the commercial world.
OF all the interests and branches of industry in this
country none has profled by the and employ
ment of credit and capital derived from banks and ether
sources than the planting interest 1t habituay EN-
ploys credit in all countries where planting agriculture
prevails. The States of Alabama Mississippi Arkansas
and louisiana have almost sprung into existence an it
were, by magic least have been vastly Improved
and extended under the Influence of the credit system.
Lands slaves utensils beasts of burden and other sup
plies have been constantly bought and still continue
be purchased credit and bank agency is still
Il
But the argument of the Senator from South Carolina
which combating, would not be correct, if it were
true that have inflated prices this side OF the AT
lanc without corresponding imitation ut price the
other side because the planter generally selling home
and buying at home, the proceeds OF his sale, what
they may be- constitute the by which he
effects his purchase and consequently neatraze each
other. la what dc we OF the West receive IN pay
ment for the immense quantity of live stock and other
produce OF our industry, which annually sell to the
South and Southwest, but that paper medium much
H. la.o T,aG
oHa very fond Of the State banks but he thinks there
is legitimate currency expect that of the constitution
He contends that the power which the Governs pos
to impose taxes restricts in their payment to the
receipt Of the precious metals But the constitution does
say The power given in broad and unresrict-
ed terms and the Government is left at liberty to collect
the taxes in whatever medium commodity from the
exgences OF the case, it can collect them. Its doubt
| less, much the convenient collect them in
ncy. because that represents command. every
thing, the of which is implied by the power of
alton But suppose there money in the country,
none whatever to be exored by the tax gaherer from
an impoverished peoplel Is the power of Government
and the people to be thrown back into state
of nature The Senator asks if taxes could be levied
and collected in tobacco cotton. and other commod
ties? Undoubtedly they could. ifhe necessity existed
for such announcement imposition. Such of
cessity did exist in the colony Of Virginia and other
colonies prior to the revolutions and taxes accord
ingy levied in tobacco other commodities wolf
scaps at this day. compose part of the revenue
! OF more than state
The argument then, of the Senator, against the right
OF the Government to receive bank notes in payment of
public dues practice coeva with the existence of the
Government does not seem to me TO oe sound II is not
accurate for another Bank notes, when
tibe at the will of the holder into specie much
counted told specie like the specie which is counted
and into marked kegs denoting the quantity of their
contents The Senator tells that il has been osly
within few days that he has discovered that illegal
10 receive bank notes in payment public dues Does
he think that the usage Of the Government under all
nd wi mart in wh
has prevailed fer nigh fifty years ought be aside for
novel theory Of his, just dreamed into existence
if possesses the merit Of ingenuity The dill under
consideration, which has been euogsed by the Senator
Us perfect in its structure and details contains prov
sion that bssk shall be received in diminished pro-
portions, during term of six years He himself intro
daced that identical principle IL is the only part ofthe
bill that is emphaticaly his. How then can lie contend
that is unconstitutional receive bank notes in pay
Of public dues Iappca from himselfto himself
He further contends that general depostes cannot be
made with banks and be thus confounded with the gen
sral Of the funds which they transact business
The argument supposes that the money collected for
taxes be preserved in identity but thar is impes
sibc often do. May the Collector give the small
change which he has received from tax payer TO
another taxpayer enable him TO effect his pay
May he change gold for silver veysa BOTH
If he be distant collector obtain sndoubted re
miltance to the public treasury What Mr. Presi-
deaf, is the process of making deposiles with banks
The dsposite is made, and credit is entered for its
amount to the Government. Thatcredt is supposed 10
and forthcoming the whenever il is want
ed for the purposes Of disbursement II is immateral
the Government whether receives back again the
identical money put in, other money Of equal vnlue
All that il 10 what put in the bank ts equiva
lent and that, in ordinary times With such prudent
banks alone ought 10 be selected, II is of getting
Again: the Treasury has oftes To make remances TO
foreign countries 20 meet the expenditure necessary
there for naval squadrons and other purposes They
remit bankers TO the Barings Rothschilds, in the
for Of bills Of exchange, purchased in the market by
the agents OF the Government here with money drawn
out of iae Treasury. Here is sion OF the
money received from the gahercr into the Treasury.
The bills transmitted TO the bankers honored paid,
and the credited by them the United S0ies.
Are the bankers bound the proceeds ofhe bills
In Identity Are they bound do than credit the
Government for equal amount for which they stand
responsible whenever il wanted 1fthey should hap
pen any portion those proceeds Of bills reitted
then in their banking operations would il be drawing
money from the Treasury contrary the provisions Of
the constitution The Senator from South Carolina
contends that there constitutional power contract
with the twenty five selected banks pr posed in the
substitute: yet the depos,e OF 1885, whish obtaned
the hearty appreciation Of that Senator contanir asm
lar provision and the very bill under consideration so
warmly supported by him, provides. under certain con-
6ngenccs Tor contracts to be made with State hssks
receive depostes Of the public money up.n compenss
ton He objects the substitute. that itconvers TWEEN
tyfve State banks into system OF federal insttutons
but the employm of institutions by the federal
authority, makes them federal than the employ
ment Of federal institutions by the State them
Il, laid and III