Liberty advocate. [volume] (Liberty, Miss.) 1835-1866, 1838-09-29

perhaps as costly to the local Banks.
Upon the whole then, though believe |
well regulated and well conducted Banl
, OF the United States the best means Of sc
curing a sound and uniform bank pape
currency, should regard the establish
ment OF National Bank under the oxis
ting auspices as highly dangerous, ant
calculated to increase instead of diminish
: ing the pecuniary embarraSifments OF tho
country.
As to the Independent Treasury sys
tenn, so far as it proposes to Withhold the
public deposites from the Banks, | entire
ly approve oft. Thus far it is simply al
abandonment of the pet Bank system
Yhich all parties have condemned and orr
fatal experience has confirmed the sea
tence. The objection that it increases
the patronage and influence of the Gov
eminent, is wholly without foundation.--
| believe on the contrary that the power
Of the executive TO select favored banks at
discretion, TO recevethe government funds
on general deposite, would give it, speak
ing within bounds, one hundred times us
much patronage and influence as the APP
pointment of any probable number Of Of
fetal repositories would confer.
AS to the requirement that all dues to
the Government shall be paid in specie
exclusively have been opposed TO it
from the beginning, believing that it
would increase the pressure Of the times
and render it more difficult for the Banks
to resume specie payments. As far as it
goes, it would tend to diminish both their
means and their motives to resume, though
| believe its effects both for good and for
evil have been excessively over estimated.
Mr.. Calhoun contends that the bills Of the
banks derive their principal credit from
their being received by the Government,
which he regards as an endorsement by
the Government, and Mr.. Webster and
others Selling upon this idea, drew the in
ference that if the government wlthdraws
this endorsement, Bank credit will be en-
tireIy annihilated!! Nowl think both the
premises of Mr.. Calhoun and the conclu-
sion ofhs opponents extrayagant. Aprac-
teal view of the operations OF the Treasu-
ny will make this plain. Though the an
nual revenue should be thirty millions
(and it ought not TO be more than half that
sum) there would not be at any one time,
in the Treasury or in the hands of collec-
ting and disbursing officers, more than
five or six millions of dollars, of course
five or six millions of money, whether of
metal or paper, would perform the fiscal
operations ofthe Treasury. Suppose first
that the Government receive this sum in
Bank notes, can it be conceived that the
Government by receiving six millions of
the paper Of the banks located where the
Government revenue is collected, can op-
crate as an Endorsement giving credit to
the one hundred and fifty millions of Bank
paper of the various Banks throu ghout
the United States, or on the other hand,
that the withdrawal of this endorsement
by refusing to receive the six millions of
Bank paper will destroy the credit Of one
hundred and fifty millions Of that paper,
which under no circumstances would ever
reach the Treasury? Undoubtedly the
banks located where the revenue is collec-
ted are greatly benefited by the receipt Of
their bills by the Government The ex
action of specie in payment Of this reVen
he would withdraw this benefit, but can
not perceive that corresponding benefit
would accure to any body else. To the
objection that the receipt flank bills VIC
ates that clause Of the constitution which
implies that the revenue shall b. collected
in uniform currency, | will only say
hat il specie is uniform currency, so are
bills that can be at any moment converted
INTO specie. To be sure it is not as safe,
but the government may demand specie
1t any moment, when it has cause TO APP
orehend danger. But though am oppo-
'ed to exacting specie exclusively, | have
been very anxious to see Treasury bills
,r certificates bearing no interest, substi-
uted entirely in the place Of both specie
md bank bils.-To accomplish this re- S
ult, it would be necessary TO provide that .
lothing shall be received in payment OF
ues TO the government, but this treasury
'aper or specie. The result would evil
emily be that very little would in fact be 5
aid but treasury paper. This would be I
very great Improvement in the first OPP G
rations Of the government, and regret Q
hat Mr. Calhoun did not make It part of b
his plan, instead Of merely suggesting il. a
t would have entirely removed every RAJ !
ional objection to the specie feature Of his 4
chcmc. 1t has been wsholly misappre-
ended by Mr.. Webster and his associates. r
IS believe | was the first person in the P
United States to suggest it, will now b
riefy explain my view Of il. It is not i