The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1838-09-29

From The Charlottesville Republican.
PRINCIPLES AND POLICY OF THE
CONSERVATIVES.
The ground on which the Conservatives stand is
that but recently occupied by the entire Republican
pary--aneompromtslHg opposition both TO the Sub
treasury scheme and National Bank. We will
proceed 10 develope, somewhat more at large than
the principles held by them on this whole subject
The question Of the management and control of the
public moneys is question of public liberty. The
immense influence which may be welded through
the control of such masses Of the national treasure
makes il problem of the utmost importance in every
free government to determine where this power is
TO be lodged, and how II ought TO be organized and
guarded. One OF the most celebrated writers on the
British Constitution has said that the increase Of the
power of the Crown in that country since the Revo-
luton of 1858, arising from the management of the
rercnae alone has been more than sufficient to coun-
terbaance the loss OF all the Prerogdtire OF which
stripped by that great events Another, no less
distinguished for his profound labors in the nvesti
CATION of social and political institutions, regards 1t
as so paramount and influential power, that he
enumerates it, Substantially, OF three elements
| only necessary 10 form monarchy. Gibbon, Qhe
author here alluded to- in his great work on the
| Decline and Fall of the Roman Empire, says, the
obvious definition Of monarchy is that Of state in
which single person, by whatever name he may be
distinguished is entrusted with the execution OF the
| laws, he management of the rcrenue and the COM
mand Of the army" And he adds this most season.
able and salutary warning" unless public tberty IS
deendcd By intrepid aud rigiLant guardians the au
thoriy of so formidable magistrate will soon de-
| generate into despotiSm."
BY the Constitution of the United States the Pre-
sident is already entrusted, in express terms with
the e1ecution of ne lars and the command of the army
Give him in addition, as is now proposed, the man
agement of the public rereRae, and he becomes, in
every thing but the name monarch. The object of
the Subreasury scheme is to give to the President
through his agents-oficers appointed by, and who'll
| ly dependent on, him-exclusive and uncontrolled
possession of the public moneys. Besides the ordi-
nary and formidable influence incident to the control
OF such vast sums, and the accession of patronage
flowing from multiplication OF the public officers,
the practical workings OF the scheme would make il,
all intents and purposes, Bank-a great GOrern-
nent Bank In the frequent shifting and transfer of
the public funds and credits, from one distant point
to another, to meet the varying and unequal demands
OF the public expenditure-in the purchase and sale
OF bills Of exchange to effect those operaions-and
in the issue, from time TO time, of a government
circulating paper in the form of Treasury notes,
drafts, or certificates of depostes GALL of which is an
integral part of the PLAN Il would speedily and ne
cessarily acquire every function of Banking Esti-
tuition managed and directed by the officers of tie
government, but without the formalities or response
bilities of legal corporation. With financial
engine of such vast power in the hands of the Ex-
ecutive acting the commerce and currency of the
country, controlling exchanges, and having il in its
power 10 operate the interest of individuals to an
incalcuable extent, by moneyed facilities and accom-
modaions in various forms, would not the balance
of the Constitution be efectualy overturned, and
fearful predominance given to branch of the 60
vernment from which the jealous and sagacous
friends of liberty haveever apprehended the greatest
danger and which is already far too strong7 The
Conservatives, Till they shall have forgotten every
lesson learnt from their Republican fathers, can
never give their sanction, directly or indirectly in
the remotest manner to scheme so fatal to the Ii
berries and free institutions of their country. Let
the industry and ingenuity of its advocates disguise
the question, as they may, to this complexion it
must come, at last"t
Neither can the Conservatives consent TO yield
their sanction to National Bank. They believe
the Constitution has given TO Congress authority
to establish such institution. They believe more
over that such institution is attended with serious
dangers, by concentrating, in the hands of single
corporations formidable moneyed power, which may
be directed to purposes of great mischief affecting
both the pecuniary prosperity and the liberties OF the
country Its presiding authority being of necessity
confined 10 particular portion of the Union, could
not be expected to consult alike the varying and
sometimes conflicting, interests OF the dsferent sec
tions-and its local branches being all controlled by
that authority "acting by command and in phalanx"
Mr. Jefferson says in his often quoted letter TO Mr..
Gaatin would carry into their respective admins
trations the bias of the parent institution, and an
unity and combination of movement which would
give powerful efficacy TO that bias, whatever It might
be. Experience, too, has shown that whatever con-
venences, in some respects, may attend such an in
StltutIon, II would almost inevitably expire, at the
close of its term, in political convulson, agitating,
far and wide, the elements of society," and giving,
of necessity injurious shock TO the business con-
Germs and industry Of the country.
The Conservatives, then, are decidedly opposed
both to National Bank aud the Sub Treasury
scheme. They go for the system which, till now,
has been invariably advocated by the whole Repub-
lican party the true practical substitute for Ma
tiona Bank-to wit, the employment OF the Stale
Banks as public repositories and fiscal agents, be-
lievng that under proper regulations, they are capa
bic of affording substantially, all the advantages OF
a National Bank both TO the Government and the
country without mourning the radical vice OF its
unconstiutonality the danger Of its political ten
denotes. This was the system proposed by MIR. JET
ferson and Mr. Madison, and all the Republican OPP
ponents Of National Bank, in 1871, and was again
embraced by the whole Republican party in 1911,
Cat the expiration of the charter of the first Bank OF
the United States) when MIR. Gallatin, then Secreta-
nv of the Treasury and who had been MIR JeBerson's
Secretary of the Treasury, and intimate political
friend and associate during the whole term Of his
administration, emphaticaly declared in an official
Bolingbroke, in the Dissertation parties, Lett.
Is and 10.
II any one shall doubt the correctness OF the &C
count here given Of the functions proposed to be per-
formed by the Sub-Trcasury scheme, let him read with
attention the Report Of the Secretary Of the Treasury
at the special session Of Congress in September last,
Especially the latter part Of section vi and the appro
batory reference made il by the President IN his
Message at the same session