Herald of the times. [volume] (Newport, R.I.) 1830-1846, 1838-04-19

peated it again and ngain. Now tins may
be very good reason for the banks OF
New York to resume, but certainly no reason
" whnie,er for the banks OF Pennsylvania to-
do the same. The states of Pennsylvania,
OF Virginia, Of Kentucky, have Legislatures
as well as New York has, and they have re-
fused to direct their banks to resume IN May
next. Why should they obey the Legisla-
ture of New York and not their own Lcglsla-
ture? The position Of New York is on all
hands regretted. But how is it to be rene
died? A single Legislature out OF twenty
six Legislatures had passed law torieiting
the charters of banks, il they were unable to
redeem their notes in specie. "A public ca
lalnity overtakes the country, and the dccll-
ming to pOy specie, so far from being crimi-
nal, became all act of public safety-so a
dopted by all the banks, and so confirmed by
this very Legislature. The provision origi-
nally designed to guard against fraud, may
thus become the punishment OF honesty and
ability.
The Legislative body which protected the
banks for year, is now IN session, and IN
twenty -four hours can extend the indemnity
till more appropriate season for resumIng.
presume no difficulty will occur in this
Why should there be? Is il possible that
such body can see with indifference the
distress which perseverance in this course
must inevitably create, or permit the pride ol
opinion or any mere political party consider
alton to prevent them from interposing to
protect their noble but suffering city? II
they decline, how can we OF Pennsylvania
interfere ? Why should we voluntarily
place ourselves IN the same situation into
which New York has been forced by do
ing SO we share only a common disaster-in-
slead of outstanding our resources against
the period when our inerposition may be
really useful. In the meanwhile, the most
cncctual service which we can render, is 10
speak in tone Of frank sincerity. She may
perhaps bear it from one, than whom she has
never had more true and constant friend
who, although al entire stranger, has tor o
long series Of years, done every thing in his
power to advance her prosperity, and never
saw her in any misfortune which he did moi
nxiously strive to mitigate. But l wish t
serve her, not TO flatler her.
II believe then that at this moment New
| York is in an entirely false position. She l.
obliged by the existing law to do what sh'
feels to be wrong. ller natural course is t
| appeal to her representatives to rectiiy thel
| mistake, and not TO thrust out their own STATE
banks to be crushed by the Executive. In
stead OF doing this, she perseveres from
mistaken though honorable pride in not ask
lng relief where relief is attainablc, but i
preparing for the event by sacrificing he
own interests and inlicting distress OH tn
community. The apparent superiority in th
exchanges which this produces, is who'll.
lalacious as well Us injurious. The state o
the exchanges in New York proves nothing
whatever, except the scarcity Of money II
New York. The exchanges are even les
deprecated than many other things. TN
bank notes of the Southern states are at
great depreciation. But store rent and rea
estate in the very spot where these notes arr
sacrificed, are much more deprecated thar
The notes themselves. So too in New York
the notes of Philadelphia arc at discount
yet ut this moment New York has to pay t.
philadelphia little less than ten millions O
dollars for actual debts to Philadelphia, an
to foreigners represented by Philadelphia
Il 1t is not therefore the abundance but tn
want Of means--it is not strength but weak
ness which causes tins difference.
BY the same process bread and meat ma
HI be reduced in price for the want OF purchas
ers. You mako an artificial scarcity of me
+ noy, and then boast how much the littl
which remains will buy-but your SUPERIOR
ty is punished by the debtor, who does nc
| settle with creditor so much above him.
, And what is the bencGt Of all this? Th
other states arc not obliged TO submit to thu
local legislation, and the suffering Of New
York is certainly not fitted to make thel
adopt it voluntarily. 1t is better therefor
for them to, state with perfect frankncss tho
they do not mean to unite with her in thl
forced resumption-to say this decidedly an
finally, so that she may apply the only rene
Il dy-an extension of her law. The Who'll
subject would then be open for future adjust
ulent upon principles of safety, alike to tn
banks and to the community.
Il On the whole, the course, which in m
Judgment the banks ought to pursue,
simply this
The banks should remain exactly as the
Incorporating to resume, but not yet resu
) ming.
i, They should begin, as the Bank of Eng
, land did, under similar circumstances, b
; paying the small notes, so as to restore col
, To all the minor channels Of circulalion-bu
: not make any general resumption until the
ascertain what course the government wi
pursue, employing in the mean time the
whole pow er TO forward the crops to Inarke
. The Ame rlcan banks should do in short wha
, the American army did at New Orleans
stand fast behind their cotton bales until th
enemy had left the country.
n These are my opinions very dclibcratel
formed, and very frankly expressed. The
are thus set forth, not to influence the cours
Of others, but to explain my own.
Il With great respect and esteem. yours,
Il N. BlDDLE.
H PHILADELPHIA, April 5, 1888.