The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1838-04-19

sness by the unparalleled commercial revision which
soon followed that disastrous esent--the sudden with
d,aya o,n depose in the dst Of all this Depression
often millions or public money-all having occurred
within the space Of about tweny-seycn moths, coope
rate with other considerations to induce the Legislature
10 extend It's AID efficient manner u should be-
come necessary shield our institutions from threaten
ed hostility and thereby 10 protect aud foster the gene
raj interests u the people IL is also proper to remark
that about three millions OF the amount OF deposte
Withdrawn from the banks in the city OF New York,
were apporlioned 10 these several counties and towns
in the state and loaned the citizens thereof under the
last law Of the last session IN relation TO The surplus mo-
news belonging.lo the United States
There Is also another feature IN the presented by
tho Jepresscd state of business in the city OF New
York which should not pass without observation,
large portion Of the trade OF that city IS transacted with
distant sections Of the union The causes which have
nara,ed 81 extensively TO deange the general currcn
cy ofthe country have produced the most serious effects
in the states at the south and west There Is rcason TO
believe that the banks in that and important region
have not been Influenced IN an equal degree ny The
considerations which have controlled our institutions
and brought them into sound condition nut thai on
the contrary they have fsf extended their Issues OF
paner "a materially TO diminish It's vsuc and render It
Of hide use as medium for the collection debts due
TO onr ci,izens The losses BY the course OF domestic
exchanges consequent upon the great depreciation ~
The yone Of southern and western bank paper have adj
dcd to the embarTasshenls VI Jul eithatst aa stoay
impaired their resources.
Ahhopoh the SUSPENSION, owing 10 various causes
has opeaied much more severely IN some places than III
others il must be regarded asa common calamity and
It's continuance cannot he otherwise than Injurious TO a
sections OF the country II IS therefore TO pc regretted
that al sections have not felt equal soeaude Tor tho
restoration of currency to sound condition, ana
adopted equally vigorous Tor producing 40 de-
srable result Such, however, has not bea the course
Of proceeding on the pau OF ALL Indeed is now no
longer matter Of doubt that the movements here, 10
relation to resnmng payments IN specie must 90 mace
without the cooperation OF any other Stale
have not been able 10 discover any adequate reason
why The banks IN OF the other States and paIticu-
larry the Atlantic cities could not have been IN as Ia
vorable condition to Resume as own. The main
causeswhlch led TO the suspension have for some time
ceased operate, and others Of an opposite tendency
are exertng beneficial influence in restoring the cur
rency a hcalthul state The commcrlaldcbt abroad,
which large al the period Of suspnsion, and the
pressing demand for which was one q the principal
causes OF that calamity. is mostly paid of or ar
ranged foreign exchanges decidedly in our favor
the precious metals instead Of being in demand for ex
portation are coming into the country II great abund-
ancc from every quarter .... FIJI
In Of things favorable to general resump-
ton il scarcely be doubted that with proper prepare
tory measures the banks in parts OF the Unon II
they had acted ia concert with reference the gene
raj prosperity Of the country might have been IN sua
ton TO resume specie payments as early IS the peroa
fixed for that purpose by the banks of this STATE II
is not TO be denied that these preparatory measures,
whenever resorted TO, must lead Temporary increase
of embarassments in most branches OF business Nhic
place section Of she country submits 10 the sacri-
fees which result from these unavoidable measures, for
the purpose OF removing the evils of dsordeed cur.
rency to be hoped that other parts OF the Union
would not be far mised by any views oil tenn
porary and local interest to decline the like sacrifices
and refuse ready concurrence IN course OF proceed
ing essential to tho general prosperity
For the purposes OF this communication, 1t IS not I'M
poriaut determine the the motive that has
influenced the conduct Of those institutions which have
refused to cooperate with ours in the OF re-
sumption 1t is reduced 10 mora certainty that
there will be general movement on tbs subject and
that the banks of this State will enter into that measure
without the cotoperation--and wish could say they
would be permitted to maintain themselves IN IT. without
the open covert hosity--of those which cannot or
will unite with them Immediately follow their ex-
ample,
The suspension law OF the last session expires on the
10th Of May next, and the banks in the city OF New
York have determined to resume the payment o. all de-
mands against them specie the 10Th OF that month
The country banks of this state are prepared to take
the step al the time and all classes and ine-
rests itsbeeved are ready aid those efforts by ee-
confidence and approval. | do not doubt that
institutions will sustain themselves, whatever may
be the pursued by the banks in other States but
the effects Of this measure upon the business concerns
upon the relation in which our banks will be placed IN
reference those in other parts Of the Union; and IN an
especial TO those in the nelghhoring Atlantic
cities. If all or nearly all the banks in the principal
commercial places had resolved, II was anticipated
short time since ,hev would do at about the
pero and had entered upon that course earnestly
in good faith and with kindly feelings towards each
other. they would have met with few difficulties they
might probably have expected mutual lorbeaance any
cmergency-and certainly would have no cause for hos
tlity from any source whatever Vigorous and united
efforts among themselves would have accelerated the
return of public confidence, and with it they would
have been al in condition to dispense those &C
commodations which wholesome state OF business re-
qurcs.
Until very recently, it generally expected that
such would be the OF events 1t confidently
believed that the period of general resumption, at least
throughout the eastern middle and Of the western
states, at hand that it would be the beginning OF
suspicious change in pecunlarv affairs that the
gloom which had been long gathering and thlckenng
the land would thereafter gradually disappear, and
we should be cheered by season Of wonted prospc-
rty. 80.
regret that it becomes my duty to announce to you
that these pleasing antcipallons not likely TO be
realized, and to exhibit you much less inviting
prospect-a prospect in which banks will not only
have to commence, without cooperation, the resumP-
ton Of specie payments, but will, for time at least,
have to stand alone, and struggle not only with the m
evitabc difficulties Of such measure, but with others,
perhaps snpcradded 10 them arising from the condition
and possibly from the hostility OF non-specie paying
banks III other States
Surrounded all sides, as shall be, by banks
emitting rredeemahe paper, it is not perhaps uncha-
rable to indulge fear that they may consult their own
interest by making efforts to embarrass and crcumscrbe
the operations Of institutions with view Of secur-
ing to themselves the benefits of extensive crcua-
ton Of their bills in this State. In this manner may
be deprived Of sufficient supply Of sound currency,
and in necessities be forced to their deprecated
paper and thereby minister TO their interest while they
are ncrssng contrary 10 GOOD pocY and in violation