The Caledonian. [volume] (St. Johnsbury, Vt.) 1837-1867, 1838-04-17


tanned, from the time of King William the Third
to our own days There are thousands Of individ.
nails, therefore, whose fixed income arises not from
the active use of property, either IN their hands
or the hands OF others, bur from the interest that
part of tins national charge to which they EMIT
led. II, therefore, the term capital not in
the sense Of political economy exactly, but as inn
plying whatever returns income TO individuals, we
find ms almost incalculablo mnss SO circumsanced
as not to be the bnss Of active operations
To illustrate this idea further, sir, let suppose
that, by (such as is certainly never
to be eXpectedD this debt should DO paid of; sup
pose its holders receive, tomorrow, their
full amounts; what would they do with them
Why, sir, if they obliged to loan the one
quarter part into he hands of the industrious classes,
tor the purposes of employment in active business
and if this operation could be accompanied by the
same intelligence and industry among the people
which prevail with us, the result would do more
toward raising the character of the aborng classes,
than all reforms in Parliament, and other general
political operations, 1t would DO ms if this debt had
never been contracted as if the money had never
been spent, and now remained part Of The active
capital of the country, employed in the business of
life. But this debt, sir, has created an enormous
amount of private property, upon the income Of
which its live, which does not require their
own active labor or that of others. We have
such debt; have such mode of investment;
and this circumstance gives quite different aspect
and different reality 10 our condition.
Now, Mr. President, what l understand by the
credit system is that which thus connects labor and
capital, by giving to labor the use of capital. In
other WORDS intelligence, good character and coed
morals besow those who have not capital, Il
power n trust, n confidence, which enables them 10
obtain It, and TO employ it useiully for themselves
and others. These active men of business build
their hopes of success their Effectiveness, their
economy, and their integrity. a wider theatre for
useful activity is under their feet and around them,
than spread before tho eyes of the young
and enterprising generations of men, on any other
spot enlightened by the sun. Before them is tho
ocean. Every thing in that direction invites them
efforts OF enterprise and industry in the pursuits
of commerce and the fisheries. Around them,
all hands, thriving and prosperous manufactures
and improving agriculture, and the daily presenta-
ton of objects of internal improvement while
behind them is almost half a continent of the rich
est land at the cheapest prices under healthlul eli
mates, and washed by the most magnificent rivers
that any part of the globe pay their homage TO
the sen In the midst Of all these glowing and glo
rious prospects, they neither restrained by iguO
rance, nor smitten down by the penury Of personal
circumstances. They arc not compelled to contem-
plate in hopeiessness and despair, all the advantages
thus bestowed on their condition by Provdeuce.-
Capital though they may have little or none, CREDIT
supplies its place the refuge of the prodigal
and the reckless not gratifying present wants
with the certainty of future absolute ruin; hut ae
the genius of honorable trust and confidence rs
tho blessing voluntarily offered to good character
and good cauduct; the beuefcent agent, which
assists honesty and enterprise in obtaining comfort
and independence.
alr President, take away this credit, and what re-
mains ? do not ask what remains to the few, but
to the many? Take away this system of credit,
and then tell what is left for labor and industry,
but nero manual tod and daily drudgery. If we
adopt n system that wihdraws capital from active
employment, do not diminish the rates of wages
Ii we curtail the general business of society, does
not every aboring find his condition grow daily
worse In the politics Of tho day, sir, we hear
much said about divorces and when we abolish
credit, shall divorce labor from capital and,
depend on 1t, sir, when we Divorce labor from cap
itnl, capital is hoarded, and labor starves.
The declaration, so often quoted, that call who
trade borrowed capital ought to break, is |
the most arisocratic sentiment uttered In this
country. It's sentiment which, if carried out by
political arrangement, would condemn the great
majority of mankind to tho perpetual condition OF
mere day Iaborers. II goes TO take away from them
all that sol zee and hope which arises from possess
ing something which they can call their own. "A
man loves his own; it is fit and natural that he
should do so; and he will love his country and its
Institutions, il he have stake in it, although
it DO but very small part of the general mass Of
property. If it be but n COTTAGE acre, garden,
It's possession raises him. gives him seli-respect, and
his attachment to his country 1t is our
happy condition, by the blessings of Providence,
hat almost every man of sound health, industrious
habits, and good morals, ordinarily attain, at
least to this degree Of comfort and responsibility
and 1t is result devouty to be wished, both for lis
individual and its general consequences.
But even TO this degree Of acquisition, that credit,
general effect is to raise the price OF labor, and
,ender industry producveO is highly important
There is condition low, If II be attended with
industry and economy, which this credit does not
benefit, as any will find if he will examine and
ollow out its operations.
Such, Mr. President, being the credit system In
he United States, as understand it, now add,
hat the banks have been the agents and their crcu-
alton the instrument, by which tho general opera.
ions of this credit have been conducted. Much OF
he capital of the country, placed at interest, is vest
I'd in bank stock, and those who borrow, borrow at
he banks and discounts of bills, and anticipation {
If payments, in all its forms, the regular aud appro
'riate duty of banks, prevail universally.
In the North, tho banks have enabled the manu- S
acturers of all classes to realize tho proceeds OF y
heir industry at an early moment The course mas '
een that the producers of commodities for South
I'm consumption, having despatched their products, /
RAW their bills. These bills discounted at the c
anks, and with the proceeds other raw material mas
zen bought, and other labor paid and thus the |
enera business has been continued IN progress.
MI this well known to those who have had OPP t
4.