Piney Woods planter and Amite union literary reflector. [volume] (Liberty, Miss.) 1838-1838, 1838-09-08


When the first Bank Of the United
States, was created, with eleven mill
ions of capital, the number Of State
banks did not exceed four, and their
capital was not over two million FIVE
thousand dollars; yet the Re-
publicans of that day dreaded its pow
er. When the second Bank was estab-
lishcd, with a capital Of thirty-five mil |
lions, the number of State banks did
not exceed 1874; and their capital was
not over $780, 1926, 422. Patriotic fears
of its dangerous power were then also
If there was any cause
for fear on those occasions, how ought
to feel now, when it is
proposed to put near one million OF IN
and more than $5O0,O0O,DO0,
under the substantial dominion OF one
The president Of the
late Bank of the United States testih-
ed, upon public occasion, that there
were few Of the State banks which it
could not have crushed had it been so
disposed. The power of the proposed
new Bank will be greater, and every
new State bank which has been or may
be established, will add to its power by
increasing the number ofits dependents,
and charging the sphere Of its influ-
ence.
What, under scuh n system,ls 70 be-
come of the independence OF the sew
eral States, and their right and power
to regulate and control their own in
stitutions? Will the State banks be
governed by the States which created
them, or will they look for their super
ior to The monarch ofMe great bank credii
system, on whom the memorable and in
evitable laws ofcredit and of trade con-
fer the power to crush or cares them,
according to his uncomfortable will.
Every year increases the dangerofes-
tablshing such an institution; for every
year adds to the number of State banks,
which must of necessity by its subor-
dinates and dependents. If it ever be
established, every bank within the
States will, necessarily become the al
ly and citadel Of his central power.
Surely it is enough thas the uncangea-
BILE laws ofcredit and trade subject the
distant State banks to the influence OF
one common centre. That consequence
is inevitable, and unless trade would be
more extensively diffused, must be
borne.
But, as friends of the rights and in
dependence af the States, can we des-
ire 10 see this subsection made more
absolute and degrading by artificial
regulations? Least of all, can we de-
sire to see the administration of laws OF
credit and trade placed in hands which
are not only independent ofthc States,
but ofall that is popular in the Gener-
al Government? When a guarantee
can be discovered against the frailties
of our nature, mankind may be safe
under absolute dominion. When di-
rectors of banks can be selected from
superior race, then the existence Of
Bank of the United States may be
compatible with the rights ofthe States
and the liberty, prosperity, and hap
piness OF the American people.
That there are some advantages to
be derived from Bank Of the United
States cannot be denied. A species
of paper, answering the purposes O
money, and so nearly uniform in value
as TO be available at par throughout
the Union, is, for many purposes, Q
great pubic convenience. But wha
Republican would purchase it at th'
hazard Of his liberty, especially wher
he sees that an effective substitute may
be obtained without itl 1t may b.
doubted whether such a bank coulC
now be Of any real utility in equaliz
ing any domestic exchanges.
That which is now very general,
called the difference Of exchange. is
/ in reality, but a difference in the valu'
Of the prevailing paper currency q
different points. To put an end t
that, requires no Bank Of the Unite'
States. 1t is now vanishing as fast a
| the banks resume specie payments
and, we trust, will soon cease through
out the Union, without the agency 9
4 any cocrciyc power whatsoever. TIL
real difference Of exchange VIII the
remain, consisting Of the cost Of trans
porting specie or specie funds from on
place to another. In this busine:
i there has been heretofore, and will 500
be again, vast competition, which wi
.'reduce the expense to the lowest