Southern Argus. [volume] (Columbus, Miss.) 1834-1842, 1838-05-08

surprised at this state Of things; we are
only astonished that it did not rush upon
the country much earlier. The paper of
our banks would have sunk in thirty days
after the adiournment-but from the inn
preston that they would check literally
upon shipnientsof cottons What was the
course of The Leglslatufel In the first
place, they attempted to repeal the 2 IL
per cent. on irredeemable paper, which at
once sunk the credit of this paper with
capitalists, and created an impression that
thesbanks would greatly expand their IS
sues, for this was the only check upon
their issues. In the next place, the small
note law passed both Houses (although it
was never presented to the Goyernor}
authorising the banks to flood the country
with shin piasters. In tie next place, the
Legislature created swarm of small
banks, from which the country was only
relieved by the veto of Gov. McNutt.
The direct consequences of these ifl-ad-
vised measures, was to destroy our credit
abroad and to PROSTATE the already. Inn
paired confidence IN our banking institI-
tons. Moneyed men lost confidence in
our government, and the integrity of pub
lie opinion in Mississippi. Itwas be-
lieved abroad, that this State would rely
upon temporary and fallacious ex-
pedients rather than adopt a sound and
permanent policy. a5 Il
Had the recommendations of bank re-
form made by Gov. McNuit been adop-
ted by the Legislature, public confidence
would have strengthened in our banks, and
their best paper would now have been We
ny little below par in New Orleans. But
when the door of bank frauds was thrown
open to them by the Legislature, reflect
ing men lost all confidence, not only in the
b2nks, butthe wisdom Of our State coun-
cils. The minions Of these corporations
waged relentless war upon the Execu-
tive; but public opinion is now unani-
mously in his favor, and even his bitter
est enemies acknowledge tie wisdom and
patriotism Of his course. 1t is admitted
from all quarters that his policy was salu-
tary for the banks and vitality important
for the people.
We must say, tina: the Legislature is
more 10 be ccnsured for the present state
of the currency than the hanks, although
we do not make this statement as a pallia-
ton for their course. 1t is not wise 10
tempt any class of men with unwise legis-
latlon. Corporations are governed BY IN
terest, and when the door of speculation
is opened to them by legislation, it must be
expected that they will prosecute every
source of gain. We never shall have
sound banks till we have a reform in the
system and well digcsted bank law
This is not TO be anticipated before the pre-
sent Legislature is thoroughly purged.-
We do not believe any thing will be ac-
complished till another shall have been
had. And were it convened tomorrow,
we should anticipate relief laws rather
than sound legislation, unless the people
should interfere with instructions. The
people arc sound on this subject.
The practical operation of this state
of things is unjust and deplorable. 1t is
tax of from 80 to 80 per cent, upon the
planting and laboring classes, in favor Of
the banking institutions ofthe State. Ev-
cry article of provision on the river is
twice as high for Mississippi as for Louis
lana money. The product of our State
is more valuable than that of Louisiana,
and with as wise a regulation of the banks
our currency can be made at least equal
to hers. And it is entirely the fault of the
Legislature and the banks, that our money
is not worth as much IN the purchase of
western produce as that of Louisiana.
The banks have taken the planters
cotton, and paid him their money. In
the first place, they have taken from him
all exchange between here and New York,
which IS at least a tax Of seven per cent.
on the crops in favor of the banks, and for
which they pay no equivalent. Then,
they pay in q currency which is depreciat-
cd from forty to fifty per cent. Here is a
tax Of at least fifty per cent. levied on
the planter; for, if he had sold his cotton
in New Orleans, he could have obtained
as much forit as our banks have paid, and
in currency which is worth near, or quite,
twice as much. Now, those banks which
buy up their own paper, or the Mississippi
bank notes, make all this difference, which
goes into their Golfers. Does any one,an-
ticipate that the producing classes will con-
tlnue to pay this tax upon their laborl-
We warn the banks and the country that
the result of this ihiquitous system will be
to drive all our cotton trade back to New
Orleans, and to PROSTATE cur hopes Of
building up our own towns. The plan
tiers will not pay thist They will sell
for sound and valuable currency, that
will pay their debts and buy supplies at a
par with other bank paper. If our cur
rency Is not deprecated, the planters will
ship their cotton from our own ports.
but if the present inequalities continues 10
exist, every bale will go where there is a
sound currency, if the price is equal in a.
mount. ~ est fisafset .ul
A heavy responsibility now rests upon
our State. 1t IS now in her power. bv
making a sound currency, to do her own
importing and exporting, andto erect her
own n1arts. Ali must be done at homo
andby our own State Legislation. h;
IN VAIN to look abroad for aid: NO FOREIGN
power can effect the desired object. For.
tunateiy for Us, but unfortunately for I ON.
isiana, Gov. White vetoed her bank law.
let mississippi now take the subject i
hand and reform her currency. and She
viii occupy a'decided advantage over eve.
ry other Southern State ia the Cyonfeae-
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