The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1839-04-13

be extended class OF the community snd even
tuslly reach every interest throughout the country.
will detan you by attempt explain the derils
Of such operation they will readily suggest them
selves TO the mind Of every business man, and u re-
quifes euu Of the imagination foresee the ruinous
eonseqnencesto ever, department OF business. When
ever the mercantile interest is stricken down. either by
weak or wicked administration Of the fiscal affairs Of
the government. egeTy niher interest or
later feel the effects Of the blow The mechanic. the
manufacturer and the agreu,uralist cannot avoid the
shock Their interests all reciprocal. and are rein.
blngly alive TO the assaults made upon them, without
regard 10 the one which may be the hrst or me Prnc
pal sufferer
Bot, we will pass over the difficulties in the way Of
commanding specie TO the amount OF Si2,oooooo. aud
the disastrous effects OF il. aud suppose has actually
been paid and deposited in the Sub Treasury vault -
Let US now the working OF the system 10 the as
bursemen OF the money. Of the $4,000 900 collect
ed in 1884, about $1,000 900 were disbursad; OF this
sum about al 500 900 only was paid within the city
aud state OF New York. OF course 900 was
sent 10 remote points Of the Uion, where the expendi
torres on the public works, the payment OF the troops,
tho Indian annues, and various other items OF expense
required IT, Under our system, as u then existed Of
dlsbursng these large through the agency OF banks
there was no difficulty in making the transfers On
the requisilion Of the Secretary OF the Treasury the
banks which had the safe keeping OF these funds. forth
with transferred Charleston, To ST. Louis or TO any
other point however remote, any sum required, and
the government ugtHt uftW iot " tueio VI euCu
funds as he desired Ia all this operation there
charge to the government, neither there any fisk
But under the system proposed this immense amount
must be transferred 10 these remote points oil the Union
ia Specie enormous expense Tor transportation and
insurance IL cannot be done by draft or any other
paper medium for that would defeat the very object pro-
posed namely enlargement Of the specie circulation
Of the country. fhere be any other mode contenpat
cd under this system, TO making such transfers, then
defeating the very first object with which It's friends
set out, and piece OF gross deception upon the peo-
pie aud Of base hypocrisy towards the whole country
We viii suppose. however hatthc specie has, IN good
faith been transferred to these remote points. IL Will
have no sooner arrived there and been released iro'
the durssss under which il labored from the moment y
left New York before, by the natural course o. trade
and business it will be on Its return 70 'he p'ace o
whence Il, started All the risk and expense, which
were incurred in its original transfer, must now be M
Cured aosin to get il back that point which Il would
have never left but for tho unnatural force aud Artificial
means applied to il. To such audience as am now
addressing composed Of practical men, need un-
derake describe the arrangement of business of all
kinds consequent upon such violent disturbance Of
the metallic basis upon which il rests and these the
benefits which the advocates Of this propose by
enlarged specie circulalion and then, too, such
circulation! Tom Pane's description Of Lord Howes
military movements, during the Revolutionary war; is
strictly applicable both the manner apd the utility Of
such circulation. They resembles" said he, - the
abors ola puppy pursuing his tail; the end is still at the
same distance and all the turnngs round must be done
again"
We have thus followed the disbursement OF 81 ,0oO,-
600 out Of $4,000 900 collected. Let us now
what is the situation Of the balance. BY the regular
returns made by the banks in the city Of New York to
the Treasury Department S34 appears that there
was Average balance Of 5000 600 Of dollars stand
ing the credit Of the Treasurer Of the United States
during The rholc ycar. Under the Sub Treasury
scheme. this 5000 000 would have been deposited
specie aud wonld have remained. during the whole
year in the SubTreasury vault unless indeed 1t should
have taken to itself legs and walked away Reflect
for one moment on the operation Of such system
IS 900 OF specie locked up in Sub Treasury vault
where it is OF 10 the government to any body
elseaud during period, TOO, when the whole amount
of specie in the vaults Of all your banks only 49,,
100000, one half the amount which the policy Of
this administration, after having drawn It from the
pockets OF the people, would lock up with bars aud bolts
and like the mser, place its use beyond he enjoyment
Of its real owners. The monstrosity of such PROPOSE
ton need but be named to be appreciated
From what has been said, twill be seen that although
specie should be received in payment Of public duties
still there is practical enlargement Of the specie cir
culaton. But SO far from It's being received, the
great portion Of those who maintain the Sub Treasury
scheme decidedly opposed to it. and in favor Of
receiving and discussing the Of sound specie pay
ing banks. At least tenths of fhe party this
State who support this measure, are opposed to what
is called .thc specie clause Without this specie
clause there cannot, Of course, be any enlargement Of
the specie circulation and therefore, this proposition
fails on the ground assumed BY its own friends.
This brings mo TO the consideration Of the second
object to be attained namely deprive the banks Of
the use Of the public money
am aware that this mode Of stating the proposition
is mere fetch upon tho public crcdnll,y-a mere
attempt TO impose upon the presumed ignorance. or TO
appeal TO the supposed preudces Of the people No
has conended that the public money should be de-
posted IN banks in order that they might have the
Of IT, II is the public interest and the interest Of
the banks which is to be consulted. That public in
terest made up OF the interest OF the government and
the people BY deposite in banks, the government
gets the benefit OF safety and Of transfer Of its funds
to the relnotest points Of the Union without tbs hazard
Of loss or the expense Of single dollar. The banks
are paid for their services by the Incidental OF any
surplus which may be hand beyond the current dis
busements II is also incidental benefit to the peo-
pie themselves, who have contributed this money the
public treasury and who entitled to the OF any
surplus beyond the wants Of the government 1t is
through the agency Of the banks that they enabled
to have this use. Any accommodations TO the mercan-
tile or business portion of the community is benefit
which extends itself to the whole country The mer-
chant is the mere factor for the people generally His
ability to do their business depends upon his
and his manner o! doing It, well as the prices which
nc gives for their commodities depends measurably,
upon the extent OF his Any accommodation.
therefore, to hun, out OF any surplus contributed by the
people, is accommodation to tho people themselves II
is the legitimate use OF means which in fact belong
TO them, but which they have placed in the hands
OF their public servants beyond the wants Of the GO
vcrnment. This has been the practice from the
mencement OF the government, under every President
down to the close OF General Jackson's administration
It is the means by which the community has the benefit
Of real capital which would otherwise remain idle
The banks discount without objection from any quarter
on their private deposes They know from expo
renee, the average amount OF them These deposcs
are constantly in the of withdrawal and renewal
But the banks look TO the average amount. That
amount in the city Of New York during the suspension
Of specie payments believe, was about thirteen mil.
lions Of dollars. Would you have this amount of capi-
tai lie idle orwond you employ for the benefit of the
community = There is danger Of an initiation Of the
cuue,cy from such source. II is real not hcti-