Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1839-01-17

hcreLympartnga false and dangerous stimulus 10 trod
causing ertraragant rise IN pIceS; when such lis.
not warranted by the fundamental laws of SUpDy ard
demand and tending in The end, 10 nlurr and disturb M
business of every member Of society, from The richest IL
the poorest
remedy against Tins most dangerous tendency excr.
sve banking viz artificial high prices and uveraclior.
Not in the ras,-not at all he invarnbr rule u.s. bg,
rhcn mpneyrS Grcr.GbunGnn! P'"cs ""iIIc VIA, Inn.
Iatius have they crGcrd against rcCurtaut cunpnr
Does heir law Hm and MIMI nu He amruul OF h,I
capital /" br employed in the s'ns: II lis ifac's sncy
that they have accomplished this end they will lind them
selves dcce vrd in the sequel But, say they, "ai Such
banking pita must be based on State stocks Grant
ed but il is not clear every mind that the effect -,
crted on the community ut large, by investing given
sum of money State stocks, very GIi!ee from thai
which The sudden conversion Of hcSc into SO much -
tive nuctualiug banking capital must and Vii evenlg
ay produce. Money, invested III such securities, may
be sad 10 scSy, when compared 10 banking ccIiai Il
is here made the basis Of daily paper issues nur
bercss discounts ndvduas unti! II becomrs 50 qr;
Cusr and all peTvaCiug 10 influence The prices o., all
things and control more or less The business ever;
class Of citizens Let suppose, that, under lie ar
pccs Of this law, they were IN create t"cc much
hankiup capital as The Stale Of New YORK would -
onire TO preserve its business 10 healthy aud sober
condition is il not apparent, that such process wout
rryolutionise and turn all lis commercial ana Etcun
ury relations topsy furry? Would 1t not cause Tie
prices of her lands, hous,s, anu "i every COMMODITY 10
have most exrayagant and fictitious rise, IN tAc sim.
ratio in which the currency redundant: husl I'm.
duubedIy it would. Neither does II appear clear 10 ny
mind that even under such system the holder A.
self will IN all cases be protected from loss. tor, the
very aue for speculation which will cause all such srcu
rites to lie cunv red into banking capital VIII naturG
and unayUidably so much enh0nse their prices III.
money market, because Of the high demand Tor them
They will bear for time an exnrbant and ac'1uOus
price But with what SORT Of money is it, AK, that
I'm IA, h., ,Iyi nm " loo 4..
the very paper ISSUES of banks Inch have been prY.
ouSy created b. the conversion OF similar securities un
ban&ing capital. Is il not manifest, then, at Tie ..,
blush that in such process excessive banking mG>l It,
FILTHY beget excessive sPCcul0lnn: And Is II ul
equally clear that among the nsny mad speculation,
which such state Of thlrgs must engendrr, speculation:
and gambling in stocks will be among the Eum5'i: In.
deed under such system, bGlh cause ana enc srCm
REGULARLY calculated and 10 act most MISCHIEF.
rsy by turns and TO keep up The dr!nsion, 10y chay
ping men into ianced security and false hrIti That
danger need be apprehenGed from loss upon bank notes.
because the stocks which p'etged tot Their pay m'mt
may tcnIpoarily appear 10 bear high, fictitious pfce,
owing TO a boaed and redundant paper currency But
will This be a true estimate of The subpcI: VIII ih,se
stocks be really worth as much as Inc P1a'a@'hce OF
spectators and an "gerabundant banking car'hI may
have made item assume Tor season: men lhe Gay
of reaction comes on and TevulsoD Is al mana, wEat
j. The consequence: Why, these stocks which have all
along been relied upon assets must orpT' ca'' ~ ~,
90 or per cent ratler they must GePf'cie as
much below par, as they had previously risen above
b. ase course oil business and over-bankng in sncn
a drmma where is the guarantee oi the note holder
against loss; Can he be pcJ'tty StfWe, "hcn tie
sources which were 10 redeem his notes have suffered
the same consecutive vicssItudes OF excitement, orcf-
sppcuarIon and depression IN common VII" all Tue oi"rt
elements OF wealth and commerce:
And is II such perncious system as tins whCh the
zeal of some men endeav"rng TO Introduce into the
South: Virginia, at least, will, trust, keep nIoo
trust that she will only reject this, but likewise al
Tn
banking capital Though there may be those among W
who convinced that bank paper issues increase ma
ous real wealth just in proportion as they are muu.
Piled vet there is reason 10 believe that maJJuy of
her people are of the opinion. There are maGy
within her borders who still dare 10 d"n5t the truth 4
the modern doctrine, that stamped paper eau r "s,i,
creale where they did not previously exist.
At rate the present time seems the most nal apfo
pos conceivable 10 make propositions either Tor inr'as
ing our banking capital, expanding paper currrn.
cy recently after the late specu!aiioEs disasters and
suspensions. Let New-YoTk, Them rush on in her mad
career; let her boast of her real fictitious wealth her
legion of hundred Banks, and her "large cities vi
her cherish her dangerous and highly artificial 50.
cia sa,e-bul for the sake OF 0rGer Of common sense
and free government, let not old Democratic Virginia
"go and do Likewise" Though there may be same OF
her who look upon Large cities, and upon ''asso.
Ciattd wealth. things for which almost any Other
consider is TO be sacrificed, let her not pin her I"rh
to such cOnnSeory and 10 such cOnnSes bot let her hold
true To the doctrines of that the greatest aud Pure
statesman not only which our America, but which tie
world ever producrd-et her ogiee with her own JfF
FEEso. when he said tina, "banklng institutions ae
contrary to the genius Of Government .7nd. gyEo
when he said that il YET REMAINS TO BE PROV.
ED THAT LARGE CITIES ARE FAY ORABLE
TO THE GROWTH AND NURTURE OF IKE.
PUBLICAN PRINCIPLES" And again, when he
snys" view great cities pcsen,Ial 10 the morals
the health and the liberties of mankind THESE are
the rords and these tic counseiS prgtncd by the hpS 4
patriot and It sage der0tsdiy attached 10 The meUe
of his country as frcr pari"t These counsrs,
too which Virginia may not disregard with lmpunIty
Let her prefer the warning voice OF her ied sefvan'
the advice of her modern prophets and degenerate
politicians GOOCHLAND REPUBLICAN,.