The Camden journal. [volume] (Camden, S.C.) 1836-1851, 1840-03-07

public debt, and disbursed on the immune
-able objects for expenditure there.
Under the operation Of such powerful
causes, there could n3l but be vast, sud-
len expansion of the currency whrre they
were in such great activity, arM with that
corresp 'nding increase of
prices, and the cost Of pr 'duction. Nor
could this state of things ceas till the in.
creased cost of production become equal
to the duty imposed for protection. At
that point, and not before, must specie
cease to flow in, and thr exchange to be
favorable; but when reached, the tide
must turn, Importations of the protected
articles w"uld recommcnce, specie flow
ont, and exchanges become adverse. This
must be So obvious, thatitwouId only dar-
ken to attempt to make it more c!ear.-
With the turn of / e tile the banks must
contract. and pecuniary distress and EN-.
barrassmenl follow Such under the np-
Grafton Of the causes assigned, must be the
result, for reasons which appear to me IL
resistib!r. But sir, do not mean 10 leave
SO important point 10 the mere force Of
argument, however clear and certain: l
intend to prove By incon!estible authority
of documents, such was, in fact, exactly
the result. i"tend to pl're the principle
lail down, as have said, beyond deubt or
cavl.
The first authority shall ad'luce is from
thc* report of committee "f the other
House. m,de in February, 1881, by Camp.
bell p White, The Chairman, then men,
brr from the city Of NV York. The re-
port is evide 'lly drawn with great care,
AMI b. one familiar with the subject; anal
has The advantage Of being on another sub
j"ct. 'hc "urrency.l without any reference
to the tariff or protective system. and evi-
DENLY without any knowledge of its ope-
ration. Hear what The report says:
The recent export oIspecie has swept
away the Grlusive culoring girrr to the
actual result If production in lo23, 1880
and the early prrt of 1881. Real estate
appreciated greatly, and; 'cal stocks COM
manled unheard Of prices; warehouses
anil dwellings were Improved and embcl-
lish d, and money was 50 abundant tnat
it could b, readily Obtained to any amount
upon promissory notes. Hnw changed is
the general aspect cf affairs within few
All cur solid professions and
means If Industry remain, land continues
to be equally productive, labor is recon-
pcnsel with lis usual reward; the seasons
have not been uairiendly. Whence, then,
his lamentablc change in our :Aairs? Why
his great scarcity Of money; depreciation
in value Of all comm ,:!ities, and of all pro-
oertv; great commercial distress, and ini-
with many solvent pei to
discharge their jus! debts; so speedily and
succeeded the gratifying and
picture which was so lately
presented"
What a confirmation Of the deductions
IF reason, both i'll 'e swelling tide of pros
,eriLy, and the turning cub of adversely.
The sketch Of the latter is not unsuted
% the present time; g"oi seasons and pro-
luclive years, and every element, appa-
emily of prosperity, and yet deep and
vide sprean distress though at that time,
here had been no removal of dcposites,
Tor hal the Sub-Trcasury been heard of,
o which gentlemen are now disposed to
attribute all the calamilics which affiict the
The aulhor of the report could give no
answer to his question, whence
III this sudden and unlocked for calamity;
,ut he has furnished us with the means of
racing i, clearly to the tariff Of 1898. 1t
vent into operation on the lst Of Septem-
,er of that year, and the next year felt the
swelling, but delusive tide of an expanding
currency; the exchange turned in our favor;
gold and silver, following the impulse,
lowed in; banks began to enlarge their
discounts and circulation. 1t continued
o swell with as;rongcr and stronger cur
enl, through all the subsequent year, and
he first part OF the next, nearly three
ears, according to the usual period, when
t began to ebb; and then followed the re-
7erse scene, so feclngly described by the
author, and which to him appeared SO un-
expected and unaccountablc. 1t was at
his point. had not the movements of the
south arrested the farther progress Of the
system, that there would have been another
,lamor for additional duies. The distress
IS usual, would have been attributed to
over importation, and that to the want Of
,Joou,to nr,toction and in 1920 fthe H.