Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1840-02-15
CONGRESSIONAL.
SPEECH OF MIR. BUCHANAN,
Or PgSxsYLyAGIA,

fFpTltI
by the Senator under his second general head, ana
having, think demonstrated that the bill contains no
Government Treasury Bank, shall proceed to reply
to those which he urged under the first general head
1t will he rccoected That tins to consider the bill
according 10 the construction placed upon II by It's
friends which, have endeavurcd to prove, the true
construction.
Before address myself directly TO the Senator s
argument, allow me t. indulge in some general OBJ.
servn.ions
What has been The financial history of this country
for IL" L.. 60 ,cars' ercot with posi-
tive knowledge upon this subject during the Pc
Rod of eighteen years since first into public
life II has been history of constant vibration-ol
exrayagant expansions in the business oil the country
succeeded BY runons conractIons. Al successive IL
trrvas many of the best and most cnterprsng men OF
the country have been crushed They have fallen VIC
TINS ut the shrine Of the insaiiae and Unsuitable spirit
Of eStravagant banking and speculation Starting al
the extreme point Of depression of one OF these periods,
find that the country has been gluttcd with foreign
merchandise and il requires all efforts to pay the
debt thus contracted to foreign nations Al this crisis
the banks do nothing to relieve the people. In
order to preserve their existence, they are com
prllcd contract eir loans and their issues In the
hour of distress, when their assistance is most needed
they can do nothing for their votarics Every article
SINKS in price men unable to pay their debts, and
wide spread ruin pcrvadeS the land. During this first
wear Of lie cycle, aiic TO import but compare
lively little foreign merchandise, and this affords the
country opportunity Of recruiting is exhausted en-
ccg!"s The next year the patient begins 10 recover
Domestic manufactures flourish in proportion as 10.
r.ipu roods beco;:c scarce The industry and enter.
prise Of our citizens have been CXeftcd with energy
am! o.r productions have lGuidacd the tnregn debt
The third year, fair business is done. The country
presents ourishng appearance. The banks, relieved
from the drums OF specie required Tor foreign export
begin once to expand, and tempt the unwary 10
their ruia Property Of all description commands a
no ruril III, ri of 4
ira agant banking and speculation returns, again to be
succe cded by another ruinous rrvulslon.
This was the history of the country up till l-|1.--
Since then we have travelled the read 10 ruin much
mere rapidly than in former years. Before that pc
roi il had required from three to six years TO get up
an expansion aud lis corresponding explosion. We
have now witnessed the astounding fact, That We can
pass through all these changes, and even from one sus-
pension of specie payments 10 another, IN little mere
than two years.
II is curious 10 observe with how much accuracy you
can read the changing condition o! tis country
in the varied amount OF our importations. The year
3 was one Of vast expansion, and produced The cS-
poson and suspension Of specie payments ~ I-5I.
The imports we're greatly diminished in 1877, being
kss than they had been III 1870, ~ nearly fifty mil
lions Of dollars In ISIS, they sunk down TO twenty.
seven millions less than they had been il le37, and
nearly scvcntv-scvcn millions less than they were in
lSGi In 1889, had another expansion and our M
paris we're forty four millions of dollars grca:T than
..cy had been in lc5s This expansion preceded the
EXPLOSION md suspension OF spcc.c payments IN the
.a,.nii. OF October last. Thus hay" 5rcnnr such
sSilIu architects OF ran, that simgc year was sni
cirn, 20 prepare tie late explosion
There never has existed a nation on earth, except
our own, that could endure such rapid and violent ex-
aud contrucons II IS the buoyancy OF youth
1t is the energies Of popu!ation- 10 the spirit
WHICH never quas before diflicultes-which enables
rs 10 endure snch shocks without utter ruin Yes, SIR,
difference in the amount Of our imports between the
years 1875 ana 1856 of seventy-scvcn million dollars,
is sufficient to excite the astonshmcnt OF the world
What causes operated 10 produce this speedy rccur
renee Of tie second explosion and the second s"sPen
sion Of specie PAYMENTS; Three may be mentioned
In the first place after the bank suspension OF 1871
every person who lr:endyto we'll regulated banks
if such thing he possible under the present system
ardcnv desired that the different State Legislatures
might impose upon them scne wholesome restrictions
|, was expected that they woud be compelled to keep
certain amount Of specie in their vaults III proportion
10 their circulation and Grposcs that the foundation
of specie basis for our paper currency should DC iad
by prohibiting the circulation OF bank notes, at The irSt
uo.c- the denomination Of ten, and afterwards under
that of twenty dollars that the amount Of their dvi-
bends should BE- limited and above all, that upon the
occurrence of anoth"c suspension their doors should
he closed at once and their affairs be placed III the
hands Of commissioners. Tie different legislatures
met Much indignation was expressed al the conduct
Of the banks They were severely threatened: but ut
las, ,hcy proved too powerful for the people Indeed,
il would almost seem If mast of the State L"gisa-
lures had met for other purpose than TO "gaZc the
previous suspension O; specie payments. 80 cihccnt
restrictions were imposed: and the banks we're thus
taught that they might thereafter go nnpunishrd--nn-
vh;,,ed Of Justice. Pas; impuaty prevented thcm
from reducing their business and cu.ainI their pro-
s. in such manner 10 render them secure IN Tie
d,v of trial They have fallen again. fear again TO
enjoy the same impuny
In the second place, the immense amount OF money
loaned to many of The States IN England, large poF-
lion of which was brought home in the form OF foreign
afforded great lac!iities lot o'etaoS'
or rather buying. !.
And in the third place. the conduct Of The Bank CT
the United States greatly tended TO produce these cX-
cessvc mpnrtations That institution became the bro
kcr for the sale ofs State bonds IN Europe; en-
dea vored TO monopolze the entire cotton trade OF The
country: and it drew bills Of exchange on England
most freely AT moderate rates, against the proceeds CT
these bonds and of its cotton. Every temptation was
thus presented 10 spcculations in foreign merchandise
These three causes combining, have occas:oncd
second suspension Of specie within TWO years
after the first and produced that boaed credit system,
from the wreck Of which country is now deeply
most heartily concur with the Senator from Ken
lucky in one of his positions We certainly produce
too little and import too much. Our EXPANDED crcdlt
system is the great cause of this calamity Conhnc II
within safe and reasonable bounds, and this disastrous
fleet will no longer be produced. 1t ls not N the pow
or of Congress- 10 do much towards ccnsImnation so
desirable Still We shall do all can and the pre-
sent bill will exercise influence IN restraining The
banks from making cx.ravagant loans and emitting cx-
trava VACANT issues.
What effect has this hIoatcd system of credit pro-
dnccd upon the morals Of the country In the large
cities. it has converted almost all men OF
business inc gamblers Where is there now to be found
the old fashioned importing merchant, whose word was
as good his bond, and who was content to grow
rich az our fathers did, by the successive and regular
profits Of many years of paten, industry: sach men
we're the gory and pride Of commerce, and elevated
tie character Of their country both at home and abroad
ask, where are they: Is not the race almost extinct
All now desire to grow rich rapidly. Each takes his
chance in the lottery of speculation Although there
may be hundred chances to one against him, each,
eagerly intent upon the golden prize, oveFooks the in
terveniug rocks and quicksands between him and IT.
and when he fondly thinks be is about 10 clutch It, he
sinks into bankruptcy and ruin. Such has been the
fate of thousands of our most cnterprisng citizens
Ii the spcculator should prove successful and win
the golden prize, matter b. what means ne may
have acquired his wealth, this clothes him with honor
and glory Money, money, money, conftrs the highest
distinction in society The Republican simplicity and