Lexington union. (Lexington, Miss.) 1838-18??, 1840-12-19
WIG CREED.
CONTINUED

{ WIG CREED.
p (cONTINUED)
4 Persuant to notice given in or last number
\ we shall proceed to investigate the second pop
: osItiou embraced in the Wing creed, az defined
s. by the correspondent of tie Natcheg Courier
, which is, that ''without National Bank, VIZ
p cannot have a sound currency" This PROPOSE
ton being invoked in The great financial question.
. that have for some years engaged the attentive
consideration OF the political master Splits OF the
, nation, all that our humble abilities can suggest
on the subject may perhaps be regarded, as at
least supetc,oeotory. Regarding, however, the
question presented by this branch Of the " big
creed as not inferior in moment TO any that has
challenged the attention o. the American people ;
and The present as pedod imperiously demand.
ing the prom. and decisive action of the nation
on said question, we shall attempt to expose to
our readers the error Of this position Of The whig
party.
a currency to be sound must be unifolm, al
ways measuring the same amount of value, the
which it cannot be unless it possess inherent
WORTH; aud which, from tie popularity of its
nature, is not subject to those increases and
diminutous in quantity and consequently in
value, thatare attended with such destructive
| consequences. We hold the trite aphorism, that
'currency is to the body polite what bloodis to
Ihe annual systemn to be well founded if then
currency be subject TO expansions and contract
>-''-, '>-~' S~'sh.sa fsAFriets h4 sanarai
mated sound, than can an animal body which is
| subject 70 great periodical increases and din.inu-
lions of IFS vital duid, 10 denominatcd healthy.
That the currency given by banks whether state
or national is OF this vanable nature both in its
quantity and value the history Of banking is rife
with pIoyE Indeed their end and nature make il
so.
The primary and chief end Of banks, is to
make money, and hence ther universal proncncss
10 extend their liabilities beyond their available
means. II banks be not permitted tp extend their
issues beyond the amount of their capital stock,
capitalists will not invest their money in such
'tocks To procure then, the n cessary capital
Tor such jnsllutions,'he law creating them must
extend to them,th priviIcge.of issuing doubletr
ble,or qnadrop'e the amoum OF tLer capital, g.
the fartherest extent Of this privilege, is invariably
regarded by them, as the minimum, rather than
the maximum Of their Issues. These facts of
themselves are sufficient to prove the unsoundness
of bank paper currency. Every bank promise
beyond the amount Oft banks actual capital,
is false and detusive promise; aud being the
mere ideal representative Of value, depcndent
for IT, redemption, upon pecarious foundations
It is in no vie entitled to the appellaton sound
This is ever the condition Of at least two.ttirds
Of The circulation of banks, even under what is |
termed by the bank party, well regulated bank.
ing system.
With very few corrections the charter of the
late United States Bark, would perhaps, approx.
mate as neal a perfect bank charter as any that
has, or will ever be invented by the ingenuity OF
man, and yet every page Of the history of that
presents irrefmgble proof Of its total
inability TO confer the blessing ola truly sound {
an office which its drluded friend, are
at par with specie throughout the
nation, and so would be the notes of The verrest
oeggar in the land, if he could but receive, TO !
he same extent, the patronage of the govern !,
neni; but this irCumstanCe does not prove thar =
he bcggnr's pfouises-to pay would be a sound O
urrency, for a seues of uutoWar1 events might
'ccur, 'hat would put pe,iod to the confidence
lpon which the very existence Of such system =
depends, and bis issues might at the same time {
all to return III the channel through which they :
lowed out, and thus the whole system would .
EXPLODE, blighting every hing within the scope G
lis influence. At least twothirds OF the liabil- a
lies Of a National Bank would rest upon foun.
alton as preearious as would those ofthe heggar, g
nd yet we are told that withou, such an insttn. :"
ion we cannot have sound currency. Altho' "
he circulation Of National Bank might be of al
inform value Throughout the Union, and public
onGdence therein remain unimpared, still il could n
OF be called a sound cunency because IFS peri.
deal extensions and consequent contractiocs :
yariably cause those sudden AMI unnatural
lriations in prices, which cannot fail to produce
any Of the disasterous consequences that flow ="
ON the Expectations of State bank currency va
cursory review Of the history cfthe late United ~
ates Bank, will be sufficient to convince every
lbiassed mind that il is not to such nm insi,n. O'
IN that we are TO look for the preservation of a
IND currency. ala
In 1919, when tbis institution was in tn, dD he,