Columbus Democrat. [volume] (Columbus, Miss.) 18??-18??, 1840-03-07

expectations precisely slmilsr. IA al respects, 4
oar paper uuilencr, Which ceono' Be exported
abroad
The historian tells ~, that 10 Span prices b..
came 50 h,gh "a to demand their reduction D,
leg ..airye euscimeprs Which all proved uu2aie
~ and vet, N the face 1T these fictitious p-scaa
20 Sps,s, Ihen as now ~ 'b,- Un.an agficnll1rr
. commerce, and manufactures were cfeally DE-
pressed. And "hen ID ihs change take place
Why. when SPAN changed her system, sucou..
aged he expectation Of the precious n,t'as. Az
,aus brought down her superintendent, ruifency,
brought duVn her Artificial aud inflated piess
/ mad ihus enabled Spanish industry 10 surply tie
Ufag&et. 81 tac peninsula ard &c he warla. and
what vss the re.uit Of tbs change Of policy,
Why the same distinguished historian. referring
10 q, says " The prsct0us metals, 'uslcad Of
flowing 10 50 abunianl'y a. "a palsy tie arm 81
industry, served only 20 stimulate n. The fof.
rlgn intercourse az TIE coualfY was every day
unre widedly enlcnded" he Nourishins cOnd
lan OF the nation MAS sren IN the wealth and
population OF ITS cines, Sc. To tbs page nf h,-
history this accomplished historian nppends the
following note from the great and phtlosophie
/ Hume, N hs Essays ou Currency, par, .. essay
3. " The interval between ihe acquisition OF mo.
uey and the rse Of pncrs lie only I'm, when
increasing gold ard SILVER IS favorable TO indus
Ivy Instead then Of IT, beng always desnAble
10 increase the currency of country !, IL desra-
lie 10 bot orc single contingency, and that 10
when, from the augmented products Of industry,
aod increased prosperity Of nation, piices have
commenced ri.lng ttfo,, any augmentation Of
lbr currency: and then, only il Il desirable to IN.
crease the currency, SO Hs to maintain The reia
ltyc proportion between prices and currenc " and
Wc are Hlsn told that hs nrfease ol currency
v then lusl as certainly be introduced BY tic
import Of the specie IN exchange cor the pro.
duets IF industry. But TO augment pfices by
the mere artificial addition Of bank paper cur.
reacy is 10 produce m inflated system which car
no, last, and Wlll oyetNhrlm the industry of ans
nauou. SIR, with these inflated puces, tie Ia
ton rcsorne 10 tie miserable system, viii dlmin.
i>h her exports, and increase her imports, mud de-
suoy the markets, Erelgn and domestic, iot her
products, by disabling her from missing any thing
a, prof, for any market All reason then. md
all experience, arc agams the system, even
vluIs' the paper IS cony,tilblei and j, ought 10
bc safely aud gradually, but ultimately entirely
abandoned. SIR N opposing banks Of crcula-
ttou, do not object TO banks OF exchange Of
dlacounl and deposlte issuing 20 paper currency.
The bill ol exchange long proceeded all banks
OF circulation, mud will as certainly survive Their
downfall THIS useful instrument Of commt,cs
should be encouraged, aud exists IN the greatest
Perfection and nj the chcapc. rate. precisely rr
those States IN which there Il onl} a specie cur
Icncy, and s most embarrassed hy paper eye
J al. 1 a a.. I'll. -
is bad for NIL; but the EVIL dimnshes IN the ratio Of
| the denomination ct notes mud limitation q lhe
currency For myself ON opposed To iuycs,
! ,pe 10 banks The power OF manufacturing roTef
currency. This power of clra!,ng q currency ioi
/ a nation, IS one ol the highest md most lmpor
! ranl attributes Of sovereign power, and more
deeply affects oll the diversified Interests Of snci-
! ETY., than the exercise OF any other power @hacy-
( cr, It's more important than coming money, io'
/ that must 30 preceded by The purthae Of he
/ hulNoni hut here II power 70 manufacture IA
I per moncy nj pleasure, 70 constitute tho cuuencr
! Of State Or nauon--a power entrusted 70 t4e
IucsTogfblc directory Of bank, nclng IN &c
secret, md whose chief interest u iS 10 ubuse Their
/ power 10 proportion US bank increases tls
currency, are It's tldend4 and profits uugmer-
/ TED, ard hence the stimulus to oyefissucs is Ittc
slsublc; and especially is this the rase where, ss
/ ve have srou Ay the evidence before quoted, the
,eD decl0ts which manufacture the paper, loan,
~ gc1tnl rule. more than one fourth Of Il -
/ themselves. Thu. power lhcn, of issuing Their
paper ~ money Is truly fearful, and w}en vgf;ed
wlta the po~er Of ioan.ng At pleasure, IN secret
coucayc, and 70 whom and for what purpose The
bank directory may think proper and Of recalling