Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1841-12-25

the country In this part Of its operation the system
presents tsefas bene!cent and productive OF essential
rood /, seeks not Government emolument or Go.
Sernment convenience only but the public good the
good of the people, in the largest and most compre-
hensiye Its effect 10 give 10 the people, TO
their labor, and their internal trade, the activity oil
funds which would otherwise be locked up and to give
them, at the same time good money. Itemploys those
funds to sustain credit to supply sound currency ana
to favor useful intercourse between the States. Ana
it does this without assuming undelegated powers with
out alarming the jealousy woundng the p9iue OF the
States
Yet il cannot with any justice or proprcty ne caiied
Government Bank. The essential clements Of bank
are still wanting it, Government seeks mol 10 MI It's
own Golfers by DISCOUNTS or to make gains ny Tue use
of it's credit to make the issue OF the hachequef
substitute for in order to meet It's own neces
sites Nor does propose TO ntlct on the people the
evils and the scourre of an unrcdeemable Government
paper because no paper is TO be issued whieh Is not
payable in gold silver on demand-ail paper mus
resting on the double basis of immediate conveniently
and the public faith. 1t not easy TO CONCEIVE how
.n ,,per intended for circulation could be safe
more useful for the purposes OF commerce. and 1t be-
lie we'd that just such paper ms the wants Of the
country loudly demand
The extent 10 which this paper may be issued and
c;rcnln,ed is it must be confessed in degree un-
certain This must depend the amount OF reve.
nues collected and disbursed, and on the degree OF
success which may attend the operations provided tor
bv another part of the bull But, whether The c.rcua-
so far that circulation shall extend must, be Ia
yorabe all interests. 1t cannot but conduce TO the
oublic welfare that there should be, every part OF
the country institutions or some one agency
which shall be of undoubed credit and whose issues,
be they great or small shall be equivalent to com.
If the circulation Of the notes OF the exchequer from
hand hand, III the common business OF HE, should he
found TO be small that fact will arise from one or The
other otwo causes, or from the combined eiec' al both
IL the amount issued should be small, tnen oil course
il can only I'LL the channels of circulation to limited
extent And while the paper of the State banks shall
continue deprecated and yet remain IN circulation
Treasury notes, it is highly probable, will otlen be Ia
ken out OF the general circulation and used tor pur
noses of remittance Their limited circulation in such
case would arise from their superior value IN compar
son with the value OF other paper. 1t wonla not DC
owing to want Of confidence in them, but to Their pos
sessing the highest degree of confidence.
But if such Of Treasury notes should take place
and should diminish the amount circulated IN daily
transactions from hand to hand, yet that use itself
would confer general benefit of great Importance, in
asmuch all such remi,tances perform the ONCE o.
furnishing safe and cheap exchange and cooperate d.
recty with the results hoped 10 be produced ny another
provision of the bill. But if the Exchegutr and II:
agencies be allowed TO deal in exchange THIS use of i'll
notes, although it might exist to some EXTENT would os
far less considerable.
Among possible objections 10 the issue Of redeema
BILE Treasury notes. may be- that tina, they will be
returned on the ExcheGner for specie for expectation.
States and companies, it is known, owe heavy debts
in Europe and these States and companies It may be
anced will obtain Treasury notes, harrass tue Treasury
by demands for specie, and send the specie thus obtain
ed abroad in discharge OF their own Obligations lev
words may dispel such an imagination
In the lrst place, the argument, II II prove any
thing, proves too much; for il proves th". Tor tie
same all specie paying banks ous"t, 10 ceass
States and companies find less difficulty IN, lighting
on some convenient mode Of remittance than on com
handing at the present moment the means 4 making
remttances in any form The general dePfeVon, VIII
the cooperation Doubtless OF other causes has sus
pended the power OF obtaining such means We mus
continue to hope that, under better state of things
and in better times, this power will revive, aud when
il shall we must look to crops to ouTreshts and
10 the general earnings of industry, to enable u
10 meet the claims Of creditors abroad. In Tie mean
fine since neither States nor companies CYL obtain
loans of Treasury notes, otherwise POSSES them
selves of them than by buying and paying FOR them
we need not distress ourselves with aPPrehensions o.
runs on the Exchequer from that quarter
II remains to say something upon that part Of the bill
which authorizes the Exchequer and It's agencies to buy
and sell domestic exchange, under cerain limitations
and restrictions.
That an institution founded on a more extensive
MAN. with large moneved capital, which aaould dea
in exchanges on broad scale, buying 81 at Ions
daee or accep ting bills security IN ordV to enable
drawers 10 anticipate their means and thus afford Gu
pita and credit: well exchange, strictly speaking
might bat for the dangers attending u, Pfouce more
ted But such scheme involves the idea ut maxim!
loans and advances Of venturng largely On the strength
of personal security, and entering IN no small degree
milo the hazards OF commerce No SUE; purpose 10 IN
tended by presenting the present bill 10 the consIde
ration of Congress. On the contrary Ne utmost con
/ Germ has been felt to guard The PROPOSED measure
against all tendencies 10 such system OF exchang
operations.
In all lis purposes, it looks to currency and to ex
change, not to lending or to discount. And it ma
10 NJ
large powers of discount he safely lodged in private
institutions, with the power Of making such discount
by the of their notes.
The supervisor and regulation of currency belon.
10 Government the business Of commerce and thu
borrowing and lending Of money TO individuals. AM
perhaps conviction rapidly taking possession
Of the minds Of enlightened men, than that Go
vernment should not commit the high and importan
function Of experimenting and regulating the
cy of country to the hands Of those whose occupa
ton consist in making loans and discounts, whethe
, on promissory notes, or bills on time. Whenever
bank makes loan, discount By the issue of il
bills, it adds so much TO the circulating medium of hs
country, and in the absence Of all "&icr regulation
restraint, several hundred banks, ose palablc int
rest il 10 increase the amount Of circulation TO de
eide, each in the exercise Of its discretion wha
extent that augmentation shall be carried That TO suct
system there must he check, or that, in the
absence Of all such check, the emission of paper vii
be continually tending excess must Inc manifest Il
every rejecting mind II is not proposed TO enter fully
into this subject at present. bu, lIns already in
other countries, it must necessarily erd long in this
, command the most serious attention of Government
1t is hoped that the now proposed to Con
gress will has effect at least, counterac,ine
the tendency TO in bank issues. While it may
not accomplish all that is 10 be desired il is believed
will effect something To the extent Of its means EN-
ployed, its operations will be calculated restrain is
sues and to correct excesses because, the first place
every accession of good currency 20 the general mass
tends either to render the bad worthless so that in time
il shall all give way TO better compel those VIII
Issue such bad currency TO raise its value by preparing
for its redemption. fgood currency could be put ntf
circulation in such quantity to NEE: the of the
country, must of course eSpc tie had bring abou
change of its character; although - is equally true
that while the great mass be bad, an while it yet cir
culates, not having become entirely worthless, it i.
in the general circuaton since i, is liable to be select
ed from the mass for purposes which that mass will no
answer And in the second nace, lie Excheauer wiI