Mobile daily commercial register and patriot., 1841-08-18

redundant. The violence of the pressure IS m pro- portion t0 the extent of the oyertrade and general
 , the more violent the pressure, the shorter the pc riod.''
 Will not the reflection possibly suggest itself to MT. Appeton's readers, that nasnuCh Ihe most perfect Bank circulation would be one that should not exceed m amount that of gold and silver that would pe m circulation were no paper money m eN- istence, Benton's specle hunbug' may not be so dculous an abshidty after all and that il might be better to keep the currency down the equabe reg uary ot the specie itself, (whether in the imned- ate metallic form, in that of paper certificates of actual specie deposites of dollar for dolar), rather than Keep the industry and commerce of the country perpetually subject alternate fluctuations nsepala- ble from every form of paper currency2
 Mir. Gaatn very truly admits the one solitary ad- vantage to be pleaded in behalf of paper currency, even when most cautiously restrained within those hunts necessary to constitute the {" most perfect Bank cIrculatlUn''-yiz the benefit ol having the use o SD much additional capital is equivalent to the difference between the amount ol Bank clrculi- ton and that of it's specie basis reserved m the vaults ot those institutions. This benefit resolves It- sell oi course into that of the annual interest upon that amount. '' The actual circulation ot all the | Banks m the United States,' says Mir. Galatin, | 'does not when in healthy situation, much exceed eighty millions of dollars. Deducting twenty mill lons m specie, which the Banks must keep on an aV- craze to meet demands the part of their liabilities I "S'.b applied to the purchase of gold and silver, are appl- ed to productive purposes, and add as much to the productive capital of the country" The annual val ue oi sixty millions exceed four mlllions-a sum utterly insignificant in comparison with the an nual value of the production of the country, which IS generally computed, the lowest of all calculations to exceed thousand millions. Of what account is
 trlflng economy of few millions thus saved m lIl- terest' by the substitution ot paper currency wlth all its mischief and perpetual danger for that of the pre- | cous metals, easily procured in any quantity that may be wanted. Independently of its fatal evil ol ncessant huctnaton--atal morally well as mate rally, in ten thousand ways-the costliness of the machinery through which the paper currency IS to be manufactured and maintained Is evidently more than an equivalent to the paltry parsimony of interest above referred to. Mi. Appleton very correctly H.
 ustrates the functions and of currency by call ing il the '' nations tools of trade" What ntelli- gent mechanic begrudges the interest upon the sary prime cost of his tools-or in the of his ma chInery would orego the advantages of vast supero- ry of construction, regularity of action and security from explosion or Arrangement, for the sake of the trhing saving of the interest upon the prime cost not equal, at best, to the half of one per cent upoa the value of the annual production of his industry! l There are other points In the two pamphlets here under review, to which we had intended 10 invite the | attention of our whig readers-especally those in which is to be found the entire surrender of nearly all | the old arguments in favor of National Bank, for the " regulation of the currency, exchanges, &c. The exhaustion of present limits of space con- pels Us to terminate here abruptly, with promlse to resume the subject in our next number.
 l -
 tWh all respect for candid and liberal author must be permitted to remark that he has already shown" any such thing. He has simply assumed the fact that paper is actually in general among in lieu gold and silver, as being such preference"-whch he declares to rest upon these grounds viz" facility o counting facility of transportation transmissOn and security against robbery" Now il is clear that these grounds of preference only applicable paper ofarge dimensions. For hand-to-hand circulation, in all the dnary minor transactions of life, it is evident that gold while far more convenient to count, (wh regard the detection of cOunteries is equally convenient carry or guard Moreover should be borne in mind that the most ultra nonochrysargyrist in the land has obec t0n paper issued from Banks of mere deposite repre- senng dollar for dollars kind of currency which, with every form of advantage that be claimed paper would combine nearly every advantage of solid substance of the precious metals themselves.