The Mississippi Creole. [volume] (Canton, Miss.) 1841-1851, 1841-06-19


the greatest possible extent, enlarged ex-
travagantly their discounts, thus ena-
bling all other existing banks to do the
same. Large dividends were declared.
which, stimulating the cupidity of CAPT
tallSts, caused rush TO be made 10 the 4
Legislatures OF the respective States for
similar acts OF Incorporation which, BY 4
many OF the States, under temporary IN
tatuation, were readily grained, and 4
thus the augmentation Of the circulating /
medium, consisting almost exclusively OF /
paper. produced most fatal delusion.-
An illustration, derived from the land /
sales OF the period alluded TO, will serve
best to show the effect of the whole sys-
tenn. The average sales of the public
lands, for a period Of ten years prior 10
1884, had not much exceeded 1000 600
per annum. In 1884, they attained, in
i round numbers to The amount Of $780,
600. In the succeeding year of 1885,
they reached 100000 And the wear
1886 they amounted TO the enormous
sum of 25,0O0,0OO Thus crowding in
to the short space ofthree years, upwards
of twenty-years' purchase of the public
domain.
So apparent had become the necessity
o. arrestlng this course of things, that
the Executive department assumed the
highly questionable power of discrimina-
ting IN the funds to be used In payment
by different classes of public debtors a
discrimination which was doubtless de-
signed to correct this most ruinOus state
of things by the exaction of specie IN all
: payments for the public lands. but which
could not at once arrest the tide which
had so strongly set in. Hence the de-
mands for specie became unceasing, and
corresponding prostration rapidly ensu-
ed under the necessities created with the
I banks TO curtail their discounts, and
= thereby reduce their circulation.
, | recur 10 these things with no DISPOSE
2 ton to censure pre-existing adminis,ra-
2 tions Of the government, but simply in
f exemplltlcatlon of the truth of the posi-
e ton which have assumed. If then.
j any fiscal agent which may be created,
D shall be placed, without due restrictions.
= either in the hands of the administrators
e of the Government, or those of private
t individuals, the temptation to abuse will
Y prove to be resistless. Objects 10 polili-
e cal ACKNOWLEDGEMENT may seduce the FIRST
: and the prompting of boundless cupid
I ity will assail the last. Aided by the ex-
: perience Of the past, il will be the pleas
g ure of Congress so 10 guard and fortify
), the public interests, in the creation of
g any new agent, as to place them, 50 far
' as human wisdom can accomplish II, On 4
/ footing of perfect security. Within q
l. few years past, three different schemes
v have been before the country. The
J. charter Of the Bank Of the United States
/ expired by its own limitations in 1886.
5 An effort was made to renew II, which
e received the sanction of the two Houses
e of Congress, but the then President Of the
e United States exercised his VETO power,
It and the measure was defeated
regard to truth requires me to say
8 that the President was fully sustain
D. ed in the course he had taken by the
l. popular voice. His successor in the
e chair of state unquali6edly pronounced
ic his opposition to a new charter Of q sim
a liar institution, and not only the popular
a. election which brought him into power
r but the elections through much Of N,
le term seemed clearly to indicate concur
j. renee with him in sentiment on the par
,r of the people. After the public moneys
ic were withdrawn from the United States
ii Bank, they were placed in deposit with
d. the State banks, and the result Of TIA
K policy has been before the country. Il
g. say nothing as to the question whethe
e, that experiment was made under ProPi
Ly tious or adverse circumstances, II ma
We safely be asserted that il did receive tn
ne unqualified condemnation of most Of 1t
O. early advocates, and it is believed va
rs also condemned by the popular sentiment
s. The existing sub treasury system doe
IS not seem to stand in high favor with IN
n, people, but has recently been condenace'
IL in manner too plainly indicated to al
RI nit of doubt.
re Thus, in the short period of eigh
al years, the popular voice may Be regard
re ed as having successfully condemne'
TO- each of the three schemes OF hnance q
he which have adverted. As to the hrst,
ms was introduced at time (l8I6) when ID
on state banks, then comparatively few !
le- number, had been forced to suspend sPe
Of Gle payments, by reason OF the va
m which had previously prevailed vii
of Great Britain. Whether, If the Unite
nj States Bank charter which expired
So 1911 had been renewed in due season,
as, would have been enabled to continue So
iu- Gle payment during the war and the q.
ed astrous period to the commerce OF u
eff country which Immediately succesded-
err to say the least, predetermined, q vheti
is er the United States of 1916 produced
he restoration of specie payments, or u