Lynchburg Virginian. [volume] (Lynchburg [Va.]) 1829-185?, 1842-03-03


10 cease To authorize the suspension OF cash M yens hy
'her banks nor prevent those banks from issuing bills
o credit 10 accommodate tho present wants and POSTPONE
the lna pay day oi individual debtors Of the States
II cannot by lis own direct act retire from circulation
the deprecated bulls, the currency Of which ~ the urea
test evil Of the times. Bat II can net on the subject
matter by The refusal TO receive any thing but
or equivalent paper IN It's dealings and lit receive
bank bulls, by oNaetng payment of them frequent spc
cl'd periods. And IN the opinion of many who ARE
eoi'orsaht with the subject aud whose experience and
Judgment are entitled Ia considerations II can to some do
gree remedy The disorders of the currency. by applying
10 the legal OF artificial persons the same laws Tor the
immediate distribution Of their assets and discharge Of
'hot debts, which apply To natural persons
IL cannot give 10 the country paper currency in the
bulls OF an Incorporated ont stock bank Of privai, stock
holders ior The constitutional opinions of the President
and :" considerable part o the memhcrsolthc llon
ses, aud OF the People nj large constitute present AN
snmrahle npcdnment 10 the incorporation Of national
bank and If II could be Incorporated it would be- imps.
slhe; AMI possible would aggravae rather hnn light
en existing evils. 10 collect the stock of such an insli
ton II can, however. provide n national paper curron
ey OF adequate quantity and Of better quality. by other
means
II cannot equaze the exchanges throughout the conn
Try, 80 long as the currency Of parts o
l'dcemnhle bank bulls IN various s,aprsolde
pcalio aud the business of buying aud selling
acted IN one part OF the country by otspcce values
and IN another by paper values Most Of the existing
IL not The difference IN price between legal coin IN one
place and legal com IN another of the OF ansp,
ting II Ia the settle balances put the difference between
Tue price Z" the CON currency and Of the paper
At the same place. This Congress cannot prevent But
II may provide safe and economical medium of ex
changes correspondent To the true value of exchange as
regulated by the course OF business, according 10 supply
and demand, IN specie medium of payment.
II cannot. by any act ol is own whatever proceed in
mediofeiY Ia fill the channels of commerce with paper
oi val nuI ay
b, means Ola national bank any other nstrumcniny
Whatever For the same reason that, IN the market Of
deprecated paper currency, com cannot be- kept III circu
aiion but becomes nj once article OF merchandise, and
Is bought up AS SUCH and disappears. Just will it al
ways he with specie value paper currency alongside Of
deprecated paper currency. Until State Governments
cease 10 authorize OF sanction the issue OF edcenahlr
bank paper in given community. that community can
mol have any better currency But the Federal Govern
mcn can adopt the furnish paper currency of
par value Ia be ready 10 take the place of the dcprccin
ted paper currency M soon they shall be driven
withdrawn from circulation by the direct action of the
State Governments, by the indirect action the Fed
crnl Government.
W hat, them shall Congress ,ol What ought il do
% reach the answers to these questions, let consider
the advantages and the disadvantages Of the plans her,
toorc used in the fiscal business of the Treasury.
Leaving out Of the all debaiablc constitutional
questions involved IN II, and regarding practical
matter only the considerations alleged in favor OF nation
al bank
l. Its Inconvenience in the collection safe keeping and
disbursement Of the revenue.
= Its utility (o "A certain dcgrcc) agent Of TX
change
3, Its being the means Of furnishing paper currency
To circulate in all parts OF the United States
4. lis instrnmcnialliy, by the periodical settlement
{" balances, IN regulating the paper currency Of the
States
.. It's being the means Of utilizing the public dcro-
sites 10y dlscounng them.
t)n the other hand the Drac II, IL nro
IN substance
!. The peril of the public welfare of taking from the
Government itself. appointed by the people aud rcspon
sibe to them. all tins vast power the public funds
and the currency and exchanges and placing il for a
long period Of years in the hands of private coporao
and Of bank directors. having interests Of their own
aud irresponsible and inaccessible the people them
selves.
=. The chances Of msmanagcmcni aud corruption
on the part Of such cooperation, in the ratio Of It's
power.
3. The possibility that II may itself make excessive
issues or suspend payments IN specie. and Instead of
aiding 10 regulate the currency Of The States become il
self the great cause Of arrangement.
a. That IT is part of the proper business of the Fed
eral Government to carry on directly Indirectly the
business Of dlscountng bills or o,hcrw lend
ing money. or 10 furnish funds TO be- 80 lent
Concerning the adoption of the State banks the ifs
cal agents and repositories Of the Federal Governments.
the main consideration for II is
That. II there be no national bank. il is necessary
employ the banks of the States unless the Government
choose TO discard all bank agents.
And the main considerations against it are
J. That the Federal Government ought not q he de
pendent the legislation of the State Governments
Tor the means OF conducting the business of the Irca-
sury
2 The perpetual liability of the State banks to excess
OF issues. and To suspension of specie payments.
j. The difficulty Of giving national unity of action
institutions which essentially local i'll iclr nature
and uses, and in their currency.
4. The liability of the system to political abuse
The system Of an independent Treasury is recommon
dcd-
|. Because of its independence ofall agency not the
Governments and especially because independent of
banks.
9. Because it holds the public funds for the public
only.
4. Because, by the use of coin only in the dealings Of
the Treasury il tends 10 bring bnck the country the
money standard of the Constitution.
And it is opposed
|. Because, by the exclusive OF coin il rejects the
tine saving and labor saving nstumcntaty of paper.
which, so IL be ofspece value, is in many respects pre-
ierabc in to coin.
Z. because 1t locks up the public funds from all
employment, either directly the basis Of paper is
sues.
3. Because. under it, the United States had no paper
currency OF national circulation.
4. Because, it separates the Government from the
people, and dsavows all incidental duty towards the lat
ter in the business OF the 1ressury.
Which of these three systems the cheapest and
fest, that is involves the least expenses and loss to the
Treasury, otherwise important than it may be
question of charge the revenues and which of them is
most convenient, in financial point Of yew is matter
of no interest except 10 the Government.
The Committee do not believe that the wit Of man can