Herald of the times. [volume] (Newport, R.I.) 1830-1846, 1842-03-31

|
meni OF the last session Of Congress, such
distribution was urged by arguments and
CONSIDERATIONS which appeared 10 me then.
and appear TO me now, Of great weight, and
was placed on the condition that it should
not render necessary any departure from the
act Of 1888. II is with sincere regret thnt
now perceive the necessity of departing
| from that act, because ] am well aware that
expectations, Justly entertained by some OF
the States, will be disappointed by any oc-
currcnce which shall withhold from them the
( proceeds OF the lands. But the condition
was plainly expressed in the Message, mud
was inserted in terms equally plain in the law
itself and amidst the embarrassments which
surround The country on all sides, and besel
both the General and State Governments, il
/ appears 10 me that the objects first md high
est in importance, is to establish the credit Of
this Government, and to place it on durable
Il foundations, aud thus afford the most cffec.
H tual support to the credit Of the States, equal
"a; least, TO what il would receive from direct
distribution Of the proceeds Of the sales Of the
| public lands.
II When the distribution law was passed
II there. wns reason to anticipate that there
1rs06n would be n real surplus 10 'dfs,rilM,e.-
On that assumption, II was, in my opinion, q
| wise and benchccnt measure. But TO con-
tnue il io force, while there is no such sur.
| plus 10 distribute, when it Is manllesily nc
cessary not only TO increase the duties, but
| nj the same time TO borrow money in order To
| liqudate The public debt, and discmbarrass
the public Treasury, would cause it TO be re-.
| garded as an unwise alienation of the best
security of The public creditor, which would
with difficulty be excused, anc could not be
| justified.
II Causes of no ordinary character have re-
\ Gently depressed American credlt in The stock
market OF the world to degree quite unpre-
codentcd. ] need scarcely mention the con.
dltion Of the banking institutions of some OF
the States-the vast amount Of foreign debt
contracted during period of wild specula-
ton by corporations and individuals, and
above all, the doctrine of reputation of con.
tracts soe,snly entered into by States, which
although as yet applied only under crcum-
stances of peculiar character, and generally
lebukcd with severity by the moral sense OF
the community, is yet so very liccnlous, and
in a Government depending wholly on opin.
ion So very alarming, that the impression
made by it To our disadvantage, as n people
is any Thing but surprising. Under such cir.
cumstances, 1t is impcralively due from us 10
H the people whom VIC represent, hat whom we
4 90 into the money market to contract a loan,
| we should tender such securities as 10 cause
the money lender, as well at home as abroad
to feel that the most propiti0us opportunity is
afforded him Of investing, profitably and ju-
dlclously, his capital.
II A Government which has paid of the debts
| Of two wars, wagcd with the most powerful
nation of modern times, should not be brought
to the necessity of fchalierng for terms in the
money market Under such circumstances
| as have adycred 10, our object should BE-
to produce with the capitalist feeling OF
enlIrc confidence, by tender Of that sort OF
| security which, in all times past, has been
esteemed sufficient, and which, for the small
| amount Of our proposed Indebtedness, will
unhcsllaiugly be regarded as amply adc-
| quate. while a pledge Of all the revenues
amounts to no more than is implied in every
instance, when The Government contracts u
N debt, aud although it ought under ordinary
Il circumstances TO be entirely satisfactory, yet
IN times like these, the capitalist would feel
better satisfied with the pledge Of specific
fund, ample IN magnitude to the payment OF
his interest, and ultimate reimbursement OF
ILL.,, principal. Such is the character Of the
and fund. The mos, vigilant moncy dealer
| will readily perceive that not only will his
| inleres. be secure, on such pledge, but that
a debt of Sl8, 100000, or $20,OO0,000, would
| by the surplus of sales over and above The
| payment Of the interest fixed for its rcdemp.
ion, be eXtinguishcd within any reasonable
| time.
| To relieve the Treasury from its cmbar.
easements, and to aid IN meeting lis rcQulsi-
tions, until time is allowed for any new
| tariff Of duties to become available, it would
Il seem TO be necessary to fund a debt ap.
proaching to $l5.0O0,000, and IN order TO
place The ncgocla,on Of the loan beyond a
reasonable doubt submit to Congress whcth.
er the proceeds of the sales OF the public
lands should not be pledged for the payment
Of the interest, and the Secretary of the Trca.
sury be authorized, out Of The surplus of the
| proceeds OF such sales, TO purchase the stock;
and also when il can be procured on such
terms as will render 1t beneficial in that way
to exllnguish the debt, and prevent the ac-
cumulalon Of such surplus, while its distri.
button is suspended.
II No one can doubt that, were the Federal
| Treasury now as prosperous us II was ten
| years ago, and It's fiscal operations conducted
| by OH efficient agency OF its own, co.extcn
slve with the Union, the embarrassmcnts o.
the States and corporations in them woult
produce, even If they continued M they are
| were that possible effects far less dlsas,rou,
than those now experienced. Ii is the dis
| order here at the heart and centre o. the sys
ten, that paralyses and derangcs every par
of it. Who does not know that the perma
nent importance, not TO tie Federal Govern
mcnt alone, but to every state and ever
individual within las jurisdiction, even in thei
most independent aud isolated individual pur
suits, of the preservation of sound state o
public opinion and udlc.ous administration
here? The sympathy is instantaneous an,
universal. To attempt to remedy the evl
Of the deranged credit and currency Of TN
States, while the disease is allowed TO rag
III The vtals Of the Government, would be
hopeless undertaking.
, 1t is the full convection Of this truth whic
embodcns me most earnestly To recCmmen
/ to your early aud serious consideration tn
d. measures now submitted To your better judg
mcnt, as well as to those which your atten
ton has already been invited. The frs
: great want of the country, that, without an
/ Swering which all attempts nt bcttcring th
present condition of things will prove fruit
! less. is complete restoration OF The cred
! and finances of the Federal Government.
I'll The source and foundation Of oil credit
{ in the confidence winch the Government IL
d spires; and just 10 proportion as that conf
. dcncc shall bo shaken or diminished, will b
: the dlstrnst among all classes Of the comma
il niIy, aud the arrangement and demorallza,lo
: ~ every branch Of business, aud all the u
" :crcs,s of the country. Keep up the stnpt
!. ARD of good faith and punctualliy IN the up,
| railons of the General Government, and n
:. partial irregularities and disorders will b
oil E.I k,, a. ,,H Of In Ia,