Daily Richmond Whig. [volume] (Richmond, Va.) 1840-1842, 1842-02-28

These specie notes, issued upon the public rsve-
nue. TO the public creditor in the disbursements Of
the Government, and upon the deposites CT indi
| viduals would form currency OF the most perlee,
Icharaeier-a currency combining all the convent.
enees oil paper with the value Of com. They should
every where be preferred to coin. They would
be preferred by the public creditor, "a well us by
the whole community, because every one would
know thnt the specie was resting in the Governmtnl
depository for their redemption, and, with l., the
guaranty OF the Government for its safe keeping.
Inc issue ol such a paper, equal only in amount
TO thes specie held Tor its REDEEM piion will neither
increase nor diminish the currency. Consequently,
there viii be no power on the part Of the Govern
ment 10 expand or contract the cuircncy-a power
whleh the committee think should never be possessed
or exercised by the Government So far, therefore
as ITS action is concerned it cannot cause scarcity
OF aoundonce OF money, and Of c>urse clnnot iniu.
| riously Affect the business OF the couatry. There
WI DC no imitation of the currency any rise OF
iaiii IN the prices OF commodities through It's inSru.
mentality. The receipts and disbursements of the
Government are so nearly equ,l that any eXpan-
sion or confession will be regulated by the bust
ness IRON VIII ch revenue ia derived and will only
DC healthy action Of the system.
Nei1her would the specie notes OF a low denomi
nation, be liable TO the objection which is some.
times made to the small note circulation OF the
banks, namely, that of driving specie out Of the
country. On the contrary, the specie would re j..
main under the safe custody of the Government for
their redemption; and whilst these notes would form
more active aud convenient Circulating medium
Tor the People than the specie they represent the
specie would remain at rest and not be exposed 10
the casualties of circulation, by which il is often ir
recovcrab,Y lost TO the word. In this view Of the
matter the committee see no objection TO an issue
OF specie notes Of denomination corresponding TO
me small. note circulation OF the banks Ben- free
from all possible risk, and in no way obaoxious 10
the objections whcA are made 20 those notes, they
| would be peculiarly acceptable and beneficial TO
tna. most useful and respectable class, 10 wit the
small dealers and day laborets throughout the coun.
st IL a =.
providing currency OF undoabied credit and safety
for the larger business interests OF the community
1t Is not unmindfui OF those Of small means and OF
| more humble occupation.
| Under the proposed system, there is 10 he no
power of discount, IN any shape whatever. That
must be LETT 10 the loc,l institutions. To them 4,
more appropriately belongs. Those institution,
would feel the Sa'utary influence OF the operations
ct the ENehequer, in the ftequent settlement Of
bal noes and the consequent restraint upon OVERS
sues anu excessive circulation. Its tendency would
be 10 eonhne Their discounts 10 business instead OF
accommodation phpsr-the only safe rule in tact
, for banking operations. Undec such a rule. ,hefe
would he no danger 10 the community from, tbeir
contfaetions and expansions
They would be regulated and controlled nv the
business OF the country, and expand and eon,rse,
win u. Their circulation would bc increased n,
That season OF The year when the products of indus
Try ore soins forward TO arket and would furnish
Ihs means Of getting II there; and IL would con-
track again when those operations have been pe--
been al
rms would lie sfund and healthy action Of the
o'nSins system. S'd would be much promoted Lv
ms p actica. operations OF the Excheuucr
., Noud THIS system furnish 4 ian form eurrencv2
II oY RHuSrn currency It IS meant that IN. Gs-'
neral Government shall undertake 70 furnish , ~
ss'7aai OF currency ADEQUATE 10 the wants nj ~
whole country, the committee answer, no IL n.i-
liner mas the power nor ability to DO So No nen.
sure "h!en congress can adopt, whether IL Le in The
shape Of 4 National Bank or otherwise can sunnIv
hundred ,,f
the existing or increasing wants Of the community
wants increasing by the rapid increase of popula.
Ioh ana the CONSEQUENT; augmentation OF the pro.
cues OF domestic industry. From the adoption of
he constitution 10 the present time the States have
iHnshed by far the greater portion Of this currency
and they will continue TO furnish Il. Their rich, 10
90 so cannot he superseded by any action on the
part OF this Government. AT that Congress can
90 Is 10 mise into the great mass of the circule
uns medium OF the country currency issued nm
Ger us authority, and OF such undoubied ed,
thati WITH the local currency of the States W.,
restored 10 sound condition, shall together form
uniform currency throughout the country
Ihe currency OF the local snecie. ravno hanks :,
sound condition Is 8. good for all practical purro,ss
"thn the sphere OF It's circulation as any currencv
Wh'en this Government cin issue. But such tir. !
euiauon cannot extend beyond that sphere. and
MAINTAIN itself alongside of such q c-rrenry ,s !, !
proposed 20 be issued on the part Of the G;ovs,n
msh'. Inc experience and observation of every, |
one demonstrate that a local currency. hovevc, /
sound, eSnnoi have TINT universal credit which
Wol.a at'Ac1 10 a currency OF the General Govern.
Heh'' lounced on specie basis, and carving with
Il the responsibility o. the Governnen for The ssC.
custody OF the specie which il repr,sert- Nei,be-
"ot1d ioca ca Eency, thou IN foun led on sirn;,r
pass 20 'ses' I a. universal credit. And PERHAPS
'he most concise reason which can be given is Thai
ono Is local and tie other general. Totae General
uoVernmeni the people of the whole country lnok
TO the State Government, the people of the Sto,e
Iook' The credit Of the one. so far as currency iS
Gonserned' Is UNIVERSAL the cred, of the other is
The currency Of the New York banks. and tbs
cur en;y oil the Kentucky banks, when paving sn,-
cle' Is as good for ali practical purposes within their
respective spheres of circulation, as Goyernm.1,
currency. The same may be said of anv o,b.r
distant points. All that is waning, ,ben ~ N.Y.
q UNIFORM currency over the whole Union. is one of
sueh undoubied credit, and so universally known /
tnat u Will be as good 10 New York as in Kentucky,
ana as good IN Maine as in Arkansas: a currency
WHICH, Tor travel and remittance will enable one IN
q OF send from one oiihese spheres OF local circus
uoh 70 another. This the proposed Government
currency would do; and IL would require hut n rno5
a'e amount, compared with the whole circulation
VI u n county Inns amount would be furnished,
l. by the disbursement OF the public revenues in
specie notes in payment 20 the public creditor and
which would be preferred by him to c,in: 2 Rv
me issue OF such notes, the deposes Of sp-cie no
lnaWoua = Tor ne purpose OF entering IN general
cFcuiauon' I'M z c { amount OF these snerie I
notes would be Issued from the agencies al lie s,e,t
eommerciai emloriums Of the country and wopId
nave universal credit throughout the Unior. Tbs
fe-epI ana disbursement Of twenty-five millions of
puO's revenue annually, would keep 70 an active
cfCu auon OF an amount adequate TO the disburss-
Insh' o. 50 large sum; and which amount With
mat which would be issued on private depo5tes.
ana ~ conneSon with the selling and colcctino OF
exchange, would be fully adequate, with a sound
local circulation, 10 furnish a uniform currsnc,,
throughout the country.
There would BE- no difficulty in keeping n suGi
Gent amount ~ circulation 10 answer ali the pur
poses TOR which they arc intended. Although two.
thirus or thfee h'ths OF the revenue from customs
IS collected IN the city of New York, skill there is
O"t comparatively small portion Of Il disbursed
'here' ihe large disbursements Of tie Govern /
ment are made 10 the West, for Indian treaties.
lndln annu'es, Tor the army, for military ro,ds /
ioruhcatons aud ioris, for the Improvements Of
axes hatoofs and the channels of rivers Tor the
great variety Of expenses ior publ. buildings I'm
tetnaI improvements, and the civil administrator
OF INC iefrioues, with thousands Of Other jI..
oIr'ements which cannot be enumerated All
these would undoubtedly be paI in the snscic
notes Of the Exchequer And although tb,v nrc
receivable Tor public dues, and the nitur, te1den
ry would DC 70 follow the course of trade 10 III.
ANanuc cities, sti.l there woIld be courtsr,rt,-
causes 10 retain them there.
a large amount woud be retained for ',,d
J once money; and the smaller denomin,,ioo, b,, 80
| tS"'eleu Int' circulation amongst the People would
/ Oe retained m circulation by reason of rse ry.
nonce AID uodOIbtsl credit; and even The anon,
"hilh sn)uld Ind rs way 10 the Atlantic cf,.s io
plyment u p ibI. ducs, would n, once Lac ,b,o,.,
"'eH upon Lne west, In payment Of the prII.e