The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1842-03-15
From the Phil. Public Ledger.
THE FISCAL AGENCY,

After the country has been kept in violent agitation
for nearly ten years, by the bank question: majority
of those no commended for National Bank cure
for all evils have concluded that the country will
tolerate another, and that iii would such an instu
ton would not be useful and might be mischevous ;
and majority of its opponents have learned that while
banks of promise are mischevous engines, paper
ney actually representing coin, may be useful. The
moderate portions OF both parties If not disposed to
unite common ground, certainly to each
other the currency question, than they have ever
been. Twobils have been repol ted to Congress- one
in the House and the other the Senate, each re-
commenting an agency to receive depostes of coin
and to issue certificates upon it. Whether either bill
will pass, with any notifications, is than
predict and we certainly consider the passage Of any
as doubtful MIR. Clay would naturally oppose any
project for Regulating the currency" excepting
old fashioned National Bank, like the one which has
exploded in this city with such disastrous results
and Mr.. Clays followers in the Senate will probably
follow his lead, as soldiers follow corporal or ser
jeant in the regular army Mr. Benton will probably
oppose the establishment of any fiscal agency but the
plates the issue of paper. The moderate " Wigs"
and the Tyler Wings" will support one of the bills
now offered or something of the same character So
may the moderate Democrats" But while enough
of such m dcrddos may possibly unite upon some
scheme for the issue of paper we do not enough
in present appearances, to justify belief in the pas
sage Of any bill. If the Sub Treasury had not been
repealed, notifications contemplating the issue Of
paper upon coin might have boon adopted At pre-
sent think that the Presidential election is too
much involved in the subject to allow the adoption of
any judicous scheme. We admit that te time is ia
vprable in one respect, for the adoption of something
reasonable The excitement of the Presidential cleo
ton of 1910 has subsidized, and that of 1914 has not
begun. Hence the public mind both in and out of
Congress- is calm and therefore in better con-
dition for candid consideration of this important sub
ject than it has been for many years past than it
probably will be for years to como II then safe
fiscal agency can be established now may despair
Of obtaining one hereafter, By safe fiscal agency,
mean any project excepting the Sub Treasury, That
is sae and may be the best project; and National
and State banks of the question agents the
country may return to the Sub Treasury, from ina
bility to establish any other agent.
Though decidedly and thoroughly opposed to the
whole system of paper promises, based upon credit
for currency, our readers probably know, for
have opposed the system necessarily are not dis
posed to reject the whole project before Congress ;
for though some of the details may require amend
ment we regard the main principle involved as
sound It repudiates the whole system of false credit
hnag mary credit promises to pay with nothing to pay
Them and contempates the issue of paper the rep
resentape and not the substitute of coin. 1t conte-
plates not the manufacture of money out of paper in
stead of gold and silver but the deposit locking up
Of much gold and silver as may be issued in its
representative, paper, to be used convenient
than coin.
This plan is like the Bank of Hamburg, and like
the old Bank of Amsterdam which fell during the
French Revolutions; and paper is better than coin
for transmission between different and distant places,
and more portable for travelling, and therefore in
some cases more convenient see less to oppose in
an institution which contemplaes issue Of paper
upon the same amount of coin actually existing lying
out of use, and at all times ready for its redemption
Thus if a merchant in New Orleans wishes to pay
debt of $4,000 in Philadelphia, and has the coin for the
purpose he has the alternative Of offering the coin
or buying bill of exchange. The bill may be bad,
and he must take the risk and if it proves to be bad
he must pay his debt in other funds, and all the cx-
penses of protest and return, and look TO the drawer
endorser OF whom he purchased for remuneration.
Such difficulties sometimes occur, though they arc
not common among prudent and intelligent NOR
chants. But though bills of exchange, which are a
mercantile invention, are generally SAFE yet mer-
chants would prefer safer medium, if they could