Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1842-02-26

,.,,.,sg :. n,Y. III 1e i,,ai.nsd ~ us eoisr''.-
- H.. Etsbcaaf ri,i 10 :l.s tGSa.a3 1sfihs 's's
great s'i
Ant there Is another feature u this sys,cm by which
tbt eychanncs will be perfectly accommodated which is
the power 10 scll and Collect exchange lie commit
,a have heretofore adscded to this ard on this whclc
,;c, have consulted some OF the abiest, most pract
al md .ynetiepced men, and their own views are full
-, ,"., n,s hv The information derived from such high
sources They cannot IN any way SO wen Illustrate
Ibis branch of it, and its beneficial effects On the SOUND
tcge.her with other advantages, as hy briefly
employing the following ''e"' "'" 10 '''''
Ia them.
4 l;ll Irown by one agency on another, in any re-
n ,,,,t al the United States, will nc az rood Is .pc
Gle within the commercial sphere ot me cMP'lu'ii
whore The agency located at which payment Is 10 be
,,.Io aud NAV generally he negotiated above par 10y
u.s., boiler within that sphere, and at rate in son.
measure nrourtioned to his distance from lis CONNER
cc,,rc IL for instance, merchant IN Cincinnati
wishes to remit money 10 manufacturer In Cohhecli
cut bill drawn by the agency IN Ilncinna'l, wneie
the .eposc Is made on the agency IN New loIS,
wond lie worth half per cent more than specie to the
payec. .;u $780,, ~ -, 80.
Exchanges through the agencies WI meet all the eN
;ranc;es If lie markets 1t not unhequently happens
thot New Orleans is indebted TO Ohio for agricultural
nroduc,s Ohio tn New York for manufactured goods
domestic or imported; ana NC" Ok 70 Ne" organs
f,r cotton. Every wenformcl merchant in those
several sections will be advised Of the state OF the mar
hi. A New Orleans merchant wishes to remit 10
Ohio He ,eposies his Specie IN the agency al New
Orleans and Gets the same Office 10 accept his own
bill of exchange for 3 0OO payable to TIC orG,r OF u
Ohio correspondent, and transmits II accordingly. us
will be above par in the Ohio market, because II Is
rood remittance for New York, where bills on New
Orleans command premium. Its DO ght by an Ohio
merchant who RENTS il 10 New York IN payment Tor
Goods and from New York it is sent 10 New ORLEANS
to nav for cotton. Upon lis arrival Is presented 10
the agency where it was accepted, ana me specie i
r,aly for its redemption. The holder, however, not
wiling to I've burlencd with the specie, will generally
urettr lie s;ecc Of the agency thus this 81 300
in s,cce, after paying small premium at The agency
will have raid than its amount in t"o remote mar
kes sent IL safe and convenient currency CT u 0Uo
into the channels OF commerce and Is SUI al rest sus
tanning this amount Of circulation.
The use Of bills Of exchange will not be superseded
by the specie notes Of the ESchcqucr. The former have
always been preferred and extensively used under
the Two National Banks, when their paper, IN sonn'
credit had every advantage which This "" possess Of hc
inr made such substitute This proof fom experience
is conclusive One ground of preference, which las
always been appreciated here and in Europe i, that
hills Of Exchange are safe than bank notes. as they
offer no temptation 10 robbery or cm5ezz!emcn ard as
several may be sent Of the tenor and date by dit
ferent conyryances lin which case no loss Will be sus-
tanned if any one arrives in safcy the risk mas easily
be reduced almost 10 an mpossby The perfect chlrac-
dit uiI generally give them preference over others
rEey will ncsc. be protested for want Of funds at any
office where they are yahlc. No embarrassment can
result from the necessity Of transmitting specie rom Of
fee to .llice The occasions very rare (and II tbs
system were in operation they would he stu more rarel
in which specie needs to be removed; as loT almost every
uurrosc GOOD paper preferred The paper OF one Office
would generally be good specie in mos! lhcrs II
eIosie were made in New York 10 meet draft on The
office in New Orleans this latter office would prefer the
~ York paper 10 coin in the common state Of exchange
When the system has been some time IN operation, sIe,
Gle will have found lis proper places OF rrposr and
movements Of would seldom be required. Should an
apprehension be entertained tina, the retirement .; specie
into the agencies would rmbarass The banks It VII pc
dssipatc hy little reflection UPON the operations arrady
deserted Those officers bourd T. deliver, at tie
time o cpcsc amount in paper equal to The amount
received in specie hat paper will take The place Of nc
spccc which il cprt SCENTS AID tie portion " Will
hr dcpo tied by merchants and her, who keep their
count; in hanking institutions Of the specie for which
il i, a substitute n il will be 4 light AMI convenient
circulation " II ning IL more with the paper oil banks
Of sound credit iii common commercial OF ratons, a;
consequently be more frequently used III m,knI pay-
ment, upon discounted and other Indebtedness 10
noneyel institutions than specie now Is. When pos
scsscd nv bank ii has all the value Of specie II means
are wanted for dcposc III agency tins paper WI! be
received of bank Tor that purpose as readily os specie
Should gold and silver b. wanted for expectation, or
anv ohcr extraordinary demand, the bank which pos
scsses this paper has the certain means o. converting
il al pleasure into Tie article required Every bill
Of exchange payable al these offices will, al It's
maturity reslo.c TO circulation, either III specie or
this sound paper the amount deposited for It's pro-
curemtnt. lndoc il is difficult 10 foster doubt that
in regard TO the means of rode'nlnr Their own ems
sions the banks will possess ample resources than
a, present II is true that the channels OF commerce
will lie partially filled with medium OF sound and nm
perishabc credit which will stand the shock OF every
possible vcisude except the snbversion otthe Govern
meni But this will promote the strength OF the banking
institutions 10 less than the stability of the currency
From the establishment of national corporation with
large specie capital, the banks were appreheGsve OF
sustaining injury by the great and sudden withdraw
ment of the precious metals from their possession. But
the agencies produce no such embarrassment Tor
their progress will be TOO gradual 10 cause any convul-
SION and the immediate restoration to the market OF
medium of equal amount and value with that which is
withdrawn 3lll enable those institutions al any time
10 command the specie which they require. As Just
pricc 10 lie paid for exchanges 1t is believed that all
the expenses of conducting the business of The EXchc
quer and It's agencies will he betrayed fom bat source
and probably a much larger may he realized. The
losses Of the by fire, shipwrcck, and other
casualties as shown in the experience OF banks,
would not be an iEconsiderabe item OF gam. small
premium, say half quarter of one rer cent, might
reasonably he exaccd OF depostors If hereafter deemed
necessary upon notes issued in exchange for specie
While til, system will furnish the desired means FIR
the collecting, sae-keeping and disbursement Of the
public revenue and al the requisite facilities for eY-
changes bcween different sections of the country, as
well as create sound and convenient currency il is ex
cmpt from the Objectionable features of other modes Of
eectng IN part or in whole. the Objects hereto
fore presented for consideration It authorizes banks
or other corporations discounts no lending credit
in form whatever expansion OF the currency by
public drafts otherwise, paper money resting on
the crei, OF tie Government and depending OF accru-
ING revenues fr redrmplion 1t conters extent Of
Executive patronage influence. no officer can be cl
Their appointed removed by the Presijcn, whon'
the concur nee Of The Senate and only for certain sr
CITED causes. Il cnn,ers no discreet onary POWERS BY
which pataIities may be INDUCED in behalf OF crso
nal or political favcrilr Whoever presents his specie
notes or bills Of exchange at maturity is entitled 10 his
specie and whoever presents his specie entitled to the
PAPER which he selrcs The rights Of every applicant
defined by law, and his Transactions ii lie accncy
are OF The simplest charac The laws OF trade, and
not any experimenting boar or public agent decide the
amount Of icpcsles, hills # exchange and paper cur
rcncy. The wants and means o. individuals comlo'
ing tic community viii best regulate The proportions Of
paper and specie. the absence OF all artificial restraint
anil supervision Of the govcrrent Another important
consideration which the committee wouli add 10 these
views is, that whilst the operations OF the Exchc9uor
would tend TO promote The real interests of the sound
all ~ into