Carroll free press. [volume] (Carrollton [Ohio]) 1834-1861, 1842-12-23
From The United States GaaeLte.
HON, JOHN NJ CLAYTON AND THE
UNITED STATES BANK,

nv EdlfOT-n has often been a source
OF regret to me, that there was 10 com
petent reporter at a late meeting in Del
aware to report a speech which | heard
delivered by Mr.. Clayton. 1t was an
excellent speech in every sense of the
word, full Of instruction on great points
Of national interest, and teeming with
eXpositlons OF subjects upon which the
American people cannot be too well,in
formed. The National Bank was one
OF these subjects; ard nothing could be
more striking and impressive than his
history Of the downfall of the United
States Bank and of the unfortunate in
stitution which succeed it, the United
States Bank Of Pennsylvania. His ac'
count OF the latter institution removed
some OF the errors Of belief, perhaps some
Of the bitter prejudices, OF many Of his
auditors. and did justice TO a distinguish.
ed citizen whom it is now the fashion
TO stigmatize as the author Of the banks
yum allude, Of course, to Mr.. Nicho
las Biddle,
Al the period. said Mr.. Clayton, when
President Jackson declared war upon
the National Bank, no one could be so
ignorant as not to know that the People
Of the United States possessed the best
and most uniform currency IN the world ;
it is scarcely 10 be believed that human
ingenuity could have devised a better
one. We had a paper currency fully Q,
quail to a specie one, becauSe it always
commanded specie; and such a currency
the best political economists, with CON.
mon experience TO back them, tell us is
q better currency than specie, because
it has zone OF the Inconvenience Of the
latter; and the rate OF exchange between
the remotest points Of the vast territory
Of the United States was actually less
than that OF the great cities Of France
between Paris AID Bordeaux, for exam
pie. 1t was under such circumstances,
that General Jackson, falling into q per
sonal quarrel with Mr.. Biddle, the cause
Of which is we'll known, (Mr. BiddIe re-
fused to remove Mr.. Mason from the
presidency OF the N. Hampshire Branch
OF the United States bank at the bidding
OF the old Roman) astonished the world
by making war upon the bank itself, de-
cIaring that it had failed TO effect the
purpose ior which il was created-thal
is, the furnishing a good currency and
an adequate rate Of the exchanges TO
the country; and insisting that this OBJ,
jet would be better effected by State
Banks. This was the point, the great
point, on which the whole war turned
Mr.IBlddle with nearly the whole Amer.
ican People, at that time, agreeing with
HIM arguing that no currency could be
safe unless controlled by the General
Government, and lha; the destruction Of
the National bank must be followed bv
a great increase of State Banks; which.
left TO themselves, uncontrolled by q Ma.
tIonal Bank, must speedily destroy them,
selves and the whole currency of the
country; while the jackson Administra.
tion on the contrary insisted that the
State banks offered a sufficient and safer
means Of accomplishing all tho purposes
Of a National Bank. 1t was under Pres.
ident Jackson's auspices--under his di
rect advice and exhortations 10 the States
TO charter new banks, and the Banks
themselves TO increase their business,
throwing off all the trammels OF, and
all respect Cor, the United States Bank,
Ego back to the Jackson official aper,
the Globe Of 1883, where this r%uinous
course is so strongly urged, and the tim.
i'd are encouraged by the declaration
that Soho, Indiana, Illinois. Missouri &
Kentucky are resolved 10 take care of
themselves, and no longer depend on
the kind guardianship Of BiddIe, Clay
d co. that the number Of State banks
and branches arose from $50 TO 1923, IA
afterwards TO a much greater number,)
and their circulation from sixty one mil.
lions to one hundred and forty millions
of dollars The consequence of this
was, as had been predicted, suspension
bankruptcy ruin. And who was
the cause of thisi-Mr. BiddIe or Pres
ident } ackson2
The conversion Of the United States
Bank, after the expiration of its charter
from a National Back to a State Bank,
Mr.. Clayton had himself always disap.
proved Of and lamented. But was Mr..
Blddle the cause Of It's ruin? The radi-
cal evil was, that, as a State Bank, its
capital was too vast to find employment
Legitimate banking employment no
commercial business, and, accordingly
il was induced-ot rather compeIIed-to
invest its means in State stocks; and of
course it lost, like other purchasers.
uhan thasa atooks fall n,L; -.