Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1842-12-22
REMARKS Of SIR EDausDs, Of Ha,;tar on the Small

REMARKS of SIR. EpMusDs, Of HaiiGar, on The Small
MITE BM. In the H. IF Delegates, Saturday, Dec
IL, 1S42.
Mn EDMuNDS Of Halifax, regretted to differ with
his friends from Prince Edward and franklin, on The
subject of Small Note issues; and lie sorry 10 hear
reflections OF pariizan character in connection with
the currency. He thought all questions Of currency
should be kept apart from political considerations and
discussed their separate merits. lie knew, from the
manifestations already given in the House. that his OPP
position 10 a renewal of the authority was bootesabut
believing large notes essential TO healthy reform OF
the currency, he looked with great repugnance upon
ne issue OF snail notes; and, however unavang, he
must protest agains, them. The bill pressed in
most unusual and remarkable manner: it reported
from the Committee yesterday morning, had been read
the first time, and the proposition was now made 10
pass through late Saturday evening" contrary TO all
safe rules of legislation, when there pressing
necessity. Berg taken entirely By surprise, his re-
marks needs be unconnected. The statement, that
the circulation of small notes prohibited amongst pri
vaie citizens after the st Of January next and that they
must of necessity return for redemption TO the banks
is incorrect. The law prohibits a Reissue from the
banks, but allows them to circulate amongst citizens,
long the holders choose to pass them There vas
no penalty their circulation and if they returned 10
The banks to be cashed they would in pursuance
of the iars ofrade, not Of the Legislature When no
longer required for the purposes CT change they would
cease TO circulate. If there more out than
needed Tor commerce, there would be no upon
the banks.
this debasng OF the currency, and he regarded this
period especially fortunate to effect reform. lie
feared there would never be end TO the particular
crisis and the peculiar circumstances that called for
issues. There had been continuous crisis Tor nearly
six years and there great 10 apprehend that
small note issues would become the settled polcy OF
the State The Legislature should review its course
and lis Inconsistency The question, and should learn
that no Laws and human enactmenis can force into
circ ulaton more bank (n times of specie pay
nfal he
mercial operations of the country require But for the
respect he had for the friends of the BILL he would say
no effort could be characterized by greater stupidity
and folly He felt much sympathy for the dstresses
of the country any gentleman; but this Legislature
has no possible 10 relieve them So far from II,
he found The Treasury not only empty, but indebted
more than four hundred thousand dollars and, instead
Of relieving the people, this House is compelled 10 resor,
TO increased taxation TO sustain the credit and The
honor Of the State For he was assured, there was
not single member Of tina, body, who contemplated
leaving the State in condition To create The slightest
suspicion Of the determination 10 pay all lis dues pune
tually. No gentleman could tolerate suggestion that
would tarnIs the high character o! the Old Domin ION
Then they cannot look for relief through Treasury
Can they from The banks, by forcing greater crcu.
la,ion tie country by means of small notes? They
certainly cannot However much gentlemen may be
surprized 10 learn the fact the circulation Of the banks
is even now too great. Their notes pass out of the
State in the of trade, and constantly returned
upon them by brokers, for the small premium in dier
of exchange The circulation is loo large for the
business transactions of the State, within IT'S borders
and, like all other commodities, their notes seek an
other market. They have become regular article Of
merchandise through the brokers, and the banks will
be forced continue their cual to keep the currency
in sound state 1t should be borne in mind, also,
that there had been repeated failures IN Tie wheat crop,
and total failure in the tobacco crop, the present year
falling off in The productions imports Of the
try, must necessarily cause diminished cnculuon-
A large and good crop, wonld support and require
larger circulation, than small and inferior crop. 10
other words, money is needed 10 trade fora large
crop, than small These truths self evident
and, il is equally clear If the banks could susain
their circulation with the last tobacco crop, they can
not with tine crop now coming into market You can
then relieve the people by forcing large number
Of small notes upon the country for equal or greater
sum in large notes. will be returned on the banks
through brokers and the only choice will be be
tween an equal of currency, in large or small
notes He surprzed that gentlemen should hesi
tate on this statement Of the There was no fear
that the small notes would be presented IN such num-
bers, to endanger The continuance Of specie pay
ments The Banks have greatly increased their
| amount of specie, and could permanently continue
specie payments by prudent management Isey
have specie enough TO sustain any amount OF CIR
culalon, that the business of the State and mar
ketable productions will sustain; and no increase
of banking capital, and legislative enactments,
and no conlrvance such as this, permanently in
crease that quanum. The brokers indicate the excess
Of circulation certainly the thermometer does the
state of the weather. and they correct this excess by
dealing in bank notes as merchant does IN merchan'
die.
There another serious objection to the passage Of
this bill, which should not be overlooked. Bank notes
and specie will not circulate together. IT s most de-
monstrabe TRUTH theoretically, that the clrcua
ton will displace the precious metals-yet modern
nancers conrovert and derde this abstraction OF
political economists There is no fact better established
in the civil or parliamentary history Of Great Britain