Daily Richmond Whig. [volume] (Richmond, Va.) 1840-1842, 1842-01-15
REMARKS or MIR. RIvEs.
On the motion TO refer the Reporter the Secretary
OF the Treasury, containing the plan OF an Tx
chequcs Board, to a Sc'ec, Committee.
In U. S. SENATE, DrcrMprn %, Isl.


Mr.. RlVES said he had no wish to participate
~ the present discussion, which seemed TO him 10, III
irregular and premature, and certainly should no.
have done So, but foe the absence OF his Honorable,
friend from New Gosk, (Mr Tallm,jse) who had
made the motion which has given rise to this :
pected discussion, and who had been compelled 10y
indsposiion. to withdraw from the Chamber. On
behalfo OF that friend, and in represent
ins him, II he might presume 10 say so, from the
intimate personal relations which had so long sub
sisted between them. he fit himself called on, by
the unexpected range which the di,cussion hnd
taken. TO make n few observations. His honorable
Itrcnd, IN submitting the motion refer the report
of the Secretary of the Treasury select commit
tee had expressly stated that he deemed all remarks
on the merits Of the particular plan proposed by
the Secretary, "a at that time out Of place, the
p'pcr WAS To 90 into the hands of a committee bv
which It's shape might bc materially changed, and
the scheme he thereby freed from tj,ctions which
| 4 was now liable. And Vet the honorable Senator
from Pennsylvania, (Alr BGchanan) has THOUGHT il
worth has while IN the very inception OF this pro-
cess OF inquiry and celebration, 10 pronounce an
elaborate argument against tho plan proposed TO lie
lTcieIrcd, IN the very shape in which IL now stands
even TO It's nlinu,cst details; and in this, he has
becr followed aod sustained by the Senator from
/ South Carolina, (Mr Cahounl Admiring as
always do, said Nr Rivcs, the display of ingenuity
aud ability which both OF these distinguished Sena
tors have made on this occasion, yet cannot but
think that they might have sp,rcd themselves good
deal OF trouble, aud not 4 liilc critui,ous denun-
cation II they had been content To await the action
oil the committee and see ~ what shape the measure
will then I've presented for their consideration Sure
am, that noihn: will ever he presented TO them
with the concurrence OF my honorable friend frogl
New York. which shall be Justly obnoxious tn the
Remuneration Of beng Il g'eG. GGrernm.1i Bank
II docs seem TO ne, them with all reference To the
honorable Senators, that Z would have been better
IN every respect, both It regards economy oftimc
oni yet more, that temper Of slbTeiy and cnncIa-
ton which is necessary the success of le,iS-
liiOn unoer existing circumstances, II they could
have reserved their remarks until a de6ni,ive and
practical question shall presented them by the
report OF the committee, to winch the plan OF the
Secretary IS now proposed 10 I've referred.
MIR R'vcs said that, aliho lsh tho Senator from
South Carolina (Mr Cahounl had very warmly
expressed hs IN II, objections aiken nv
the Senator from Pcnnsy lvlnia (Nl. Buchan,nl 70
the plan o: the Secretary ct The rrclsurv he could
not but be struck wiki a temarkt IDLE ineunsruty
bctSccn the views scVeraliy expressed by those
two Seniors. The Senator from Pennsylvania. in
denounens the scheme 0S srel; Government Blnk
seemed tn Justify the imputtion OF tina, character TO
II mainly on the ground that the proposed Board Of
ENchequer was, under crt,in limitations 10 be nj
Owed 10 issue convertible paper cur ency TO n
fixed amount. But ths power Of issu. tn, Ssn,tnr
tom South Carolina has jus, 10 d us is thing en-
tirey dis:irc. tom the proper function of b,nkirs
and con.ra.ulaes himself an the country that this
PRINCIPE, first ild down by him. rs he seems 70 in.
tm,te IN the discussions Of 1887, is now acAnox,-
elctu ~ tae report OF tNc Secretary of The Irpn
surv. The prlrcunie Is no novelty 80; nor WAS /,
in 1887; tor u had certainly been announced and
ably .Ored ny one o: the most celebrated wri-
ers on Potlcll econ my IN Eng land, (Nr Ricardo
Is long ago rs 1924. his pl,n Ola Nationll Bank
Il has ever sine, Teen fructifvins the public mind
Of tina. country, and ms produced new and iuoor
ant views Of he subject Of currency amou- her
ablCs, theoretical ard practcil writers; such MS MIR
Samuel Jones LLOYD, Mr. rorrens, and Mr. Clay. =
member OF the British Parliament, who has devoted
.r,--. ~
branch Of financial science. During the t.is, ycar a
committee vas raised ny the House OF Commons.
consisting OF the then Chanceluru f the Ex,bcr,r-
Mr. Fr1nciS Sagil-. Of The pressn' Prime Minister
Sir Robert Pee, of Mr Hume. OF Mr Gonihonrn, of
Mr. HersicS, Vi Cav. Mr. Ece and dives oiiar
ending members o. Parliament, chirsed 10 ir,u;-c
INTO the oti=''s produce1 on the oircul ion OF the
ooui'ry by Tie vasicJs banking Establishments is.
suias notes payable on demand. Ii IS a renarka-
bic fac; TINT, out of the nine witnesses examined he
fore thai committee. ta!! Of then distinguished bank
ers and pact ca hn'ncicrs,J seven expressed the
strongest conviction Of the necessity and expectancy
OF eec;ua.iy separating ~ practicc IS they were
tlslinc, N theory the faculty OF issue iiom the bust
ness OF discount, or banking proper. They reason
thus; To issue paper currency IS 20 create money
which is hc rshuui prov nee OF the State or Dubic
authority, while the appropriate function OF bank
ing u 20 use or distribute money, when GRATED in
carrying on the business Of society. Thee two
functions are alleged 10 oe no, only separate and
n
compatible ~ practice. The inicres; Of the banker
IS 10 obtain the irgcs. prof: he can 10y exrena,n,
his crcu alton 10 Tie utmost limits consistent with
the proOabe security at lis loans, while the duty OF
the i'sger Is often to comoa' and resist the soici,.
uons a private gun, and - govern the amour, cC
his issues serny by the Consideration of the public
safety, and The preservation OF q sound and stnbic
currency. Fuuc'iors thus disjiuc; IN their charac.
ter and opposite IN their tendencies, il is insisted
should not lie united in the same hands but should
he kent nd F,h.
proposed by almos: all the Witnesses who were ex.
amnej before the comm tee, for efT-c.rs this SC
partition, is 10 provide for the issue of convertible
paper currency, 10y public authority, not, however
through Executive agents dependent on the Crown
but by commissioners aching under the eon;ro! of
Parliament.
| refer to these proceeding, (sliJ Mr. Rves) 10 II
lus'raie and enforce the position OF tte Senator from
South Catoiinn, 'ha,issue and binkin. are not only
parable bu, irtfinscaly distinct and 10 sbors HE
Senator from Pennsylvania that the limited power
Of issuing convertible paper currency which IS
prop1stu 20 be exercised through the Board of Ex-
chequ-r, in tic plan OF the Secretary o. tho 1feasu
~ docs rot, OF necessity, make a bank. | viii not
unccrDkc 10 saw that the iiet which i3 20 rapdIy
gaining sroInd in Enciird, from the imperfctons
anJ abuses oi the banking system as az present or
gained, that a. S eXpsdi-n To effect conpete Sc
ration belTecn tic POKER IT issue nd the business
C h1Dkir-, IS, 90 all respects. suited q the condition
and circumstances Of this country. /, las been car.
guard Of constant cOnyefIuity oftte paper ISSUED
into specie, 90 PGssia, Hc cGuoiry Wi c Of all OH
cs ln Europe, enjoys, AZ this time the best cans,.u
TED currency. How i7r q limited app cliion Of the
same pri1cpe, sn1G!hei according To the chtrac,er
OF our institutions, n sh; he yenipred upon here IS
question which, u must be admitted, nftsr the d.,
asfous experience we have recently hid Of the
dangers AID evils of the pressn, sys,em, is a: east
G lar subject for enlightened inquiry and consider
alton.
No peron Said Mr. Riv-sl can have create
horror 'han hnyc o. Government paper money,
popcfly go called, resting on no bsss bot thr gen.
era cfe1t OF tie Government, represent ng no fe1i
value, nnl issued Giib.tun - suipy the pl zoe %
bona hjc lrgiric revenue. Such a paper money.
from tbe tempting facilities wh ch attend H. rcqu,-
ios no outlay hui the " yes Of the manufacturer
and cn.ravcr 10 create j; 10 i.umi,aLle quantities
h1- nfen Justly pronounced 10 be Ga sed cin, ari
d1uecrogs cxp,d.en'." Bu, when the pircr issued
is inlds Immediately and Internationally convert.
he in'o specie az the wi.i Of ths hy.ier, md the
Government IS compelled TO provide real fIuis IN
advance % red em every dollar of it3 pipsr iaJiIi
ties II IS very dlIsfcni niiliL The Danger Of
obuse cei.es, and the national paper thus bn,tnned
e'ol confidence anl trI5. The honorable Senator
form South Carolina WIS, % the period 10 which he
has referred, n mistake NOT, Gle decided advocate
OF a Govcrtmcn' p1per currency, and Of a Govern
mcnt paper currency, too, which should bo ncon-
yeriiDc. lie then Thought iha. a convertible cur
rcncY was bungIIns coOtnyanco, behind the pro-
gfcti OF the nge, and that rn ir-OnvertiJlc r,ucr
Iel.J W tEe G19crumfnt, and ,GIIcd with c1f-
ti1 cDnytniiont qutliue9, vas tue best im1gint.
bic form oi usr'u. md convenient currency. MIR
g '0oun here sinking his head, Mr. ltyes sad h.