Democratic standard. [volume] (Georgetown, Brown County, Ohio) 1837-1850, 1842-08-09
From the Albany Argus,
ASSUMPTION.

The Courier and Enqirer revivss the
proposition for an assumption by the
General Government Of the debts Of the
states, and the N. Y Herald publishes an
extract from late English paper, avowing
on behalf of the foreign capitalists, de-
Termination not to embark in American
stocks, unless some such measure OF Sc.
curity shall be afforded them for past, and
now un productive issues.
We have never doubted that some such
scheme would be among the "whig prin-
ciples" of the approaching campaign, aud
that It would be found inscribed, in some
form, on Mr.. Clay's s'banner. II is IN
deed, asPresented by Gov, Pope, Of KY,
only an extension or elaboration OF the
principle of tlirtTibulion; aud is Of itself
an apt illustration ofthe extent TO which
that leading measure of Federalism nat
orally tends Il will be urged ,!of course
with all the strength ofiDterest, and all
the potency ofa threatened objufgatiOn
Of our stock issues, from the other side
of the water; and local interests and the
wants of The states, in some instances,
will bring TO the foreign effects auxIarles
Of considerable strength. But we have
not seen that doctrine at once pernt.
cious and unjust, if not unconstitutional
and obviously SO to the mos. obtnse in
Iellect, will be sanctioned by the Amfri.,
can people or yentured upon by their
representatives.
The Herald meets the prepostiouawlh
all the force of suund reasoning and un-
doubted facts. Il says:-
"Asa financial measure the PROPOSE
tion, 10 which we alluded yesterday, that
OF issuing 4 per cent. stock on the ba
sis Of The public lands--if VIC admH, for
the moment, that the public lands will
meet the proposed debts one Of pecu-
liar absurdity. In relation to debts, the
states may be divided into three classes,
viz: those without debts, those whose
debts are amply provided for, aud those
which are bankrupt. In regard TO the
first class, Of what possible utility will a
four Der cen, stock be to them2 If any
share or the public lands belong to them
ihey should have it, without any condi-
tions PAID over in cash. They cannot be
Obliged 10 lend it at four per cent. II
they are entitled to certain amount OF
money, as part of the proceeds Of the
public lands, why not pay il over wltheul
calling il advidend on a four per cen
.stockg What necessity islhere for colE-
plicatine the matter by substiiutnl .
stock lor the Iands9 flisplatn, nosound
, reason can be given The object of SUBJ
stitu,inu The stock is TO cheat the uIlin-
deb,ed states. The share Of he proceeds
Of The lands coming lolhc insolveni states.
Is a mere nothing. If a stock is created
+ on The pre,ence ofpayng the interest by
the lands, and then i the proceeds OF
those lands ale found to be insufficient.
the balance must be made up by taxation.
The states whose debts are good are
similarly situated. because theIr stock
beipg good, and drawing FIVE and SIX per
cent. interest; The holders will not be SO
abused as to exchange them for a four
per cent stock. They will, therefore.
have an increased debt forced upon them
against their wishes.
aFor instance the state Of New York
has a debt OF $22 ,OOO, 900, Of Eve and
~ per cent stock, and the security is IN
6niteIy better than would be goveFn'
ment stock Of the description proposed
Tie holders of the New York stock
would therefore be no better than luna
tics TO exchange them for United states
four per cent stock. The State oil New
York has decided TO c,eate no more STOCK
debts, but by the operation OF this scheme
she would have forced upon her S TO-.
600 900 of national stock, for which
her citizens waeld be taxed near $5OU,''
600 per annOm. Ilihis government stock
Il applied 20 the redemption OF the state
debt, no diminutionof taxation will have
been brought about, beceuse the redemp
iion must Be in the relative valnesof the
stock, and The amount actually realized
from The public lands will 30 the onIl
benefit derived 10 The ciiizens1a bsneh
thsi viii be mora than counieFbalence'