The spirit of the age. [volume] (Woodstock, Vt.) 1840-1844, 1842-10-14
SOITII CAROLINA.

With the existence Of the BANK Of the State of
South Carolina the whole capital OF which Is own
cd bv the State, many Of the most intelligent cltl-
zcns of South Carolina are highly dissatisfied. One
of these, .Nr w. l.. johnson, Of Camden, has
published very spirited letter, copy of which
we have met with in the South Car9itntiA. In
it he declares that the capital Of the diIlcrcn, banks
in the State amounts TO fourteen millions, of which
four millions are all that can be employed 10 adj
vantage. AS a man of good sense, he abhors the
whole system Of paper money banking, but while
il lasts, wishes it conducted in the way IN which
it will innic the least evil the community. lie
therefore argues in favor Of conducting The banks
On commercial principles that is TO say, combining
their credit operations TO the discounllns oi bust
ness notes of short dates. And, what TO some may
appear paradOXical, he contends that those who
ret such notes discounted, instead Of receiving Il
favor, are comforting an obligation on the banks -
This, however, is strictly true, for by the time the
bank notes issued in exchange for such paper, fin
ish their round of circulation, the means for re-
dcening them are furnished to the bank by the
merchant, who has had the business paper discoun-
ted.
We extract few of Mr. JOhnson's remarks:
My meaning s,simply his-,hat the great source
Of profits TO our banks is the loans of their credits
that these credits performing the functions OF cur
rency, (or money! are limited by the demand for
currency; that healthy demand has no necessary
relation TO the amount of capital held 6yhe JaaES,
and would be the same, whether The bdHhS held
four or fourteen millions; provided the same az.
grcgatc of capital existed in the country. There
fore, MS tine positive income from the source in
dictated would be the same, and the expense OF
administering four greatly below that of fourteen
millions it follows, that not only the rate oil dl'l-
dcnds, but the positive amount of clear gains,
(rom loans oc credts) would be greater. Ny
otjcci however, il not so much 10 increase bank
profits, as TO diminish baHh pOwcr."
Ever since my attention was called 10 the sys-
tenn have regarded it as originating in false views
of finance and economy, dccci,ing the people vilh
n national but TOO deluslvc show Of profits and ad-
Vantage
.Ihe Banks Estate as well as Private have
reduced the whole country into false position -
Let nc,c terms be given on all bank debis-ihe
mos, liberal thai may be necessary and proper
Let every man who is no, altogether beyond hope,
be put upon his legs once more-glvc Them Il new
point Of departure"
"Now in conclusion a word 10 all the ndepen-
dent planters and farmers everywherc-ihe cause
i. YOURS and truths Upon your substance, upon
the honest fruits of Your labor and ycur land-thc
6enefciaries Of the paper system, in all lis aia-
ted forms, gorge and grow, "gettins increase OF
appetite by what they feed on ever CRYING with the
daughters of the horse-leech, "glve, give Awake
A feeble hand has iouctod the spring -wIre Of the
TOCSlN, and (if the press is not already subsi-
died and muzzled,) its revcrbaratng tones may
vet he heard, from east to west, from The noun
ians 10 the great sea- causing Il mighty shaking
of the dry bones Of the valley"
Mr. Johnson il. or was lately. bank director
and the owner Of five hundred shares OF stock N
one bank. Our bank friends in this part Of The
country, must not, therefore, mistake his remhiks
for those of some "poor pennyless locoinco."
~ Y. Nor. Post.