Indiana State sentinel. [volume] (Indianapolis) 1841-1853, 1843-07-18

Currency ian IsuenOs Ayrcs and Monte


BY the following letter the gradual decline Of Bucnos
Ayres Is presented IN most striking light, oonse
quence Of the asoondancy Of paper currency. Con-
trasied with the fourishing condition If MOnicyidcO
under Gold and Silver currency the facts eced cam
fail TO strike the Of every rejecting mind
These TWO cities separated only by river The one
period Of eniy 1--WE wears has been reduced pow
ery and periodically involved Ia anarchy by the National
Bank established there; while tie Other by simple
adherence the only u,i and honest standard Of value
a specie currency, has prospcred the highest degree
Inhsbited by people Of the SANE original habits, and
speaking the language The differences which exist
have been produced by paper money gambling
"The Bank Of Bucno> Apres established hy tie
General Congress of the United Provinces Of Ia Plata
the Argentine Republic usually called. during
the session which began m May. le22 ri that period
the country waleed by the River Of Plate was M con
duon of prosperity than At any period since tic
evolution Of 1910 by which the Independence of these
vast and productive regions upon the Spanish monarch
severed.
Upon the establishment Of this bank pr, Of tho
machinery Of Government. It's Paper currency mad"
a lawful tender for debts MIL tie declaration Of
by Brazil, IN December ls2o the Bank continued
deem MS paper circulation with specie soon afterwards
doubloons the vnlue of SO each bank paper
and IN the Of they up 10 SO each.
The market price of doubloons continued 10 range lac
50 and 60 dollars each until peace with Brazil took
place. ia August los The value of paper
then improved litle-dcubloons could be purchased II
$40 each.
Soon afterwards the civil war fDmcnicd D, General
Lavelc. broke out, when doubloons went mp 10 500
each In short time they advanced to SI20. n whch
rate. estimated IN the currency Of the Bank. they
iinued with little huciuaiion until the blockade ct the
port of Buenos ANres, by the French. ISIS when
they 10 $50.
From the period when the bank went into operation
real estate oi description as constantly declined IA
value if measured by the universal standard gold and
silver There house. store loi Of land the
the of Buenos ANrcs which can be sold for onohalf
the price could have brought IN -,2 Every kind 81
business has been literally ruined and there cannot Toe
doubt the mind Of of intelligence who d,
acquainted with the ict bat all the troubles Which have
been visited upon thai unfortunate cis have arisen from
the Bank. Being controlled by the Government paper
currency has been ISSUED cary wars, revolutions.
and other political schemcsmost of which could never
have been prosecuted. bat tor tins rag y ilis
a lawful lender each ndI,idual compelled
take II rs nominal value. discharge OF ohligaiiurs
Of every description Most of the merchants. Ne.
those who had entirely zurich 3 themselves by merriam
zeal pursuits. have been Tuind by i- bank, md tie
whole country nearly M the condition.
On the opposite SIDE Of the liver. and short distance
below Buenos Asre>. Mou;csideo. They the iwo
principal ports OF the Of Plate and since the srpa
ration from Spain. have ALWAYS been under distinct Go
vernmeuis. The Banda o.i,ut.l. or the Republic If
Uruguay II - called. oi which Mnnicsidco = th"
capital. has established bank " y jlare 81
very extensive aud furnishing commerce There
barrier, every thing beng bought aud sold for cash aud
business transacted without difficulty gold and silver
currency. Every description 81 real estate has i~cn
value there SINCE l-2I. more Than iOo per cent The an
Of buildings both az the city Of Monie idco aud
H. vicinity. very great Houses gong up every
direction IA the ciiv anil Suburbs labor high and
ever, kind Of bsn,>s hr,k, and tins j. q country where
4 a bank has never cNi>i,d.
" do not believe that there place an tie world
- here mechanical and every other kInd 81 labor
so great remuneration al Mori's ideo. Though
It seems 20 be tie oriuon 81 some that cau
flourish without banl-ilaf mechanics aud al labor ~
men must be ~lavrs where there nothing ti specie.
currcncs-N onictiieo certainly exception wif il
has come under r, os"r, lion The contrast hciv.,
,s condition. aud thar or rival Bucnos Ayrcs. ir
other side ct The river. furnishes 20 my miud powerful
or preirng -pccIc currency. which cannot CO.
Ia be understood y every acquainted with these "
cities