Mississippi Democrat. (Carrollton, Miss.) 1844-18??, 1845-01-29

VT LOOIoIANA.
When national debts have once been accumu.
lated, 10 a certain degree, there is scarce, be-
lieve, single instance OF thier having been
fairly and completely paid. The liberation of the
public revenue has always been brought ahop,
by a bankruptcy; sometimes by an avOwed one.
but always by real one, though frequently by
pretended payment.-ADAM SMITH.
The sel6shness Of men was never more
powerfully appealed to than when they
persuaded themselves that they could make
poserity pay their debts. Having once
become imbued with SO falacious notion.
it was difficult for them 10 resist the fasci.
mating scheme of plumber; and we now
borrow money, spend it, use all the COM
forts and enjoyments which it produces,
for our own benefit, and attempt 10 shuttle
of upon our children the obligation Of
paying. For this laudable purpose, we is.
sue State stocks; credit is made TO play
the part of capital; and the mass Of the
people are expected to pay what is really
only due by minority.
The subject Of paper credit has been
much treated Of, though not exhausted;
and there are many points Of view from
which the system may be examined and
as il supposes that we can really draw up
on posterily for the money we at present
require, it would be well for us to ask
whether such draft is practicable9 And
even if it were SO, whether those who sue.
coed US upon the stage of social existence
will probably submit 10 a payment of the
debt; for if the probability is against their
willingness TO pay, we are, to say the
least of it, committing gross fraud upon
the lenders of the money.
The Legislature of Louisiana issues
what is called State bond of one hundred
dollars, payable in twenty, thirty, or more.
years, after lis date, and bearing five per
cent, or more, year, interest on its face.
The bond is sold to A, who gives its mar.
ket value in money for it, which may or
may not be equal to its nominal values the
money is placed in the treasury and laid
out for such purposes as may be deemed
proper. This is the whole operation of
paper credit and stock, of funding, or what
ever else it may be called. 1t may be car
ried to any extent-to thousands, millions,
or hundreds of millions. But carry il as
you will, it is clear that not one particle
of new capital is called into existence;
certain amount is transferred from the
pocket of A, the lender, to the treasury of
the State; but the total amount of capital
remains unchanged; and though the bond
is only TO be paid after The lapse of many
years, yet if the term we're increased 10
thousand centuries, there is drawn from
the future not one thing of value, not one
barrel OF sugar, not one bale of cotton,
not one drop of human sweat, not one
stroke of human labor: and as five or six
dollars year is paid for the use, or in
terest of every hundred, the whole amount
is in twenty years or less, paid off in in.
terest alone, and then the whole OF the
principal is due besides.
There has never yet been discovered O.
mode by which individuals or States, who
have been large borrowers at interest, could
escape bankruptcy. The founder of the
science of political economy proclaimed
this 10 the world; history proves, experi-
ence now confirms it. In Louisiana, there
has been borrowed by the Legislature, &C.
cording 10 report made to that body, 23d
February, lS44, upwards of tpenty.one
millions Of dollars, for which the faith Of
the State is pledged, and the people an
nually taxed, directly and indirectly, to
pay the interest on it. AT that date the
State was already delinquent in the pay
ment Of interest about one hundred and
fifty thousand dollars, and rapidly career
ing towards insolvency. We imagine that
very few citizens have calmly considered
the immense burthen which this debt has
already, and will continue TO throw upon
their shoulders.
Ipentyone millions Of dollars, al fire
per cent year interest, causes TO be ear
tracted from the labor Of the State the year.
ly sum Of one million and fifty thousand
dollars, and this debt being all due abroad,
the payers hare not eren The poor sdtisf fac
ton Of seeing their oton tellop- citizens get
their money. A State debt, due at home,
would have the effect of enriching one
class at the expense of the body of the
people, but the capital and interest would
be used among ourselves; a debt due a
broad, like ours, is steady drain upon in
dustry without any compensation whatev-
er: for il must be remembered that what
ever other benefits are conferred upon US
by our banks, that they cannot aid us in
paying the interest on our debt. Though
WE ARE WISE ENOUGH TO treat bank notes
as money, the foreign bond holders havo
not attained the same degree of WISDOM,
and insist on being paid in commodities
which they deem actually valuable, and
they must have specie, or cotton, or some.
thing else than our ercelieat paper money.
Our remarks we know viii be read by
many, we wish they could be, by all the
farmers of this State, as il is subject in