The daily union. [volume] (Washington [D.C.]) 1845-1857, 1846-04-03

| at least One-thITd. There was no system which
either party ever proposed, which does not contem.
plate two sets of ofieers-collecting officers and
disbursing officers. Neither United States
Bank, or local State banks can dispense
with them. Now this bill proposes simply
| 10 retain these two classes Of officers, and "a
dispense with the agency Of banks and ia so doing
we avoid the risk Of the losses have heretofore in
CURED by banks, and TO that extent diminish the
peril to which the public revenue ID exposed. Mr.
| ID. produced statistics TO show the losses which
have been incurred by banks at different times, and
by dispensing with their agency he said, we would
at least avoid similar peril for the future. From
report made on the llth February, l84l, from the
Secretary of the Treasury, it appeared that the
losses which the government has at various time
suffered from connexion with banks were estimated
| 10 amount 10 the enormous sum OF SIS 492, 900
report made TO tho House Of Representatives
April 80, 1880, believed TO have been by Mr. Nc
DUfFiE, estimates the aggregate losses from the re
ceipt Of bank paper which occurred prior to 1917
at S34 100000. And In the report Of the Secretly
Of the Treasury to which he had Just alluded, Oh,
total loss from 1880 the people 1.-THE other il
relation 10 the government itself) from the existenc
Of banks, and the use Of bank paper, is estimated
S365 497, IL that had been the loss 10 the PEG
pls frpu me use Of different paper and they eonl,
show that by total dlsconnexion with the bank,
We should at least improve their condition, while q
saved the people from this peril, that Of itself would
|
should endeayor 10 show when he came TO tina
branch Of the subject relating TO tho medium IN
which the revenue should be collected.
| But II there were no constitutional objection the
principle that the public revenue can be used for
purposes oftrade, even il there were no objections
on the score Of inequality and favoritism is wholly
inad mssi BILE. The effect Of alton in any form
10 take so much from the industry Of the people IN
be consumed by the government; and II II is TO be
| employed for consumption, and not for reprodue-
ton, it is wise to allow the finances Of the govern
ment 10 be used capital in trade it would be for
| an individual 10 take 500 which he knew he must
expcnd, and consider II so much capital invested.
The effect was whenever your bank proceeds to trade
upon so much of the revenue Of the government a.
1t is allowed TO use as It's capltal-whenever it be.
comes necessary to withdraw It, or transfer il from
that point TO another to the extent upon which trade
rests upon that basis you withdraw the basis, and
II topples down, and its influence is felt not only by
those Immediately concerned, but to a large extent
| by other trade and business connected with il.
But he had not time to elaborate this principle fur
Their.
He next proceeded to the provision Of the bill
which proposed TO return TO the constitutional
slandard-to the collection Of the revenue of the
government in gold and silver-of which his wor-
thy friend Mr.. DAVIS complained in such dolorous
terms, az calculated TO produce shock, ruin, and
revusion, and TO drain the thirty millions Of dollars
out Of the banks oil at once. He would endeavor
to show, first, that the collection Of the in
gold and silver strictly enjoned by the constitu-
ton, and that cannot depart fro m il without vo-
latng that instrument; and next, that II would pro-
dnce no such deleterous consequences his honor
able friend intimaed. Among the powers conferred
| by the constitution upon Congress is the power "to
coin money regulate the value thereof and Of for
eign CON- and FIX the standard OF weights and meas
ures" He called particular attention TO the fact OF
the enumeration and classification Of the power "tO
| and repuate the yalue thereof witt
the power to "hx the standard of weights and
measures" showing that it considered ne
cessary to regulate the standard of value oil
weights and measures, and that il was designed, too
that they should be uniform throughout the Union.
+ The only money power given by the constitution
to Congress is to coin money and regulate the value
thereof, and Of foreign com. That, takea in con
ne&ion with a prohibition Of the constitution, and
with the history Of the formation Of the constitution
shows, as nearly moral and political truth
rive at mathematical certainty, that the trainers 81
! the constitution intended, far as the government
is concerned, totally and absolutely to exclude every
species Of paper currency. The provision he allu-
ded TO that which prohibits any State from ma
king any thing but gold and silver coin tender in
payment Of debts" and forbids them "emit bills
of credit" And the federal government was equally
prohibited from issuing bills ofcredit for the failure to
enumerate powers to be conferred upon the general
government, is absolute prohibition an ex.
press prohibition against the States, because all the
powers vested in Congress are enumerated But 10
make the matter more clear, and to put it beyond
doubt he begged leave to refer briefly TO the debates
which took place upon this feature of the constitu
ton. The constitution as originally proposed, az
ter the power to borrow money, was drawn up SC
as to give Congress also the power to emit bills up
on the credit Of the United States, and the debate
upon this subject would show that all those who
either advocated the striking out that proposition OF
retaining il, went the ground that the retaining
-
ment to issue paper currency, and the striking II
out was understood to be an absolute prohibition oil
IA paper currency.
i [Mr. d. read from the debates in the convention
to establish this point.
Thus he had endeavored to show that thu consti-
tuition did not permit the government to acknowl.
edge or to use any other medium than gold and sill
yer, and that it the intention Of the trainers OF
the constitution totally to exclude paper currency
from the federal government.
But it was said that this system was war upon
banks. So far from its being war upon banks. il
was an Of non intervention, act of neutrality
When you select deposite banks by selecting one
set and making them favorites, by giving them the
advantage of the public funds, you in fact make
war upon others who have not this advantage. Blu
the patronage Of federal officers-what was it &c
compare with the officers who would be under thu
influence of this league Of State banks and whose
selection would be made by the heads of thes,
! OuHhS, aS uey "c Wy WercHouts, poti
clans, and specuators' The small patronage with
which you cannot dispense) in the appointment o.
receivers and dsbursng officers sinks almost into
insignfcance in comparison with this vast nfuenc,
of State institutions their officers amounting tc
i thousands Of individuals.
The idea that there s not specie enough to carry
on the transactions Of the government withou
breaking the banks, and producing disaster and ru
in in the country, was most remarkable one. HI
had great respect for the opinion Of his worthy
friend from Kentucky, (Mr. DAvrs,] but he woult
pardon him, and he hoped he should not be accused
Of being British in feeling, ant-American in feel
ing, if he put the opinion Of Sir Robert Peel in OPP
position to the gentleman's opinion. Sir Rober
Peel, who had fully examined the subject--as, nc
doubt, the gentleman had-in a speech in Parlia
ment, in 1874, expressed his belief that there il
gold enough, exclusive of silver, to carry on the
whole commercial business of the world. TIL,
amount Of specie in the world is estimated to b,
a. 500 600 900, and in the United States more thar
500 100000. He had the time but to glance at the
fact Of this small comparative portion in the Uni
ted States, and to state that it in great
ure from the prevalence OF inferior currency. Tit
amount Of specie was now increasing in this coun
| -. @, e.. 4. clr ~ 1870 M Gatl,tin