The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1846-04-11


cent farmers Loan, 4; Morris Canal, /; Canton, Il
Reading Railroad Norwich and Worcester, ! Har.
lem, Long Island !. At the second board very little
was DONE and no change in prices
Among the resolutions adopted by the Baltimore Con-
vention, was one in favor OF the subtreasury. The
President has considered them a. indicating the policy
by which his administration should be governed and
far has carried out their spirit far and fast AZ prac
cable. The Executive has been consistent advo-
cate Of the Independent reasur he has heretofore
tanned it by his vote; and have every to be-
lieve that the BILL In whatever shape may pass both
houses Of Congress- will receive his support and sigma
ture. That II will become law before the adjournment
ofhepresent Congress. have not the slightest doub
and that its operation viii agreeaby dsappoint its most
bitter opponents, We fully believe. The organs Of the
whlg party, and the organs Of the Wall street banks
dsnouncs the bill bug bear, and attempt to disguise
their feelings under apparent indifference to il adop
ton. Some Of them assert that tho it goes into
operation and the restricted its provisions the bet
ter, AZ there will be probability Of immediate
repeal; while some others attsmptto show that It will
have very little influence upon financial mercial
matters, and that our commercial system will expe
risncs NO material alteration. We agree per-
fsctly with the latter view Of the measure'
The sub-trsssury will tend moro to preserve the
healthy condition Of trade and commerce, than
to bring about any rsvulsion revolutions in
credits, any thing else It win sustain those banks
which conducted upon proper principles and destroy
thousands Of petty instutions the existence Of which
depends upon the extent Of their circulation It will
give those banks having circulation regulated upon
specie basis the monopoly Of the banking business of
tho country but it win compel to maintain sound
basis a. they have, the slightest deviation from that
standard will inevitably embarTass them. The estab
lhbmsnt Of the subtrsasury guarantees the psrfsoti
Of banking system superior to any we have yet had
will Limit the sssues Of the banks to the amount of
specie they may have hand while the extent Of nd
vidual credits with these institutions will only limited
By the business 1t may seem safe to carry on.
The issues of the banks Of this city, and the
amount Of specie they from time to tune have in
their vaults, small per cent Of the amount Of bust
mess carried in this city. Capital for business pur
poss does not entirely consist Of specie bank pro-
misses to pay The credits of banks compared with
individual credits, very limited If the business Of
this any other city in the Union waacon6nsd to the
limit Of bank credit, II would not be fractional
part Of what H. The extent and profits Of trade do
not aessfore depend much upon the amount of mo-
ney, the Representative Of money that may be from
time to time In existence upon the value Of the cir
cuiating medium.
The business Of this any other commercial country
win always regulate itself by the currsncy;t matters
very little far facilities fo carrying on commercial
pursuits what may be the volume Of the currency
long has for liz basis the precious metals. a. there
will be adopted some convenient repre- sentative o.
these metals to facilitate transportation and for daily
for the purposes Of e Whenever the issues Of bank
only ,spxessnt specie hand the vsus that insti
tuticn dollar for dollar, there be danger Of
unsafe expansions, fluctuations in value volume
Of the currency. This basis want and nothing will
bring things down to this basis but subtrsasury,
curing the payments int, and the disbursements FROM
the government treasury in gold and silver. The most
important feature in the operation Of that law would BE-
the check it would continually have upon the
msnts Of the banks II may be argued that the banks
are conducted upon sound principles that their issues
limited and upon good basis; and that restr;c
TONS further than those the Legislatures from time to
time place upon them, and their charters require,
necessary but ii becomes merely necessary to look
back few years. aud review the banking history Of this
country, to answer these arguments.
Within the past fifteen years, have had three re-
vulsions in our commercial snairs any one Of which
can be traced directly from the movements Of the banks
The revolutions which have been experienced in credits
the immense nhatons and the sudden and tremendous
coutractons which have swept the commercial classes
ont Of existence, almost without moments notice,
with all their debts upon their heads have been pro-
ducsd entirely by ths same competition and the same
spirit between the banks which manifested this
moment The rivalry for business. the little regard
paid to limiting Credits the impetus given to spscula'
ton at the Of the last expansion led to
its incresss until the very institutions which the
cause, found themselves beyond their death, and
dragged al those with whom they were connected
down with them. The banks heretofore, have had NO
restrictions and they have now than they had
6itscn years ago. when the expansion which led to the
rsvrsions of 1887 and ls4i, commenced.
Recent returns received from all the banks in the
Union, show that steady expansion II gong Oman
expansion fer beyond the Legitimate wants Of businesr
n connection with the increased facilities the banks
weekly furnishing for promoting speculation the
legislature of nearly every State in the Union, an
nually grant charters to dozens of banks, and
liberty to galvanixs those which have been for years
defupct The number of banks IT, therefore, constantly
iucreasng and the operations Of those in existence
becoming nors extended. A very few years would
SUFFICE this rats, to bring about imitation Of ndi
vdua and corporation Credits which would lead to an
extension Of business beyond sale and legitimate limits
and ultimately TO another rsvusion, similar TO that we
have been long recos ering FROM
This country is At this moment in highly prosperous
dition; staple products command remunsrsting
prices every species Of industry 10 thriving, and
blessed with an abundance Of all the neceares of life
The currency is much valuable than IT has
been within the history Of numerous banking ys
credits established upon proper basis, and
all the ramHcations Of trade and commerce work to
charm. IT, therefore, highly necessary that this state
Of things should be that there shoul be some
power strong enough sustain the present prosperity
and healthy condition Of the country cannot sustain
setbe disposition paramount in all classes II to 20
ahead without the necessary regard for the result to
insure success The only regulator in which We have
unlimited confidence is the subrsssury, and there 10
very little doubt bot that the conservative influence Of
the srecis provi sions Of that law, win be sucisntto
exert wholesome checks in commercial progress,