Weekly national intelligencer. [volume] (Washington [D.C.]) 1841-1869, 1847-07-17

sentative Of the metallic standard but they all concur in did
grees and modes differing from each other which it would u
difficult to define, and which appear escape all precI
analysis, in circulating the immense transactions Of coloss
commercial body"
Lord AsHBURToN thus adverts to the connexion be.wee
the bank and the Government in the effects produced on Ii
currency by the periodical accommodation afforded the latte
1T easy theory to say that the Bank should look
ise without caring for the Excheque but the business
lhe Exchequer the business of ALL and if cared
sure DO what you may to bring all other interests I'M
conusioh' has uncertain wants and uncertain income
foresight can preserve from accident An Irish famine ca
upon one year. alngoi of another and whei
is to look for assistance but the bank For these
which new loans without bank assistance cannot NEE
and this assistance the bank bound keep itself in cor
dtion to give. II is for this that il has great n,iyeoe m
we have made such bargain with the bank that cannc
afford TO perform its proper functions which do not believe
those conditions should be relaxed.
:" 1t be admitted that these duties towards the Gov
eminent become serious and uncertain in extent or
the modern practice of yearly throwing over our sources q
revenue and trusting accident whether our balances is on
of deficiency surplus; this SYSTEM which have alway
humby opposed, shall day bitterly repent Il i'm
poses upon this year the scandal Of large loan in time
profound peace If for every adverse accident we are to Dor
row, and every recurring period of prosperity to throw
over of paying, the end Of such course cann
be doublfu the precise period of fate alone be VI
certain But this is subject, however Important which
I,
exempily the necessity Government under of having
bank which rely for occasional assistance under tho
various difficulties in which it may be placed.
Ihere can be to distrust the integrity and hon
est intentions OF the directors of the bank OF this car
speak from personal experience body of men stand more
clear from obbng of any kind they may misled by false
theories but the public have this security for their conduct
that though undoubtedly bound fairly attend the interest
OF their propretors those propetors and they he directors
themselves being for the part merchants of emnence
have Far greater interest in the general webeng of he
trading world than they possibly have in any increase oil
dividend from their small stake in bank stock"
The aacous theories of the political economists are thus
described and ridiculed
IAN adverse state of foreign exchanges from whatever
cause arslng and whether temporary otherwise be
corrected by making money scarce and thereby lowering the
value OF all merchandise, until by the depreciation market
forced Tor abroad DO these comprehend the losses
occasloned by this depreciation Of all property when the screw
applied to correct every occasional uctuaton of the ex
changes And, moreover how useessy these sacrifices are
increased in like the present. when the difficulty 10 be
guarded against is not real but the result of ancu scale of
paper and bullion, which magnes dangers while there is
larger portion OF treasure in the bank than the average many
OF supposed abundance trade to be so govern
ed and liable to these capnces is it much to say that the
advantages OF paper circulation overbaanced by its in
and dangers The character of the late demand
upon US for gold must also be considered 1t was for food
suddenly wanted If those wants continue must have the
supply stave, whatever may be the our paper cir
cuahon and how il be supposed that you can suddenly
create by cheapness markets for goods rather of luxury
than of necessity, creation which all practical men know to
be work of time, and therefore wholly unfit as remedy for
immediate emergency If food from America be further
required by another failing harvest pay for it as well
as our means and credit will permit but it would be idle to
suppose that we can at create corresponding market for
our own goods and that the people abroad will two coats
and two shirts because we wish to sell them. 1t would be
perfect suicide to determine by law that this irresistible de-
mand should come upon further lower the trea
sure Of the bank the trade OF the country to be
further turn OF the screw until the Of the bank re-
1uced within the arbitrary limits of the of ls44 Il must
always be kept in mind that given of reduction of
notes may require greatly increased reduction of
iaon of ade and that after ALL the bank might be exposed
even with its minimum Of out should the exhaustion
mise from necessity pay for ood-a necessity which ad
nis of no compromise"
Upon the actual position and stability of the Bank Of Eng
and his lordship says
"The truth is that there ground for any apprehen-
sion the in the bank abundant there is no
son why should not proceed with caution and prudence to
assist the ordinary legitimate trade that trade has shown it.
self deserving of that support and proved itself be in sound
state by standing firm during the heavy raised BY mis-
AIKEN theory The drain Of gold is partial and one coun-
Try, and is not likely go further unless under second vs
alton OF famine and should be punished by such fur
her calamity, shall best do duty by fostering and pro-
noting our domestic industry, which alone enable Us to
meet it. Lastly with Gl0 000 900 their Golfers the bank
directors safe as any bank directors were but il
must be admitted that the great bugbea the of s44
enough TO fnghten less timd men, and from this the Lee
'satue, if 1t be wise, will hasten to relieve them"
We regret that we have space for further extracts from
he remainder of the pamphlet, which devoted to the con-
liberation of how far the late railway mania and the excessive
Investments Of capital in railway undertakings have contrbu
ed to the present embarrassments Lord Ashburon uneuu
locally condemns the extravaganza and the absence of all re-
ulatng in railway projects and the extracts we have
ven sufficiently illustrate the scope and tenor of his lord
hips opinions upon the absorbing question of the state of the
aoney market.