The southern press., 1851-03-31
...embly = colIcct from deticisot rsyenus, .


disordered currency, ruined credit, perishing
commerce, and depressed agriculture, the ele-
mcnts Of national prosperity.
The policy adopted by this Congress was ma
tured In two committees, OF one OF which, Mr..
Lowndes wxs chairman while the other was pre-
sided over by Mr.. Calhoun. The policy shows
| the evidence of concert and it was nanlfustly
projected, upon u wide and comprehensive sur
vey OF the wants of the country, and the cohdi-
| ton Of its citizens The currency consisted OF
the notes Of State banks, issued during the war
for the stocks of the United st tes. These
stocks were inconvertble, and added but little
TO the available resources of the banks Manu-
featuring establishments had grown up during
the war, to supply an extraordinary demand, and
were now threatened with destruction by the
relaxation which peace produced. The policy
adopted was designed to effect, without a CON
vusion, transition, from the stimulated and
unnatural excitement of war, to the heaithful
conditions ofpeace. A large sinking fund, and
certain supplies for the payment OF the interest
on the public debt, restored the national credit
A gradual reduction of taxes, duties and ex,
penses, afforded an ample protection to the manu-
tacturers, from too sudden change IN the laws
and policy ofthc government A national bank
| paying specie, accredited rs depository OF the
PuOtC tONcuucS, uilu autHV- AHeN W NS|' 1850 ~
State banks on terms of fearbearance, extrcated
the country from the diseased condition Of its
currency, without the explosion which an instant
demand Of specie would have occasioned. These
measures, assisted by the energies and industry
Of the people, soon overcame the disasters and
embarrassments produced by the war;
| They provoked much criticism at q later Pc
Rod, as they were construed to embody change
in the principles and policy of the dominant
party in the government. Their defence isfound
in the fact, that all the measures were advances
to better system, and to an administration more
conforrnable to the constitutional model. The
| government was then in close connection with
| incorporated banks, and had stimulated, by pro-
tective duties, domestic manufactures. The
acts of 1915 were measures to diminish these
relations, and fitted the country for their com
plete termnaton The policy then adopted an
swered temporary object; to effect an easy
transition, without shock to public credit, or a
i convusion in the affairs of private individuals.
| Mr.. Calhoun, in 1884, in an ameliOrated condl-
ton of the country, proposed an extension OF
the bank charter, with the same design Of bripg-
ing the country gently to the point of final sep
aration between the government and banks
He displayed, at that time, the principles which
directed the statesman of 1916 :" What then,
he asks, sis the disease which affects the system
| What the remedy, and the means of applying it ?
| What ! have already stated, points the disease.
| 1t consists in the great and growing dispropor-
ton between the metallic and paper circulation
| of tho country, effected through the instrument
tality of the banks. A dsproportion, daily and
hourly increasing, under the impulse of the most
powerful causes, which are rapidly accelerating
the country to that state of convulsion and revo-
luton which have indicated. The remedy is
to arrest its future progress, and to diminish the
existing disproportion, To increase the metals,
and to diminish the paper-advancing till the
currency shall be restored to sound, safe, and
settled condition"
| He then enquiries for the remedy. lie says,
I" after full survey Of the subject, | see none.
| can conjecture no means of extricating the
country from the present niger, and to arrest
| its further increase, but bank-the agency OF
which, in some form, or under some authority,
is Indispensable The country has been brought
into the present distressed state Of currency by
banks, and must be extricated by their agency
| We must, in a word, use bank to unbank the
banks, to the extent that may be necessary to
restore safe stable currency-just as we ap-
ply snow to frozen limb, in order to restore
vitality and circulation, or hold up burn to the
flame to extract inflammation. All must see
that it is impossible to suppress the banking
system at once. 1t must continue for a time
| TO suppress them at once would, if it were pos
sible, work greater revolution, a greater change
| in the relative condition of the various classes,
than would the conquest of the country by a
savage enemy. What must be done | an
swer, new and safe system must gradually
grow up under, and replace the old Initiating,
| in this respect, the beautiful process We some
times see of a wounded or diseased part, in a
living organic body, gradually superseded by
the healing process Of nature" We shall here
after see to what extent the criticisms we have
alluded to, were justified.
Mr.. Calhoun perceived that his position had
assumed new Importance, by the overweening
pride of his adversaries. The peculiar, and dis
puted opinions of South Carolina lost their PROM
nence in that mighty contest. The dignity,
power and pre-emineuce of the States; the
cause of Unconstitutional government, and regula-
| ted liberty, against turbulent Democracy, or a
military despotism, formed the question in issue.
| In the debates which arose, he vindicates, with
passionate and fial ZEAL the fathers of the re-
public, against the madness, folly, and blindness
of confding to any agencies such absolutsm
over the liberties and lives of the people, as a
power to adopt such measure implied He de-
velopes, with mastery skill, the theory of our
republican system; so guarded, in every part,
against irresponsible power; so vigant in its
care over popular liberty; so miodfu of the
dignity Of the States; so jealous of centrasm,
and terminating so completely in the supremacy
and sovereignty of the people of the several
States, its creators, and in whom il lives moves,
and holds its being. He crushes under the
weight Of close, cogent, irresistible argument,
and vehement and overpowering nvective, the
coarse and manlevoent tyranny of the force bill.
Thousands, under whose dspleasure Mr.. Cal
houn had entered the Senate, fastened now their
hopes upon him, as the defender of the Consti-
tuition. The measures of the federal govern
ment were regarded with just apprehension, as a
subversion of its relations to the States; as an
overturn of the fcderative plan of the fathers of
the republic, to react in its stead consolidated
empire. The legislation of Congress contained
rcbelous principles against the legitimate supre.
macy of the States a rebellion of the creature,
against the creator A profane denial of the
source of its life and being. For when we ex-
| amino tho grounds Of the naughty pre- eminencp