Lewistown gazette. [volume] (Lewistown, Pa.) 1843-1944, 1852-05-07
Veto Message.

together with others, providing for the estab-
lishment of sundry new banks, to be located
as follows, to wit: one at Pittsburg, with a
capital of $4,000 another at Allentown.
Lehigh comfy, with capital of Sl50OO0
another at Erie, with capital of Sl5O.O0O
another at Carlisle, with capital of $780,
900, another at New Castle Lawrence coun-
ty; with a capital of 100000, another at
Tamaqua, Schuylkill county, with Il capital
Of SlOO, ,O0O another at Mauch Chunk, Car
bon county, with n capital of SI00 900
another at PhonixVille, Chester county, with
a capital of 5000, 600, another at Monongahe-
la city, Washington county, with capital of
SlOO,O00 also, another, to add $50 600 to
the capital stock of the Southwark Bank, in
the county of Philadelphia
Since the General Assembly has thus indi-
Gated to me their views on the subject of in
creasing the banking capital of the State, |
have given the question, IN all its bearings,
my most anxious consideration-have con
tcmplated the probable effects of this pro-
posed measure upon the interests Of the whole
people of the State-upon the laborer, me-
chanIc, farmer, merchant and manufacturer,
and bringing to the aid of my Judgment, the
lights furnished by the past experience of the
country, | have arrived at the conclusion that
it is my solemn duty, however unpleasant, to
differ with you on this subject. To dissent
from the wishes Of the Representatives of the
people, on question of public policy, is pain
tul to me in the extreme, but to shrink from
the responsibility Of performing a conscious
duty, would be cowardly and criminal.
in returning SO large number Of the bank
bills, without lny sanction, for the re-consid
Grafton Of the General Assembly. l deem it
right that | should present my reasons for so
doing SO at length, III one message. and have
reference to this as applicable to these meas
ures severally.
On assuming the duties Of the Executive
Office, l distinctly announced 'that, in my
opinion, no pretext can Justify the creation
Of 4 superabundant amount of paper money,
and that it was with painful alarm | have
witnessed growing disposition in the entire
country to increase the use Of this medium on
a small specie basis, regardless of the ineyi-
table effects Of the large accessions of coin
which California Is furnishing to this country
and to the world. Every people should have
a circulating medium as a matter of convent
ence, and should have whatever amount the
transaction Of wholesome business affairs may
demand; but unfortunately we are two un-
willing to stop ut the proper point in the ere
alton of this medium. That as coin becomes
abundant it should suppant and render un-
necessary the use of paper, is to my mind,
the plainest teaching Of common sense. Such
practical effect is demanded by the true inte
rests Of the people,
The sentiments thus announced, ] have
long entertained, and their correctness is the
more confirmed by every days experience
and reflection. | should, by asserting to
these bills, agree practically to reverse this
doctrine and maintain that as coin becomes
,cl,, 10
creased. This position would be SO manifest
ly unsound that arguments not necessary to
rcfute it.
The proposed new banks would add to the
present banking capital 81, $50 coo, or over
ten per cent on the active capital now in use,
and thus swell the present amount Of our pa
per circulation to the extent Of four or five
millions.
Whilst | am not prepared to say, that at
the proper time, bank might not be useful,
if properly managed, at some Of the points
named, l have had no difficulty whatever in
satisfying my mind that there is at this time,
TO real necessity for such an extensive in
crease of paper money, nor that If such IN
crease were permitted the effect would be
prejudicial to the true interests Of the mass Of
the people, and that it would exercise de-
moralizing influence upon the business affairs
of the State The immediate effect would be,
| have no doubt, to cnchance the nominal
prices Of all kinds OF goods and property, by
the depreciation of bank paper, stimulating
thereby Il spirit Of wild and fanciful specula-
ton, begetting prodigality and idleness, the
legitimate fruits of an inflated currency. All
violent movements on this subject are unwise
and especially injurious to the unwary citi-
zen Experience has demonstrated that all
pt m
per currency, exercise preiudicial influence
on the real prosperity of the country. Such
sudden commissions, it is true, are sometimes
turned to the advantage of the shrewd capi-
talist, but the unsuspecting farmer or me-
chanic, enticed from his safe pursuit by the
fair promises Of the expansion, is crushed In
his new experiment, by the violence of the
contraction.
If it be true that experience teaches Wis
dom"-and none will doubt this-the people
of Pennsylvania should be wise on this sub
iect, and a mere reference to that experiment,
it seems TO me, should be sufficient to awaken
them to the danger Of the measure III ques-
ton.
The consequences of a similar policy, adopt
cd in 1914, regardless Of the admonitions Of
the sagacious and patriotic Snyder, are still
remembered by some who participated IN the
scenes of those days, and are known to all OF
us as dark page in the history of the State.
Let no man fatter himself with the belief
that the same cause will not produce the same
effect in the future that it has done in the
past. The country, it is true, is now inhabi-
ted by new generation, but the nature OF
man has undergone no change since the days
of Snyder-his impulses and objects are the
same, and thelaws of trade remain unaltered;
and, assurcdly, if we rush into the errors OF
that day. we may justly anticipate a similar
retribution. Nor is this the only Pracacai
demonstration of the danger Of the proposed
policy, to be found in our history. no does