Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1857-10-23

the latitude allowed the Banks of different States, II
the exten of their discounts and Issues, proportion
ately to their substantial and commandable capital
AS all branches of business more or lees depend
ent each upon the other it must be with the Banks
the indscreton misfortune OF one is calculated in
some degree TO affect others. But the great cause ID
oVerrsdlng and specuatoDs and the enormous losses
OF those engaged in them. Indebtedness has been in
Cured for what has proved 20 have been ex-
orbltantly over-yaued. The Western land specu.
latlons have bursted like bubbles And many
OF those who bought up lands are now pay
ing the penalty by failure. But land specu-
!alons are not the only cause Of the pressure. The
abundant crops high price of produce and general
prosperity of the country engendered extravaganza,
and disposition more or less the part of those in
every avocation of lfe to do business on large SCALE
to enlarge their trade and extend their investments.
CONFIDENCE was strong and credit without limit. And
hence againare present troubles attributable pre-
Vous prosperity Iii, not that the country suffering
from loss Of any portion Of its capital, diminu
ton or obstruction of lis resources, but that in over
reaching ITSELF the commercial world has failed to real
ize that addition to its wealth. which it endeGvored to
accomplish And, therefore, the crisis cannot last long.
The same substantial basis of operations upon which
was built the slender superstructure now topping
down. still remains There is abundance of capital
in the country but account Of the dsordered state
of affairs it is not Immediately available. The credit
system has exhausted itself The time has come for
converting obligations into hard money, and with it
the crisi, has come also.
The suspension of the banks has led to vast deal
of discussion relative to their defects 1t is held that
the present banking system is inadequate to the ne
ces.ities of commerce. Reforms and improvements
suggested and diversity of views expressed on
the subject.
The fact that the banks have been obliged to sus
pend specie payment under existing circumstances,
is no more evidence, that In their organization and
operation they radically wrong, than the sinking
of ship in storm is proof of the mperfectons Of
the art of navigation. We do not deny, that the
present banking system s incapable Of Improvement.
And az calamtes accidents, and all other extraordi
nary occurrences pecally when they
tes.a almost always lead to additional discoveries,
and improvements, whether in laying the Atlantic
telegraph, or constructing sewing machine or in
any other instance pertinent to any art or science,
We trust that the bank suspensions in this and
other States will. also suggest safeguards, in ad'
dition to those they have now. But material
modification of the present system OF banking,
should be decided on only after the most minute in.
vesigaton and analysis of all the causes that operate
upon it, and careful comparison and estimation OF
eve ything connected with IT, In the remotest degree
The currency of country will not admit Of hasty e.
gislation, without serious injury And if any altera.
tion or amendment to be made, it should be with
all the deberation due to SO grave subject
Otherwise, temporary Inconvenience may be rene.
died only by incalcuable evils.