The American. [volume] (Washington [D.C.]) 1857-1857, 1857-12-16

rous assaults on the basis Of our fabric it long
endure Eeto perpetua dies on our lips when re-
viewing the past and beholding the present.
7H FALSE ISSUES.
TO tae Editor ofthe american:
Whatever may be the disposition Of others,
am not willing for one, that even the President Of
the United States, and Secretary the Treasury,
should be permitted, without contradiction, to
palm upon the country, hllicies and errors, for
truths and facts. The present sham-dcmocratic
party is Justly responsible and should be held to
strict account, for the financial endorsements
which afflict and Cypress the country. These
dignitaries above named, and their followers nclu.
ding the presses, in the pay Of the administration
are making desperate effort to hold the banking
try answerable for the present financial revulsion
when this revulsion is but the natural and legti-
mate resultof the policy and measures Of the sham
democratic party.
Twenty years ago. when a somewhat similar
financial revulsion occurred, the then Van Buren,
leaders and advocates swore by all the saints in
political calendar that the Bank of the United
States had made all the mischief and that the
country would certainly flourish under the CON
troll of the State Banks which were brought into
existence under the auspices Of the great demo-
cratic party. Subsequently,, when the rottenness
of the "pet bank system" had been exposed, the
sub-treasnry was announced as panacea for all
the financial ills which afflicted the country and
the nation was assured upon the authority of DEM
ocratic siatesmen(!) that the sub-treasury could
and voald prevent over issues by the State Banks
Now we are glavely informed by the shining
lights Of the present "alien-suffrage and squatter
sovereignty" democrats, that the statesmen of ear
lier periods, some of whom supposed that the "pet
banks" could regulate the currency, and others Of
whom, at a later date, maintained that the sub
treasury could do it most thoroughly and effectua
y, were simply ninnies and that in truth the gene
raj government is powerless to affect the currency
question or in the words of the President shut
the federal government cannot do much to provide
against occurrences of existing evils"
Sir, the General Government can do much-aye,
it can do all that is necessary to be DONE to pre-
vent ga recurrence of existing evils" There is no
power elsewhere than in the General Government
to prevent a recurrence Of existing evils" The
several States are powerless, even under any com.
binstons which they would be allowed to form for
this purpose. ~ ~
No banking system worthy of the name can be
established and continued ~ operation, unless
there shall be retained and kept in the country the
proper and indispensable substratum of specie, for
the system to rest upon. Gold and silver, sufH
cient at all tiues, to supply this substratum must
remain in the country. This position is undenia
BILE.
Now, Secretary Cobb, after expanding columns
of eulogy upon the workings of the sub.treasury,
suggests that II the States would each adopt sub
treasury system, there would remain plenty Of
specie in the country. He says:
"The collection and disbursement in specie, OF
both the revenues of the General and State Gov
einments, would constitute such demand for
specie, at all times, as to require its retention in
the country"
This was the main argument in favor of the sub
treasury of 1916, and its lacy is beautifully ex.
posed in the fact that the Government being now
completely drained Of specie, calls on Congress to
let the Treasury issue hottest
The Sccretary's arguments on this point If ar.
grments they can be called, are scarcely worthy
of the brain Of an OYSTER As TO the sub-treasury
IL has not, It is true, overwhelmed the Government
in endorsements, and wby' Because the dis
covery Of immense mines Of gold in California saved
IL from disaster and disgrace. Strike California
out of existence, under our present tariff, and the
sub-treasury system would be smashed into atoms
in n single year.
But it was not my purpose TO quarrel with the
subtreasury nor Is it my purpose now or hereafter
to propose or TO advocate National Bank as
remedy for our troubles.
There is no banking scheme that can be devised,
either National or State, no matter how sound may
be lie principles nor how honest the purposes Of
lis managers, that can remedy the financial evils
which have come upon us. Whilst this nation
yearly ships off Of from forty to sirty millions Of
specie to Europe to pay for articles Which can Be
procured at home sohiia this or any other com
msrcial nation, permits the course of trade con-
tinualiy to withdra1 It's gold and siiver from il,
no banking system that pas sver yet devised can
stand
Congresshas the power, and the States have moi
the power to regulate our foreign trade and in so
doing, to encourage or to discourage the export,.
ton of specie. Selfprotcction Is our first duty
and that party or administration which disregards
this duty, and fails to perform It. is unworthy o.
the confidence of the people.
| The States surrendered to Congress all contro
over the questions of revenue and imposts. The
Federal Government has the unquestioned consti
tutioual power to countervail the tariff schemes o