Fayetteville observer. [volume] (Fayetteville, Tenn.) 1850-1966, 1858-09-09
WHOLE No. sss.

the sources of ruinous spceulations,
and destroy all confidence between
man and man. To cut up this evil
I by the roots, a mischief which was
felt through the United States, and
which deeply afflicted the interests
and prosperity Of all, tie people de-
lclred in their Constitution that no
State seould emit bills of credit.
If the prohibition means anything,
IF the words are not empty sounds, it
must comprehend tbe emission Of any
paper medium by a State Govern
ment for the purpose of common cir
eulation. See Peters Reports. uoL
4, PIP 431-2-3-4.
/ Judge Story, (Mr. j. continued. J
whose authority, in the estimation
of the opponents of this bill, is
second only to that of Chief Justice
Marshall, says:
1T would seem to be Obvious, that
as the States are expressly prohib-
tied from coming money. The prohib-
tied would be Wholly Intellectual if
they might create paper currency.
and circulate it as money.''-&0ry's
Commentaries on the Constitution
abridged editjon-Pegs 493.
| And again:
''At the time of the adoption Of
the Constitution, bills of credit were
universally understood to signify z
paper medium intended to circulate
between individuals, and between
Government and individuals for the
ordinary purposes of society. Such
a medium has always been liable tc
considerable Auctuatiou. Its value
is continually changing; aud these
changes often greatand sudden, expose
individuals to immense losses, are the
sources Of speculations, and destroy
all proper confidence betEeenulanand
man. I'M no country more than our own
had these truths been felt in all
their force. In bone had more in
tense suffering. or more widespread
ruin accompanied the system. 1t
was therefore the object Of the pro-
hibition to cut up the whole mischief
by the root, because i. bad been
deeply felt throughout all the State,
and had deeply affected the pros
perity Of ali. The object Of the
prohibition was not to prohibit the
thing when it bore a particular
name, but to prohibit the thing
whatever form or name it might as
sumo. If THB WORDS ARE NOT MERE
LY EMPTY SOUNDS, the prohibition must
comprehend the emission of ANYPA-
PER MEDIUM by . State Govern
Iment for the purposes of common
circulation. 1t would be preposter-
Gus to suppose, that the Constitution
meant solemuly to prohibit an Is
sue under one denomination, leaving
the power complete toissue the thing
under another. 1t can never be
seriously contended, that the CoDsti-
tuition meant to prohibit names, and
not things; to deal with shadows, and
to leave substances.-B 494.
! / will also read from a letter ed
dressed by Daniel Webster to Bar
ings, Brothers & Co, bankers in Eng
land. dated London, October 16,
1889;
"The term bill Of credit is familiar
in our political history, and its mean
/ ing well ascertsined and settled, not
only by that history, but by judicial
interpretations and decisions from the
highest source. For the purpose Of
this opinion, it may be sufficient
to say that bills of credit, the sub
lject of prohibition of the Constitution
OF the United States, were essential
Ily paper money. They we're paper
issues, intended for circulation, and
for receipt into the Treasury as cash,
and were sometimes made a tender
in payment Of debts To put an
end at once, and forever, to evils of
this sort, and to dangers from this
source, the Constitution of the Uni
ted States has declared that mo State
shall emit bills Of credit, nor max g
anything but gold aud silver tender
in payment of debts, nor pass any
law which shall impair the obliga-
ton of contracts !"
To Be Concluded merit week.