Nashville union and American. [volume] (Nashville, Tenn.) 1853-1862, 1858-02-25
A SENATORTAL ARGUNTFYT.

quantity Of corn that had been stored the OVerSeer
again produced the vertabe notch sticks to show that
he had plenty. Odd your notch sticks said
Mr.. R., sshoW me the cornl" We were forcibly
impressed with the good sense Of this last remark
while listening to the recent speech Of SenatOrin
favor Of the bill proposing to increase the capital Of
the Bank Of Tennessee. This gentleman is the
special friend Of that institution, and seemed to be
aut0Tatigsiy posted upon all the points According
to our recollection he said: The Bank of Tennessee
since its organization has made profit Of about
So ,OOO, 600 for the peOple-it has made from to
Is per cent annually-had paid the interest on the
State debt and paid alarge sum into the Treasury"
As matter Of course the Senator kew what he was
talking about, and spoke from the book; and yet
there are incredulous persons who really think it
good joke, and recurring to the language Of Mr..
RANDOLPH say, Odd your notch sticks, ShOW Us
kEs eorn Such inoredulous fellows will never be
convinced until they see the S3OO0,0OO, or can at
least be informed what has gone with it.
The Senator expressed much surprise that other
Senators should believe that the issuance Of million
and quarter Of bonds, to create bank at Memphis
and one at Knoxville would increase the indebted
ness of the State; for said he 81 aPPrised that
within brief time we can convert them into eastern
exchange to that amount, which, being turned into
gold the banks can issue Of their notes three four
to oHsy So that instead Of increasing the debt and
impoysrishiDg the State, viii be actually enrich
ing the people by bringing more money into circula
ton" Ths1rGs an argument Senatorial argument!
twasa poser, and sunk deep into the visibility ifnOt
the understanding, Of his auditors True the coun-
tenanCes Of several Senators indicated perpleXed
minds as if unable to reach the hight Of so stupen-
dous q conception! We suppose theyhsd not been
much about the Bank to get information, aud were
not fsmIiarised with the progressive system of
banks and banking. One thought occurred to us
if the Bank can so easily convert their proposed
bonds into exchange, may she not as easily convert
she 500, 900 of bonds which she already has, and
thereby enable herself at once 20 resumed Or is it
the fact that continued issuance Of bonds lessons
the supply and increases their value3 This is
system Of bank logic in which we are not sehoOled,
but trust to be enlightened.
We farther learned fromthe speech Ofthe Senator,
what we had often suspected, but had not positively
known before that banks were created for only tU0
case, Of individuals-commereial men, and stock
and produce spectators This excludes the me-
chanic, the farmer and, in a word the entire labor
ing and producing community. We shall not con-
tr5vert this point with the Senator, but We must
contend that if banks are intended for only two
classes Of individuals, and they comparatively the
least important that these two classes the ones
90 whom the Legislature should look for capital to
bank upon; and not TO the entire people Of the
state. For instance, the yeomsnry Of tie inte-
ri5r counties, should not be taxed with the issu-
suoe Of bonds for the commercial and speculative
el sses Of Shelby, Davidson, and Knox. and yet
this is the character of legislation, by which the
amfable and talented Senator proposed to ere
lieysthe people!" Such position argues whether
the Senator so intended it or nOt-that the people
are dolts subject to be imposed upon by the widest
vagaries, and the most barefsoed absurities We
trus. the gentleman may live to discover his mis-
lake.
Ecclesiastes has said 60 He that increaseth knoWl-
edge, iucreaseth sorrow" Having great faith in
TIE words Of the preacher, We trust that friend
viii make no farther effort to pile up knowledge
upon banking lest he prematurely bring himself
with sorrow to the grave. He has found out that
the bank has made 50 900 900 for the State, thereby
correcting the error Of Col JoHNsoE, the President
who said. after an intimate acquaintance Of two
years with the bank, that the funds Of the State,
composing the capital of that institution would be
more wisely and judiciously disPoseior if invested
in bonds bearing an interest of six per cent, and
that in the opinion Of the Board Of Directors, 10 was
.sEu important matter to avoid the danger, seriously
apprebended by many, Of su6jectng the citizens to
taxation for the payment Of the debts, created for
the establishment Of the bank, which would be the
case in the event Of any serious disaster happening
50 it, before the expiration Of It's charter
The oher discovery, that the issuance Of million
and d quarter Of bonds bearing an interest Of six
per cent per annum, will not increase the indebted
ness OF the State, is equally important one for
il follows then, as matter of course, that the ST.,
100000 hich has already been issued for the bank,
and which will fall due on the 18th day Of May,
1855. is not really debt Of the State. More bank
logic. When Cosr Johnson made his proposition in
Congress. that the general government should as
sumo the debts Of the States, he was approached by
, member Of the Indiana Legislature, who said,
Sir. ] have a better plan than yours You
see our bonds are selling at low rate let
us issue new ones and bay in the old bonds
Al half price" Then, said JOHNSON, how will
Won take un the ast5 issue when they are due.t'
ooh. said The Hoosier, eve viii rPro5ate ms7.'
Il NAV be that the Senator has discovered some
.ousIIv wis, plan. 60 raise money by the issu-
snce Of BOMBS aud yet have ne increase Of debt
If so. the Legislature must feel relieved when his
r1aD is understood as they need not make any pro-
vision for The million due in ten years from May
next.
His lsst discovery, that banks are only intended
f,- tvo classes. commercial men and traders is in
val win u
one that hath shall be given, and he shall have
abundance: Laf from him that hath not shall De Ia
ken away that which he hath" II ameehanIe wants
70 borrow money to give him little start IN ousl-
ness, or carEr. him to purchase materials to com
plete job BE-. can't have 1t. II a farmer desires
70 make an addition to his land or the number OF
his hands. trusting 20 pay for them by the fruits OF
his industry, and asks small accommodation Of the
bank for present purposes, he is to be tola tha'
banks chartered under BILL entitled, "a bill Tor the
relief Of the people" and based upon the credit OF
the State, were not intended for him. This may be
90 Il may be I'D policy to create institutions that
will invite farmers and mechanics to contract debts,
looking to the ever uncertain future for the means
OF paving them and thus become involved in the
pernieious system Of false and fraudulent credits
which now curse the country. buju banks are not
for the uses Of the laborng and producing clssses
the farmer and mechanic then do nOttaE the farmer
and mechanic to create them under the deceptive I.
cant Of go bill for the benefit Of the people" II |
banks are necessary for the commercial and sPecu-
latiug classes let those interests be taxed for them
and let the Legislature see that the indsOTimnats
public vino are required to take their Issues OF Gre
ait, are Prstec-sd GgsisFt less.