Clarksville weekly chronicle. (Clarksville, Tenn.) 1873-1890, 1877-01-20
RESOLUTIONS OF THE MEMPHIS
CHAMBER OF COMMERCE.

At meeting, largely attended, of
the Memphis Chamber of Commerce,
held on the 9Th inst, the following
resolutions, offered by Hon. j. w.
Clapp, were read and unanimously ad-
opted:
1t being understood that an effort
will be made, during the present ses-
sion of the Legislature of the State, to
reduce the rate of interest from ten to
six per cent. per annum, the Chamber
of Commerce of the City of Memphis,
representing the commercial interests
of the city, and the agricultural inter
ests of West Tennessee, North Alaba-
ma, North Mississippi and Arkansas,
believing that any such interference
with our present interest laws would
be fraught with the most disastrous
consequences to the commercial enter
prise and general prosperity of our
State, have, as an expression of our
views, unanimously adopted the fol-
lowing resolutions:
First-That money being but one
form of property, it is as much a VIC
lation Of the right of property to fix by
law an arbitrary price upon the market
value of money as of flour, or any 9TH
er commodity or species of property.
Second-That money, like every
other commodity, depends for its value
upon the law Of supply and demand,
and its market value is more variable
than almost every other commodity,
for the reason that both risk and use
constitute sources of variation, and
there is less reason why the price of
money should be fixed by Law, than
why the price of anything else should
be fixed whose market value is regula-
ted by use or profit alone
Tbird-That the rate of interest up
on money is, of itself. no criterion of
the financial condition of a State or
community, as a high rate of interest
may indicate either increased product
iveness and prosperity, and successful
enterprise requiring large employ
ment of capital or, on the other hand,
it may indicate disordered state of
public affairs, when the risk is great
and general prosperity is on the de-
cline.
Fourth-That usury laws, or at
tempts to burthen the use and circu-
lation Of money, have always tended
to mischievous results, by giving rise
to fluctuations in its price, and instead
of protecting the borrower, it only
adds to his hurthens; since when the
market price Of money is placed be-
low its real value, 1t will cause the
conscientious, law hiding capitalist
to see X other and more profitable in
vestments than loans at home, and
will make the borrower the victim of
the money shaver, who will secure
himself against the risk OF violating
the interest laws by exacting an exor-
bitaut rate of profit from the borrower,
who is ultimately driven into bank
ruptoy and ruin, for the want of that
timely and reasonable assistance which
he could readily obtain but for the
restrictions imposed upon the use Of
capital.
Fifth-That the usury laws have by
proven themselves to be
only fruitful source of mischief, and
have been abandoned as relic of bar
harism by the most enlightened ma
tons and States of modern times, and
the most that is attempted is to fix
some legal rate Of interest which shall
govern contracts in the absence of the
express stipulations of the parties /;
and it is our conviction that the Leg
islature of this State will act more
wisely and do more to promote the
welfare Of the citizens of the State !
generally, and their commercial inter- |
ests, by pursuing the course here indi- |
gated, than by adopting any infexible
rate of interest, and especially any rate /
lower than the present.
Sixth-That committee of five be
appointed by the Chamber, as follows:
w. p. Proudfit, H. L. Elicit, 4. s.
Davis, B. Bayliss, D. p. MADDEN and
J. w. Clapp, whose duty it shall be
10 transmit the action of the Chamber
20 our Representatives and Senators
n the Legislature, and take such other
action as they may deem proper to
larry out the views of this meeting.
Also, to consider and report upon any
,ther matters that may be of interest
,r necessary to the commerce of our
.ity and State; this committee to re-
main in existence during the present
ession of the Legislature.
SeVenth-That the above named