The Columbia Democrat. (Bloomsburg, Pa.) 1837-1850, December 16, 1837, Image 1

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I liaic morn Mien tlio Altar of Ctd, eternal liut.llfy to cvuy fcrm cf 1 yrtuiiy ocr tl.c d tf "RIaJi." 'Ihomas JelTcrion.
Volr.nsc I.
Number 34.
Jov'cs,isos,"s JTEcssagc.
Tj the Sen'fe noil lLvre nf ' Rrfcttnlut'.vn rflic
Cum mmi weullh if Pennsylvania :
Fellow-Citizens :
. , tn cuiimiuuiuitiiig lothe Lcgttlnturo llic Rcncrnl
condition of the Commonwealth during tlio i,it
, car, it is my grateful duty to iuKiiowIciIrc, tlitit
throughout nil it chuniM tlio wise guardianship
of a niTi'tful l'rovitk'iico Ins been Uiidy extend,
cd over iw an n people. '1 tin dojin of man's short
Biglilcd hut lioasted wisdom have sown distrust and
ruin with over thcltiul; hut in lVuusylviuii.i tlio
retraining tare of tho Kulcr ol nations has still
been at hand to mitiato the evil, . WJiilo want
of ooiifiilciirc and of employment, nmln i-oiiicquum
general stagnation uf butjiwH, wero prostrating the
encrgie oftho Liiilon, our crop grew ami were
mitured in abundance our ci.i?oiM wero gcucrilly
employed and remunerated foi tlitir labor uur cn-tcrpriw-i,
public and pnvjtc, if not (juitoso suee.j. -ful
in WJ4 anticipated, have i.c ther failed entirely
nor materially retrograded, and good order, health
and .hiippi.icsi, have llocJ tln slate. Tlic cviU
under which others groaned fell lightly on us, and
have, it is hoped, already aa-oinplUhed their tvorM.
Our gratitude should therefore bo deep and ublich
In perfjriiiingthc duty now before mc, it woulu
bo criminal to treat li ,htly, or even for .a niotiicnt
postpone the u' jei t which absorbs the attention 01
all. With tho public mind sensitively aroused tc
it, the riper treatment of any uutl.-r becomes
trcmely dillicult. Hut when tno deli.ute su' j ;. t ul
l!ie eurreniy isthe one thus tin iimstauceil, tlieiiilii
culty is greatly viilijiicid. Stilla sincere dcaiicuiiii
a firm'c.ermlii.itioii, to consult alone ol
tho country, will lead the patriot through ever)
dilliculty ami enable him to accomplish much that
at first ni.!it appearcJ lopclcM. In this spirit per
mit me tj invoke the eo-opcru ion of tho legisla
ture in demising and alopting whatever may be
found w iihhi the province of our power for the r- -lief
of tho community.
Tlio diti irlivo i hara'-tcrintic of the present cen
tury is an enlarged degree of civil liberty, coupler
with a liberal and all -presiding t ommcric. In the
cady and less civilized uod. innn subsisted on tin
products of the cluso tho flock an 1 heard or the
ground a outid his dwelling, and required little in
tercourse with his neighbor. A later race
sprung up, wh i, spurning the peaceful and oh urt
avocations of their an cstor,-, made the sword ami
the bow weld the moans of gratifying their neivano
increasing wants, in tho midst ofwho-o iii,es.iiu
broils, the tin ill of the merchant was lilt e under
stood, or pursued with great danger and precariou.
profit. To curb their lawless car.-cr in tho eoura.
of thne, stron n id ulnoluto governments wero es
ta'ilUlicd, whose ar'iitr try decrees nndedb ts thougi,
they compelled pea -e and partiality protecle I jirop
city, h id also tho ell'ecl of repressing liberty uiid n
cripplin .commerce. Thco inseparable compan
ions in Mini's history at length hurst their bonds
an J now, in whitevc part of the earth a nation i
hound fre.7. it coinnurcc is found to prosper in tin
same proportion.
The first oll'ipriiir of commerce, thus produ'Ci'
by liberty. is. general circulating me limn, or cur
rcavy; an 1 tho hojt proof of lbs pros 'crity of coin
merce an.t perfection o.f liberty, arc. the sou n 1 nc
and unifoimity of tint cuircner. In fa t it h a1
nnst impossible to conceive of a people suin icntl.
free to refill lie their own nlTiirs. completely coin
mcrcial in their In'iit and uirte.l in other roipects
yet so blind to tli-ir bos' iutorcUs ai to neglect tin
uniform regulation and soundness of that oi which
their cvnni'rcul pnpo.-it do,ionds. A souu
uuif'inu currency will therefore be tho first com effort of u free people.
Ily i-uinmcrce is meant n t that mero importati i
of foreign anl exportation o'doniesti-g iods whi I
is carried on in seaport tnw'tn but the, general i!i
posal of articles of all kinds, whether 1I12 prodii.e n
thrcha-c tho field, the forest, the mine or tlie fi
tory, by those who hacein'ru than they need, ti
thoso whoreiiuirethein wherever fans irte.l. An
by cwrenci is infndcl tint circulating e piiv.ile.i
whih cadrrfveivos in return for tho arl'n-les sold
and which will procure him an e pul oiiouht i
value of others th it he may whh to purchase. It
is iwntil when it is eithct compo.ed of tho proeiou
metals or of piper a tually representing an e.pii
0'iimiiit ofsporio, or of property iou-tiiitly conver
tible i-it'i specie, wiie where deposited for its in
slant redemption; anil it is 'in f iriu w hen it is taken
in an onul ratcin evc-y part of the country through
whi'h it was intended to circulate.
Such a currency, tho want of which was 0110 o
tho greatest diniciilties of the rey.dulion, Was anions
the first carPs of tho political father of uur libera
ted and commcn I nion. - -
A national paper cuneney wmhy them created
with the consent of Washington, afer a fullctam
illation of tho fears of its opponents ami of the
wnnts of tho country. Gradually and uiVocttialli
iterformed itsolliic tilt tlic siuootion f its contin
uance was again brought round in- tlie courso ot
yp.irs; unin it was opf o-ed. and was, for a time
dbpensed with; butaiain tho wants of c iliihtciei!
audcijiia'I commerce oercome the scruples of Mad
ison and onco more the business of the country
found a sum reliance. Hero it tnifht bo suppo-cd
that doubt und experimenting would h ive ended. -Hero
it might bo hoped that the acts of as enlight
ened and as puro patriotism as ever grired the his
tory of anv iiat'ou. micht acniiire tlio f irec of pre
cedent, and settlo the voxod question in favor rf the
wants ol tin people and in opposiii m to fears whi "h
two long and .full trials had not realized. Hut no.
The doctrine thatou-ry man's understanding of the
constitution, was the constitution, and that no pre
cedent however safe in its experience, or authority
of names however venerated by tho country, net
rvnn Mm Aar ,Ia if tint cmiri'mo court of 1:10 na
tion, wpro to- avail any th n wai bf nehuJ. !'
itl il doctors aroie wluso jri I' avowol objre.
was to ivo the piople fr.n tin power of thci-- own
con itltutod a cuts, an.l Irom tlio lull t J.ieo oi o.i jmu
created by their own hands fjr their own convent
enco, 'l'hey found tho count v hca'thy an I pros-
per jus in all its relations, and neeJiui; only u
yli'jios3nio rcstrictiaii 01 via uxuusrair-ea at it
vlfiur. To niaUo occujou for tho oxerciwofthoi
elill, thov KJaJed on tho lutiouol spirit of alvon
tura ints all tho wildnow of snojulatian, an I whe )
parnlizeil itsstrensth. Hut now. like nil other cm-
pyric, tlnngh they have produced the disearo they
cannot or will not apply the remedy.
Never was there a country with a s Hinder and
more uniform currency than ours, when, from what
motive it is now ttse!es to inquire, the first a":taik
wa mala irpinitin 16"'J. Even the might of
that popularity which has, formed so singular an
era iu our history as a peoples-made slow progress
during the first J ears of the momentous warfare.
In this state, so distin giiishcd for her giulitudo and
devotion to tho baler of it if the legislative and
executive voii o may be taken us an im c, public
o. inion remained true to the common inttiests bo
at' ns the session of 1831-2. Anu in lonjrcss,
when arraigned at the bar of the house, by the Ex-c-utivc
assertion of danger to the deposits in 1833,
(ho American people by their representatives, de
clared themselves satisfied with their cuneney, and
with the depositary of theirwcalth.
Hut. while tliC'iicws of this verdict was yet fresh
in the r indofthc nation, the unauthorized uud
tartling measure of the removal of tno deposits
was consummated. Since which time a succession
if measures, characterized by ret klcsncs3, ine n
si tency, and sbort-si,bted expedient, have ful
I w 'd eai h other in such rapid succession, as scarce
ly to allow time to become acquainted with their
irue character.
Tho country 1ms been carried through a course
ofstato hank currency exclusive gold and silver
urrcn and treasury note current j, whi, h is on
Iv rmt'ier name for so much new national debt
'ill gold and silver, the only legal tender, and the
'rue constitutional basis of.ill currency, haveaitu
i 1 i casil to he uteil as money, and oic now bought
ind sold as an artii le of merchandise in the n aikt t.
I "pon I'cnnsylvania, as was befnie iemaikcd,tbe
"vilo' tiinperiug with tin lurrcncy, has-fallen
c p irativcly lightly. This is owing to var ous
an c: -
The general prosperity of business, and tho full
irires for all kind of produce and articles, which
pe- ai'ej for tliol i-t four jears, hid just diic.icuin-
lercil tlie l.inns mid industry ot llw slaleottlu-
lebts cntiiled on them bv the -everse that followed
ISM, and left both in the best possil Ie tonditiou t.i
icar a change. J he ilcMs. to the lianRs particular
y, were either much diniiiiished, or generally of a
emporary kind, incurred for mere present aocom-
The ruinous spirit of spcnlation. owing to the
noro caiitijus habits of our fellow citizens had not
iiaiisuri irogress in this state, as in some other
loitions of the riitou. Though it Ind spread a-
1 irm'uuly during the few pa't vear.s. yet the amount
f cugagc ccnts made under its iinhoh promptings
v n not such as materially to eilect our business
iiiisactions. The hurricane which has sweptnver
lie linl has it is hoped, purified our business at-
nosplicre ot tins infectious tliseusf. 1 tie act i len-
il remedy h i3lieen. farthe preseuteir-ctual, thoiull
I ire evero than even the sternest patriotism could
The completion an J operations of a large portion
f the public w irks an 1 other means of com
luiiication. In I a diet I mil -h t-i tho real capital.
i'id had invigorated the useful and sure enterprise
flbcstiln, by a lording a market to the rich and
uirivallod products of ro note secti ins and by con
ferring on our iitieiii the certain profits rf a largo
lrrying trajo in aluust every quarter olthoconi
louwe.ilth. The la-v of 1828. pnhb ituir tho circulation of
II ink notes under liv ilo'l irs. h id pla-cd our cur
rency on a film r'i'is th ri f imiitI.- hv restriinin;
ho tin reisiot piper circu'ati in, in 1 1 y iuercai,ig
ho proporlio i of siiwi" in the hands of tho com
niinitv an 1 in th" Hatik.
The cn'ili ni'-d pre once and operations of thi!
imk of tho Unitol .St if?. al givo fi the other
tite luiiks aid t the curreii'y general y a s iu:id
,os n id u i ' that wireo trcmely I eiielici.i'.
"h stale al -o own I milch to th? so'i 1 c'-arscter of
ipr hanki'i r in-tit itions grn -raMy, a.ul t tlm (-afu
ind prudent m inner in which tjey had fur years
a-t ' ciii eonilucte I in com pa 1011 wit'l utliirs.
The nature t vi ofthe lu-Tcantilo biidness-of our
'ommercial metripo'ii was of 1 lirii" kind thin
hit of some ofthn other seil-'uiird cit isi Hor
t iri gene -ally resided in tho agri ultu iil rerions
if tho west, whose interests, not b liivj o-t3iii.'ely I
onnecled with I11M 11 nations, were not -o mate
'ally nfl'a ted by the derangement of traJe as were
ho e depen linr 011 the So'ilhcru cotton, to' a -co, I
in 1 sugar plantation. Ilcr il.iiim 011 other stales
h ive been therefore generally secured, and the ef
fect on her credit and that of her institutions, has
iccn salutary m proportion.
re.t:ier musttlic stcaily chaia tor ot tlie tlcaluig
mrtion of our community bo overlooked. TJiepru-j
lent, though enlarged views and solid oj c ations 1
f the inerclniits, and tho nlmi alilo manner 111
tvhicli the mannf.11 Hirer i maiiitaiued their credit,
mil operations throiiuhout tho, arc worthy '
if all probe. Sustained in tliev were by the stead- 1
fin habits and sure capital of the methanics and'
'11 cmers. all have passed the ordeal in a maimer at
nice beneficial and honorable to the state.
Hut all thoso advantages would have been of lit- ,
Ic avail, if during the first panic, of the suspension,
an alarmed community had font into council an
excited legislature, whoso action thai on tlie suli- .
jei t would only have tided to the evil: and whose
failure to act at all, wouiil nave riuiieu 1110 oiiiuin
if its continuance to their own heads, l.-oni that
jii whi h it naw so deservedly and plainly ro3ts.
Under this conviction, when strongly urged in
May last to convoke tho legislature, that memirol
J . ,1 .1 1. 1 r.:n c. ..i,-
was tiet iiiieo anu mo ri'snu iii ct-tu u miu niuuci whlih we ulicady pos-'
sessed in the novel conflict now waging between
iho intere ts of "tie government' anil tliote ot tlio
leoi le. Hy avoiding that measure wo have ivsca
.10.1 the utter pro-strati jii of tho currency by a v.nt
mitobn of small notes whi h tho legislature would
iio'uhlv h-uouutliori oJ and which would havo
oiilinucd to curse the cointry lunt after tbp prc
icnt . if j circulation of a similar dosi ription shall
lavo di 'appeared. '
Wolnvoaljo avoided tho evil of an undue ex.
p vision by tho botlVi of their general lirculatiou,
whi h would have undoul to Hy folli wis) a law le-
'albiiu tlio suspension, ami wmcn lias necu pio
vented hy tho wholcboma fear, under which they
acted for tho last six months.
In do linia r to convene tho TiCgblalure, ercalon
ww Uutu U a,ix;al UJ tlw iatriolLui uf Uw people
in support ot ll i" rri'ilit til llic stu'te nntl her
iiis'itntintiR, t nil I" warn tl c lirttka nirrinst
f ppcti aiiiirr on thr. niibfortitne of tlie times,
hy floodin!T tl c 0 utry with an increased
and depreciated paper eireulation. They
were at the fame tune encoiiraiictl to hone ,
that if the proper course was pursued the
measure into which the'v had heeil com-'
pellcd hy necessity, woi 1 1, tfno undue ad-1
v.intapes were taken of it, not he punished
as a crime, hut treated as a mtsmrlutie.
It is now my hinh gratification to heahle
to announce lo the Legislature, that not only
have-our fellow-cilizcns fjenerallv amply
i .- i
oustaiunii tneir old reputation lor ijootl faiJi
it 1 1 ti ijiiiu iiiuii i: in uiu irv iiiij i'iims, inn linn
the portion of them connected with the
Hunks, have rcdlizeil all that was expected.
The report of tho Auditor General, when
laid before you, will show that there hits
been a material decrease in tlie- amount of
noU'f i i circulation, and an increase of spe
cie tiuco the suspension: Also that the debts
due to the H inks ' nveheen reduced, which
result must have been produced without
distress to the coinuiuiiity, s no complaints
if lhat kind have been made known; and
that private deposits, which are the best
(idciicc of public confidence, have suffered
vcrv little diminution.
Itciurns bad been received on yesterday
from all the hanks in the" State -except the
Northampton Hank, the I.umlierimms' Hank
it Warren, the llonesdiile Hank, and the
Columbia Hridge company, the whole nuin
hct in t ie Slate being fifty.
Their circulation, specie, discounts and
deposits, stood as follows in the begining of
May and November 1837.
lAIav. November.
Circulation, 21,003.51: 0511 10, 10 1,530 21
Specie, -4,391,072
Discounts, 80,H.7,0I3
Deposits, 12,101,008
Hence it appears that
'leciease of circulation,
SI. 809,003.81, or near
21 0,000,510 88
13! 00,0.12,755 00
151111,030,279 21
there has been a
to the amount of
one fourth, since
the suspension nl discounts to the amount
of $10,101,808 13 or about one fifth, and
of deposits to the amount of 537,728 91,
or sdiniit one-twentieth and that specie iiificased more than one-half, or S2,
515,13855. .The returns yet tube receiv
ed will not materially vary tho result.
It thus appears that the banks oM'cnnsyl
v:ni ia are in a much sounder condition than
before the suspension; and that the resump
tion of specie payments solar as it de
pends on their siuiation and resources may
lake place at any time.
Hut we must not rest content with the
contemplation of this gratifying stale of
things. Though a favorable combination
of circumstances has for the present guar
ded in from the extent of injuiy to which
t'le occurrences of the past j ear exposed
t'u- Commonwealth, it is not the part of
priidunce again lo r-ly on a similar escape
IV un danger. duty is, if possible, to
prevent its recurrence.
The Jhmln have well sustained then -
selves through the crisis; hut tho Hank
svs'cm that could admit of sujIi a ciiah.
must he defective.
The fact that suspension of pay
ment in gild .and silver has taken piace,
without producing a general fnrfeituie of
the charters, though it was the evident ii
of the Id-gisl.itnre to prevent or pu .-.
isli such a catastrophe hy that penally,
neither justifies thu ,su:ipi;iision, nor proves
that the penalty is unjust . it only shows
ha a crisis has arisen not foreseen by the
Legislature of 1821. in which the infli. tion
of the penally would be productive of more
evil to the cninmunity than a continuance
of the suspension. It is a remarkable in
stance pf the "iriual repeal of a general
law of the land by the expressive, hut si
lent action of public necessity, by which
even the fierceness of parly zeal bus been
restrained. Of the voles polled at the l.ite
general election, a small innjoriiy were hy
a party one of whose prol'cpsed principles
was oposition to Hanks., It is a fair suppo
sition that this majori'y held t'uwo the sus
pension, the fame proportion of tho hank
notes of tho State. It was therefore in their
power to have closed up ami f.nfeited the
charter of every hank in the Common wealth
except perhaps two or three. They h ive
not done, so, and tho reason is, lhat tha'r
own, und the public interest, would have
thereby sufl'ered. The public agents, hold
Legislative and Executive, tiro thorefore
hound to art on ibis plain intimation of ihn
public, wish. And this cousinicijoii thfi
Legislature are the most compelled lo re-'
sped, inasmuch as bv the 19th article of
Iho act of 25th of .March, 1 82 1, no forfei
ture can take plncii for inert suspension ex
cept at iho desire and hy thu action of tho
neoole who are the note' holders.
Hut though thu Lecislaturo may thus he
restrained bv existinc rights, fromeonstnio-
ting n hanking svstoui entirely in tho new,
vet it is their duty to take such measures
foi ilto protoctiou tjf Urn future, ilia aa-
t r of tin; rase demands and will admit. :
1 ur firrai oiijcci ni a reiorin m me bsuiK-
inn sysleni shrtuIiUn-pfreetually to eurli the
power to do evil, without Itite'rferins wi lt
the capacity to promote the common pood. '
I o accomplish tins desirable end. I would
recommend tlie incorporaii-in of the follow-
inn provisions, or of otlters calculated to
produce the same results, iti all future Hank
laws, and their instant application, so far as
chartered rights and the failh of the State j
will allow, to the Hanks now in existence:
1. That the profits or dividend pavahleto
uic am isniFivit.1. i i.- urn vi i it-sun irti in
,1... -..-i-i,..i.i.,o c. .,..1 ...
per PPnt per ylinum 011 lu. ,.apila aclu.,Hy
paid in
2. That the notes in circulation he still
furthpt reduced, in proportion to the amount
i of capital stock paid in. It may, by the
present laws he limbic lhal anionnt.
: 3. That wherever the specie of any Hank
shall fall below a fixed proportion to iho
no'es in ( ircttlattort, all increase of circula
tionhnll he strictly prohibited and summa
rily punished, until the proportion required
by law shall he restored.
4. That no loan shall be made to any hrn
kei or other person engaged n dealing in
money, notes, bills, or other evidences of
debt, until persons engaged in oilier busi
ness, and ptusentLg equal security, shall
be first accommodated; nor any loan he
made on pledge of stock, nor on a iy other
security, except that which is tisui.lly de
manded. And that loans to Directors, di
rectly or indirectly, shall be placed under
similar icstrictions with those lo brokers.
, That the amount of loans lo any intlivjd.
mil or firm, whether asdrawci or endorser,
or both, shall not he permitted to exceed a
certain stun fixed by law, except with the
consent of three-fourlhs ofthe Directors. ,
0. That the excess of annual profit be
yond 0 per cent, shall be invested by the
ofiicers of curb hank, in such manner as
shall he approved hy the State Treasurer,
until it reach a certain amount to be fixed
by law, iu proportion to I lie capital paid in,
as a separate fund to tecure the salety of
the hank, and to redeem its noles in case
of accident. The fund lobe under the di
rection ofthe Stockholdeis. who shall he
permitted, after its completion, to receive
ali the. earnings of the Hank, until they
shall he reimbursed for such portions ofthe
dividends between 0 and 7 per cent, an
were therein invested. ' Hut after they shall
have been thus repaid, all excess of divi
dend over 7 per cent, shall be periodically
paid into the Suite Treasury for the use of
the Commonwealth, together with theluiul
iiself, at the expiration ofthe charier anil
discontinuance of the Hank.
That every Hank iu the Slate shall be
compelled to keep its notes at par in liar-
risburg. Philadelphia and l'iltsbuig, the
. ..I., .i .i -
one tlie capital, anu inn diners ine ureal
rcial emporiums of the Common.
wealth, or be summarily liable to the hold
er for any discount inc.irrcil.
That a" law be passed fixing a period,
J nt more di
years limn
lanl than three, four, or five
the present, fur the expulsion
from circulation of all notes of a low er de
nomination than ten dolla'S.
That the President and Directors for the
year during which a suspension of s crie
payments sbnll occur in any Hank, shall
he i idividual'v liable for its notes, and for
all oilier eh ims against it.
That hcreal'er no bonus or price shall
he paid to the State hy an Hank for a char
ter or recha-ler, oilier than the excess over
7 per cent, of its annual profits as above
mentioned; und lhat al! new stock shall be
sold hv auction, the excess above par value
to be iho property of the State, hut lo be
invested iu the fund above described till the
exiiiratinii ofthe charier.
And finally, 'hat no bank be allowed to oi us menus, anu are neiu wan peneci con
go into operation nniil one third of its Mock fidenee. The only nhsfacle in the way, is
shall have been aclually paid in. .-
These improvements ol the system, I
have little doubt, would he effectual.
A limit to the private profits ol hanking
hns heroine minifn-tly necessary, lo pro-
tect sor.ietv against the danger and evils
springing from the ih-siro lo realuo large
dividends; hut it should be accomplished in
such a manner a to strengthen and not wea-
t-.., il.rt li..n!.- l,ii,. incr. tlio nnhlin irorill IS
involved in their soundness. It is to pro- tho custom of the .American merchants for
tl ice tilts double result that a l profit, be- another year. Moans will be fomiiiuo ai
ynnd a reasonahlu sum. is recomnien led to range the gradual payment of the small bar
ho retained for thu public use; hut that, in ance yet due, without loss to one party Ot
stead of being taken at once into thu puMio inconvenience to Iho other. And then if
coffers, it should Im invested, with thu con- sua! trade will he resumed. To tha prcy
sent of an officer elected by Iho Legiitature, duction of this desirable result, which will"
i i such manner as shall p'romoto iho bo3t be the signal for the resumption of epeci
interests of society, hy infusing additional payments, tho Increasod soundness of th
soundness and health into the currency, j banks of this Slate, and the noble and patrl-'
To prevent iniseoiiMrticiion, it Is proper to otip efforis made by tha merchants of th-1
state that no intention is ontertabiud of cre.i- north, anj the planters of the eotith, tor
ting a safatv fund syatHin. by which all meet thir engagement hy purchasing epef.
thu hanks oftlw Suite shall ho Involved in cie at any prieo. anJ by shipping their eo'
one eouunnn doom, to ha infiieteJ at any ton and other articles, to pajr tSeir depfe
mom mt by legislative- or executive authort and redeem Uhe honor of the dooatiy,'41X
it-jury to the community, by restMininir the
pn Ms ot the stockholders; and to heiifLt
huth the community and the stockholders
l.v permanently investing- the excess of
pn fits of each hank, in a separate fund for
i.s i.wn simnnVt -ml -n.,nf:v,..- -...i ...:.u
lout governmental conttol or intcrfetencc of
any kind. '. -
The restrictions of circulation to inv a'.
mount hearing a just and a safe proportion
to capital paid in, and to specie, and the
presence in each hank ofa nnnnnnpnt fund
(which should he eonsiderahle') 'to auaran-
tee the safety of the ba'nk"creditors. would
nt all timss merit and obtain unlimited pub
lic confidence for the bank. '
The limitation of the profits ofthe stock
holders with the increased responsibility of
directors would both remove the temptation"
to undue speculation for the sake of obtain
ing large dividends, and the consequent
danger ofthe hanks being compelled ever
to refuse redenij ti in in specie. It would
also nnst efljotually check the increase of
banks be ond the actuill wants of trade, so
that there would he lilt'e risk ever after iti
creating any bank whose stock could bo
suliscribcd and paid in. ' ' ! '
The rcgnlati.,11 to keep all the bank note's
ofthe State at par, at certain points, would
give a unifoni i y to our currency over the
State and a Slate soundness and charac
ter to it, oyer tho Union, which would
be beneficial and desirable in every rs--pcct.
. .
The keeping of all the notes ofthe State
at par all over the Stale, and the prevention
of loans to men; dealers in money, wheth
er as brokers or directors, would go far
towards the abolition of paper shaving, and
have the effect of seeming batik accommo
dations for the useful man ""of- busiii'essl
This desirable irsult would also be aided
by limiting tlio nmnuutof loans attainable by
each person, and by discountenancing loans
on pledge of stock
The disuse of all notes under S10 would
still further widen the specie basis, and in
crease the soundness of the paper system,
Now is the time to take means lo accom
plish it, even in the midst of the illegal
small notes and general depreciation of the
dav. The banks have generally diminish
ed their circulation. The decrease consists
proportionality, and in some instances
mainly, of a withdrawal of five dollar notes,
preparatory to partial resumplion. If they
lie now told that these ipites will he discon
tinued at a period not far distant, they will
take measures on the resumption of specie .
payment, and of their usual amount of bu
siness, to throw an increased quantity of
ten dollar net's into circulation. Thus the
change can lake place with little shock to
the community or less lo the hanks. ''
To extricate the commerce and currency,
of the country from its present difficulties,
Vm is ll,R P.0"'T of Sljue legislation,
ind therefore little is required to be done.
The general resumption of specie pay
ments, even though, left to the unaided en-'
terprise of the American people cannot he
far distant. All the signs of the times indi
cate it. The premium on specie, though
recei't'y fliii'luMing on account ofthe grea
ter denian I of tlns season of tho year, has
f-dlun regularly and considerably. The
general business of the country, is fast re
covering its healthy tonr, thou'uli far short1
ofthetisifi' amount. The prices of land
an I of produce and all other ariicles, have
neither dccr-ascd nor experienced that sud
den rise which betokens a great want of
confidence in the ultimate soundness of
the currency. Tho notes of tho banks '
much decreased in amount havo lost the
grealer part of their disiant circulation, and
are now. generally clustered around the in
stitution whence thev issded, in the hands
the remaining debt to Luropo, foranicles
nnugni on creuii ny ine importing mercnanur
(ofthe Union. T! is will however soon he!
rnnoved. Tlie crop of another year woulJ-
completely clear it oil, even if the resump-'
, lion of the usual business intercourse, werft
m.idu lo depend on its preious and full
discharge. But such is not, or will not be
, the case. Europe and particularly Great
Urilatll cannot well afford tr liH (lf-nrivflil of'