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CONNECTICUT LEGISLATIIRE.
FFUIIL (/26 L\6ll.‘ 11r.lL't.It 1'. ltbLuLLt.t.l-I-‘o
lVe.-lnesday mor7i.iu.g, May 5-
In acc.oi'dance with the pgovisions of the
Constitution. both Houses convened in this
city this morning at 10 o'clock. -
’ The House was called to order by Mr.
Jehiel -Williams, of, New Milford. he bell‘?
the oldest member present, and proceeded to
the election of Speaker, (;\'1r. Catlin,of Farm-
iugton, acting -is teller.) On the first b_.‘tll0l-.
McCurdy. having receivid a majority
of the whole number of votes, was duly e-
lected, and on taking the Chair address_ed
the House as follows:
Gentleinen,—I rece.ive with no ordinary
emotions this evidence of your kindness—
The station to which you have called me is
one oflabor, ofdifiiculty and r Jsponsibility-—
at the same time, if its duties are properly
performed, it is one of usefulness and honor.
Th ll’ they shall be honestly executed, I may
venture to pledge myself; that they will be
successfully, must depend principally upon
voti. It depends upon you whether this
House sh~.ll become ati arena for display. of
the.bad passions--for scenes of confusion
and violence, from which good men will turn
with disgust; or continue to be, as it has
heretofore been, a hall of councland of wis-
doni—-the pride and blessing of our beloved
State. The past is our guaranty for the fu-
ture; and we have a right to anticipate, du-
ring the enstiingse--ssion. the s-tine habits of
business, orxler, and gcntlemanly deportment
which has ever charactr-rized the proceed-
ings of this body from the days ofthe Puri-
tans. W'ith most difiidcnce in myself. there-
fore, br.it entire confidence in you, I accept
the office which your partiality has conferred
upon me, and shall now enter upon the dis-
charge of its duties I
Mr. Ballwin OlT.!l't’.(l a i'esoli.ttion to chose
a Clerk by ballot from without the House.
Motion negatived.
On motion of Mr. Robertson, the House
proceeded to chos-ea Clerk from its own
body, when Abijah Catlin, Esq. received 95
out of 166 votes, but declined the appoint-
inent.
Jonathan A. \Velch, Esq. of Brooklyn,
was subsequently clccted Clerk of the House.
A message from the Senate, by the
Hon. Mr. Perry, was received, stating that
they were ready to proceed to business.
Two ballots were then taken for assistant
Clerk, when E. C Bacon, Esq. was chosen
by l23 votes out of 180, but declined the ap-
pointment.
On motion, the choice of assistant clerk the personal eflorts and generous sacrifices are laid for revenue, and “the encourage-
was postponed. ,
1Vednesd-ay Afternoon.
The official report of the can vassers ofthe
votes for State officers, was i'cfci‘rcd to acorn-
mittee of one from each county, who report-
ed that the gentlemen were all elected ac-
cording to the canvass.
Messrs. Swift and Perkins were appointed
a committee on the pirt ofthe House, to no-
tify the Governor of his election.
Resolutions appointing Jesse Knevals and
\-Vm. A. \Vakely, messengers ofthe House,
assed. .
Mr. Swift, from the committee to wait up-
on the Governor, report:-d that he would im-
mediately meet both Houses in convention,
and deliver his message
Messrs. Catlin and Clark, of Mansfield,
were appointed a coinniitree to wait upon the
Senate, and request their arttendance in con-
tion, for the Governor’s inauguration.
The Senate came in, and Mr. Hawlcy, its
President, presided during the convention.
The Governor, accompanied by his aids
and Private Secretary, preceded by the Sher-
iff, then came into the House, and the oath of
Office ‘V35 3d"'ll“l5l9l"‘d [0 him b.V -llldge difficulties in a field of battle; much less a to the yircsmzt condition of the cotintry It
Hitchcock. Prayer was then offered by the
R0“ M11 B10011» Of’-91' “'l1lCl1 lhe G0"°1'“°l' of conflict will not enable the Parties to dis- change has come t1P0n us.
delivered the following
S I’ E E C H a
Fellow Citizens of the Senate
and I~Io7/.sc of Re]n'cse2rta.lit'es :
You will have‘ laid before you, the ac-
counts of our public officers, and such reports
as are req;ui-r._-d to be made to the General
Assembly. From them you‘ will learn the
condition. of our finauces.sc.h"ool fund, and
other general interests. lam notawarc that
these subjects call for’ any su-g gcstions from
the Executive. You, will, however, care-
fully examine them, and consider if further
legislation is needed. Otir public servants
have discharged their duties with fidelity,
thepeople have yielded a cheerful obedi ~nce
to the laws, and in return, impartial justice
has been administered by an enligl'itcriedju-
diciary.
From the Treasurer’s accounts, it will ap-
pear that the State is free from debt, and pos-
sesses, in the treasury, thesuin of $18,544.
This sum, with the avails of as one cent tax,
and dividends on ban k-stock, with sundry
other small receipts, will meet our ordinary
expenses, which. will not vary much from
880000.
From the a(‘.C0:l]’i‘;lS of the Commissioners
of the school fund,it appears that the fund is
$2,040,000; the dividend made, for the last.-
year, 103,315. which has been appropriated
among eig/it_i/-two r/to-usancl six /Ltmdrerl mul
seventy-sea: c/tildrcn. .
The board of commaissivoners of common
schools express a decided opinion in favor
of the ll“! of 1838, wh-itch establislit-d.the
"board, and of the law -of the last session,
which slightly modifies the ancient system
of schools. I would commend to your care-
ful consideration the suggestions made in thr-
report of the commissioners, and especially
in the re-port-of its active and judicious agent,
the clerk ofthe board.
So long as I have the honor of filling the
Executive Chair, I shall not fail to urge
increased attention: to. common schools.—
Narrow views and" ill-iberal laws on.the sub-
ject of education, are a» tax upon.ou.r children
which we are not authorised to-levy. Those
men who laid the foundation of ouir State,
though not without faults, and more limited
than ourselves in experience as to education.
better appreciated common. schools than the
present generation. Thcygwerc untiring in
their efforts to diffuse general knowledge.
and in the system of schools-which they es-
tablished, have laid deep the foundations of
our civil and religious institutions, which are
imperishable monuments of their wisdom and
love of freedom. Philosophy did not delude
fromthe plain precepts of Christianity. They
had no confidence in licentious ,nnd unen-
lightened freedom, but held it to be a first
principle, that. free governments cannot sur-
vive virtue and knowledge in the people.-
The progress in our day ofthe elective fran-
chise, and the increasing influence of popu-
lar sentiment, furnish decisive considerations
for new efforts in behalf of common schools.
From the report of the bank commission-
ers, you will perceive .that they have dis-
charged their duties with vigilance, and I
believe with great fidelity. "The detail of
their proceedings show their acquaintance
with the subject committed to their trust, as
well as their efforts to discharge its delicate
and high responsibilities. It exhibits like-
wise to the public eye the condition of our
banks. Let their report be carefully perused,
the broad range of their powers be consider-
ed, and the extent to which these powers
have been exercised, and we may be satisfied
that these institutions are sound and deserv-
ing of general confidence. Banks are as-
sailed too often without cause, and in a man-
ner prejudicial to the whole community.--
They are strictly identified with the prosper-
ity of all classes; until of late, they have
been considered beneficial to all, and Isee no
reason to doubt they are now struggling to
sustain what remains of enterprise and cred-
it. Of the banking system I shall speak
more fully in the sequel.
I have on former occasions communicated
my sentiments upon the subject of our public
lands. and the necessity of making provisions
for the i_nsane poor ofthe State. Still enter-
taining the saiiie sentiments, I would again
urge these subjects upon your attention.
I have received official intelligence froin
the President of the Senate of the United
States, [hilt one of our Si—'nal.01's, ‘Mr. Bells.
died at Wasliington on the 7th day of April
last. This lamented event has caused a va-
cancy in the Senate which you will need to
fill. IVhile we sympathize with the bereav-
ed family of the deceased, we mourn the loss
ofa public servant who has died in the vigor
of life, esteemed, honored and distinguished.
The afliiirs of the State Prison. are con-
ducted with economy and success. The
ntiiiiber of convicts is 160, and the profits of
their labor, for the ‘year past, beyond expen-
ses, are $4,500.
hand, exceeding $0,000.
The Militia in number are forty thousand.
They are generally well organist-d and
equipped, and probably better disciplined
than the militia of any State in the Union.——
of tlieir officers. I’errnit me to say,'-'gentlc-
men, that this arm of our defence is deserv-
ing of liberal and friendly consideration in
your legislation. '
I have rcccivcd resolutions, on various
subjects, passed by the Legislatures of Ken
lucky, Veriiiont, Maine, New Jersey, Mis-
souri, Indiana. and South Carolina, which
will be laid before you at an early day. The
rrssolutions from the Governor of Maine. rc-
l5ll.C to difficulties rr-spi-cting her eastern
boundary. She expresses confidence that
Congress will promptly step forward in viri-
dicatioii of her rights, and that the other
States will not leave Maine single handed to
repel invasion. Her confidence is not mis-
placed, and let me assure our sister Mainc,
that the people of Connecticut will not be
tardy in‘ meeting any unavoidable crisis.—
VVt-re it necessary I riiight appeal to the
scencs of the. Revolution for -.1 guaranty of
their spirit and patriotism. Nevertheless, as
an individual, I must declare mydecidcd op-
position to a war.
an event without sorrow of heart. lt is quite
too late for Christian nations to settle their
question of boundar_v. The rancor and heat
cern the points ofdifi'erencc more clearly, or
commodation. We would fain indulge the
hope, that the matter may yet be arranged
through mutual concession, pecuniary com
pensation. or the arbitrament of some foreign
power. This nation certainly does not nei.-d
prowess or ability to maintain her riglits.-—
A pacificator, whoever he may be, will ri-eli-
ly deserve our gratitude.
The rosolutions from the Governor of N.
Jersey may req.ui-re your careful considera-
tion. S-hc complains that fitve out of six of
her representatives in Congress are cxclaaided
from their seats The circumstances-oftliis
case are familiar to you. Since the decision
of Congress, that persons commissioned ac-
cordingto law, are not even pri~ma.fac2'c en-
titled to seats,-and that others are,entitled who
have no commissions, nor proved that they
are entitled to any, I cannot perceiveby what
rule or principle the body can be organised.
Tlie persons not commissioned say they have
a maj'ority of votes ;' this is denied by the au-
tlio-ritics of New Jersey, who offer to prove
what is the true state of the vote; that ballots
were deposited by persons who had no right
to vote; taken by inspectors who had no
right to receive them, and not returned to
the judges of the election, who alone could
count and declare them. If these facts are
true, the securities thrown €1l"()l1‘t'l(l the elective
franchise are trampl-‘ed upon, and 720-wcr'inade
the arbiter of elections. You are, gentle-~
men, called“ upon t'o express your disapprobu-
tion ofthi-‘s flagrant and dangerous violation
of law. -
It is» now,.fellow citizens, a little more than
a half century since our national Govern-
ment was established. From three millions
of people/we have grown to be fifteen mil-
lions. From thirteen States we have become
twenty-six. From colonial-settlemc-nts,.along
the sea-board, we now spreadiiovcr a- vast ter-
ritory, extcnsively subdued and populated;
our commerce is almost without a rival ;. our
ships traverse every sea, and are foundiin the
ports of all nations which are accessible to
have become great and important, both as it
respects the amount of capital, and the nitro-
ber of hands employedi. General wealth,
until of late, has been regularly increasing,
industry rewarded with liberal wages; fa-
cilities ofintercornmunication multiplied, and
enterprise and credit; like genial. sunshine
and showers to the earth, have brought cheer-
fiilncssand prosperity to the nation. Heaven
has blessed our every cfibrt, and made usthe
forty 3/ca/is out of fifty one, we have had a
the boldest navigators. Our manufactures’
: Occupying so distinguished a position,
what ought we not to expect for the future’!
The National Government is adequate to any
increase in the number of States and popu-
lation. Unmeasured tracts of fertile land
spread along our western frontier, the ‘o-:'.c-an
lies at ‘our feet; roads, canals, and mighty
rivers iritersect every region; wherever we
look, and in whatever view we contemplate
our present condition, we ought to expect
another halfcentury as prosperous as the last
Let. us, gentlemen, enquire by what 7z,(1tiona.Z
policy/the past has been made prosperous,
and to‘wh:it policy we should look for the
future. Its characteristics cannot be mis-
taken. _
. Wlien this Government was first estab-
lishcd, it found a currency partly paper and
partly metallic. Paper money had been is-
sued by a bank created under an ordinance
Of the °ld C°“8"'€SS. and afterwards adopted
by the State of Pennsylvania. The new gov-
ernment, witnessing the salutary effects ofthe
bank of North America, in 1791 incorpora-
ted an institution ofits own. This institution
expirtd in 181 1; in 1816, at the recommen.
dation of Mr. Madison, a second bank was
created, which expired in 1835. During
national bank, and by means of it, in fricndlv
co-operation with state banks, a currency
pre-eminently convenient and highly ap-
proved. The few years we had no bank, viz.
from 1789 to 1791, and from 1811 to 1816,
our finances and exchanges were in great
confusion, as they are at the present time.
Another part ofthe. former policy wasthe
protcction of (lo-mastic i7ulusl'rg/ by the im-
position of discriminating duties. The pro-
tection of domestic industry was one of the
objects that brought the present governmi-?nt
into being. VVhen colonic-s we were restless
under the jealous_policy of the mother coun-
try, which looked with no favor upon man-
ufactures in America. After our separation
we still found no power in Congress nor in
the confederation to regulate commerce so as
to protect manufactures, for each state had
its own system of regulations. Hence the
meeting of delegates at Annapolis in 1786,
and finally the formation ofthe present Con-
stitution at Philadelphia. This power to
regulate commerce ‘now being given, it was
The warden has cash on at an early period carried into eflict, and we fol‘ “DY left‘-Ill’ Ofllme be 9mlUl'€d-
have had from the first a tarifiiof discrimi-
nating duties, until the passage ofthe compro-
mise act,(so called) in 1833, which well nigh
puts an end to such a tariff in the year 1842.
The ‘.2d article of the first Congress, passed
merit and protection of manufactures.”
Not less observable is a syrlcm. of credit,
which bcgining in the scarcity of capital in-
cidcnt to a new coiintry, has grown with our
growth and strengthened with our strength;
imparting confideiice and activity, until we
have outstripped hard money countries, and
accomplished in fifty years what otherwise
would have required centuries. C7'ed2't is
that connection between capital and labor
which confers upon the latter the benefit of
the former; a connection most natural and
salutary, although by some Si.l‘i1Il; "ely over-
looked. It secures to industry -and good
cliaracter the advantage of wealth. lt sup-
plies the place and performs the functions of
money; and although it is liable to abuse, its
iDfll‘t.’n(‘t" upon the growth of tie United
States has not been too highly estimated.
These, ge'ntl-einen,- are some of the fea-
tures of the policy which has been pursued
tintil within at few years. VVhether we are
likcly to strike out a better course, will de-
[cannot contempl-'1lCSl1('l1 Serve great consideration from those who °°m‘°' the "l‘i“".1"ll".‘_—’ ”“’dl‘"“
advocate innovations.
Gentlemen: lct usiiow tui'n from the part
must be confessed that a change, a great
Look where we
will, in the north or south, the east or west,
to the agi'ir:ulturist, the manufacturer, the
mechanic, the inercha-nt, to those who are,
or to those who would desire to engage in
business; to the capitalist, who hoards his
money for fear of a general bankruptcy ;' to
a war to establish her character for martial the laborer, who is idle, {mi want at‘ employ- '
ment; to the man of enterprise, who finds
every path" of effort herlgcr-l up; to the debt-
or, who is crushed beneath the weight ofhis
rcsponsiibilitics; or final-ly to the unprece.
dented losses and depreci-at-ions of property
which‘ prostrate the stron gcst and most wary ;
I say look where you will, we find a univer-
sal paralys~i’s;. one common feeling of des-
pondency, and to certain evidences that a
deep under-current is sweeping though the
land, changing the condition of our people
more rapisly -than at any time since. we
have been a nation. All stand amazed, feel-
ing and confessing the shock, asking what
is the cause, and where shall the remedy be
found.
It is recently, and not until the derange-
ment of our currency, that the cotintry l'ias
become distressed. Up to 1834', with the
exception of the last war, and a few years
preceding it, when our commerce was in-
volvcd_ in the wars which grew out of the
Frc-n‘ch revolution, our currency was notin
ferior to any in the world ; and such was the
fiscal system ofthe general governmcnt,that of
the millions collected by the bank ofthe Uni-
ted States, not a dollar was lost nor any
charge for services made to the government.
Since 1833, the bank has been discarded, re-
sponsibilitieshave repca‘."edly been assumed
by executive officers, in our monetary affairs,
without the advice of Congress; new sys
tems of finance have been introduced, expe-
rience has been thrown away for novelty,
experiment has followed experiment, revul-
sion‘ has followed revulsion, until we know
not what is the present treasury system, nor
ivhat it may be to-morrow; this much, .how-
ever, we understand, that the revenue is fall-
'ing off: and Congress is siipplying the ex-
hausted treasury with paper money.
What then, I-ask are the causes of otir dif-
ficulties '.l’t'liey are the want of a sound, uni-
form". and convenient currvncy ' the loss of
confidence and‘ credit; unemployed capital
and labor: and‘ unsettled policy respecting
manufactures ; ‘opposition to associated
wealth; a restless spirit of‘ innovation, and
an extreme enterprise urgingthe inconsider-
ate into speculation and hazardous traffic.-—
These, iflimistake not, are the prorninent
Isay then, in the first place. we need a
sound, zmiform “and convenient cu2'fcnc_7/.—-
The mtturc of a currency is, that it acts as
the representative of property: it is a substi-
tute, in pecuniary transactions, for unwield-
ly property, such as land and inerchandizc.
Some agreed 1‘epresentative of property ex-
ists in all civilized countries; and is so es-
sensial to the multiplied affairs of cornrner‘ci:.l
and enlightened Statrs, that they cannot
prosper without it, but would relapse into a-
state of barbarism. I7ll7'i7LSiC value docs not
necessarily enter into its nature; it must be
sound, uniform and convenient. If wholly
metallic, it has only some ofthese properties,
and is exceedingly expensive. In the early
stages of society, flocks and herds, auda-
mong savage tribes, furs and shells are the
measure of property, and the simple curren-
cy oftheir transactions. But as civilization
advances, this measure of value becomes in-
adequate; some more liberal and expansive
currency is dc-nianrled; one that is conve-
nient, ‘always at hand, and friendly to credit.
Nothing more c‘ertainly indicates progress
in commerce and advance in mental and
moral science than that system which distin-
guishcs countries possessing a mix:-d curren-
cy. For evidence of the truth ofthis asser-
tion, let a comparison be instituted between
England orhthe United States and Spain, It-
aly, France or Cuba. I miglitappeal to all
nations, in all times. _
\Vh-at currency ‘then does the United
States demand? There are some who scri-
oiisly urge, that all paper should be sup-
pressed, and the metals substituted. n the
first place, an exclusive specie currency is
impracticable. Allowing that we have 70
or 80,000,000 ofcoin in the country, (which
is full our share of that in the world, as the
course of trade has indicated,) this sum is no
way sufficient fora universzil circulation; nor
oes its accumulation here, make it more
plenty in the hands of the people, because
they prefer paper. They prefer to leave
the coin in the vaults of banks, and take for
use the representative ofcoin.
In the next place, bank bills cannot be
suppressed, without first putting an end to
all the banks in a‘ll States, a measure revolu-
tionary and ruinous. A metallic currenc.y
would be so inconvenient that it cotild not
Suppose
we had in fact coll.ctr-d the necessary a-
mount; where is this mass of’gold and sil-
vcr to be kept? How is it to be carried a-
bout. ll"hat is to secure it against robbery
and other losses? its annual depreciation
For their condition we are much indebted to July 1789. declares that duties on imports l7V “‘t‘fll' i1l01W. has been Gfllfmiltill by M1‘-
McCullock at one quarter of one per cent —
And if as has been declared by one of the
most distinguished men of the age, ‘that in
times of prosperous busiiess and commerce,
the daily amounts of payments in the banks
of New York alone, have been equal [0
000,000, how expensive and opprcssive
would be its use in all the transactions of
this great country ? Such a currency, too,
in its,/irsl cost, would be expensive. Not a
dollar can be brought. into the UllIl(Cl States
without an equivalent paid abroad. l-"l hat a
debt would thus (le contracti-d in Europe oi
South America to be paid out of our labor!
Suppose, however, that all paper QHLS
suppressed, and all the specie we wanted
was actually here, how long would it be,
before it would be collected in places of do
posit for safe keeping. with agents to giiarrl,
count and handle it? Soon. certificates of
deposit and orders drawn by depositors on
thi se agents, would be found cqally safe and
more convenient than the passing ofthe spe-
cie itselffrom hand to hand, and would be-
Thus we
should have a paper Cl1ll‘lf1Cy difiiezi.-‘lg in
nothing material from bank bills. Whom
the credit of these specie agents is estab-
lished, they would ht-eorne bankr~rs,- and if
regulated by law, would be banks doing
business under charters. If then we wen-
awake or cherish a lacalile desire of ac- at an r branch of industrv r ' .. - to start a-new in currenc , as seems to be
) y 0 any interest,
ilie desire of some, wcshou.ld= come around
to the point: where we now ai'e,.wlii‘.-‘c, in lllt‘
revolution, we should tea-r into fragments
every interest and institution, in the land.
'1-‘hi-. (It-teslifjn returns what currency can we
lime? The States cannot issue paper——shall
Congress do ii? No discreet man would wish
to see a power so vast, and in bad hands copa-
ble ofdoing so much mischief. exercised by the
federal ,«1overnrncn'.. Besides, ifgovertitiicni
paper was not issued on a-specie basis it would
inevitably depreciate and cease to be a'curr9n-
cry; and if it’ was, it would‘ be anoilrer-nanie for
batik bi-lls. What remains then. if Congress
will not incorporate a batik of the general char-
acter of those l)PT6lt)lUl'c cliarleied, that the
States be left unmolesled to charter individiial
associations asiliey always_have (lnrie. Lei
llicm be carefully tvalcltctl; let the Legisla-
tures place independent and intelligent centi-
riels to observe lliem. and no danger need he
apprehended from incaiiiious or corrupt man-
agement. I-s iioi our true policy to preserve.
and with vvholsome laws guard these insiiiu
lions; restraining where restraint is riecessary;
reform where reform is needed, and suppressing
where violations of cliarier are established
upon judicial inquiry? An indiscriniiiiaie pro-
scripiion of-' banks is injurious to all, sliowiiig
incorrect information or narrow viewson this
subject‘. Let me ask such persons what are
banks moreihau partners associated under a l(-:.
gi’sl‘atlve charter law. for the purpsse of loaning
money? In this association we‘hr~.d men who
have retired with the earnings of an active
life, men of all grades of property, prof:-ss
ional, mechanics, farmers, women. children and
trustees.- The borrower knows where moiiey
is to be loaned, and spent-35s no time in ht.-niiiig
for capilalisls;’and he knows that‘ ordinarily
punctuality and integrity will insure to him
the coniiniiatice of’ accomn;odal'mn. The rrzan
of ei.le.ip’rise, iii a measure' dispenses with
capital by drawiiig. tliroiigli a batik-, upon fu-
turesales, or'by anticipating receipts. more ad-
vaiiiageously employs his limited means. If
banks are wisely conducted iliev may. to some
exlent increase and decrease the capital in com-
mercial and manufacieriiig business. This
they can do according to the stale of biisiness;
ilie condition of crops and the course of trade.
This power tzivés a mixed ctirrency a‘n advan-
tage over masses of coin. One incapable of
some expansion and contraction is not suited to
this norto any commercial country; for prices
‘will jcliange a d tr:.d- will flU(.‘lll9“e from other
causes than ilie character of ilie currency. I
am persuaded that it is a mistake to charge
chiefly upon our currency the revulsions in
ir‘ade.—In the language of a ilisii'r_aiii‘shed' wri
ier " revulsions are incident to the fliicliiatioris
ofprices and until these can be steadied, which
is impossible, they will occur. Associated
causes of ouricliflicultics. Let us cxauiiiic
them with subtle theories, nor scducc them
‘\\'0Il[ll3I' if not the envy ofthe world.
them. -3.
wealili may aggravate them or it may mitigate
lilieir operations, as private credit may, but it
does not produce them. There is a certain
portion of the commerce of the world lliat
must be flucluaiin,-'1; Banks are necessaryio
carry on that porlitiir most pEl‘l‘t‘('.ll_\_I."‘ Thesi-
IIIJCIUI-.li()n.‘5 may not be found in hard rnrihe_\‘
countries. in Spain. Italy, or Gerniany; for in
these cotiniries there is but little commerce,
Banking countries have outstripped them by
means of‘a iiiixcd currency, and credit. (its
natural cnnsc-q'uence,) which gives circulating)
in notes of hand and ‘bills of exchaiige and in
spires the active and industrious with confi-
dence. ‘
The course of trade causes more flnciiiaiions
and failures than banks. A sudden expaiisim,
or conlractioii of bank paper, does sometimes
effect prices. but the cause of this is really in
the ciiursetifiraili-, Wllirl) causes expansion and
conlrac-iion' VVlicii prices rise. ilie furiiier adds
to his farm. the nierchanl to his stock; the nic-
cliaiiic and manufaciiirer to his works; if now
from iliesiaieof the season, the marker, or the
afl'ai.‘s of the coiniriozrcial world. prices fall. re-
vulsion is inevitable. At such times banks of-
ten make the cliaiige less" calamilous by sus.
raining such pcrsiiirs as are entitled to credit ;
and iiula few of those who denounce banks,
have liberally received assistance and have
liecn saved from liaiikruptcy. If there were
no iiioiiied corporaIions,- iliere would be revul-
tions in trade: [7ri't=/Ac credit would fail equally
with banks, and then there would be no gener-
al resnrl for persons stiddcnly overtaken. ll
we canon‘ have 22 national batik to carry on ex-
changes. we musl. have accredited Slate banks
fits Inadequate asiliey are. lflhey fall, the States
ip the-Union are sundered in llieir relations and
finally their interests and afl'eclioi-is. I appeal In
"fe ’"3‘l“i3°'l”0T50l' New England. who have
liithcrlo found a niarket in the South and \Vesi
If they Can rnuinlairiany connection with those
Ffultiris? and if those markets are not, at lllls
time. for all commercial purposes as rcinme
fzom us as the States of South Amelie» , If the
(—TU\'€Tll'nl€Ill coiitiiiiies to persevere in its pres
'i_"_l' |"’l3¢'.Y- Our courage will. ere long, wbollv
fail. and our strength and means diniinish, uni-
Illa revolution of some kind ierminatespreseiii
measui‘cs._ I will only remark furilier, that
banks; with all _lh'eir disadviiniaget,-, and [hey
lravcriiein. exist in every country, of any Cm-{-
siderable activity. aflflcnmmercjal U,-e,lh_ 1;,-
long experieiice they have been found converf.
‘Em ilml _l19Cl?S-sat}/. and they are at this day.
9}’ °l“°«l'3'|n,J with other means. in proiiioiiii,r_i
lIbf'r<'ll Scnllrtzenls. free itisiituliniis and the iri-
lclcctual and moral elevation of'maol.ind. Lela
(.‘0‘I)l]?(ZI‘2.S’0)2 (.2/‘.7I(1f?07TS clccic/c l/re qucslion.
,1 _l“’,Ve 5""d banks have disailvaoizigcs
'l liclr bills may be countcrfeitrd, they may br-
””w'5el.V_‘“'(llllsllnnesllyconducted; they may
be cstalilished on false pri(l(‘llll(‘S, as li:-is beeii
done by some of these States in drfiaiicc 0.‘ ex-
pP.T1(’[]C(’. : they may prompt in C-.‘(CE.‘S.~'l\’C criter-
prise, and foster a spirit of spcculoiioii; tlicv
may be multiplied too rapidly; ihev iiiav Ell
times. cliaiitic the amount of capiiiil l.'lI|lS('
and produce fluctuations in trade; tlii-so are ac-
knowlcdcerl evils. but some of them are not
l'7"’C'“ll5“' l0 8 mixed curreric_v; and all are im-
piilable in no small degree, to r-arises extra-
neous to banks. You miist c/islz'n,gzzz'.v/2. ilw
iiidependoril. active spirit of our couritrvmr-ii,
the very spirit which brought "Ur f7..'r'cf'ailii=rs to
America. which is now fostered by our free in
siiiiiiinns, and in turn sustain iliciii in their view.
or: before you can make men moderate and
prudent. ’ This spirit woirlil break over saluta.
r_v restraints. with anv ciirroiicy, ts-Item-mt’
liigli prices prevailed, or pro-pircls of sutltlen
weallli cpeneil. Neverilicless we 'i‘.'()lll(l not
suppress il in Ilie bosoinsof our fellow ciiizt«n5_
any moretliari we would ilisconiinne :he .,5(_-hf
steam. because it sometimes becomes destruc-
‘WP’! 01" lire. liccausc, wli'en iincontrollcd, it i-
ilanccrnus ; or knowledge, or talents. or relin-
ion ils(‘lf. because they are St)li1clll11C$t‘o‘.'I1CtlT()
hail account.
[have no ilbulil of the co7isl'i'lulion'aIii'y of
Siaielianks, and a bank of the United Si};ic5_
nor can l’liere- he zr doubt of the obr’z'_z__ralion of
C.l)n.,f_'!'l'f?SS l'o provide a‘ tzencral curreiicy. ’l‘lii
'ri,:rh[to' do it is implied in its right to coin mo-
ney : to regiilatc commerce between the Slates,
as it does by promoting navigalioii under the
latter power: by laws respecting vessels, their
national charzict-er, their papers. crews, nmoi.
vines. and the cxaminatioii of sleaniboats. It
is PlTlpl"l2]ll(‘2llil~\,’ implied in the power of Con-
Qress to Collect and pay out of some -.°Z30_O()()..
000." in all these Slates, in times of war or
pcace. Congress oiiglil to see that there isa
currency, coiiveicrit and of uniform value
ibrnuglioiii the Union: and as far as constitu-
tional power is involved, it is zi difiereiice in
name only. ti-hnilier the ogciil be a batik, a
rriinl, aciisiom house or a receiver general,
There is a clilli-rcnce in the (.‘llfll‘E.IClf!ir of the
a_t_:Pnl. but none in Ilie nature of the power.
li is said that Congress is about to exercise its
constitutional power anilio create a general
('l)rrr~nt‘y bv ilie inrlepmiuenl treasury bill. (qt
calle ) and that since the goverriniciit has de-
iermineil in reptidiaie batik paper and proviile
vaults and agentsrif its own. we may soon ex
pact. should the House of Rcpresetitatives, in
Congress. concur with the Senate, a currency
gl(l(=(l|);)|e[() our iiecessitics. This bill’ provides
ihai the revenue of the United States shall be
(‘(illeClP(l by receivers general. locked tip in
ilmir possession until drawn for by the generel
government. and that after 18-13, nothing shall
[)0 received but gold and silver.
This operation we are assured will fill the
channels of trade with‘ money and place our
pros_neril_v on an iiitniovable fiiundaiiori. Has
this measure the power of accomplishing so
mncli gnarl ?
would clieerfully embrace it myself and urge
lls favorable regard Uplit-Hills Aseeiiibly.- But.
geriilenien, irhas riosiicli capacity.‘ In itself.
it does not propose to work $lH'll icfiirin. brit its
direct olijeci is to take care of’ the government.
So far as the measure bears upon tr'ade and
currency, it seems to me, it is d‘ccitleill_\,' un-
frienrlly. It may create a ciirreircy at the door
of the treasury, biil iiol extcrisive-ly for the pen-
ple,and it surely will ere long be aliaiidotieil
as a devise more congenial to tire earlier age
of society. than to the high civilization and
commercial pre-eminence of this day and ria-
iion.-—Ils capacity lies in its rlcslruclivc, not its
creative power. How. for instance. can the
collection of 31000000 :1 month in specie, in
the city of New York, (which in prosperous
times is tint an unusual amount) create a cor-
rency for trade in that city? The receivin,z_r,
counting. and locking up the munev. does not
st-‘i-m to have any such tendency. The gov-
ernment debtors. about to pay their duties or
other duties, br-fore they can approach the re
ceiver general. of any treasury oliicer. must pro-
cure from banks or brokers the necessary a-
mount of specie.» They enter the banks like
foreign creditors demanding specie, it must be
cotiiiied out and carried in the vaults of the
Siili-Treasury, there to lie inactively, useless,
ilead_ until-it is wanted for Government dues.—
From 182810 1-838. the average sum in banks.
slalitling tot-he credit ofthe treasury at the close
of‘; the year was 815000.000; a much larger
su.m. iris true, than at present lies idle in the
.reasury'; but the sum will not be uniform. and
if- the nation is prosperous, will sometimes be
very large; even uncalled for appropriations
will amount to a large sum; and in adopting
Could I view it in this liglil I -
‘ 7
U95 0f P9300 and ‘VIII’. prosperity and adversity.
t\Jow'what .must be the effect oftaking from’ ch-..
pplaiion or from bapks this a_.-timtm gfspecie ';_
I lie revenue I‘-yr 18.39 was $53Q_g00_O00: would
that sum pass into the treasury and he ,,—,,,,3;,,,,t_
(El! from place to place‘, to the Seatpf war‘ as
orida. .’daiiie.or the botitliern frontier,i\-iihnut
(l‘CT2IU{1lng the course oftritdo or en-,ha,msS;,,'2
State banks? And what is the ailvanlaue of
having the public money ll()arde(l’_l 15'?“ pm
safely I The public money was kept safe in the
.wo national banks for forty years. Not a dol-
lar tt-as.lost. It was forihcpming at any place
fa the simplest request of the Secretary of mg
l reasury, and while on deposit was made use-
folio labor and trade. But, gentlemen, it is
vain to conceal it-—privaie vaults, however
guarded by bolis. bonds, sureties, and severe
penal eI‘.-aCllUelll.~“.- will not keep the pitblic nio-
IJCIV‘. nor liaveii firllicouitng when wanted.
I here are. likewise. many other objections in
the measure‘. It will be expensive. A host of
of oliicers will be created by the Executive, it)"
be increased annually iii_numbers and salaries.
Receivers general and receivers particular, trea-
surers and sub-treasurers. oook-keepers, attor-
E§.°;°;:.:?*":.‘i.“.l§:.°.lfIl.:’ E.".2‘.T.‘.’.'.‘“.f""' rl
d ' swelled f - l‘ i 0 i W "C I has alrea-
_) ruin a cw pages to a volume; and
finally. t.r'easury bureaus with volumnious re-
C0-‘ll-S, \\'.I.l be established wherever government
‘Holley ls ”3_""lV9d 0" Pfllil out. Iflhere was no
oilier ob_p:c-tion; with practical men’. it would be
eiiougli that it is a great c/range in our financial
policy. \Vlial would be thought of En"-lam;
Zlipliiltl pile abandon liiatik pappa. and aiienipt in
o ec ier revenue 0 some .; ,
sterling. in specie, mark and l0t'(l){0i([)‘|(ig? Pounds
The laie President of the United Slates in-
formed Congress " that the money of the con”.
try ought not to be locked up, any n-,,,,.e man we
l1"l’fl:l)(-‘-llltlglllg to ilie yilizens.” Arid ilie pres-
pnt D(*Ci‘(.’lZ1l"_i)/‘Ill the Treasury. in his circular
"Her "rllle ‘6’l' "fS"Pl9'“l’(-‘Ta JS39. instructed
the deposit banks "that the deposit of public
;_ii1i(i:iiIiey would enable them to afibrd iticrca.-9,1
_ 1 tries to cominecre, and extend acconitnoda-
iron to individuals."
. It is provided in the new treasury measure,
“(l.llll(?‘S‘0l’} lpri ign goods shall be pnitl tn ca,-,-l,__,
. lb is acceptable ID New ILl'),1l£.lll(l at least. It
is what the fricndsofthe inanufactiiriiig inter;-_.-t.;
have beep urging upon Uoiigress for lnntlv
yc:irs,b_ui it has no peculiar coiineciioii with iii.)
kind of inoiicy lo lIC used, nor the mode ofcoi-
feeling.
Aiiotlier prominent (‘2‘ill.‘-‘-C of our einliarrass=-
incurs is the tram ofconfir/cncc and crcr/il. l
have already rciiiarki-d that credit is that con-
nection beiwi-en capital and labor \\.'l|i(;l] an-,.,.
iotlie laiierrlrc l)«'3ll('f‘ll of the forriii-r. Cu-ilii
czltltlul any \\'llt‘l’E.‘ long St)"\'i\’e_llrt: lriss ulicrmlj.
ilcricc. If liiosc who possess lllitnt-y lit-cmmi
alariricil about their security, or the lJl'()Sl_nerj|\i
of their ilcbiors, or perceive in the govcrninciii
a versatile policy, or in llm llffilliltj ajuuluusv 03
wealth, they will wiiliilrawilieir money I‘;-on
il(:li\() pursuits, and rake it out of the hand o
labor; they will as sviccilily as possible brin;
lll(.'ll' bit-incss to a close. and sl.uii tlic liazonli
and perpli.-xilics of new l’}‘ll(iE_.'l8lilll,‘J_S; they \\ll
hoard up \\ hat yet reriiains. until linics beconii
more propitious.‘ This is j£u~t the sta c oftliing
we are now ei<:pcricnci’iig. Capital is retiriiig
creditors are pressing debtors; lll1lnllf‘2l(:lUl'C-l‘
cannot draw on funds as f'ornicrl_v, becausethei
C()l)Sl_'_l,IJf‘(‘.S dare not sell; mi.-r. hauls refiise I
trust, and every man looks will) Sll.‘ll)l('l()f] upo
lite solvr.-racy of his tit-iglilior until fear and di:
trust have st.-i'/.-ed upon the (:omrniinil_y, aniisej
ar'iieil,_friIul/_7/‘ separated, capital from labor
properly I: rupiilly depreciating. and wugras as
gradually diriiinisliing. The farmer, not i
debt, may not liitiisclffecl the deep distress l
men ofbusine.<s. but the wave ofadvcrsil_v rol
iiig i'n will soon reach liiiri, amid ilie losses ,
merclioriis and nizinufaciurcrs. Let me so
then, ,Qeiiilcmen, il'~.*.'c would assist labor, an
secure to it liberal wages, we must rcsiorc ll
natiiral alliance that sulisi.-ts between it at
capital.‘ Capital iiiusl be ollurcd; it miisi fe
safe, \\‘lj,,‘ll]('r in business. in loans, or in inst
iulions wlierc it is brought together for more col
vciiieiil use. It must not be swi-p: away in tl
cry against iiioriiipolicsnnil corporalioiis. Eve;
blow aimed at iliis, falls upon the hand of labo
There is no worse policy for ilio-c who labc
ihaii iiividious attacks opoii capital.
“'9 have arrived, gentlc-men, at a rnoiiicti
nits crisis in the affairs ofilie old States. An u
bounded region of fertile land is opening in il
west. wliicli is filling with a hardy. xigoroii
and intelligent population. every year brnug
nearer by new facilities of intercourse. Uulc
the Eastern States can sustain tlieinselves l
their inaniifaclures, they are destined ere lot
In lose their iinporiaiice. New and alarniii
di)(:trines are promulgated as to the mode of a
varicing iiiaiitiliirriurus. \Ve are told that pric
and wages are too high. and niusi come ll()W7
that the slate of tliiiigs is iiiiiiaiural and bloolr
we are (lj.-fer-l-ell to look lo the countries of E
rope {hr instruction, and overlooking the expe,
eiice ofoiir own republic. are invited to lake It
soils from rnonarcliics. Our manufacturers :2
addressed for this purpose, with considcraiio
ofthe gravest’ cliaracier. It is said, they mt
inamif'act‘ure more clieaply; that things mt
be adjusted to a lower scale, and that the ne
finant.-ial measures of the government uill z
complish this ()l)_jecl. {low it can be done
this measure. otherwise than by la/ring arc
a demand for labor and the raw material.l ca
not coi'i‘1preliend. If liberal wages. ardent e
ierprise, a discriminating tarifi have liitlic
a lvanced our pibsperizy, who isjustified in ca
ing this condition of iliirigs unnatural, bloat-
aiid ruinous,» and in laboring to pull down wt
the wisdom anil experience of half _a Cel']lL
have been building up. Besides, I do not l
lieve that wages can be much reduced, if
tempted. Present invcstnients may be losi,_
icrior labor clieapened. and New lingland
ruined But men of liealih and vigor will .
be reconciled to such a state. In Europe, p
ple, tliongli pent in narrow limits, and many i
just escaping starvation, have not the rhea
nor are they willing to encounter the perils 5
ha,,lship3 Lt‘ a sea voyage. seeking a ho
amidst strangers, of whose habits and langii:
tliev know little or nothing; but here. iflabo
iletiresseil in the East, the laborer escapes to
vallies Ufllle» \Vesl, he may reach the utu:
eiilemenls in a few days, with trifling toil 2
inconsiderable expense. and is, at once, at ho
among his former neighbors, now settled on
banks ofthe Ohio or Mississippi. Let me
the advocates of the reducing policy, if we h.
hitherto suffered from high prices and h
wages? Ifso. who is it that has suffered
Certainly not the men and women who w
for. hire? they are beyond comparison elevz
above the operatives of Europe. Not the fa
er, forthe manufacturing village is his marl
not the merchant. for zrade is his livelihood;
the professional man, for in a dense. busy pt.
lotion he finds a sphere for his knowledge
talents; norlhe manufacturer himself; for i
can make his profit he succeeds in his busin
If it were true that, as consumers, we
pay a portion ofthe duties on foreign go
the tax is paid to our own co-u.nt7'ymen.
we are better able to- pay -them, and in
end better offourselves, than we could-
on imporlaiit-financial measure, we are to con-
running into debt to foreigners. New I
siller its operation underihe various circums:an- ‘'
Norwalk Chronicler