Vevay Times and Switzerland County Democrat, Volume 4, Number 25, Vevay, Switzerland County, 21 May 1840 — Page 1

' K. 1 L " ' ' ' r m %

, , AND &WTTZERLAND COUNTY DEMOCRAT.

“THE SENTINEL ON THE WATCH-TOWER OF LIBERTY.”

AT $2 PEK ANNUM.

BY ISAAC STEVENS.

VOLUME IV.

VEVAY, INDIANA, THURSDAY, MAY 21,1840.

. NUMBER 25.

in a greater proportion than its loanikand issues were diminished. Prices still continued to rise, and bullion still ebntjnncd to be drawn out of the bank for exportation. The titter impotency of Utis grand regulator of the currency to control! the other banks and keep tlic paper currency of the kingdom within such limits as to arrest the exportation of gold and silver, lias thus been so clearly demonstrated, that many of their ablest statesmen despair of accomplishing the object in any; other manner than by restricting the issues of paper money to a single bank, and regulating their amount by the agency of the Government. Here, then, is an impoilanl fact incontestably established. IT this be true, and there can be no question of its truth, I would aek the Senator how a National Bank, even with a capital of filiyi millions df dollars, could regulate and re* strain, within proper limit*, theloans and issues of eight hundred State banks, scattered over the whole extent of this vast country! The thing is impossible. It could not bo accomplished by sucli a bank. t ’ And wlmt is the condition of the Bank of Eng* land at the present moment! According to the testimony oljUr.JIorsely Palmbr, its president, given' before the secret committee of this House of Commons,previous to the rc-charlertn 1833, (lie,principle otf which it had.proceeded in'regulating its issues, was to keep"as:much coin- and bullion in its codersias' amounted to a' third part of its liabilities including su ms dcposj led os wellf.aa notes' iri circuhtion.. :£xp9i?ence had established the.Tact, that tljis'fulo of one for of circulation and depositee, was the'safe proportion. Its necessities havet;compelled it to depart widely from Uijs rule of Jut dwii creat ion. Instead of being able to regulate the-loans and issue’s of other banks. It has wifli difficulty been, able to save itself. 'It lias been going down and dow ( n,'uAtil, according to thoUast quarterly statement Wits condition .whiclrjlhave seen, it had hot esc pound sterling in bullion Tor scyUn of its circulation and depqsitcs. |ln this respect it is in a much worse condition than many of thc banks in oiir own country. In order to save it* self from utter ruin, British pride has, ItumWcd itself so mudh, thattlio Bank of England became a suppliant to that of France for a supply of bullion, which was : pracioiisly, iliough condcscehdingly. granted. The fact is the highest evidence it ra possible to present of the advantages which a country, the basis of whose circulation is gold and silver, enjoys over another country, whose paper currency is greatly expanded,. The Bank ol Englantf will probably never see the day, under its present charter, when its -bullion' will lo one third of its circulation trtd depbsjtes.*. Indeed, one bid crop, in its present condition, wouid'drain it of its gold and silver' for the purimse.of purchasing foreign gram,, and compel it to suspend specie paymeat.*. Neither this Bank, nor ilio Bank of the United States, can ever be relied on as regulators of the loans and issues of thebilier.banks oftlieir respective countries.

President such a Hank as I have described, and we shall hert'after have a most peaceful succession. With alt the powers of the Executive combined with (ho wealth of the country, he would be the most arrant blockhead in the world .if he were not able to reflect himself and to nominate his successor. All the forms of the constitution might still romaii\. The. people might still be .deluded 'with lllft idea* that they elected their President; but the'animating spirit of our five institutions vimuld be gone forever. A secret, but all-pervading moneyed; influence, wouMsap the fmmdationsof liberty and render it ajfeempty name, _ The immense power of rue!i an institution wWs manifested in the treraendrius efforts which it made against Gen. Jackson, ho not enjoyed: more personal populatityTin this country ilunany man who ever lived, tlfcse efforts would have-proved irresistible. - As |t was, the con--llict was of- the most portentous character, .and shook the Union toitscentrc. Ipdeed the Hank, at one', time, would; in all probability, have gained the victory; had .the election* of President occur at that period;- and we' then -should have wimciBed the" appalling fipoctacliLof tbo triumph of the' bank over the rights and liberties‘ofthe The constitution of. the country and the 1 democratic :parly would then have been prostrated together. ■

value of which is not regulated by the foreign demand, above the price of similar articles in Germany and Trance. At particular Stages of our expansions,;we might'with justice apply the principle which I have slated lo.our trade with those countries, and assert that, from the great' redundancy of our currency, articles are manitlacturcd in Trance and Germany for one half of their actual cost hi this country. Let fine pre sciil an example.,';In Germany, whcrrijlte currency is purely'metallic, arid llts / costpf ct'cjv thing is reduced to a hard monriy standard ,0a piece of brqadfclpih can be manufactured dollars! IheTViaouiacture of which/in oaf (country, frbiw'the expansion of our (taper ctiricncy, would ’cost 'one hundred dollars. What s'the consequence! The foreign Trench or German manufacturer imparts this cloth into our country, and sells it for one hundred’dollars. Does^not every person perceive that the redundancy at* our. currency is equal to a premium ol one hundred per cent, in favor of the foreign manufacturer! No tariff of protection, unless it amounted to prohibition, could counteract this advantage in favor of foreign manufactures, .{ wonId to Heaven That I. cod!J'arouse the attention of every raanuflcturcr of the nation to this important subject. ■ V

the redumlcncr of our paper credits and circa* laiion. Onr mutieosc imports of cotton ought always to produce a'balance of trade in our la* vor; arid yet tliii is rarely tho'case. Thera is generally a\ particular period however, in the progress of each one of our expansions and contractions, -when exchange ism onr favor. This occurs after, our cotton and other exports have paid the debt.previously contracted to foreign nations; and before we have had the time and the* ability to get fairly under way in a new career cf extravagant, importations. To say that this oiren mstapce proves that our piper currency is w inflated, is ah argument which I cannot nnV (JeMaittl. It proves nothing but that Providence has provided ns. a resource in our vast production of cotton, which enables u> to repair the injuries wliiclv’.wc* suffer from our extravagant speculations. It docs not touch my argument to show the pernicious influence which our expanded currency exerts in our domestic' manufactures. If it were not for this cause, exchanges would not only be occasionally, but always, in our favor; and the Dank of England could not excrete .that' controlling influence over our banking institutions of, which the Senator from Kcninnky so loudly complains. This influence is dcriVcd solely from the fact that we are almost always the debtor nation, as we must continue to be, until our wild speculations shall bo arrested. • .

Published every Thumtar Morning, Comer of Ferry and Market Ferny, Indiana. terms:

Per tear, paid in advance - §2 00. i Paid withinsix months, - - V- - 2 50. 7 Knot paid until the year expires,-' - -J{ 00.. [ No'jtibjcribcr will be taken for a less icrm than six nm) in all such cases the subscription money I wilt be required in advance. ' i Subscribers not residing in the county, wit) bp re* qnired to pay in ndnuice. No paper will bqdiscontinucd until oil arrearages are paid, unless at the option of the editor. -

POLITICAL.

THE INDEPENDENT TREASURY.

SPEECH OF Mlt. OVCHANA7T, of Pennsylvania,

The foreign- manufacturer will not receive our bank notes in payment. Ho will take no? tiling- home except gold and.silver, or rills of exchange which ire equivalent.' llc.docs'hot Expend thismoney heie, where he would be compelled to support his family, and to purchase Ids labor aiid ' niaicrialB at ilie sam? rate of prices, which he- receives ‘for his manufactures. On. the contrary, tie goes home purchases his labor, his wool, and all other articles which enter into his manufacture at half their cost in this *couritry; amPagain rciiinialto. tnumlaie'us with, foreign. woolens, and to ruin ourdomeatjc nianfictures.- T'might'cite many, other examples; but this, 1 trust\ will' bc sufficient to draw public at attention' to the; subject. ,Tliis depreciation of our currency, is therefore, equivalent to a direct protection - granted to the foreign .over.; the domestic manufacturer. ’ It is impossible manufactures should be able to sustain iuch'f dn unequal compciitidn, V w --. ; ; SirH solemnly .believe that if. we* could but reduce this inflated paper bubble’to- any thing like 'reasonable di mentions, No wEnglandwouM become 1 the most., prosperous manufacturing country that the sun/qver shone upon./'Why cannot we manufacture:, goods, and especially cotton goods,Mvhich will go;!nto successful competion with.British manufactures in foreign markets! Have we not the necessary Have wonoftho, industry I. Have we ‘.not the machinery! 'And above all, are not our skill,; etiergy. and enterprise,' proverbial throughout the world! Land- is also cheaper'here -thanin any ■ other country, on’tlie face'.of the earth,*-; \Ve possess every ad vantage which Providence can bestow upon us fo rt hem a nufa c in re ri fcotton;- but they are all ‘counteracted by ilie - folly of-man. The raw ‘material costa us less than’ it does the English, because ibis is an article,’the price of wLich‘depends upon foreignniarketa, and is not regulated by our own inflated currency, We, - therefore, save tho freight ton across .the Atlantic,, and that bf the manufactured article bn- its'return here. What is the freason that, with alt these advanfagea/and with' the protcctivo-dutiea, which bur lawa ford to the domestic manufactuTcr ofcollohi.wo cannot obtain .exclusive possession of the! home' market, and successfully contend for the markets of the 'world! * It is simplybccause.we irianufacture at the nominal prices of par own inflated ’currency, 1 and are compelled to sell at iho - real prices - of other nations. Reduce bur nominal to the real standard, of prices throng)!? odt the world, and you ,cover our country with blessings and jtencfits. I. wish to heaven 1 'coqld speak : in;'.a' voice loud enough 'to btr heard throughout New England; because,, if-the attention of the manufactures could once be directed to the subject, their own intelligence and native sagacity Would teach them,how injuriously Iheyarc affected by bur blotted banking and credit "system, and would enable them to apply the proper corrective. . . i; What Ib the reason that our. manufactures have’besd’able to sustain any sort of competition,' qyen Vin* the home market, with those of British origin! It is because England herself is, lb‘a-great' extent,’ a paper money country, tt&ugti,\ i#*this respect, not to. be compared w\th our own. From this very cause, prices in England j arb much higher than iltcy are upon the continent. The expense of.living is there doub)p'\rhai it casts ip France. Hence,■alllho English; who desire to nurse Ihe5r fortunes by living cheaply, emigrate from their own country to France, or some qiber portio/i of the con tinenl.v.Tho comparativc low prices of France aud Germahy have afforded such ■ a stimulous. to their manufactures,, that.they ate now -rapidly extehtending themselves; and would obtain posressionV in no email degree, even 0/ the; English home.market, if it were not for their protecting duties. Whilst British manufactures are now languishing, those of the continent are springing into a healthy and vigorous existence. It was but the other day that 1 saw an extract iVom an English paper, which slated that white ll» cutlery mamiiactmcil In Germany vtaa eqnal in quality with the British, it was so reduced in price that the latter would have to abandon ihe ihanufacture altogether. . The Senator from .Massachusetts, after all our experience, doubts whether our currency has been inflated beyond tho proper degree; and to prove that it has not been, he Says tiiat the rales of exchange upon England have often been below par. Tnis fact does not tend 10 prove that our paper currency is not -inflated at home. — Dor foreign exchanges oro regulated by the specie standard of the world, not by the amount of our bank issues at home; and whether they are above or h'clow par, depends upon whether wo are the debtor or‘ creditor nation. Wrought always to he, and would. always be tho creditor' nation, if it were riot for out extravagant speculations in foreign merchandise, produced by

' On Friday Iasi, when I veryan expectedly; addressed iho Senate, ! elated a principle of political economy which I shall now£ read; from 'the book. - It is this; * ‘ Th ati fyou dqn bl et boa a 1 oulu “of; the necessary circulating jnetliuth in any. ‘‘country, .you thereby double the : nominal pride t>of every article. If, when the*circulating mc1‘diura is fifty millions, an arlfClo should cost’ ‘‘one , dollar, jt would cost twoj if, without- aiiy “increase of,the uses of a v cirqu|ating medium, “the quantity'should bo increased -lb one hun? “dred mi1ltbm<j”I ; The would bo produced, t he" circularity; m ed ip in were specie,, or.'cdnyerUi)le• bank paper mingled with epecic. 'liiis tlie.iticreased quoritity of tho medium, hot its character which produced this effect, Of courfi'e I leave out' of view irredeemable bank paper. J ' -■* : v' r ’ k ! Tdo noit pretend that, on questions of political economy; you can 1 attain riiathematical certainty. All;you can achompliah is to approach it "as, ricar as possible.'' ?TjieJ|jfipcipul which J have stated is ; sufficiently near thetrui^to 1 answer my- pre-' sent purpose.' /From this.priucip'c, I drew ..an infere 1 ice'thal,!ht extra vag'aht; a moimi of our circulating niedjtiin,'consisting,Maa great degree of lire notes thrown out upon the community;by cighthundrod batiik?, \yasinjurious to our domes-tic-Pianufacfu res. In other .weidvthaLcxiravagant.banking and domestic manufacuires ale diretitly each other.. ,.j: ■!1 Uid not ;understand that the Senator from Massachusetts (Mr, Davis) contested the general .proposition.ibat‘ah increase'in the currency of any country, without anyincreasu of the uses ofa circufating medium, would, inthe same proportion, enhance tho price of. all tho productions oi* that country, whose value was not regulated by; a, foreign Remand. Ho could not have. contested this principle. Itho had, all history aridall experience would have been arrayed against him/’ ■ ! >

-In Addition the reasons suggested why foreign exchange tins eometinics'been in oar favor, notwithstanding our extravagant imjioriaiions, 1 might add has operated with vast power during the last two or three-y can*... This is the immerse Amount of money w hid) several of the Slates have borrowed from tingtand within that period: This money'constituted a fund on which bills were drawn to a large amount.

and consequently reduced the rate oi exchange. The payment of the. interest on this debt,'par- , ticularly. as we shall probably not soon.incveas'e the principal, * will operate hereafter in a. contrary direction, and will- tend to raise, not reduce, the rale of our foreign cxfchanges. , ■i’Butthe .Senator from, Kentucky [.Mr. Clay] leaves nostone unturned, lie says that the friends of the, Independent Treasury de<drc to establish-an exclusive meulic currency, as tho medium of all -.dealings throughout the Union; and, also, to reduce.the wages of the poor man's labor so that the. rich employer may be able to sell his at,4 lower, price. Now, sir, I deny.tho correclhcss of,bofh these propositions; and, in the tirel place, I for one, am not in.favor <jf establishing an' exclusive metallic currency. Tor tho; people’of thiscountry. . 1 desite toaeojhoUanks gff\lly reduced in'number ; and would j if t qou|d, confiiio lltetr accoramodations'tVeuchloans'or discounts, for limited periods,’’ to the ' commercial, - main ufaclu ring,. and trading clMseipf:the community, as the ordinary course of their business might render necessary,' ‘Trie ver wish to sge farmera and tnechauics and prUfessibrial then tempted, by the facility of bbtaingibank'loans for long periods, lb abandon their own proper, an dtiso fi 1 1' anjl respectable spheres; - .and : rush'into. wiM and extravagant speculation.;-1 rwould, if 1 could, . radically rsforni.'the present banking system so as to confine it within such' limits as to prevent future suspension of specie! payments; and without exception, 1 iwoutd . instantly, deprive each and every; bank of Its cliarter, which should again iuspend.. Establish these: or similar reforms,and give tit a real sjVcio'bMUTor bur paper circulation,' the denomination of bank noletfirstto ten, ond f aficfwaadatOjtwenly.dollars,.and 1 shall then b is.a friend ,■ not the enemy of bank's. 1 know that the existence of banka and tho circulation of bank gaper are sot’ identified with the habits of our'people/ .that they cannot he abolished.eve a if it were desirable. To "reform, and not to destroy M my tnbuo. To confine them to their appropriate business, and prevent them from ministering to the spirit bf wild and reckless speculation, by extravagant''loans..and issues, is all which qpght to be desired. Hut this I shall say. If c'xpeneiice'should prevent to be impossible to enjoy the facilities‘.which Veit regulated banks would afford, withouV.at the same time, continuing to nutter Ihb evila which the' wild excesses of the pre>en|babkrhsve hitherto entailed upon the l should consider it tholes-, ser evif to abolish them altogether. If the State Legislatures shall-now do their duty, I do not bcljeve that it will ever become necessary to [deetde on such an alternative. T V

The Senator from Ky. would have "iwellrcBank of the United States.** lie lays great emphasis on the words" well nEOUL.vrLD.” Ones he mean toinGimutc tlm the present Hank of the United States, under its charter fnmi Congress, was not the best regulated Baijk which the world ever Bawl I had thought, that, in his opinion, this Dank was perfection itsejf. The truth, however, is, that aiiy*rogtilations which, you can prescribe in the charier of such an institution, will bo disregarded, whenever a powerful interest dictates their .violation. Like the strong man ;in the Scriptures, it will snap the cords by which it is bound, as if they were thread. It wilt calculate upon violating its charter with perfect impuni'y, because it well knows how unwilling Congress would be lo in-

The diecovery 'oflhe mines of South America, and the consequent vast of the precious metals put in circulation in'the form of money, have greatly enhanced the nominal price of all property throughout the world. Indeed, it is now a matter ortnridos amusement, to contrast the low prices' of ati articles three centuries ago, witlrthetr present-greatly advanced rates. The Hank ol England recognizes: and constantly, acts upon this principle, though often without success. When prices become sodiigh, in consequence of a redundancy of paper currency and hank credits, that it iamore profitable to exporf the precious, metals fmm.tiie kingdom than its manufteturei, this bank cons/antly diminishes its loans, raises tho rate of iuerest, and reduces its circulation',' with (be avowed object of reducing prices to such a standard as will render it more profitable • to. export merchandise than bullion. It is iu this manner that tho bank seeks Id regulate the foreign exchanges, -V. : , Hut why need wo resort to.foreign nations for illustrations of the truth of ibis position, when it has been brought home to ihe. actual knowledge .of every man within this country.' Have we not ell learned, by‘bitter that when our periodical expansions commence, the. price of all property begins to risol. If goes, bn increasing with the increasing expansion, qhlii the bobble burets: and then bank accommodations and bank issues are contracted, the amount of the currency is reduced, and prices fall to-their former level. This is the history.of our own country, and know it. A cerUih amount of currency is necessary to represent the enttrh exchangeable property of a country; and if this amount should be greatly increased, without a corresponding increase in the exchangeable productions of the country, the only consequence is a great enhancement in nominal prices, 1 say nominal, because this increased price will not enable the man who receives It to purchase more real property or more of tho necessaries ami luxuries of life than he could have done before. Let mo now recur to the which I commenced; and I repeat. Urn l&s twv pretend to mathematical accuracy in the ijhuiralion which 1 shall present, The Untied Buies carry on a trade.with Germany and Fianhe; the former a hard motley country,-and the latter appreaching it so nearly as to have no bank notes in circulation under the denomination of five hundred francs, or nearly one hundred dollars. On the contrary, the United States i* empalically a paper money country, having eight hundred banks of issue; nil of them enduing notes of a denomination as low as five dollars, and most of them one, two bnd three dollar notes. For every dollar of'gold and silver in the vaults of these banks,“they issue three four, five, arid tome of them as high as ten, and even fifteen dollars of paper. This produces a vast but ever changing expansion of the currency*, and a consequent increase of the prices of all articles, the

dict so much evil upon the country .as would necessarily result from its sudden destruction. Uncc put such an institution into successful operation, and you can nu longer regulaie its motion by the restrict on of its charter. The present Dank was ever a lawless institutions, up until the diy when it fraudulently seized upon the entire circulation of the old Bank, illegal branch drafts and all, and compelled Congress to pass a law making it a penitentiary cflcnco in its officers to re-issue these ‘resurrection note.* Under ils'Stale charter, it has been true to its original character. Although it now has a charter such ns'no other banking institution ever had, it has already been guilty of several palpable violaiious of this charter, independently of having twice suspended specie payments. 1 shall not trouble the Senate « ilh an enumeration of these violations. Tt is now at the mercy of the Legislature. It has pronounced its own doom under its own charter; and it now only remains for the Legislature or the Governor tocafry this sentence into execution, through the agency of the public tribunals. Whether they shall enforce, this forfeiture or not, is for them in their wisdom to determine, not for me. I shall not in this place attempt to interfere with their high and responsible duties, although I should consider it the greatest of all bank reforms, if this Bank could be blotted out of existence. The Senator ridiculed the idea that the establishment of a new Bank of the United States could prove dangerous to civil liberty. Suclt a bank, with a capital of from fifty to a hundred .millions.of dallies, with licaucUea la cvet; State in., the Union, directing, by its expansions and contractions, when prices should rise ami when they should fall, would be a most tremendous instrument of irresponsible power. It would be a machine much more formidable tjtan ihis Go? 1 eminent, even if the Administration were as corrupt at tlie fancy of some gentlemen has painted it. There is* a natural alliance between wealth and power. Mr. Uandolph once said, "Male and female created he them'.** Combine the moneyed aristocracy of the country, through the,agcncy of a National Bank, with the Administration, and their united power woqld create an influence with tt which would be almost impossible for the people to withstand. Wo should never again see these powers in hostile array against each other. In the days of Gen. Jackson wo witnessed tbfe exception, not the rule. 'Give any

We are also charged by the Senal# from Kentucky with a desire to reduce the wages of the poor'man's labor. We have been often termed agranans on oiir side of tho house. It is some* thipgnewi under the sun, to Hear the Senator and liii friends attribute to usa desire toelerato the wealthy manufacturer, al.the expense, of th« laboring'man and the mechanic. ’ Freni friy foul, I■ respect tho laboring man.:■ Labor is.ihe.foundation ;of the wealth of every country; and.the free laborers of'tbe North deserve respect, both for their probity'and th'etrintelligence. Heaven forbid that 1 should do them wrong!' Of all the countries on the earth, wc ought to have the most consideration for the laboring man. Fromtho very nature of our institutions, the wheel of fortune is constantly revolving and producing such mutations in property llidt the wealthy man of to-iay mv?' tewwe the pwat laborer of tomorrow- Truly wealth often takes to itself wings and'dies away, A large fortune rarely lasts beyond the third generation, even if it endure so long. We must all know instances of individuals obliged to labor for their daily bread whose grandfathers were men of fortune. The regular process of society would almost cecm to consist of the efforts of one class to dissipate the fortunes which they have inherited, whilst another class, by their industry and economy, are regularly rising to wealth. Wo hare alt, therefore, a common interest, as it is our common duty, to protect the rights of tho laboring man; arid if 1 believed for-a moment that this bill would prove injurious to him, it should meet my unqualified opposition. * L . Although thlp bill will not have as gteat an influence as I coqtd desire, yet, as far it gods; H

Jo Scnatc’of tlie United .Stales, January 22,1540, on the IndependentTreasury Bill, in reply to Mr. Clay of Kentucky. [COXCLCDEO,] In-order to repair its fallen fortunes, trne to the law of its nature, this Dank has since pro r needed from one extravagance to another, until jt is now almost a heap of.ruins.; 1 Instead of contra ling and regulating the other banks of the country, it has notoriously been the chief, nay almost the only cau.-o, of the existing suspension of specie The glory of winch Its friends now boast is, that it has been able to borrow £600,000 sterling, atari extravagant rale of interest* from private bankers in England, to -savff'tfmnn immediate bankruptcy and ruin: AlasMiow are the mighty fallen!. And it isdty tb«> creation of another such institution thai'ihe'Senator seeks to regulate the currency, and control the bank issues of the country! Why, tilts is faith against fact; speculation against experience. Tills would be.to adopt, as our grand rcgul tor, an institution precisely similar to that which has been the' great author of our vast bank expansions, and our credit system; and whiqh has fallen under the’ weight ufiis own extravagance.* all the experience which the people of the United Slates have had upon this subject, il will be long, I trust, very lung, before they return.to, a Bank of the United Stales. > But I proposed to prove that, even, if a Bank of the United States had the disporilibiTLto restrain 'the loans and issues of Hie State banks, it would oat possess the power. I suppose a case for the sake of the argument , which can scarcer ty ever exist, because, tta a regulator of the currency, il would'have a duly to perform directly at war with' the interest of the stockholders,-.' The only mode by which it'haa been thought that this object could be accomplished, was for the Dank of the United Slates confining its own business wiiliin safe and proper limits, to receive tbe. notes of the State Dank bn deposit® and in payment, and to-call on them at short periods to pay the balance in specie. But in the nature of things, it would be impossible far such a bank* to receive the notes, and restrain the overissues of mars than a very few of the eight hundred banks which are now scattered over the country. Each _of these banks has its own-limited sphere of circulation, add they are not compelled to receive the paper of each other. In |ioint of fact, this is not generally done; nor could any Bank of the United States be required to, receive all the notes which these eight.hundred paper innnufactortes arc constantly pouring out upon the 'public. From the law which regulates currency, that which Is tho'worst, hat always the most -extensive circulation. Individuals will.a!ways hold fast by the gold and silver, and pais away the bank notes; and of these notes, I hey will paycut tbe doubtful, and preserve those which arc Above suspicion. No Bank of the United States, however great its capital, and extended its powers, could ever reach the evil. It could never transact business with one bank in ten,! might .say in twenty, of. the whole number. - But il is in vain to speculate upon this subject. Experience d* the best teacher. One fact is worth one hundred arguments. Independently ,of the advotee Experience of our own. country, tbe experiment has been tried by the Bank of England under the most auspicious circumstances, and it has utterly failed. \ The real capital of the Hank of England is about seventy millions of dollars, and it has ten branches at the most commercial and manufacturing points of the kingdom. In the rate ,of foreign exchange was largely against England. Tbe specie of the Bank was, therefore, gradually drawn from its vaults, far exportation. It became necessary, far its own salvation, that It should make a vigorous effort to diminish the amount of the circulating paper medium, and thereby restore tbe equilibrium of tbe foreign exchanges. Tito bank credits and currency of England, had become so indited, and, in consequence, the prices of all articles bad advanced to such a standard, that, to use the language of one of their own statesmen, it had become the best country to sell to and the worst.country to. buy in, throughout tbe world. It was profitable, therefore, mlmj.ort every foreign production which could be admitted to entry, and Von account of the hioh prices of their domestic their exports were greatly dimin^ filled. Thd consequence, was, a continued and ruinous drain of specie from the Bank of England to adjust the balance of the trade against -tbs country. The’bank welt knew that, if it could limit the amount of the paper circulation, it would reduce the price of their home productions In thXsamo proportion, and thus render it profitable for foreign merchants to export British manufactures instead of specie. For this purpose it contracted its loans and issues, in the vain hope that the joint stock and private books would be compelled to follow iu example. In solslang, it put the screws upon them.' What was the result! I shall not enter upon a detail of 'particulars, ItiSsufficient to say, thii, aa it contracted, the other banka of tbe kingdom expanded tfieir loans and tbeir issues; and that, too,