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periods, chiefly from Indian wars and removals, I
considerably higher, they will not exceed the amount of 1818 more than sixty-six per cent., while our population has since, increased more than eighty -four.. per cent. Again, take the pro gress in the ordinary civil expenses, which in clude those of the Executive, Legisl itive, and Judicial departments, miscellaneous and foreign intercourse; all of them united were but a little over half a million of doV.ars in 1793 ; while in 1818, they had increased Jc" ty four millions, or eight hundred per ent:.rthougrrour popula tion had augmented only one hundred per cent. But since the last date, that class of exper.di lures has not enlarged forty per cent, having ben no', over five millions and a half tn either 1837, 183S. or probably 1839, while our popu lation has advanced eighty-four percent, or more than double that rate. All can-thus perceive where, when, and in what, the greatest increas es have occurred the principal reasons, wheth er sufficient or otherwise, assigned for several of them, and the ample opportunity whicji still exists for further retrenchments, so fir-as the public interests are supposed by Congress to re quire them, in any or all of these large burdens on the public Treasury. As some encouragement to hope for a -continued reduction in several of them, without. injury to any of the important establishments of the country, it may be observed that portions of these items of expense, and'several smaller ones, must cease for ver with th temporary occasion for them, and others vi ill not,. when once completed, require renewal soon, if ever. Such are n timer, ous special donations and grants: durable pub lic buildings of all kinds, dry;doclcs, improve ments at navy yards, forts, urseuals and arm", roads and harbors constructed, obstructions in rivers removed, the manufacture-of weights and measures, the survey of the coast, much of the Temoval of the Indfans, the extinguishment of Indian titles, and most of the existing pensions. But unpleasant as is the task of reduction, it may also become necessary to go farther, and diminish on a general pro rata scale or other wise, the compensation to all officers, civil and military, executive, judicial and .legislative. It is surely much better to do this," so far as the pub lic exigencies may require ami justice sanction, than "to expose the Treasury to bankruptcy, by continuing to make appropriations beyond the certain mans provided for. the payment of them, or to resort, in a period of peace, to the spend thrift and suicidal policy of effecting permanent loans to defray ordinary expenditures. Peace is the time to pay rather than incur dib-s, and it would be wiser for any nation even to hoardMu ring peace than to borrow largely, and thus en cumber still more those energies and, resources which ar3 naturally crippled by war. but whose whole vigor is so conducive to its success. The preceding remarks are applicable to or dinary expenditures. But for extraordinary ones. such as, within a few years past, the ex pensive removal of the Creeks and Cherokees, the Blak Hawk and Florida wars, while equal caution may well be exercised - in deciding on their necessity, yet, when once that is admitted, less objection exists to temporary measures for relief, like Tre: 3urv notes or short loans, pro- Tided a permanent increase of taxation is not like ly to be required in the end. In voting for extraordinary charges, as well as in sanctioning, from sympathy or justice, un expected appropriations towards large private claims and interesting local objects, it often hap- pens ini neavy payments ic uupuu Treasury Jor purposes not contemplated in the ordinary estimates. And 'the obvious propriety of generally ma king at the same time some new provision of .... r I II- means adt-quate to the discharge ol sucn aaui tional burdens, is sometimes unfortunately over looked. Bur, when acting on these or other cases, it Uongress cannot, consistently wun us views of duty to the country, adopt the course suggested, and restrict the amount of appropria tions, whether ordinary or extraordinary, to the certain current revenue, the only remaining courses which, seem defensible are these: either to provide for recalling portions of the public money now deposited with the States, or esta blish an adeadate system of direct taxation, or at once resort to the contingent power contempla ted in the existing laws concerning the tariff . when change become necessary for purposes ofJ revenue, and restore the duy on several articles of Juxury xidw free? - .. - i' . Oit some permanent safeguard under fluctua tions in lectipls and expenditui es. Much has at time3 been wisely done by Con gress to supply means for meeting -unexpected deficiencies. But all legal provisions heretofore adopted for that purpose having expired, our financial operations will be constantly exposed t danger, unless some permanent safeguard un der contingencies is established. These circumstances must constitute an apol ogy for once more explaining some of the grounds in favor of such a measure, and earnestly asking speedy legislation concerning it. The principle sources of our present revenue art sensibly affected by, fluctuations not only in commercial prosperity, but in the crops, the banking policy, and cn-dit systems of even for eign nations. The influence of these causes seems to become yearly more changeable and more uncertain in its extent. T Numerous illustrations in support of tjiese views have been referred to in former reports. Some of them show a sudden and great falling off in the regular receipts, though during peace, as the duties in 1816. from nine millions in one quarter, to orrly three in the next; and as the lies of public lands, from twenty-four millions in 1836. or an amount over half of all received in the previous forty years, to less than three millions in 1838. But the returns from the dis tricts in some States during the last two years present additional facts equally striking on this subject. In Michigan, .for instance, the sales of public lands in 1836 exceeded five millions of dollars. They fell in 1838 to only 154.284 ; and in Mis sis3ippi, where, in 1835 and 1836, they exceeded three millions each year, they fell in 1838 to only $96,636. As before intimated, a portion of such extraordinary fluctuations results from the vacil lating character of the sources from which our revonue is derived. But most of them are evils inseparable from the periodical contractions and expansions incident to the present defective sys tem of banking, in a country so full of enterprise as ours, with such freedom in pursuits, such iicithies of intercourse, and such strong tempta tions to rish speculation. The. fluctuations, however, are not confined to the receipts. The expenditures, which may be sanctioned by Congress annually, are very un certain in their amount, as well as doubtful in the proportion of them, which will be called for within the year, or in any particulnr portion of All th?se, and similar considerations in favor . of some psrm inenl provision on this subject, ap ply with still greater force than they have here tofore. The available balance in the Treasury to facilitate its operations, is much smaller than has formerly been usual. The receipts on the debts still doe from banks, after two previous dis appoin'ments as to some of them, must be regard ed with increased doubt, and if they should be paid within the coming year, the outstanding Treasury notes become redeemable in the first half of it, and must be discharged some months before the bond of the United States Bank falls due in September. The introduction of steam in -voyages across the Atlantic, besides the great revolution it must produce in other respects, will so expedite orders and import, as to prodoce a sensible departure from the former more uniform periods of laying in stocks of certain kinds of merchandise in ad vance, und must thus add to the' irregularity in our receipts from imports, us well 'as to the un certainty in previously estimating their amount The practice of incurring expenses' in certain cases sometimes legislative, and sometimes mili tary, or fa different character, in anticipation of appropriation?, and occasioned by unexpected necessities or unusual delays, serins to be increas ing'. It augments the risk of a temporary de ficiency, because large sums thus become pay able; in a rmss, and forthwith from the Treasury when most of the members of Congress, at the time of making the appropriations, expect that the burden will ber spnnd somewhat equally over the whole of the ensuing year. ... ,N - Why; then, should not n constant safeguard, or some permanent ..remedy under such " irregu larities, be provided? The omission to 'do In is can hardly be considered the true check on ex travagant expenditure, as that chfck would seem to consist rather in a forbearance to make un necessary appropriations, than in a . refusal o pro vide ample meaus for paying with promptitude, under all probable contingencies. what has al ready been appropriated, ond has thus received the deliberate sanction of Congress. The na tional prid-, no less than its honor and credit appears to be concerned, in adopting some measure on this subject, stable, efficient, credita ble to free institutions, and possessing a para mount influence to preserve unspotted the pub lic f.iith. The Stares now posses, separately, quite ss deep an interest in such an arrangement as the G?neral Government, since a blow on the credit of the latter would, like an electric shock, be felt through the whole of them, and inevitably de preciate still more their irnm-nse amounts of 5tocks. It is hoped that an actual failure to furnish means to make prompt payment, under all con tingencies, and thus producing the very violation of pood faith so much to be deprecated, will not be necessary to awaken its guardians lo the ur gent importance of some such remedial provision; a measure, without which, in the shape of an in vestment, or large balance on hand, or authority given to postpone certain classes of appropriation when the revenue proves insufficient lor tne whole or some, power to borrow money, or issue on interest," when necessary, drafts or exchequer bills, no financial system in any enlightened country has been, or can be, long administered with safety and honor. In our system, the provision on this subject was very uniform and permanent, till the extin guishment of the national debt in 1835. Pre vious to that time, a large balance beyond the expenses for ordinary purposes was generally. collected, and being kept on nana till near tne close of the year, so as to assist in any contin gency, ws then if not thus wanted, applied to wards the payment ofthe debt. . After that time, the first resort, in the event of fluctuations, was temporary, and consisted of the accidental, and unexpected accumulation which immediately followed. When parts of that ac cumulation were expended, and the residue was divided among the States, instead of being invest ed, and held to meet deficiencies, the recall of it, as fist as needed for the latter purpose, was still sanctioned by Congress, and constituted the next permanent remedy. But this power of recall was afterwards taken from the Treasury De partment, and, instead of it, the payment of one instilment was postponed, and a very limited au thority given to issue Treasury notes for aid in any contingency, liiat autnonty also expirea in. June last, and while in force, contained re quisitions immediately to receive those notes in payments when offered, and at the same time preventing the reissue of them, which proved to be exceedingly inconvenient and hazardous which have already rendered two additional acts of Congress necessary, and which, in a money ed crisis like the present, not only endangers all fiscal operations, but would have stopped some of the most important of them if not obviated in a degree, by seasonable arrangements, made in an ticipation of difficulty. - .The Department therefore, is now without any resort, temporary or permanent, in case of ma terial deficiencies and considering all the.circum stances before mentioned, with the dangerous liability in law to have the whole outstanding Treasury notes paid in at any moment tor pub Hi dues, 'without a power remaining to issue others in their stead ; considering also the pre sent revulsions, in the commercial world, which affects so seriously the receipts from both duties and lands; considering the disasters which are befalling the banks and rendering our collected funds in some cases wholly unavailable, and the advances" necessary to be soon made for the large payments of pensions and Treasury notes fall ing due in March, the earlist attention to new le gislation on this subject seems highly prudent,. if not indispensable, for the cnectual. security ol the public credit. - The manner of keeping the public money, with the proper guard against losses. During. the present year, the public money has been kept in the following manner. Where suitable banks could be obtained, in conformity to the act of June 23, 1836, it has been placed, in them, in general deposite. When such could not be obtained, and the amounts were likely to be permanently large, or were not collected by any public officer, the money has been placed in banks, in special deposite, either in the modified form, as explained last year, or under particular stipulations in writing. In other cases, where it was small in amount or likely to be wanted immediately for public use it has remained with those collecting it till drawn for. Only two banks are now employed as general depositors, under the act of June, 1836. In respect to the system at present in use, it is not proposed to add much to the comments, which have been submitted on its defects, in for mer reports. The failures among the banks within the last few months have again strongly illustrated those defects. Without further legislation, this system can not be made, -and it eertainly is not now the most safe and convenient one, whether Congress intend to continue a system of banks, or adopt one independent of banks, or employ a mixed one composed of both. But it is a system forced on the Department, by the peculiarities of th existing laws and the present condition of our banking institutions.. It is believed to be the best one possible, consistent with them. Under the present arrangements no eventful losses are supposed to have been sustained, which are pro perly attributable to this mode of keeping the pub lic money. Any small ones, which are likely to happen, appear to be the result of irje usual risks incident to the mere collection and disbursement of the money, without reference to the manner of keeping it, and these kinds of risks are inse parable from any system heretofore in force on this subject whether consisting of an United States Bank, or State banks, or either "of those mixed with individual officers. An exclusive use of bank corporations for col lecting and disbursing, as well as keeping all the public money, could alone dispense with the employment of individual officers for the two former purposes, which has prevailed frem the foundation of the Government. Such an innova tion has been proposed by some, and more es riFeiallv in the latere seaports. But it would create a radical change in the whole , theory of all our collection Jaws, it would suojeci me Government in the. most-olits fiscal concerns to an entire and humiliating; 'dependence on mo neyed corporations. And should the, latter. thouh increased so muth in power, not aspire more, to misuse it, yet a wider door would tnus be opened to'sinister influences as well as to great fiscal derangements and ultimate Tosses. Recent events ha vt; evinced the.da'hgers of these sorikingly as. to'justify allih being more rrjis Iriistful, and to render, the further consideration" of such a plan unnecessary. The chief difficulty under the old systems need only be understood clearly to be duly appreciat ed. ' ft has not been in making large payments or large transfers, when using f.x deposite either the State banksor the United States Bank. Receivers and collectors haveaUo in many pUces effected payments with promp'itude-and to great amounts, and almost every trouble in transfers by them would be obviated by theauthority here tofore asked for the Treasurer, to receive money for lands in advance at points mutually con venient to the purchaser and the J reasurer. But the greatest defect in any former system connected with thisdisturbing subject, has always been of a different character. It consists in want'bf an absolute prohibition to employ the public money fr any private purpose whatever and in the want of severe penalties to enforce such a prohibition, and of other adequate checks andguards, possessing a preventive operation on both the minds and acts of officers, sufficient ly powerful to diminish defalcations. This defect has exposed the Treasury to con stant losses, from the foundation of the Govern ment, and under all systems hitherto in use. It can be effectually remedied by no ;omcinl re gulations.as these have neither the extent, res pect, nor force of laws, but only by such new legislation, both penal and prohibitory, as has bt,en repeatedly recommended by this Depart ment,and as experience in most other countries has shown to be indispensable to check pecula tions in the most effective manner. The correctness of the statement ns to the ex istence of these losses under all systems and all administrations of them, which have prevailed since the present form of Government wenf into operation, has been shown generally from official records, in reports made to Congress withift the last two years, and they will appear more in detail in a reply, soon to be presented, to a resolution of the House of Representatives, calling for particulars concerning defaults in "each administration," from 1789 to 1837. It is not proposed to enter here into minute particulars concerning the results as contained and exhibited in that reply. But a few general statements from them will throw light on the topic under consideration. Losses appear to have occurred from defaults among officers in every "administration" or Presidential term from the formation of the pre sent Government. Thus, among disbursing of ficers, they are found in every term smce 1789 ; among collecting officers in each since 1793; and among deposite officers, or banks, in all since 1817. The largest amount of loss from each class, within the period described, has been by deposite officers, consisting of banks, and including, as the resolution requires, the depreciation on such of their notes ns were taken for public dues. The loss by this class, at the lowest estimate, has exceeded six millions and a half of dollars ; and, adopting a computation made by a committee of the ' House of Representatives, in 1832, would equal thirty-five millions. The next largest a mount of loss, as ascertained and computed by the proper bureaus, has been by disbursing of ficers, and has been a little under five millions. And the least loss has been by collecting offi cers, not much exceeding two millions. The aggregate of all these losses, taking the lowest estimate for banks, is about thirteen millions and a half. If, in connection with this subject, were considered the losses in collecting the revenue by the non-payment of bonds for duties, on- which credit was given to merchants, some thing over seven and a half millions' of dollars must be added, increasing the aggregate to more than twenty one millions. The proportionate losses by these classes have been thus : Those by the banks and by the duty bonds amount to more th'an two-thirds of the whole. The losses, either by the banks alone, or the merchants bonds a lone, have been nearly as great as by both dis bursing and collecting officers united; and either-is more than threefold asgreat as by col lectors and receivers, and several millions more than by them, not only from 1789 to 1837, but from 1789 down to the present mortient. The particular losses in each Presidential term being also desired by the resolution, they have been ascertained; and, as they furnish a striking solution of some of the genera causes of those losses, the periods in which the largest and some of the smallest ones happened among each class of public agents may be usefully de signated here. Among the banks, the largest losses were from 1813 to 181 7, then, consisting entirely of depreciation on notes taken, and next from 1821 to 1824. consisting then chiefly of deposites; while from 1829 to 1833, and from 1833 to 1837, they were smaller than in any pe riod since 1813. Among disbursing officers, looking to the amount disbursed, the largest los ses were from 1821 to 1825, next from 1817 to 1821, and next from 1809 to 1813, and tKey were smaller from 1829 to 1833. and 1833 to i837, than in, any other term whatever, except from 1789 to 1793. The loss on each $100 fram 1829 to 1833 was only nineteen cents, and from 1833 to 1837 only twenty-six: cents; while in some previous terms it was as high as. two dollars and sixteen cents. In this class the most numerous losses, compared with all in office were from 1817 to 1821, aext from 1821 to 1825, and nextfrom 1813 to 1817. The smallest pro portion in this respect, except during, the first two terms under the Constitution was from 1829 j to 1833. and except those and the third term, the next smallest was from 1833 to 1837. Among collecting officers. if. looking to the amounts collected, the largest losses were from 1797 to 1801, next from 1809 to 1813, next from 1817 to 1821, and next from 18Q5 to 1809. The most, numerous defaults, compared with the whole number of that class in office, were from 1809 to 1813, next from 1805 to 1809. next from 1821 to 182$, nextfrom 1817 to 1821, and next from 1825 to 1823. The ratio of them from 1829 to 183, and 1833 tp 1837, was not one-fourth as large as in some ofthe periods just enumerated. Indeed it was fesstthan in any pre vious terms from the foundation of the Govern ment, except four,, and the number of such de faulters was less vhan in any Presidential term since 1804! . - Trie accounts of the Post Office establish ment being krpt separ.atwly, and its" officers act ing in the capacities both of collecting and dis bursing, are not included in the above results, but will be given in the special report in dis tinct tables. . y On a careful review of these data it must be obvious, that in the absence of any jfenal prohi bition to use the pubficmoney for private pur poses, and of other adequate. securities against iniscon-luct, the inrreased losses .during some of the terms mentioned must have happened more from the strong teinptauyns to misuse the mon- ey.combined with the calamities incident to war. extraordinary expansions aiid contractions in the currencyand great speculations arid convul sions in trade, than from any peculiar rapacfty amonjr lhd?elhe in public trust, or any special neglect'on the part of those who were then either accounting officers, or possessed of ihe power to appoint and remove unfaithful agents. Thus, in 1831. 1832, aid .1833. prosperous but not speculating year, in the interior scarce ly a single loss is supposed to have happened a- mong receivers, though some were ttieu report ed for suit on previous defaults ; and the same may be said of collectors then, and in 1835, pros perous but not speculating years on tne sea board. But, in more calamitous periods of trade. like 1797 and 1793, 1803 Jo 1813, 1818 to 1821, and 1837 sometimes succeeding others of rash speculation, the defaults multiplied among collectors, as well as disbursing g nts. bo. in similar periods in the interior, like 1 818 to 1821, and 1836 and 1837, they increasedamong the receivers and the banks much in a ratio with the inordinate thirst for hazardous investments, and the overwhelming disasters which ensued from them and overissues of paper money. Another very strong illustration of this is io b found in the periods of the greatest losses on merchants bonds, compared with the whole a mount of duties collected. These losses were the highest, from 1825 to 1829, of any term since the commencement of the Government, doubtless in a great measure growing out of the excessive mercantile speculations and failures of that period ; and the next largest were from 1821 to 1825, resulting probibly from like causes; while from 1829 to 1833, a period of compara tive regularity in trade, the loss was smaller than in any other term since 1809and less than even from1793 to 1797. and 1797 to 1801. On the other topic, as to the feasibility and utility of additional checks and penalties against defalcations, the illustrations referred to, as drawn from examples abroad, are these : Out of twenty-seven Governments, in respecto which accurate statements have been obtained, and which included' almost every important civilized country in the world, twenty-six seem to pro hibit any private use of the public money, either by collecting' or disbursing acents. - In six ca ses only do the deposite agents appear to be al lowed the use of public funds, and that is only when those agents are banks, and the money is placed with hem in general deposite. In a great majority of these Governments, the em ployment of public funds for private purposes by any agents whatever, is not only prohibited, but punished by severe penalties such as impris onment or the galleys, the penitentiary, and in soma instances death. More minute checks and guards also are introduced in most of them, and less is left to discrelion or regulation, even in monarchies, than here. That course of making full and explicit statu tory provisions on all these important points, and duly restricting Executive discretion, so liable to degenerate into tyranny, has before been repeat edly urged by the undersignedi from a regard as well to correct political principles, 4as to an increase of the public security, and a diminution of the difficulties and responsibilities he has of late years been compelled to pass throuch, in a period osuch immense collections and disburse ments, accompanied by so severe revulsions in commerce, and such harrassing bank suspen sions. Dwelling no longer now on this topic, he is convinced, not only that the measure for increas ed stcurity in the collection and disbursement of the public money, but all the other provisions heretofore recommended, in the establishment of an Independent Treasury, for keeping and transferring it, should be early adopted. Pro minently amone these last,- is the separation be tween the banks and the principal fiscal opera tions of the Government. That would be likely to produce many advantages, which have been explained so fully on former occasions that only a few of them need here be adverted to, and this very briefly. It would render a bankruptcy of the Treasury impossible, by a wide if not gen eral suspension of specie payments. To the loss, vexation and discredit of this, the Govern ment has already been more than once subject ed, and a United SiatrsBank, judging from ex perience abroad and analogy at home, would form no more effectual guarantee against it, than State banks during periods of extraordinary con vulsions in trade, if administered under the pre sent imperfect system of banking ; or, in other words, under similar defective charters, and oc casionally similar false banking principles. Such a seperation would relieve both the banks and the Government from any further exposure to mutual importunities, embarrassments and criminations. Both, and doubtless beneficially to both, would be left more to their own re sources and less to dependance on each other's favor, whether instigated by cupidity on the one hand or political ambition on the other. In stead of increasing, it would diminish. Execu tive power ; for the latter would be stripped of n i i- i I. I. . . mii uaiiK muuence, ana oe allowed in its stead neither the use nor possession ofthe nublic mo ney, except under agents not sefected by itself f,uuo- ua case or me oanKs ; little increased in number, guarded by additional securities, and forbidden by the severest penalties to use a dol lar of it for any private purpose. It would tend rt check improvident paper issues, that in some degree deteriorate the exchangeable value of specie itself as well as of paper, and it would se cure the best possible currency in the present state of the Constitution and laws. In fine, it would remove ail inducements to hoard what could not be used for profit, to delay paymtnt of what could not be otherwise employed, to aug menttaxes or tariffs for depositesthat can yield no emoluments, and to indulge in reproaches or suffer inconveniences, as banks now do, at being deprived, by public drafts, of funds which, under the proposed system, would only add to the risk nd - responsibility of the. depositary in stead of his gains; and would therefore be glad ly parted with; Conditioii oj banking institutions generally, and the kind of money receivable for public:kdues. The condiuon ofthe banking institutions gene rally in the United States is always atopic of some financial interest. But it now possesses less with the Generaf Government than it did when the connection between them was more intimate and extensive. It is regretted that space remains on this oc casion for but little more, concerning their condi tion, than a reference to the specicl report which will soon be submitted from the last authentic returns that can be obtained. In the mean lime, however, it may be inferred from returns not very extensive, and from some general data, that since the first of January last the circulation of those banks now paying spe cie has probably, on an average, been curtailed quite one-third, or bftween sixteeri and tweritv millions; that the circulation of most of the oth ers had not been increased- at the time of their late suspension :.that the aggregate amountof specie in all of them is not reduced more than eight or ten millions : and that, sirice the. fall in foreign exchange, " these institutions, with'-'ti 'few exceptions, originating in gross departures from correct banking- principles, by embarking in trade and by makingl;wge investments and long loans, often not to' business men, nor for common business purposes, 'are arsf able as ever to sustain specie payments,.-provided they felt disposed to exercise their -former forbearance and indulgences towards ea'ch mother, and the community towards them. It is, a source of much satisfaction to add that the recent -suspension has caused far less embarrassment, delay and probable loss to the Treasury, whether bv J.. I 1 .1 r .oeposnes in oanics or me possession ol their notes, than have occurred heretofore on similar occasions. I wo reasons exist for this. The banks have of late been employed and their notes taken to a less extent th in was before customary, and the suspensions among them have been less general, by not reaching it is computed, over one third of the whole number in the United States, though including, perhaps, more than half of the whole banking capital. Of those suspending, fortunate ly only three or four held any considerable a mounts of public money deposited with them since 1837, and they, as well as the rest now in public employ, have made commendable exer tions to meet with fidelity their engagements to the Treasury. The admonitions, however, which the late suspension have given in respect to the impor tance of some new legal provisions connected with the keeping of the pnblic money, have not been sl:ght, and have already been sufficiently noticed. fit T( nrr in In nr v r C some new legation or additional ranl!; . -rr - J '-v.ft lUVll Ul O ------ - to the kind of currency which should be re- I t i ' i ceiv ea lor puoiic aues. In relation to this last point the Constitution and laws are now explicit enough concernin" what constitutes moneyl But the practices under them, in receiving o- ther th ings than gold and silver as money, or ramer as a currency ana substitute lor money, have continued so long and been at times so loose as to create rrijich danger and difficulty. The views of the Department on all portions of tins subject were so fully explained to Congress on pre jvious occasions, nd more particularly member, 1837, ds to "render it unnecessary in St-p to repeat them here, But some illustrations and confirmations of tnose views, contained in the transastions of i the present year, are new. and are fnllmvc In sundry instances banks, as well as individ uals, holding the Treasurer's drafts, ffave in sisted on specie in payment, and refused-to ac cept the current notes of specie . paying banks. This they had an undoubted right to do? and thus the idea has been strongly corroborated, that, however much both puWic and, fiscal conveni ence miy be promoted by the use of a paper currency, for enher large 6r distant payments, yet the receipt of any thing short of specie, or the notes not only of specie .paying banks, but such as are convertible into specie on the spot, ana at par. can never et ectua lv nroten t he nnh- lic credit. The practical importance of this ques tion under our present system will be the more ob vious when it is understood that near twenty millions of the twenty-five expended this year, for ordinary purposes, have been, or will be paid by drafts drawn directly on collectors and re ceivers, and must therefore be met, not only by .1 u. . . J J iiit-ui, uui m specie or its equivalent, it seems impossible, also, that eventual embarrassment and occasional losses by bank failures and sus pensions snould be obviated, if any thing but specie is long kept on hand bv public ao-ents of any description. Nor can any system operate xs a check on overissues bv banks, restrain thi tendency to gambling speculations, and aid grad ually in improving the currency of the country, as well as preserve in purity the true constitu tional standard of value, unless the notps r. ceived are speedily p-iid over for public debts wnen acceptaoie to creditors, and, at brief inter vals, any of them left on hand are returned for specie to the institutions that issued them. It appears that the effect which such a mnr would produce in the currency at large, by permanently withdrawing specie either from banks or from circulation, would in ordinary times, be much less than many persons have ap prehended. In the collection and payment of the above twenty millions by collectors and re ceivers, the whole amount on hand with all of them, at any one time, has seldom exceeded one million and a half. At new York city, where nearly two-thirds of the customs of the whole Union are collected, and where the gross receipts this year will ex ceed fifteen millions of dollars, the amount on hand at any one time has not averaged half a million of dollars. a (Concluded on our fourth page.) , ' Parody. Every body, of a certain age, re collects Moore's song of - Will you come to the bower" which was once a great favorite amono romantic misses and excitable youn gentle men, . " Will you come to the bower I have shaded for you, And your bed shall be roses, bespangled with dew." ; " The. Liverpool Mercury, in a comment'gn this luujjiei, snys, inai a oed of roses is a figure of speecn wnicn is tolerably hackneyed, but it would be anything but agreeable, nor would the damp dew enhince its attractions. Our own iasi wouia oe mor agreeable than roses bes pangled with dew, as every rose has its thorns VVe recollect once having seen a parody un0n this song, with which we were mightily arnus and which is, in our opinion, a great impro oaent upon the original. It is, if we recollect correctly supposed to be addressed by a !0e sick joiner to his sweet-heart. The amorouj youth, having in his mind Moore's invitation't the bower, thus addressed his mistress "Will you come to the bower I have shaded fct you, And your bed shall be shavings bespangled witl glue " THE STANDARD, ' IlilLiEEGSHi vV. C. Wednesday. February 5, 140. THE PEOPLE against THE BANK. I c j DEMOCRATIC REPUBLICAN STATE RIGHTS NOMINATIONS. ' " FOR PRESIDENT, MARTIN VAN BUKEN. FOR .VICE PRESIDENT, JAMES K. POLK. Subject to the decision f the Baltimore Conrention. FOR GOVERNOR, ROMUL'US M. SAUNDERS. "Truth crushed to earth wilt lise again ; "The eternal years of God are her's; " But Error, wounded, writhes in pain "And dies amidst her worshippers." C" We call the attention of our readers to the able Report of the Secretary of the Treasury, published in this paper. It is a long article, but contains matter that should be known to ererv citizen, that the falsehoods of Federal Whiggery, on the subject of the public expenditures, may bt exposed by recorded facts. ... tCF We observe that some ofthe "whig" pa pers of Virginia urge the claims of Geh. Harrioa to the support ofthe people of that Stale, becaust he was born there. The General is reported t. have made an extraordinary declaration concernin; his native State ; and we ask the " whig" paper toay whether it be true or false, that Gen. Harri son said UI thank God have got rid of Virfinic T r P""cs ana v irgima negrue NORTHEASTERN BOUNDARY. ' The President has laid before Congress a num ? Kor -f rtn'ciimont rplnfinor to the Maine boundarv.' embracing correspondences between Gov. FairfieH of Maine; and Lt. Gov. Harvey of New Brunswi.i also, -between the former gentleman and ihe Set retary of State.of the U. States, and between t! latter and the'British Minister at Washington, N Fox on the subject ef the armed occupation oii portion of the disputed territory by, two regimen of British troops, and the erection ;of extensive bai racks. This forms the matter of complaint on tk? part of Governor Fairfield, as a violation of the a-i greement made through the mediation of Genenf Scott. Sir John Harvev savs that two comvanut not regiments, have been stationed at Temiscouii '-- lake, in the disputed territory, for the protccticBc'; certain buildings which have been constructed is the better accommodation of Her Majesty's troops -1 - 1 .1 TT J T n. on tue marcu ueiwccu me ujjjier auu Liower ii vinces, and of the provisions, stores, and other put lie property therein deposited. He says the rnore ment has been made by authority higher thanVw but that the authorities of Canada are anxious tba: the spirit a3 well as the letter of the agrecinet: should be scrupulously observed. ' On. the other hand, it is said that the armed posst; from the State of Maine, whieh it was agreed upc:' : should be allowed to remain in the disputed territo ry, wilbin certain limits, for the purpose of guard ing the timber upon the disputed lands from wasif and spoliation, has advanced beyond the limits pre- scribed, extending its operations and its armed oc-f cupation of the country, along the whole way front' the valley of the' Arostook to the mouth of Ftf! River, into the valley of the Upper St. John's, a:U thus into a portion of the Madawaska settlement All of which,' Mr. Fox says, is clearly at variance ' with the terms and spirit of the engagement sign by the Governor of Maine, under the sanction aoij, guarantee of Gen. Scott. i In reply to this, Mr. Forsyth says that "early la ; Cnn n CIT tKo lan1 arrant nf KTiinn r7 1. .1 M force, consisting of about twenty-five men, to Fiji i river, for the purpose of dispersing a band of tres S passeis understood to have been operating at tb1 place,-, in consequence of which the trespassers camps were broken up. some of them driven off, "1 a lew. with their teams, bronchi to the sememes' ' on the. Arostook, but subsequently released ; tb' the land agent, in further pursuance of what lf deemed his duty, again sent a party of about iK same number of men to the mouth of Fish river, - extend a boom across it, in order to prevent t-"!'' timber, which had been cut by the trespassers, being driven out into the St. John's, and to hiode :V. further depredations by cutting. The object of t' . expedition had been accomplished, and the pr,J 'I remained on the ground at the date of the Gor' J nor's communication." He declares that he is u"' able to perceive that any thing has been donety. j the people of Maine in any way contravening " ' . f .1 " . .... w T- ftf ' spirit 01 me agreement entered into oy Mr. f ov; that of the arrangement proposed by Gen. ScrtV and subscribed to by tke authorities, of Maine and New Brunswick. . - These disputes are much to be lamented, though' ' we cannot think any thing serious will growo"' oTthpm linlp droat Tt.Ii.!,. .U..mtc nf jfc'' - - , WlUdlU I U v. - eign war in order to divert her people from the co amnlo!i-.r nf !......: - - . f hoUlt and even in that case, we should suppose a w1 . with this country would hardly be popular with people, whqse voice, even in Great Britain, " ginning to be respected. But the British Miisl; will not be at a loss for an excuse to carry out tb" policy if they had not Arostook to quarrel sby they would soon find something else.