Professorships of Political Economy should be suppressed, or put into

commission ..

415

415

Manner in which it is still taught in Harvard University (note).

WILLIAM G. SUMNER.

"History of American Currency".

416

The Report of the Bullion Committee solves the whole subject of money. 416

No condition expressed by the term "Balance of Trade"

"Exploded by Quesnay a century ago, and gibbeted in the Bullion

Report".

416

416

The value of an inconvertible currency depends upon its amount

When gold is at a premium, paper is redundant

Only repeats the stale theories and illustrations of the Economists.

420

421

DAVID A. WELLS. (note.)

"The Cremation Theory of Specie Resumption," 1875 (note)

An example of the manner in which the subject is popularly treated

The science in its present form the work of Aristotle

Discussed from his time to our own after the manner of the Schoolmen

Most striking example in history of the permanence of erroneous opinions. 426

The whole question turns on whether value be an essential attribute of

money

That conceded, it becomes a question in the exact sciences

426

The appeal to the empirical has fully sustained the conclusions of induc-

tion

An issue of notes the obvious mode for providing for the prosecution of the

Further issues of notes

Order of Congress that the notes pass at their nominal value
Washington invested with dictatorial powers

Great strait to which the cause of the patriots was reduced

Committees of safety

Futility of their efforts

Amount of notes issued up to the close of 1776

Tariffs of prices

The notes counterfeited.

Mission of Franklin to France

French loans

Capture of Burgoyne

Alliance with France, Feb. 6th, 1778

Depressed condition of the country

Continued decline of the notes

Addresses of Congress to the people

441

Recommends a repeal of the law making the notes the equivalent of gold

The issues of May 22, 1777, and April 11, 1778, called in

446

Consequent suffering.

446

Hucksters and forestallers .

447

Monopolies of money and merchandise always the effect of a legal-tender

Unsuccessful attempt by Congress to call in its notes, Jan. 1, 1779, followed

451

451

451

453

453

454

Attempt to demonstrate the ability of the country to discharge all its obli-

gations.

454

Association of the citizens of Philadelphia, June 17, 1780, to aid the opera-

Gouverneur Morris and Hamilton in reference to the Bank (note)

463

Bank of North America incorporated, Dec. 31, 1781.

464

First adequate attempt to issue a symbolic currency in America

Valuable services rendered to the government

464

465

1st. Payment of the debts contracted during the late war.

468

2d. Provision for the charges of the government by imposts on foreign

merchandise.

469

3d. Provision of a symbolic currency by means of a Bank

469

Debts of the old government assumed, and mode of their payment

469

Ground of this objection, - government not one of paramount powers

470

The Constitution an attempt to fuse into one two distinct nations

471

The South could not commit herself to the guidance of ideas

Could take nothing on trust

471

471

Could derive no advantage from provisions designed to promote the general

The Bank opposed as a political rather than a financial measure

Its charter

Branches.

The Act a masterpiece of its kind

The existence of the Bank the brightest period in American financial

Continued hostility of Jefferson to a government of paramount powers

The Alien and Sedition Laws his opportunity.

Virginia and Kentucky Resolutions of 1798-99

471

472

472

473

473

475

475

475

476

476

Illustrations of his opinions upon the nature and powers of our government 477

The State and Federal Governments co-ordinate branches of the same

government.

Hostility to the Constitution of the United States

His views accepted as the authoritative construction of the Constitution up

to 1860

480

The theory of government based upon them

The Rebellion a practical application of them

480

480

His overthrow a revolution in the literature as in the politics of the country

Mr. Bancroft asserts him to be the author of all the centralizing tendencies

Untruthfulness with which the history of this country has been written.

Alarm created by the Resolutions of 1798

Washington to Patrick Henry

Charter of the Bank expired March 4, 1811

Excessive number of Banks created in Pennsylvania (note)

Great decline in value of the bank-notes

Second Bank of the United States chartered April 10, 1816

Connection of other countries with the financial condition of our own

The year 1826 memorable for commercial disasters both in this country and

in England. . . . .

488

The cause excessive issues of paper money .

488

General Jackson's first Annual Message declares the Bank unconstitutional 489

The message received with surprise and indignation.

Referred to the Committee of Ways and Means

The expediency of founding a Bank upon the credit and revenues of

the government.

Constitutionality of the Banks established by the uniform concurrence of

490

all departments of the government.

490

The most distinguished Republicans (Democrats) in favor of the Bank

491

The Bank "necessary and proper" to carry into effect the power granted 494

May be created as an incident thereto..

Its creation one of the lowest attributes of sovereign power

Not a question of metallic or paper currency

But of a paper currency subject to proper control

Immense number of State Banks to fill the place of the first Bank

Great excess and depreciation of the currency

Effect upon the revenues

Tendency of the currency to the level of the least valuable

Amount of currency in circulation in 1816

Great reduction which followed

Losses arising from its use

Uniform value of the currency furnished by the United States Bank.

Its success in securing resumption of State Banks

Obstacles to resumption .

Dangers apprehended from the Bank imaginary

Objections to the use of State Banks by the government

Importance of continuing the Bank..

Evils certain to flow from its discontinuance

Summary of the Report

502

It only increased Jackson's hostility to the Bank.

502

The second Bank opposed on the same grounds as the first

503

The revival of the old parties at the close of Monroe's administration

John Quincy Adams defeated for a second term

Denies to government the powers necessary to its existence

Effect upon the welfare and morality of the people.
Finally overthrown by the party of progress and freedom
Continued warfare upon the Bank

Mr. Madison asserts its constitutionality.

Judicial and legislative precedents the rule of interpretation
No other rule compatible with the existence of government
General Jackson's reply

The will or opinion of each department of government its rule

Jefferson denied to government the powers necessary for its existence