ness of sectarian strife and the violence of national prejudices, we regretted its rise, mourned over its progress, and rejoiced at its fall. But if we have contended against those who strove to band together the native against the adopted citizens, equally must we condemn those who seek to array the adopted against the native. If we have depreciated the formation of an American party to war upon the foreignborn portion of our population, we must denounce every attempt to organize and embody the latter class to act, in mass, against the former.

We can conceive, indeed, of no more unfortunate state of things in our territory than the introduction of such a spirit of clanship among either our native, or our adopted citizens. It would be drawing a line between these two classes of our population which no true patriot could wish to see established. It would engender bitter feelings and lasting feuds in our midst; transmit the prejudices of one generation to the next, and postpone, if not wholly prevent, the fusion of all the different compounds which go to make up the population of our territory into one homogeneous whole. Are these desirable results? Can any man who has really at heart the prosperity and welfare of Wisconsin wish to see such distinctions perpetuated among us? Are there any of our citizens, except the sordid place-hunters or selfish demagogues, who can lend their countenance or approval to political appliances fraught with so much mischief to the best interests of our future state? We appeal to our adopted citizens, themselves, to say whether those who would have them associate and act together at the polls as foreigners and not as Americans are what they so loudly profess to be, their true friends? Are these disinterested, reliable, patriotic advisers, who counsel them to keep up, in the country of their adoption, a political fellowship founded upon the place of their birth? Is it not clearly their interest, and as clearly their duty, to distrust these insidious counsels, to disregard these unworthy and selfish appeals and to divide, on all the political questions of the day, as native-born citizens do,

without regard to sect or birthplace, and according to the dictates of reason and the promptings of patriotism? Such, at least, do we conceive to be their duty, and it is upon these principles and in this spirit that we exhort them, henceforth, to guide their political action, however loudly professing friends and practised electioneerers may appeal to them, as Germans or as Irishmen, to stand by the "Democratic" party and support the "regular ticket."

CAPITAL AND CURRENCY

[October 7, 1846]

In some remarks, a few days since, upon the probable course of our convention, we expressed the belief that upon two subjects only, the judiciary and the currency, would there be any great disparity of views among the members. We have already adverted to some of the differences of opinion which are likely to prevail in regard to the former question, and it remains to speak of those which are to be looked for relative to the latter. And by way of preface it may not be inappropriate to glance at some peculiar features in our condition as a people. We are in want of capital for our ordinary business purposes and labor under the disadvantages incident to a new country for the lack of the means to develop its resources. Of the thousands and tens of thousands who are flocking to our territory, few possess more than barely enough to provide themselves with a homestead, or to start in the business in which they propose to embark. The introduction of capital into a new country is proverbially a slow process, partly because of the instability and uncertainty of our laws, and partly because much less regard is usually paid to the obligation of contracts than in older communities. If to these ordinary obstacles be superadded those arising from restrictive and illconsidered legislation, a long time must elapse before suffi

cient capital will accumulate to impart a healthful activity to the business operations of the country.

Wisconsin, thus far, has suffered materially for the want of sufficient business capital. For several years we have been without any bank of discount and destitute of any local currency, except what has been furnished by the insurance company located in this city. Having no bank paper of our own, we have been dependent upon a foreign currency and while we have often suffered from its depreciation, we have been compelled to pay to eastern bankers a heavy rate of interest, which, under a different system, might have been retained at home. Our merchants, wheat buyers, forwarders, and all, in fact, who have had occasion to borrow money have been compelled to pay a high rate of interest because we have not possessed those moneyed institutions which would have introduced capital and by competition reduced the rate of interest.

We are aware of the strong prejudices existing in many quarters against banks, and as these institutions have heretofore been conducted in some of the states these prejudices are not without good foundations. But because one banking system has been found defective or vicious, does it follow that all others are necessarily and equally bad? Because the notes of some moneyed institutions, through fraud, mismanagement, or defective organization have proved worthless, must an indiscriminate warfare be waged against all bank paper? Is it not possible to devise a system which shall be free from the well-founded objection of conferring upon any man or any set of men, peculiar and exclusive privileges and which shall furnish the circulating medium necessary to carry on the business of the country? We must remember that the question is not now bank, or no bank, but whether Wisconsin shall have moneyed institutions of her own, subject to her own supervision and control, and in which her own citizens can take an interest, or whether we are to remain, as heretofore, dependent upon banks scattered all over our country from Lake Michigan

to the Atlantic sea-board, of whose solvency we can know comparatively but little and in whose management we can take no part. We cannot destroy bank paper. We cannot even drive it from our borders. In spite of the most stringent laws that we can adopt, the bills of Michigan, Ohio, Indiana, Canada, and the eastern states generally will continue to circulate in our territory. The question then resolves itself simply into this: Shall we have our own bank paper, convertible always into specie at our own doors, or shall we be compelled to take up with that over which we can exercise no control, and around which we can throw no safeguards?

Bank paper, or, in other words, credit is so closely interwoven with our commercial, agricultural, manufacturing, and mechanical pursuits that you cannot dispense with it, without severely crippling each and all of these great interests. The experience of others on this point is full of value and instruction to us. In every one of the older states there exists a banking system. In New York and Massachusetts, perhaps the two most prosperous states in the Union, there are numerous banks, furnishing a local currency of known value, redeemable in specie on demand and of immeasurable service in simplifying and expediting the everyday transactions of an active, enterprising, busy people. Fancy all these banks suddenly or even gradually blotted out of existence, and a positive prohibition made against the circulation of any more bank paper. Who can calculate the confusion, distress, depreciation, and ultimate ruin which would follow in the wake of so fatal a change? In each, if not all, of the older states the banking system has undergone great and various modifications. In each of them the people have suffered more or less severely from revulsions, suspensions, and occasional failures. But the experience thus dearly bought has prompted them not to destroy, but to amend. If abuses have been detected, uses have been discovered. If one system has been found, on trial, to work badly, another, by the same test, has been

found to work well. It may be regarded indeed as a most striking proof of the conceded value and indispensable necessity of a well-regulated banking system that in every one of the older states such a system is in successful operation, regulated and controlled by laws adopted by the several local legislatures, approved by the people and confirmed by time. And whether it be in Maine, New Hampshire, or Virginia, where the Democratic party has almost invariably borne sway; or in Massachusetts, Vermont, and Connecticut, where the Whigs have usually been in the ascendant; or in New York, New Jersey, and Pennsylvania where each party has alternately succeeded to power; in not one of these states do we find either political party, or any portion of either party, contending for bank destruction or calling for the extinction of all bank paper. Must not the united experience and unanimous verdict of all the older states on this point be deemed and taken as entirely conclusive?

What then, will our convention do? Will they heed the testimony and profit by the experience of the older states, or will they carve out a new and untried path for themselves? Will they discard all moneyed institutions, thus bringing us down to a hard-money currency, or making us dependent upon foreign banks, which are strangers to us and to our interests; or will they vest in the legislature power to establish such a system as our growing wants, enlarging trade, augmenting population, increasing productiveness, and yet undeveloped resources imperiously require? Will they, by stringent and unwise restrictions, deter moneyed men from investing any portion of their surplus means in this territory; or will they, by wise, well-considered and salutary provisions, encourage the introduction of capital, invite the aid of credit, foster the spirit of enterprise, and secure the wages of labor? Will they, in a word, listen only to the supposed requirements of party, or will they consult the wishes and act for the interests of the whole people? It is a high and honorable trust which has been confided to their hands; let it be worthily, honestly, and conscientiously discharged.