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On the Current Coins.

[21ST CONG/1ST SESS.

of them are lighter than others; and the heavier pieces If diminished coins are banished from circulation, as are continually withdrawn from circulation. The lighter pieces remain; but remain only until they, in their turn, become heavier than others, when they likewise disappear. The substitution of lighter coins for heavier pieces proceeds more or less rapidly, in proportion to the profit which it affords: and these operations pass unheeded or little observed by the public, until at length, their effect becomes sensible to the whole community. A scarcity of coins is felt; attention to the current coins is excited; the absence of entire coins is observed; and the coins remain ing in circulation, are found to consist of pieces reduced greatly below the full weight of their denominations.

they become reduced, they are gradually replaced by new coins, with very little inconvenience. If they are suffered to circulate until they become a large portion of the current coins, they cannot be suddenly replaced: nor can the transition from such a state to an adequate supply of new coins, take place, without greatly disturbing the business and interests of the community. A general re-coinage may be long postponed: but where diminished, coins continue to circulate, their progressive diminution, their increasing amount, and their consequent mischiefs, more and more felt, at length render a general renewal of the coins inevitably necessary. It is far better that the remedy should keep pace with the disease; that coins which become diminished, should be at once excluded from circulation; and that as they are gradually banished from use, their place should be gradually supplied by new coins.

Prices are adjusted to the money in which they are to be paid; and when the current coins or some of them are diminished, it is found more convenient to raise prices and receive the coins by tale than to sell for lower prices and receive the coins by weight. In this condition of the coins, prices are raised. The seller expecting to receive The disorders which are inevitably generated by the the current coins by tale, and knowing that some of them currency of diminished coins, exist in this country, and are diminished in weight, states his price as nearly as he are increasing; and we are silently and gradually deis able, according to the quantity of metal which he is to prived of a large portion of our best coins. The diminreceive in payment; compensating the deficient weight of ished coins which have hitherto been the principal cause diminished coins, by the superior weight of entire coins. of mischief in our country, are the Spanish coins which Such a price is founded upon an estimated average of the circulate as equivalent to the coins of our own mint: and intrinsic values of the coins of full weight and the diminin respect to these Spanish coins, a distinct measure will be ished coins, supposed to be in circulation. But what proposed. Our own coins are not yet much reduced by proportion of the circulating coins is diminished is never ordinary use; but many of them are artificially diminishaccurately known; diminished coins are reduced in ed. Since the evils of diminished coins result from the weight, in various degrees; such coins are often numerous in one scene of circulation, and few in another; their number is sometimes suddenly increased, and they enter into payments, in various proportions, with coins of full weight. From these uncertainties, no equation can be extracted; and all calculations to that end, must be inaccurate or uncertain. Instead, therefore, of the certainty which the current coins do not afford, vague estimations of their true value are made; and such estimations agree in considering coins of full weight as worth less, and diminished coins as worth more, than their intrinsic values; but differ variously, in the estimated rates of depreciation and addition. To avoid the inconvenience of weighing the current coins, au imaginary staudard of their value is thus formed; prices are in practice adjusted to this standard; and by the influence of diminished coins, the measure of value is rendered, to a considerable extent, indefinite, fluctuating and uncertain.

This state of the coins impedes the coinage of bullion. When diminished coins are, by currency and custom, as valuable as coins of full weight, the possessor of gold or silver in bullion, finds more profit in exchanging it for diminished coins, than for coins of full weight.

Diminished coins are thus imperfect money, they are unfit for circulation by tale; they disturb the measure of value; they impede the emission of new coins; and by their agency, the community is deprived of the uniform coins which public convenience requires.

When diminished coins have become numerous and much reduced in weight, and still circulate as equivalent to coins of full weight, the evil is not redressed merely by issuing new coins. An emission of new coins affords new and profitable employment to all who are engaged in exchanges, artificial diminution and the conversion of coins into bullion. The new coins of full weight are quickly converted into bullion, or into diminished pieces; and the circulating money consists as before, in great part, of diminished coins. The only effectual remedy is to abolish the cause which banishes entire coins; and a total suppression of diminished coins must be accompanied or followed, by a recoinage of all or great part of the money of the country. This remedy, inconvenient as it is, then becomes the less evil; and in other countries, it has often been found necessary. VOL. VI.-F

nature of things, increase with time, and if not counteracted, become, sooner or later, a capital vice in the money of every country, they should be anticipated, and so far as may be practicable, should be prevented by the monetary system itself. Our own system has no precaution in this respect: it expressly makes our coins diminished to any degree whatever, as fully legal as coins of entire weight; and it thus promotes the march of these mischiefs. Some restriction of the existing rule is necessary, as a permanent regulation, which may at least check the progress of this great disorder, and the regulation which seems best adapted to this purpose and to our present situation, is, that our diminished coins should not be, as they now are, legal money.

Though entire uniformity in the weight of circulating coins is unattainable, great diversities are not to be tolerated. If all the circulating coins cannot be of full and uni· form weight, still, the more nearly they approach that condition, the more sound and useful is the money of the country; and in proportion as the circulating coins are di minished and unequal, the inconveniences and mischiefs which have been described must exist.

If coins cease to circulate when they are slightly reduced, the benefits of coinage are, in some degree, lost. If they continue to circulate after they are much reduced, great mischief in all the money of the country follows. Both these inconveniences are to be avoided: and the' only practicable measure for this purpose, is to establish a discrimination between coins, which, though slightly diminished, may still circulate with utility, and coins much diminished, which cannot circulate without mischief.

To ascertain the greatest dimunition of weight which our coins will undergo, and yet leave their devices and inscriptions clearly discernible, experiments have been recently made at the mint; and it is found, that our dollar and its parts, when reduced by attrition, so that their devices and inscriptions are not wholly obliterated, but would be entirely effaced by a slight farther diminution, lose the proportions of their respective full weights, which follow:

The dollar loses five and seventy-six hundredths per

centum.

The half dollar loses six and seventy-two hundredths per centum.

21ST CONG. 1ST SESS.]

On the Current Coins,

[SENATE.

The quarter dollar loses seven and sixty-eight hun-ent rates of diminution for the different coins, would be dredths per centum.

The dime loses nine and one tenth per centum. The half dime loses ten and one fifth per centum. When our silver coins are diminished in any degree greater than these respective rates, they are destitute of the impression of the mint; and for that reason alone are unfit for farther circulation.

too complex, and would afford very little advantage. Under the restrictions now proposed, our coins diminished only by ordinary use will be legal money during the following periods:

The eagle, about two hundred years.
The half eagle, about one hundred years.
The quarter eagle, about sixty-seven years.
The dollar, about two hundred years.
The half dollar, about one hundred years.
The quarter dollar, about fifty-seven years.
The dime, about thirty-three years.

The half dime, about twenty years.

The impression of the mint being essential, coins which have lost that impression should cease to circulate; but this criterion does not also decide that all diminished coins which retain the marks of the mint, may circulate with safety and advantage to the public. Other considerations evince that the degree of diminution at which Though the object of giving to the public the use of coins should cease to circulate, ought to be less than the coins for a long period, and that of arresting their currenrates indicated by the mere fact that so much of the im-cy when their farther circulation would be pernicious, are pression of the mint remains, that the character of the coins is still discernible.

The preceding rates of the loss of weight by attrition, in our silver coins, are the utmost limits of diminution, within which, the marks of the miut are visible; and though within these limits, the impression of the mint 8 discernible, yet when these coins are reduced to these limits, they are exceedingly defaced and their beauty is lost.

Some of the modes of artificial diminution, such as boring and sweating, subtract much of the weight of coins, and yet leave their devices and inscriptions, with little or no alteration.

The various mischiefs resulting from diminished coins take place, when coins are diminished in a degree much less than the rates of diminution which they will undergo, without losing entirely the impression of the mint. A small difference of weight between coins of the same denomination is sufficient to afford profit by exchanges, to engage the trader in coins, in his operations, and to consign coins of full weight to the crucible or to exportation. The pernicious effects of diminished coins are the great evil against which provision is to be made; and the only adequate remedy is, to remove so far as may be practicable, the source of gain which must always exist, where there is any considerable difference of weight, between current coins of the same denomination. high importance of this object renders it necessary, that the diminution which shall put an end to the circulation of coins, should be a very small part of their full weight.

The

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not fully compatible with each other, they may be, to a great extent, reconciled. When we seek a particular rule, which shall harmonize these objects according to their just importance, our choice cannot be determined by exact science; and some rule avoiding extremes, approaching if not attaining the desired medium, and promising probable success, must be selected. The rule now proposed seems well adapted to the intended end; it is deemed eligible, and it may be safely adopted and pursued, until experience shall suggest a more beneficial regulation.

This re-triction will protect creditors from payments in coins much diminished; will check the circulation of such coins; and will tend to preserve to the public the use of our best coins.

When our monetary system and the mint were established, it was justly conceived to be an essential part of the system of national money, that the currency of foreign coins should cease. It was expedient, that the foreign coins, which were then the money in use, should be suffered to circulate, until the mint should be in operation and able to issue our own coins; and the term of three years was regarded as a period, at the end of which we ought to dispense with all foreign coins, and abolish their currency. Thirty-eight years have since elapsed; and we have not yet dispensed with foreign coins, as legal money.

Our laws have at different times legalized certain foreign coins; but all these laws were intended to be temporary, and most of them were expressly limited to short periods, which have expired. The only foreign coins which are now a legal tender, are Spanish dollars and the parts of those dollars.

Some Spanish dollars are still coined by the mint of Madrid; but with this exception, the coinage of Spanish dollars and their parts has entirely ceased. None, or very few, of these rennt Spanish coins reach this country.

Our great supply of Spanish coins has always been derived from the American countries, formerly Spanish and now independent; and the Spanish dollar and its parts now current in this country, were coined by the mints of Mexico, Peru, and other American countries, while those countries were subject to the dominion of Spain. Since those countries have become independent, they have instituted new coins for themselves; and though their coins are in some respects formed upon the model of the Spanish dollar, they deviate variously, from that example; and the devices and external marks of these coins are entirely different from those of the Spanish

The quarter dollar loses about three and a half per dollar.

centum.

The dime loses about six per centum.

The half dime loses about ten per centum.

Few or none of the Spanish coins now in this country, have been fabricated within the last fifteen years; a very large portion, probably one half of them, had been fabri

It is proposed that our coins shall not be a legal ten-cated and were in use, before the year 1792, when our mint der, when they are dimini hed in weight more than one was established; and nearly all of them have been in use, twenty-fifth part or four per centum of their full weight; during various periods, from twenty to one hundred and that this rule shall be applied to all the coins. Differ-years.

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On the Current Coins.

[21ST CONG. 1ST SESS.

All these Spanish coins are reduced in various degrees | sought to be ascertained. When the Spanish dollars and from their original weights. All of them have been re- their parts now in our circulation are considered in their duced by use, and many of them also by artificial means; aggregate quantity, it is estimated that at this time, the and many of these coins are exceedingly diminished. It entire mass is at least six per centum less in actual weight is estimated that these Spanish coins now in our circula than the full weight of our own silver coins. tion are at this time less in weight than their original full weights, by the following proportions:

The dollar about one per centum."
The half-dollar, about three per centum.
The quarter-dollar, about six per centum.

The eighth of a dollar, about eleven per centum.
The sixteenth of a dollar, about nineteen per centum.
These are averages of the rates of diminution of these
several coins; many of them of each denomination be
ing reduced more, and many less, than these estimated

rates.

Whatever may be the exact average of this disparity, great numbers of these Spanish coins are now reduced in weight, far below any average of the diminution of the aggregate quantity; great numbers of them are exceedingly inferior in intrinsic value, to our own coins of like denomi nations; and this portion of these Spanish coins is quite sufficient to operate with powerful effect upon the coins of our own mint.

The Spanish dollars, which are now a legal tender, are those, of which the actual weight is not less than seventeen penny weights and seven grains; and the parts of the In the year 1826, various foreign coins were examined Spanish dollar are not a legal tender, unless they have and weighed at the mint; the results were laid before the like proportional weight. There are very few Spanish Senate in January, 1827: and according to those results, dollars and not many Spanish half dollars now in our cir the diminution of these Spanish coins is somewhat less culation: and of those now in use, a few have the weight than it is stated to be by the estimates now made. The thus requisite to make them legal money. All or almost examination of the mint was undoubtedly faithful and ac all the Spanish quarter dollars are below the requisite curate; but the results which it then presented, are sub-weight; and most of them are reduced below that ject to the uncertainty which belongs to the estimates weight. The eighths and sixteenths of the Spanish dolnow made, and to all statements of such facts. It being lar are still more diminished; and all of them are far beimpossible to examine all the coins in circulation, all that can be done, is to examine, carefully, a great number of them; and to deduce from their various degrees of dimi nution, an average, which will probably be also the average of the diminution of the coins of the same kind, not examined. Such an examination and such a deduc tion of averages, were made by the mint of 1826; and a similar proceeding has been the foundation of the estimates now made. But the coins examined by any person, at any time or place, may be in their average, more or less diminished than an exact average of all the like coins in circulation: and it is believed that the Spanish dollars and their parts which were examined by the mint in 1826, must have been somewhat less diminished than the residue of these coins circulating in all parts of the United States. Minute differences between averages resulting from particular examinations are, however, of lit tle importance, where the results of all examinations con cur in showing the general state of the fact of diminution. An average of another kind will exhibit the diminution of these coins, in one view. Of these Spanish coins now in our circulation there are very few dollars, and the half dollars are not numerous The quarters, eighths, and sixteenths, are very numerous; they form a considerable portion of the circulating coins; their aggregate amount very far exceeds the amount of dollars and half dollars; and these minor coins are the pieces which are most diminished. An average of the diminution of all these Spanish dollars and their parts, deduced from the several amounts of the coins of each denomination believed to be now in our circulation, and their respetive rates of diminution, is estimated to be nearly seven per centum of the original weight and value of the aggregate quantity.

The Spanish dollars and their parts coined at different times, were not entirely uniform in weight; and the original full weight of some of these coins, was such, that the intrinsic value of the dollar was equal to a dollar and nearly a cent of our money. The proportious in which these coins of different emissions and different original weights, constitute the total sum now in our circulation, cannot be determined with any accuracy; but some of these coins originally a little more valuable than our own silver coins. are a part of the mass. Hence, the degree of diminution of these Spanish coins does not express with entire accuracy the actual difference of weight, between them and our own coins: and the actual weight of these Spanish coins at this time, is the important fact

low the weight required to make them a legal tender. Of all these coins, a very small portion, not perhaps amounting to a hundredth part, may have the weight prescribed by the law now in force; and these alone, are now legal money. The regulation by which Spanish dollars and their parts are thus legal money or not, according to their actual weight, was established in 1798. The legislature of that time were justly sensible of the mischief which would follow, if such of these coins as are inferior to our own in weight, should circulate as equal to them in value; and by this regulation, they intended to exclude such inferior coins from currency. Experience has shown that this discrimination of law, is without efficacy in fact. If the existing law were enforced in practice, such of these coins as are below the requisite weight, would not circulate. A very different consequence takes place; and in practice, all these coins are equally current, without regard to their actual weight. From the fact that some of these coins have the weight requisite to make them legal money, and from custom, inattention or the inconvenience of weighing coins, all of them are curren by tale, at full values. The actual weight of these coins is a test of their value, used only by those who by means of lighter coins, withdraw heavier coins from circulation: and in the indiscriminate currency of all these coins by tale, the large por tion of them which is much reduced in weight, has ample scope for the mischiefs which diminished coins never fail to produce.

The mint of the United States, from its commencement to the first day of the present year, has issued coins amounting to the following sums: Gold coins,

Silver coins,

Total amount of gold and silver coins,
Copper coins, about

8,691,530 00 25.266,077 90 83,957,607 90 539,530 00

The coins of all kinds now in the United States are estimated to amount to about twenty-three millions of dollars. Of this amount, it is estimated that about fourteen millions consist of our own coins; about five millions of Spanish dollars and their parts; and about four millions of various other foreign coins.

Of the gold and silver coins issued by our mint, amounting nearly to thirty-four millions of dollars, a portion not exceeding fourteen millions of dollars now remains in this country. in the form of coins; and this portion consists al most wholly of the coins of silver.

Our gold coins are withdrawn from circulation, chiefly by the operation of a particular cause, not now discussed.

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On the Current Coins.

[SENATE.

More than one-third of our silver coins have departed | understood by the inhabitants of the local scene where it

from circulation.

Almost all the early silver coins of our mint have disappeared. Our silver coins now current, are principally those issued within the last ten years; and of these, the greater portion are of the most recent emissions.

Our silver coins are to a great extent, treated as bullion; and whether they are converted into bullion, or pass into manufactures, or are exported, they are lost to the use of the community, as coins.

The diminished Spanish coins are neither converted into bullion, nor exported, nor used in manufactures; and they continue in circulation.

The Spanish coins circulating as equivalent to our own coins of like nominal value, are chiefly the instruments, by which our own coins are withdrawn from circulation. By means of these Spanish coins, of very reduced weight, our own coins of full weight or very slightly reduced, are procured and converted into bullion, or used as bullion in manufactures or for exportation. The inevitable consequence of coins current at the same value, while they are not of the same weight, takes place; the excess of intrinsic value of our own coins, over that of the diminished Spanish coins, is gained by somebody; our own coins disappear; and the lighter Spanish pieces continue in circulation.

prevails, is little known by others. These denominations with their various significations, had existed in many of the States, before the establishment of our national system of money; and they had been applied to the Spanish silver coins, which were then the most common money of the country. The same denominations are still continued by custom; and this usage is prolonged by the presence and currency of the Spanish coin, with which the denominations of pounds, shillings, and pence, have been so long associated. When these Spanish coins shall disappear, the denominations of pounds, shillings and pence will soon cease; prices and debts will be stated in dollars and cents; and not only will our coins be uniform, but we shall also enjoy in practice, the great convenience of a uniform expression of values in the national money, in every part of the United States.

While these Spanish coins are legal money, they will not be converted into our own coins. The possessor of these coins can gain nothing by their recoinage, when they are equal in weight to our own coins; and when they are inferior in weight, but still equal in current value, he will certainly not employ the mint to convert his diminished coins into a less number of pieces.

Own

It has been said that we are not ready to dispense with these Spanish coins, because our own coins have not yet Some other causes have slightly contributed to with- taken their place in circulation. Our own coins have not draw our silver coins from circulation; but these minor taken their place in circulation, because these foreign coins causes are inadequate to the magnitude of the effect have had the currency and the sanction of law which which has been produced. The silver coins issued by they now possess: and while they enjoy this powerour mint have exceeded the amount of all the coins now ful protection, they cannot be replaced by our in the United States; and the portion of these silver coins. Not only will these Spanish coins continue to circoins which has disappeared, is a sum greater than the culate, but diminished as they now are, they will to a amount of all the foreign coins now in this country. An great extent, expel our own coins from circulation. amount not less than eleven millions of dollars of our sil- the currency of these Spanish coins cannot be disconver coins has been withdrawn from circulation; and the tinued without some inconvenience, that inconvenience concurrent use of Spanish coins inferior to our own coins will be transient; will be soon succeeded by the great be in weight and intrinsic value, but of equal value in cur-nefit of sound and uniform coins of our own mint; and rency by tale, has been the principal cause of this fact. will be itself the price, without which, that benefit cannot be obtained.

Though a large amount of our coins has disappeared, the increasing emissions of the mint would soon supply their place, if our own coins could remain in circulation, Our silver coins would remain in circulation, if they were not incessantly displaced by diminished Spanish coins; and while this cause shall exist, it will be impossible to retain any great quantity of our silver coins in currency. The injury already done by these Spanish coins has been great; and if they could suffer no farther diminution, they would continue to produce like mischief, in future. But these coins must become still more reduced by longer circulation; and as they shall decrease in weight, they will more and more banish our own coins from circulation. As diminished coins, they cannot be tolerated: their currency is incompatible with the due progress and success of our own system of money; and it is indispensable to the preservation of our own coins, that the currency of these Spanish coins should cease.

If

It is in our power to possess a sufficient supply of our own coins; but we never can enjoy this great convenience end. We are in no want of gold and silver; and in a without employing the means which are necessary to the country so rich, industrious, and commercial, there never can be any deficiency of these metals, of long durahave been, during the four years which are specified, as tion. Our recent imports and exports of gold and silver,

follows:

tieth day of September, 1825.
From the thirtieth day of September, 1824, to the thir-

Imports, 6,150,765 dollars.
Exports, 8,797,055 dollars.
September, 1826;
From the thirtieth day of September 1825, to the thir-

tieth day of

Imports, 6,880,966 dollars.
Exports, 4,098.678 dollars."

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From the thirtieth day of September, 1826, to the thir-
September, 1827;

Imports, 8,151,130 dollars.
Exports, 7,971,306 dollars.
From the thirtieth day of September, 1827, to the thir-
tieth day of September, 1828;

Imports, 7,489,741 dollars.
Exports, 7,550,439 dollars.

In many parts of our country, prices and debts are ex-tieth day of pressed in dollars and cents, according to our legal nomenclature of money and our own coins; but in other parts of the republic, prices and pecuniary sums are, to a great extent, expressed in pounds, shillings and pence, and especially in shillings and pence. Pounds, shillings, and pence are merely a money of account, unknown to our laws; and to state accurately the value of our own These great quantities of the precious metals are brought coins in this money, calculations involving small fractions into our country, and when here, are ready to satisfy any are necessary. This inconvenience alone is great. A demand, internal or foreign, which may exist. They much greater evil is, that these pounds, shillings and are now exported soon after they arrive. Any por pence, are of four dissimilar kinds, in different States and tion of the gold and silver imported, which may be replaces; each of them making different divisions of the Spanish dollar, and its parts, into shillings and pence; and each of these discordant imaginary moneys, though

quisite for a supply of our own coins, may be retained for that object; but this purpose cannot be accomplished, without rendering our own coins necessary for the uses

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On the Current Coins.

[21ST CONG. 1ST SESS.

of money. Coins are converted into bullion, and bullion | seaports; where they are held rather as articles of meris converted into coins by the mint, at the pleasure of chandize, than as circulating coins. The minor coins and every possessor of coins or bullion; the object of either especially the quarters, eighths, and sixteenths of the conversion, is gain; and the possessor of bullion will not Spanish dollar, are in active circulation in all parts of our employ the mint to coin it, unless coins are more valuable country. These coins being in common use, great numbers than the uncoined metal, A demand for coins for the of them will circulate by consent, after they shall cease to offices of money, renders them more valuable than be legal money; as all of them now circulate freely, when bullion and an adequate supply of coins can never be very few of them are a legal tender. No great quantity obtained and held in circulation, otherwise than by an of these Spanish coins will be presented for re-coinage, at effective demand for coins as money. any particular time. This measure will therefore produce no inconvenient pressure upon the community or the mint; and its practical effect will be, that these Spanish coins will be gradually withdrawn from circulation, and gradually replaced by our own coins.

Whatever may be the amount of the coins possessed by the community, and whether the offices of money are per formed wholly by coins, or partly by coins and partly by credit in the forms of paper money, it is of the highest moment, that the coins which are the only legal money. should be uniform and current, according to their true values.

To depend upon foreign coins for our ordinary domestic use, is unworthy of ourselves and our condition. We have all the reasons of policy which induce nations to establish and coin money for themselves we have all the meaus for coining our own money: our own system of money, our mint and our own coins, are no longer, in their infancy: and the just pride of national character should now discard the foreign coins which were from necessity adopted and used by the country, in its colonial

state.

We are not prepared for the immediate operation of the rule by which our silver coins less than a dollar, will not be a legal tender for payment of large sums. Our gold coins are withdrawn from circulation, soon after they are issued from the mint; and we have very few dollars of our own mint, now in currency. A delay which may enable us to provide a suitable amount of dollars or of dol lars and gold coins, must therefore be allowed.-The proposed regulation should be now established, that all may prepare for its effect; and the time assigned for the commencement of its operation, should be sufficiently remote to allow requisite preparation, and sufficiently near to impose the necessity and give the impulse, without which

The currency of these Spanish coins must now be abol-preparation will not be made. ished, or at least be checked. As these coins are widely The values of gold and silver, in their relation to each diffused, and cannot be immediately replaced in circulation by our own coins, it would be too rigorous to prohibit at once their currency by consent. Their circulation may be checked, by depriving them altogether of the character of legal money, and this is the measure which is now recommended. Being in familiar use, these coins will still to a great extent circulate by consent; and though any circulation of these coins will be pernicious, their currency, by consent of parties, may for some time longer be tolerated.

other, now established in our coins, are different from the relative values of these metals in commerce, the legal valuation of gold being too low, and that of silver too high. Our gold coins are withdrawn from circulation, chiefly by the operation of this erroneous proportion. This subject is now under examination by the Secretary of the Treasury, in pursuance of a resolution of the Senate; and it is believed, that by suitable regulations the convenience of gold coins may be secured to the country. But if this object should not be attained, and our coins shall hereafter Our mint is in a very satisfactory state. Its officers pos- cousist as they now do, of silver, the coins of this metal sess all the skill requisite for their stations; the modern-hould be such as are best adapted to public convenience. improvements in the art of coining have been adopted; Without the regulation now proposed, dollars will not and the machinery proper for fabricating all our coins, is be coined. or if coined, will not remain in circulation; provided, and is in use. The establishment is complete and the dollar, the largest silver coin authorized by in all the faculties of a national mint; and being complete law, the unit of our system of money, will be known in its organization, its capacity to issue coins may be only as a money of account, not represented by any sensieasily enlarged Our coinage has hitherto been per-ble object. formed in an edifice extremely unsuitable for the opera- Had this regulation been in force from the commencetions of a mint; but under this disadvantage, the mint has ment of our system, we should now have in currency a been able to coin without much delay, all the gold and due proportion of the higher coins. All our coins having silver which have been presented for coinage. In pur-been indiscriminately legal for all the purposes of money, suance of a recen. provision of law, a new edifice for the the causes which subtract large coins from circulation have use of the mint is now in a course of construction; and had unrestrained operation; and we are now almost dethis structure will afford ample accommodation for all the stitute of the higher coins which our system has wisely operations of a great mint. It will be completed in Jan-authorized. uary or February, 1831; and the mint will be established and in full operation in the new edifice, before the fourth day of July, 1831. The mint is now able to fabricate and issue coins to the amount of five millions of dollars in a year; and it will soon be able to coin ten millions of dollars in a year, or any greater sum which our wants may require.

The proposed regulations concerning the legal tender of the copper coins, and the legal tender of diminished coins of silver and gold, may, without inconvenience, bave immediate operation..

It is proposed that the regulation by which Spanish dollars and their parts will cease to be a legal tender, shall take effect on the fourth day of July, 1831. Before that time, all these Spanish coins now in the United States, may be recoined, if they should be presented to the mint, for that purpose. Almost all the Spanish dollars now in this country, are collected in the commercial

When this regulation shall be in force, a portion of the current coins must consist either of dollars, or of dollars and gold; but this portion will probably be no great part of the aggregate amount of our coins. Large sums will from convenience be in general received and paid as they now are, in paper money. An amount of dollars and gold or of dollars sufficient for all the exigencies which are likely to arise from the operation of this rule, may be coined within two years. That an interval may be allowed, which shall be amply sufficient for all necessary preparation, in respect both to the convenience of the community and the ability of the mint, the fourth day of July, 1833. is proposed as the time when this regulation shall take effect.

Our system of money is in the main excellent; and in most of its great principles, no innovation can be made with advantage. But it is not perfect, and it is susceptible of much improvement. The design of this report

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