Volume 6 / Part 3 — PART III.—Continued. LETTERS WRITTEN AFTER HIS RETURN TO THE U. S. DOWN TO THE TIME OF HIS DEATH. 1790-1826. (continued 6)

With respect to aristocracy, we should further consider, that before the establishment of the American States, nothing was known to history but the man of the old world, crowded within limits either small or overcharged, and steeped in the vices which that situation generates. A government adapted to such men would be one thing; but a very different one, that for the man of these States. Here every one may have land to labor for himself, if he chooses; or, preferring the exercise of any other industry, may exact for it such compensation as not only to afford a comfortable subsistence, but wherewith to provide for a cessation from labor in old age. Every one, by his property, or by his satisfactory situation, is interested in the support of law and order. And such men may safely and advantageously reserve to themselves a wholesome control over their public affairs, and a degree of freedom, which, in the hands of the canaille of the cities of Europe, would be instantly perverted to the demolition and destruction of everything public and private. The history of the last twenty-five years of France, and of the last forty years in America, nay of its last two hundred years, proves the truth of both parts of this observation.

But even in Europe a change has sensibly taken place in the mind of man. Science had liberated the ideas of those who read and reflect, and the American example had kindled feelings of right in the people. An insurrection has consequently begun, of science, talents, and courage, against rank and birth, which have fallen into contempt. It has failed in its first effort, because the mobs of the cities, the instrument used for its accomplishment, debased by ignorance, poverty, and vice, could not be restrained to rational action. But the world will recover from the panic of this first catastrophe. Science is progressive, and talents and enterprise on the alert. Resort may be had to the people of the country, a more governable power from their principles and subordination; and rank, and birth, and tinsel-aristocracy will finally shrink into insignificance, even there. This, however, we have no right to meddle with. It suffices for us, if the moral and physical condition of our own citizens qualifies them to select the able and good for the direction of their government, with a recurrence of elections at such short periods as will enable them to displace an unfaithful servant, before the mischief he meditates may be irremediable.

I have thus stated my opinion on a point on which we differ, not with a view to controversy, for we are both too old to change opinions which are the result of a long life of inquiry and reflection; but on the suggestions of a former letter of yours, that we ought not to die before we have explained ourselves to each other. We acted in perfect harmony, through a long and perilous contest for our liberty and independence. A constitution has been acquired, which, though neither of us thinks perfect, yet both consider as competent to render our fellow citizens the happiest and the securest on whom the sun has ever shone. If we do not think exactly alike as to its imperfections, it matters little to our country, which, after devoting to it long lives of disinterested labor, we have delivered over to our successors in life, who will be able to take care of it and of themselves.

Of the pamphlet on aristocracy which has been sent to you, or who may be its author, I have heard nothing but through your letter. If the person you suspect, it may be known from the quaint, mystical, and hyperbolical ideas, involved in affected, new-fangled and pedantic terms which stamp his writings. Whatever it be, I hope your quiet is not to be affected at this day by the rudeness or intemperance of scribblers; but that you may continue in tranquillity to live and to rejoice in the prosperity of our country, until it shall be your own wish to take your seat among the aristoi who have gone before you. Ever and affectionately yours.

TO JOHN W. EPPES.

Monticello, November 6, 1813.

Dear Sir,—I had not expected to have troubled you again on the subject of finance; but since the date of my last, I have received from Mr. Law a letter covering a memorial on that subject, which, from its tenor, I conjecture must have been before Congress at their two last sessions. This paper contains two propositions; the one for issuing treasury notes, bearing interest, and to be circulated as money; the other for the establishment of a national bank. The first was considered in my former letter; and the second shall be the subject of the present.

The scheme is for Congress to establish a national bank, suppose of thirty millions capital, of which they shall contribute ten millions in new six per cent. stock, the States ten millions, and individuals ten millions, one half of the two last contributions to be of similar stock, for which the parties are to give cash to Congress; the whole, however, to be under the exclusive management of the individual subscribers, who are to name all the directors; neither Congress nor the States having any power of interference in its administration. Discounts are to be at five per cent., but the profits are expected to be seven per cent. Congress then will be paying six per cent. on twenty millions, and receiving seven per cent. on ten millions, being its third of the institution; so that on the ten millions cash which they receive from the States and individuals, they will, in fact, have to pay but five per cent. interest. This is the bait. The charter is proposed to be for forty or fifty years, and if any future augmentations should take place, the individual proprietors are to have the privilege of being the sole subscribers for that. Congress are further allowed to issue to the amount of three millions of notes, bearing interest, which they are to receive back in payment for lands at a premium of five or ten per cent., or as subscriptions for canals, roads, and bridges, in which undertakings they are, of course, to be engaged. This is a summary of the case as I understand it; but it is very possible I may not understand it in all its parts, these schemes being always made unintelligible for the gulls who are to enter into them. The advantages and disadvantages shall be noted promiscuously as they occur; leaving out the speculation of canals, &c., which, being an episode only in the scheme, may be omitted, to disentangle it as much as we can.

1. Congress are to receive five millions from the States (if they will enter into this partnership, which few probably will), and five millions from the individual subscribers, in exchange for ten millions of six per cent. stock, one per cent. of which, however, they will make on their ten millions of stock remaining in bank, and so reduce it, in effect, to a loan of ten millions at five per cent. interest. This is good; but

2. They authorize this bank to throw into circulation ninety millions of dollars, (three times the capital,) which increases our circulating medium fifty per cent., depreciates proportionably the present value of a dollar, and raises the price of all future purchases in the same proportion.

3. This loan of ten millions at five per cent., is to be once for all, only. Neither the terms of the scheme, nor their own prudence could ever permit them to add to the circulation in the same, or any other way, for the supplies of the succeeding years of the war. These succeeding years then are to be left unprovided for, and the means of doing it in a great measure precluded.

4. The individual subscribers, on paying their own five millions of cash to Congress, become the depositories of ten millions of stock belonging to Congress, five millions belonging to the States, and five millions to themselves, say twenty millions, with which, as no one has a right ever to see their books, or to ask a question, they may choose their time for running away, after adding to their booty the proceeds of as much of their own notes as they shall be able to throw into circulation.

5. The subscribers may be one, two, or three, or more individuals, (many single individuals being able to pay in the five millions,) whereupon this bank oligarchy or monarchy enters the field with ninety millions of dollars, to direct and control the politics of the nation; and of the influence of these institutions on our politics, and into what scale it will be thrown, we have had abundant experience. Indeed, England herself may be the real, while her friend and trustee here shall be the nominal and sole subscriber.

6. This state of things is to be fastened on us, without the power of relief, for forty or fifty years. That is to say, the eight millions of people now existing, for the sake of receiving one dollar and twenty-five cents apiece, at five per cent. interest, are to subject the fifty millions of people who are to succeed them within that term, to the payment of forty-five millions of dollars, principal and interest, which will be payable in the course of the fifty years.

7. But the great and national advantage is to be the relief of the present scarcity of money, which is produced and proved by,

1. The additional industry created to supply a variety of articles for the troops, ammunition, &c.

2. By the cash sent to the frontiers, and the vacuum occasioned in the trading towns by that.

3. By the late loans.

4. By the necessity of recurring to shavers with good paper, which the existing banks are not able to take up; and

5. By the numerous applications of bank charters, showing that an increase of circulating medium is wanting.

Let us examine these causes and proofs of the want of an increase of medium, one by one.

1. The additional industry created to supply a variety of articles for troops, ammunition, &c. Now, I had always supposed that war produced a diminution of industry, by the number of hands it withdraws from industrious pursuits for employment in arms, &c., which are totally unproductive. And if it calls for new industry in the articles of ammunition and other military supplies, the hands are borrowed from other branches on which the demand is slackened by the war; so that it is but a shifting of these hands from one pursuit to another.

2. The cash sent to the frontiers occasions a vacuum in the trading towns, which requires a new supply. Let us examine what are the calls for money to the frontiers. Not for clothing, tents, ammunition, arms, which are all bought in the trading towns. Not for provisions; for although these are bought partly in the immediate country, bank bills are more acceptable there than even in the trading towns. The pay of the army calls for some cash, but not a great deal, as bank notes are as acceptable with the military men, perhaps more so; and what cash is sent must find its way back again in exchange for the wants of the upper from the lower country. For we are not to suppose that cash stays accumulating there forever.

3. This scarcity has been occasioned by the late loans. But does the government borrow money to keep it in their coffers? Is it not instantly restored to circulation by payment for its necessary supplies? And are we to restore a vacuum of twenty millions of dollars by an emission of ninety millions?

4. The want of medium is proved by the recurrence of individuals with good paper to brokers at exorbitant interest; and

5. By the numerous applications to the State governments for additional banks; New York wanting eighteen millions, Pennsylvania ten millions, &c. But say more correctly, the speculators and spendthrifts of New York and Pennsylvania, but never consider them as being the States of New York and Pennsylvania. These two items shall be considered together.

It is a litigated question, whether the circulation of paper, rather than of specie, is a good or an evil. In the opinion of England and of English writers it is a good; in that of all other nations it is an evil; and excepting England and her copyist, the United States, there is not a nation existing, I believe, which tolerates a paper circulation. The experiment is going on, however, desperately in England, pretty boldly with us, and at the end of the chapter, we shall see which opinion experience approves: for I believe it to be one of those cases where mercantile clamor will bear down reason, until it is corrected by ruin. In the meantime, however, let us reason on this new call for a national bank.

After the solemn decision of Congress against the renewal of the charter of the bank of the United States, and the grounds of that decision, (the want of constitutional power,) I had imagined that question at rest, and that no more applications would be made to them for the incorporation of banks. The opposition on that ground to its first establishment, the small majority by which it was overborne, and the means practiced for obtaining it, cannot be already forgotten. The law having passed, however, by a majority, its opponents, true to the sacred principle of submission to a majority, suffered the law to flow through its term without obstruction. During this, the nation had time to consider the constitutional question, and when the renewal was proposed, they condemned it, not by their representatives in Congress only, but by express instructions from different organs of their will. Here then we might stop, and consider the memorial as answered. But, setting authority apart, we will examine whether the Legislature ought to comply with it, even if they had the power.

Proceeding to reason on this subject, some principles must be premised as forming its basis. The adequate price of a thing depends on the capital and labor necessary to produce it. [In the term capital, I mean to include science, because capital as well as labor has been employed to acquire it.] Two things requiring the same capital and labor, should be of the same price. If a gallon of wine requires for its production the same capital and labor with a bushel of wheat, they should be expressed by the same price, derived from the application of a common measure to them. The comparative prices of things being thus to be estimated and expressed by a common measure, we may proceed to observe, that were a country so insulated as to have no commercial intercourse with any other, to confine the interchange of all its wants and supplies within itself, the amount of circulating medium, as a common measure for adjusting these exchanges, would be quite immaterial. If their circulation, for instance, were of a million of dollars, and the annual produce of their industry equivalent to ten millions of bushels of wheat, the price of a bushel of wheat might be one dollar. If, then, by a progressive coinage, their medium should be doubled, the price of a bushel of wheat might become progressively two dollars, and without inconvenience. Whatever be the proportion of the circulating medium to the value of the annual produce of industry, it may be considered as the representative of that industry. In the first case, a bushel of wheat will be represented by one dollar; in the second, by two dollars. This is well explained by Hume, and seems admitted by Adam Smith, B. 2. c. 2, 436, 441, 490. But where a nation is in a full course of interchange of wants and supplies with all others, the proportion of its medium to its produce is no longer indifferent. Ib. 441. To trade on equal terms, the common measure of values should be as nearly as possible on a par with that of its corresponding nations, whose medium is in a sound state; that is to say, not in an accidental state of excess or deficiency. Now, one of the great advantages of specie as a medium is, that being of universal value, it will keep itself at a general level, flowing out from where it is too high into parts where it is lower. Whereas, if the medium be of local value only, as paper money, if too little, indeed, gold and silver will flow in to supply the deficiency; but if too much, it accumulates, banishes the gold and silver not locked up in vaults and hoards, and depreciates itself; that is too say, its proportion to the annual produce of industry being raised, more of it is required to represent any particular article of produce than in the other countries. This is agreed by Smith, (B. 2. c. 2. 437,) the principal advocate for a paper circulation; but advocating it on the sole condition that it be strictly regulated. He admits, nevertheless, that "the commerce and industry of a country cannot be so secure when suspended on the Dædalian wings of paper money, as on the solid ground of gold and silver; and that in time of war, the insecurity is greatly increased, and great confusion possible where the circulation is for the greater part in paper." B. 2. c. 2. 484. But in a country where loans are uncertain, and a specie circulation the only sure resource for them, the preference of that circulation assumes a far different degree of importance, as is explained in my former letters.

The only advantage which Smith proposes by substituting paper in the room of gold and silver money, B. 2. c. 2. 434, is "to replace an expensive instrument with one much less costly, and sometimes equally convenient;" that is to say, page 437, "to allow the gold and silver to be sent abroad and converted into foreign goods," and to substitute paper as being a cheaper measure. But this makes no addition to the stock or capital of the nation. The coin sent out was worth as much, while in the country, as the goods imported and taking its place. It is only, then, a change of form in a part of the national capital, from that of gold and silver to other goods. He admits, too, that while a part of the goods received in exchange for the coin exported may be materials, tools and provisions for the employment of an additional industry, a part, also, may be taken back in foreign wines, silks, &c., to be consumed by idle people who produce nothing; and so far the substitution promotes prodigality, increases expense and corruption, without increasing production. So far also, then, it lessens the capital of the nation. What may be the amount which the conversion of the part exchanged for productive goods may add to the former productive mass, it is not easy to ascertain, because, as he says, page 441, "it is impossible to determine what is the proportion which the circulating money of any country bears to the whole value of the annual produce. It has been computed by different authors, from a fifth[6] to a thirtieth of that value." In the United States it must be less than in any other part of the commercial world; because the great mass of their inhabitants being in responsible circumstances, the great mass of their exchanges in the country is effected on credit, in their merchants' ledger, who supplies all their wants through the year, and at the end of it receives the produce of their farms, or other articles of their industry. It is a fact, that a farmer with a revenue of ten thousand dollars a year, may obtain all his supplies from his merchant, and liquidate them at the end of the year, by the sale of his produce to him, without the intervention of a single dollar of cash. This, then, is merely barter, and in this way of barter a great portion of the annual produce of the United States is exchanged without the intermediation of cash. We might safely, then, state our medium at the minimum of one-thirtieth. But what is one-thirtieth of the value of the annual produce of the industry of the United States? Or what is the whole value of the annual produce of the United States? An able writer and competent judge of the subject, in 1799, on as good grounds as probably could be taken, estimated it, on the then population of four and a half millions of inhabitants, to be thirty-seven and a half millions sterling, or one hundred and sixty-eight and three-fourths millions of dollars. See Cooper's Political Arithmetic, page 47. According to the same estimate for our present population, it will be three hundred millions of dollars, one-thirtieth of which, Smith's minimum, would be ten millions, and one-fifth, his maximum, would be sixty millions for the quantum of circulation. But suppose that instead of our needing the least circulating medium of any nation, from the circumstance before mentioned, we should place ourselves in the middle term of the calculation, to-wit: at thirty-five millions. One-fifth of this, at the least, Smith thinks should be retained in specie, which would leave twenty-eight millions of specie to be exported in exchange for other commodities; and if fifteen millions of that should be returned in productive goods, and not in articles of prodigality, that would be the amount of capital which this operation would add to the existing mass. But to what mass? Not that of the three hundred millions, which is only its gross annual produce, but to that capital of which the three hundred millions are but the annual produce. But this being gross, we may infer from it the value of the capital by considering that the rent of lands is generally fixed at one-third of the gross produce, and is deemed its nett profit, and twenty times that its fee simple value. The profits on landed capital may, with accuracy enough for our purpose, be supposed on a par with those of other capital. This would give us then for the United States, a capital of two thousand millions, all in active employment, and exclusive of unimproved lands lying in a great degree dormant. Of this, fifteen millions would be the hundred and thirty-third part. And it is for this petty addition to the capital of the nation, this minimum of one dollar, added to one hundred and thirty-three and a third or three-fourths per cent., that we are to give up our gold and silver medium, its intrinsic solidity, its universal value, and its saving powers in time of war, and to substitute for it paper, with all its train of evils, moral, political and physical, which I will not pretend to enumerate.

There is another authority to which we may appeal for the proper quantity of circulating medium for the United States. The old Congress, when we were estimated at about two millions of people, on a long and able discussion, June 22d, 1775, decided the sufficient quantity to be two millions of dollars, which sum they then emitted.[7] According to this, it should be eight millions, now that we are eight millions of people. This differs little from Smith's minimum of ten millions, and strengthens our respect for that estimate.

There is, indeed, a convenience in paper; its easy transmission from one place to another. But this may be mainly supplied by bills of exchange, so as to prevent any great displacement of actual coin. Two places trading together balance their dealings, for the most part, by their mutual supplies, and the debtor individuals of either may, instead of cash, remit the bills of those who are creditors in the same dealings; or may obtain them through some third place with which both have dealings. The cases would be rare where such bills could not be obtained, either directly or circuitously, and too unimportant to the nation to overweigh the train of evils flowing from paper circulation.

From eight to thirty-five millions then being our proper circulation, and two hundred millions the actual one, the memorial proposes to issue ninety millions more, because, it says, a great scarcity of money is proved by the numerous applications for banks; to wit, New York for eighteen millions, Pennsylvania ten millions, &c. The answer to this shall be quoted from Adam Smith, B. 2. c. 2. page 462; where speaking of the complaints of the trader against the Scotch bankers, who had already gone too far in their issues of paper, he says, "those traders and other undertakers having got so much assistance from banks, wished to get still more. The banks, they seem to have thought, could extend their credits to whatever sum might be wanted, without incurring any other expense besides that of a few reams of paper. They complained of the contracted views and dastardly spirit of the directors of those banks, which did not, they said, extend their credits in proportion to the extension of the trade of the country; meaning, no doubt, by the extension of that trade, the extension of their own projects beyond what they could carry on, either with their own capital, or with what they had credit to borrow of private people in the usual way of bond or mortgage. The banks, they seem to have thought, were in honor bound to supply the deficiency, and to provide them with all the capital which they wanted to trade with." And again, page 470: "when bankers discovered that certain projectors were trading, not with any capital of their own, but with that which they advanced them, they endeavored to withdraw gradually, making every day greater and greater difficulties about discounting. These difficulties alarmed and enraged in the highest degree those projectors. Their own distress, of which this prudent and necessary reserve of the banks was no doubt the immediate occasion, they called the distress of the country; and this distress of the country, they said, was altogether owing to the ignorance, pusillanimity, and bad conduct of the banks, which did not give a sufficiently liberal aid to the spirited undertakings of those who exerted themselves in order to beautify, improve and enrich the country. It was the duty of the banks, they seemed to think, to lend for as long a time, and to as great an extent, as they might wish to borrow." It is, probably, the good paper of these projectors which the memorial says, the bank being unable to discount, goes into the hands of brokers, who (knowing the risk of this good paper) discount it at a much higher rate than legal interest, to the great distress of the enterprising adventurers, who had rather try trade on borrowed capital, than go to the plough or other laborious calling. Smith again says, page 478, "that the industry of Scotland languished for want of money to employ it, was the opinion of the famous Mr. Law. By establishing a bank of a particular kind, which, he seems to have imagined might issue paper to the amount of the whole value of all the lands in the country, he proposed to remedy this want of money. It was afterwards adopted, with some variations, by the Duke of Orleans, at that time Regent of France. The idea of the possibility of multiplying paper to almost any extent, was the real foundation of what is called the Mississippi scheme, the most extravagant project both of banking and stock jobbing, that perhaps the world ever saw. The principles upon which it was founded are explained by Mr. Law himself, in a discourse concerning money and trade, which he published in Scotland when he first proposed his project. The splendid but visionary ideas which are set forth in that and some other works upon the same principles, still continue to make an impression upon many people, and have perhaps, in part, contributed to that excess of banking which has of late been complained of both in Scotland and in other places." The Mississippi scheme, it is well known, ended in France in the bankruptcy of the public treasury, the crush of thousands and thousands of private fortunes, and scenes of desolation and distress equal to those of an invading army, burning and laying waste all before it.

At the time we were funding our national debt, we heard much about "a public debt being a public blessing;" that the stock representing it was a creation of active capital for the aliment of commerce, manufactures and agriculture. This paradox was well adapted to the minds of believers in dreams, and the gulls of that size entered bonâ fide into it. But the art and mystery of banks is a wonderful improvement on that. It is established on the principle that "private debts are a public blessing." That the evidences of those private debts, called bank notes, become active capital, and aliment the whole commerce, manufactures, and agriculture of the United States. Here are a set of people, for instance, who have bestowed on us the great blessing of running in our debt about two hundred millions of dollars, without our knowing who they are, where they are, or what property they have to pay this debt when called on; nay, who have made us so sensible of the blessings of letting them run in our debt, that we have exempted them by law from the repayment of these debts beyond a given proportion, (generally estimated at one-third.) And to fill up the measure of blessing, instead of paying, they receive an interest on what they owe from those to whom they owe; for all the notes, or evidences of what they owe, which we see in circulation, have been lent to somebody on an interest which is levied again on us through the medium of commerce. And they are so ready still to deal out their liberalities to us, that they are now willing to let themselves run in our debt ninety millions more, on our paying them the same premium of six or eight per cent. interest, and on the same legal exemption from the repayment of more than thirty millions of the debt, when it shall be called for. But let us look at this principle in its original form, and its copy will then be equally understood. "A public debt is a public blessing." That our debt was juggled from forty-three up to eighty millions, and funded at that amount, according to this opinion was a great public blessing, because the evidences of it could be vested in commerce, and thus converted into active capital, and then the more the debt was made to be, the more active capital was created. That is to say, the creditors could now employ in commerce the money due them from the public, and make from it an annual profit of five per cent., or four millions of dollars. But observe, that the public were at the same time paying on it an interest of exactly the same amount of four millions of dollars. Where then is the gain to either party, which makes it a public blessing? There is no change in the state of things, but of persons only. A has a debt due to him from the public, of which he holds their certificate as evidence, and on which he is receiving an annual interest. He wishes, however, to have the money itself, and to go into business with it. B has an equal sum of money in business, but wishes now to retire, and live on the interest. He therefore gives it to A in exchange for A's certificates of public stock. Now, then, A has the money to employ in business, which B so employed before. B has the money on interest to live on, which A. lived on before; and the public pays the interest to B. which they paid to A. before. Here is no new creation of capital, no additional money employed, nor even a change in the employment of a single dollar. The only change is of place between A and B in which we discover no creation of capital, nor public blessing. Suppose, again, the public to owe nothing. Then A not having lent his money to the public, would be in possession of it himself, and would go into business without the previous operation of selling stock. Here again, the same quantity of capital is employed as in the former case, though no public debt exists. In neither case is there any creation of active capital, nor other difference than that there is a public debt in the first case, and none in the last; and we may safely ask which of the two situations is most truly a public blessing? If, then, a public debt be no public blessing, we may pronounce, à fortiori, that a private one cannot be so. If the debt which the banking companies owe be a blessing to any body, it is to themselves alone, who are realizing a solid interest of eight or ten per cent. on it. As to the public, these companies have banished all our gold and silver medium, which, before their institution, we had without interest, which never could have perished in our hands, and would have been our salvation now in the hour of war; instead of which they have given us two hundred million of froth and bubble, on which we are to pay them heavy interest, until it shall vanish into air, as Morris' notes did. We are warranted, then, in affirming that this parody on the principle of "a public debt being a public blessing," and its mutation into the blessing of private instead of public debts, is as ridiculous as the original principle itself. In both cases, the truth is, that capital may be produced by industry, and accumulated by economy; but jugglers only will propose to create it by legerdemain tricks with paper.

I have called the actual circulation of bank paper in the United States, two hundred millions of dollars. I do not recollect where I have seen this estimate; but I retain the impression that I thought it just at the time. It may be tested, however, by a list of the banks now in the United States, and the amount of their capital. I have no means of recurring to such a list for the present day; but I turn to two lists in my possession for the years of 1803 and 1804.

In 1803, there were thirty-four banks, whose capital was $28,902,000

In 1804, there were sixty-six, consequently thirty-two additional ones. Their capital is not stated, but at the average of the others, (excluding the highest, that of the United States, which was of ten millions,) they would be of six hundred thousand dollars each, and add 19,200,000

Making a total of $48,102,000

or say of fifty millions in round numbers. Now, every one knows the immense multiplication of these institutions since 1804. If they have only doubled, their capital will be of one hundred millions, and if trebled, as I think probable, it will be one hundred and fifty millions, on which they are at liberty to circulate treble the amount. I should sooner, therefore, believe two hundred millions to be far below than above the actual circulation. In England, by a late parliamentary document, (see Virginia Argus of October the 18th, 1813, and other public papers of about that date,) it appears that six years ago the Bank of England had twelve millions of pounds sterling in circulation, which had increased to forty-two millions in 1812, or to one hundred and eighty-nine millions of dollars. What proportion all the other banks may add to this, I do not know; if we were allowed to suppose they equal it, this would give a circulation of three hundred and seventy-eight millions, or the double of ours on a double population. But that nation is essentially commercial, ours essentially agricultural, and needing, therefore, less circulating medium, because the produce of the husbandman comes but once a year, and is then partly consumed at home, partly exchanged by barter. The dollar, which was of four shilling and sixpence sterling, was, by the same document, stated to be then six shillings and nine pence, a depreciation of exactly fifty per cent. The average price of wheat on the continent of Europe, at the commencement of its present war with England, was about a French crown, of one hundred and ten cents, the bushel. With us it was one hundred cents, and consequently we could send it there in competition with their own. That ordinary price has now doubled with us, and more than doubled in England; and although a part of this augmentation may proceed from the war demand, yet from the extraordinary nominal rise in the prices of land and labor here, both of which have nearly doubled in that period, and are still rising with every new bank, it is evident that were a general peace to take place to-morrow, and time allowed for the re-establishment of commerce, justice, and order, we could not afford to raise wheat for much less than two dollars, while the continent of Europe, having no paper circulation, and that of its specie not being augmented, would raise it at their former price of one hundred and ten cents. It follows, then, that with our redundancy of paper, we cannot, after peace, send a bushel of wheat to Europe, unless extraordinary circumstances double its price in particular places, and that then the exporting countries of Europe could undersell us.

It is said that our paper is as good as silver, because we may have silver for it at the bank where it issues. This is not true. One, two, or three persons might have it; but a general application would soon exhaust their vaults, and leave a ruinous proportion of their paper in its intrinsic worthless form. It is a fallacious pretence, for another reason. The inhabitants of the banking cities might obtain cash for their paper, as far as the cash of the vaults would hold out, but distance puts it out of the power of the country to do this. A farmer having a note of a Boston or Charleston bank, distant hundreds of miles, has no means of calling for the cash. And while these calls are impracticable for the country, the banks have no fear of their being made from the towns; because their inhabitants are mostly on their books, and there on sufferance only, and during good behavior.

In this state of things, we are called on to add ninety millions more to the circulation. Proceeding in this career, it is infallible, that we must end where the revolutionary paper ended. Two hundred millions was the whole amount of all the emissions of the old Congress, at which point their bills ceased to circulate. We are now at that sum, but with treble the population, and of course a longer tether. Our depreciation is, as yet, but about two for one. Owing to the support its credit receives from the small reservoirs of specie in the vaults of the banks, it is impossible to say at what point their notes will stop. Nothing is necessary to effect it but a general alarm; and that may take place whenever the public shall begin to reflect on, and perceive the impossibility that the banks should repay this sum. At present, caution is inspired no farther than to keep prudent men from selling property on long payments. Let us suppose the panic to arise at three hundred millions, a point to which every session of the legislatures hasten us by long strides. Nobody dreams that they would have three hundred millions of specie to satisfy the holders of their notes. Were they even to stop now, no one supposes they have two hundred millions in cash, or even the sixty-six and two-third millions, to which amount alone the law compels them to repay. One hundred and thirty-three and one-third millions of loss, then, is thrown on the public by law; and as to the sixty-six and two-thirds, which they are legally bound to pay, and ought to have in their vaults, every one knows there is no such amount of cash in the United States, and what would be the course with what they really have there? Their notes are refused. Cash is called for. The inhabitants of the banking towns will get what is in the vaults, until a few banks declare their insolvency; when, the general crush becoming evident, the others will withdraw even the cash they have, declare their bankruptcy at once, and leave an empty house and empty coffers for the holders of their notes. In this scramble of creditors, the country gets nothing, the towns but little. What are they to do? Bring suits? A million of creditors bring a million of suits against John Nokes and Robert Styles, wheresoever to be found? All nonsense. The loss is total. And a sum is thus swindled from our citizens, of seven times the amount of the real debt, and four times that of the fictitious one of the United States, at the close of the war. All this they will justly charge on their legislatures; but this will be poor satisfaction for the two or three hundred millions they will have lost. It is time, then, for the public functionaries to look to this. Perhaps it may not be too late. Perhaps, by giving time to the banks, they may call in and pay off their paper by degrees. But no remedy is ever to be expected while it rests with the State legislatures. Personal motive can be excited through so many avenues to their will, that, in their hands, it will continue to go on from bad to worse, until the catastrophe overwhelms us. I still believe, however, that on proper representations of the subject, a great proportion of these legislatures would cede to Congress their power of establishing banks, saving the charter rights already granted. And this should be asked, not by way of amendment to the constitution, because until three-fourths should consent, nothing could be done; but accepted from them one by one, singly, as their consent might be obtained. Any single State, even if no other should come into the measure, would find its interest in arresting foreign bank paper immediately, and its own by degrees. Specie would flow in on them as paper disappeared. Their own banks would call in and pay off their notes gradually, and their constituents would thus be saved from the general wreck. Should the greater part of the States concede, as is expected, their power over banks to Congress, besides insuring their own safety, the paper of the non-conceding States might be so checked and circumscribed, by prohibiting its receipt in any of the conceding States, and even in the non-conceding as to duties, taxes, judgments, or other demands of the United States, or of the citizens of other States, that it would soon die of itself, and the medium of gold and silver be universally restored. This is what ought to be done. But it will not be done. Carthago non delibitur. The overbearing clamor of merchants, speculators, and projectors, will drive us before them with our eyes open, until, as in France, under the Mississippi bubble, our citizens will be overtaken by the crush of this baseless fabric, without other satisfaction than that of execrations on the heads of those functionaries, who, from ignorance, pusillanimity or corruption, have betrayed the fruits of their industry into the hands of projectors and swindlers.

When I speak comparatively of the paper emission of the old Congress and the present banks, let it not be imagined that I cover them under the same mantle. The object of the former was a holy one; for if ever there was a holy war, it was that which saved our liberties and gave us independence. The object of the latter, is to enrich swindlers at the expense of the honest and industrious part of the nation.

The sum of what has been said is, that pretermitting the constitutional question on the authority of Congress, and considering this application on the grounds of reason alone, it would be best that our medium should be so proportioned to our produce, as to be on a par with that of the countries with which we trade, and whose medium is in a sound state; that specie is the most perfect medium, because it will preserve its own level; because, having intrinsic and universal value, it can never die in our hands, and it is the surest resource of reliance in time of war; that the trifling economy of paper, as a cheaper medium, or its convenience for transmission, weighs nothing in opposition to the advantages of the precious metals; that it is liable to be abused, has been, is, and forever will be abused, in every country in which it is permitted; that it is already at a term of abuse in these States, which has never been reached by any other nation, France excepted, whose dreadful catastrophe should be a warning against the instrument which produced it; that we are already at ten or twenty times the due quantity of medium; insomuch, that no man knows what his property is now worth, because it is bloating while he is calculating; and still less what it will be worth when the medium shall be relieved from its present dropsical state; and that it is a palpable falsehood to say we can have specie for our paper whenever demanded. Instead, then, of yielding to the cries of scarcity of medium set up by speculators, projectors and commercial gamblers, no endeavors should be spared to begin the work of reducing it by such gradual means as may give time to private fortunes to preserve their poise, and settle down with the subsiding medium; and that, for this purpose, the States should be urged to concede to the General Government, with a saving of chartered rights, the exclusive power of establishing banks of discount for paper.

To the existence of banks of discount for cash, as on the continent of Europe, there can be no objection, because there can be no danger of abuse, and they are a convenience both to merchants and individuals. I think they should even be encouraged, by allowing them a larger than legal interest on short discounts, and tapering thence, in proportion as the term of discount is lengthened, down to legal interest on those of a year or more. Even banks of deposit, where cash should be lodged, and a paper acknowledgment taken out as its representative, entitled to a return of the cash on demand, would be convenient for remittances, travelling persons, &c. But, liable as its cash would be to be pilfered and robbed, and its paper to be fraudulently re-issued, or issued without deposit, it would require skilful and strict regulation. This would differ from the bank of Amsterdam, in the circumstance that the cash could be redeemed on returning the note.

When I commenced this letter to you, my dear Sir, on Mr. Law's memorial, I expected a short one would have answered that. But as I advanced, the subject branched itself before me into so many collateral questions, that even the rapid views I have taken of each have swelled the volume of my letter beyond my expectations, and, I fear, beyond your patience. Yet on a revisal of it, I find no part which has not so much bearing on the subject as to be worth merely the time of perusal. I leave it then as it is; and will add only the assurances of my constant and affectionate esteem and respect.

TO JOHN JACOB ASTOR, ESQ.

Monticello, November 9, 1813.

Dear Sir,—Your favor of October 18th has been duly received, and I learn with great pleasure the progress you have made towards an establishment on Columbia river. I view it as the germ of a great, free and independent empire on that side of our continent, and that liberty and self-government spreading from that as well as this side, will ensure their complete establishment over the whole. It must be still more gratifying to yourself to foresee that your name will be handed down with that of Columbus and Raleigh, as the father of the establishment and founder of such an empire. It would be an afflicting thing indeed, should the English be able to break up the settlement. Their bigotry to the bastard liberty of their own country, and habitual hostility to every degree of freedom in any other, will induce the attempt; they would not lose the sale of a bale of furs for the freedom of the whole world. But I hope your party will be able to maintain themselves. If they have assiduously cultivated the interests and affections of the natives, these will enable them to defend themselves against the English, and furnish them an asylum even if their fort be lost. I hope, and have no doubt our government will do for its success whatever they have power to do, and especially that at the negotiations for peace, they will provide, by convention with the English, for the safety and independence of that country, and an acknowledgment of our right of patronizing them in all cases of injury from foreign nations. But no patronage or protection from this quarter can secure the settlement if it does not cherish the affections of the natives and make it their interest to uphold it. While you are doing so much for future generations of men, I sincerely wish you may find a present account in the just profits you are entitled to expect from the enterprise. I will ask of the President permission to read Mr. Stuart's journal. With fervent wishes for a happy issue to this great undertaking, which promises to form a remarkable epoch in the history of mankind, I tender you the assurance of my great esteem and respect.

JOHN ADAMS TO THOMAS JEFFERSON.

Quincy, November 12, 1813.

Dear Sir,—As I owe you more for your letters of October 12th and 28th than I shall be able to pay, I shall begin with the P. S. to the last.

I am very sorry to say that I cannot assist your memory in the inquiries of your letter of August 22d. I really know not who was the compositor of any one of the petitions or addresses you enumerate. Nay, further: I am certain I never did know. I was so shallow a politician that I was not aware of the importance of those compositions. They all appeared to me, in the circumstances of the country, like children's play at marbles or push-pin, or like misses in their teens, emulating each other in their pearls, their bracelets, their diamond pins and Brussels lace.

In the Congress of 1774, there was not one member, except Patrick Henry, who appeared to me sensible of the precipice, or rather the pinnacle on which we stood, and had candor and courage enough to acknowledge it. America is in total ignorance, or under infinite deception concerning that assembly. To draw the characters of them all would require a volume, and would now be considered as a characatured print. One-third Tories, another Whigs, and the rest Mongrels.

There was a little aristocracy among us of talents and letters. Mr. Dickinson was primus interpares, the bell-weather, the leader of the aristocratical flock.

Billy, alias Governor Livingston, and his son-in-law, Mr. Jay, were of the privileged order. The credit of most if not all those compositions, was often if not generally given to one or the other of these choice spirits. Mr. Dickinson, however, was not on any of the original committees. He came not into Congress till October 17th. He was not appointed till the 15th by his assembly.

Vol. 1, 30. Congress adjourned October 27th, though our correct secretary has not recorded any final adjournment or dissolution. Mr. Dickinson was in Congress but ten days. The business was all prepared, arranged, and even in a manner finished before his arrival.

R. H. Lee was the chairman of the committee for preparing the loyal and dutiful address to his majesty. Johnson and Henry were acute spirits, and understood the controversy very well, though they had not the advantages of education like Lee and John Rutledge.

The subject had been near a month under discussion in Congress, and most of the materials thrown out there. It underwent another deliberation in committee, after which they made the customary compliment to their chairman, by requesting him to prepare and report a draught, which was done, and after examination, correction, amelioration or pejoration, as usual reported to Congress. October 3d, 4th and 5th were taken up in debating and deliberating on matters proper to be contained in the address to his majesty, vol. 122. October 21st. The address to the king was, after debate, re-committed, and Mr. John Dickinson added to the committee. The first draught was made, and all the essential materials put together by Lee. It might be embellished and seasoned afterwards with some of Mr. Dickinson's piety, but I know not that it was. Neat and handsome as the composition is, having never had any confidence in the utility of it, I never have thought much about it since it was adopted. Indeed, I never bestowed much attention on any of those addresses which were all but repetitions of the same things, the same facts and arguments, dress and ornament rather than body, soul or substance. My thoughts and cares were nearly monopolized by the theory of our rights and wrongs, by measures for the defence of the country, and the means of governing ourselves. I was in a great error, no doubt, and am ashamed to confess it; for those things were necessary to give popularity to our cause both at home and abroad. And to show my stupidity in a stronger light, the reputation of any one of those compositions has been a more splendid distinction than any aristocratical star or garter in the escutcheon of every man who has enjoyed it. Very sorry that I cannot give you more satisfactory information, and more so that I cannot at present give more attention to your two last excellent letters. I am, as usual, affectionately yours.

N. B. I am almost ready to believe that John Taylor, of Caroline, or of Hazlewood, Port Royal, Virginia, is the author of 630 pages of printed octavo upon my books that I have received. The style answers every characteristic that you have intimated. Within a week I have received and looked into his Arator. They must spring from the same brain, as Minerva issued from the head of Jove, or rather as Venus rose from the froth of the sea. There is, however, a great deal of good sense in Arator, and there is some in his Aristocracy.

JOHN ADAMS TO THOMAS JEFFERSON.

Quincy, November 15, 1813.

Dear Sir,—Accept my thanks for the comprehensive syllabus in your favor of October 12th.

The Psalms of David, in sublimity, beauty, pathos and originality, or, in one word, in poetry, are superior to all the odes, hymns and songs in our language. But I had rather read them in our prose translation, than in any version I have seen. His morality, however, often shocks me, like Tristram Shandy's execrations.

Blacklock's translation of Horace's "Justum," is admirable; superior to Addison's. Could David be translated as well, his superiority would be universally acknowledged. We cannot compare the sublime poetry. By Virgil's "Pollio," we may conjecture there was prophecy as well as sublimity. Why have those verses been annihilated? I suspect Platonic Christianity, Pharisaical Judaism or Machiavilian politics, in this case, as in all other cases, of the destruction of records and literary monuments,

Among all your researches in Hebrew history and controversy, have you ever met a book the design of which is to prove that the ten commandments, as we have them in our Catechisms and hung up in our churches, were not the ten commandments written by the finger of God upon tables delivered to Moses on Mount Sinai, and broken by him in a passion with Aaron for his golden calf, nor those afterwards engraved by him on tables of stone; but a very different set of commandments?

There is such a book, by J. W. Goethen, Schriften, Berlin 1775-1779. I wish to see this book. You will perceive the question in Exodus, 20: 1, 17, 22, 28, chapter 24: 3, &c.; chapter 24: 12; chapter 25: 31; chapter 31: 18; chapter 31: 19; chapter 34: 1; chapter 34: 10, &c.

I will make a covenant with all this people. Observe that which I command this day:

1. Thou shalt not adore any other God. Therefore take heed not to enter into covenant with the inhabitants of the country; neither take for your sons their daughters in marriage. They would allure thee to the worship of false Gods. Much less shall you in any place erect images.

2. The feast of unleavened bread shalt thou keep. Seven days shalt thou eat unleavened bread, at the time of the month Abib; to remember that about that time, I delivered thee from Egypt.

3. Every first born of the mother is mine; the male of thine herd, be it stock or flock. But you shall replace the first born of an ass with a sheep. The first born of your sons shall you redeem. No man shall appear before me with empty hands.

4. Six days shalt thou labor. The seventh day thou shalt rest from ploughing and gathering.

5. The feast of weeks shalt thou keep with the firstlings of the wheat harvest; and the feast of harvesting at the end of the year.

6. Thrice in every year all male persons shall appear before the Lord. Nobody shall invade your country, as long as you obey this command.

7. Thou shalt not sacrifice the blood of a sacrifice of mine, upon leavened bread.

8. The sacrifice of the Passover shall not remain till the next day.

9. The firstlings of the produce of your land, thou shalt bring to the house of the Lord.

10. Thou shalt not boil the kid, while it is yet sucking.

And the Lord spake to Moses: Write these words, as after these words I made with you and with Israel a covenant.

I know not whether Goethen translated or abridged from the Hebrew, or whether he used any translation, Greek, Latin, or German. But he differs in form and words somewhat from our version, Exodus 34: 10 to 28. The sense seems to be the same. The tables were the evidence of the covenant, by which the Almighty attached the people of Israel to himself. By these laws they were separated from all other nations, and were reminded of the principal epochs of their history.

When and where originated our ten commandments? The tables and the ark were lost. Authentic copies in few, if any hands; the ten Precepts could not be observed, and were little remembered.

If the book of Deuteronomy was compiled, during or after the Babylonian captivity, from traditions, the error or amendment might come in those.

But you must be weary, as I am at present of problems, conjectures, and paradoxes, concerning Hebrew, Grecian and Christian and all other antiquities; but while we believe that the finis bonorum will be happy, we may leave learned men to their disquisitions and criticisms.

I admire your employment in selecting the philosophy and divinity of Jesus, and separating it from all mixtures. If I had eyes and nerves I would go through both Testaments and mark all that I understand. To examine the Mishna, Gemara, Cabbala, Jezirah, Sohar, Cosri and Talmud of the Hebrews would require the life of Methuselah, and after all his 969 years would be wasted to very little purpose. The dæmon of hierarchical despotism has been at work both with the Mishna and Gemara. In 1238 a French Jew made a discovery to the Pope (Gregory 9th) of the heresies of the Talmud. The Pope sent thirty-five articles of error to the Archbishops of France, requiring them to seize the books of the Jews and burn all that contained any errors. He wrote in the same terms to the kings of France, England, Arragon, Castile, Leon, Navarre and Portugal. In consequence of this order, twenty cartloads of Hebrew books were burnt in France; and how many times twenty cartloads were destroyed in the other kingdoms? The Talmud of Babylon and that of Jerusalem were composed from 120 to 500 years after the destruction of Jerusalem.

If Lightfoot derived light from what escaped from Gregory's fury, in explaining many passages in the New Testament, by comparing the expressions of the Mishna with those of the Apostles and Evangelists, how many proofs of the corruptions of Christianity might we find in the passages burnt?

JOHN ADAMS TO THOMAS JEFFERSON.

Quincy, November 15, 1813.

Dear Sir,—I cannot appease my melancholy commiseration for our armies in this furious snow storm, in any way so well as by studying your letter of Oct. 28.

We are now explicitly agreed upon one important point, viz., that there is a natural aristocracy among men, the grounds of which are virtue and talents. You very justly indulge a little merriment upon this solemn subject of aristocracy. I often laugh at it too, for there is nothing in this laughable world more ridiculous than the management of it by all the nations of the earth; but while we smile, mankind have reason to say to us, as the frogs said to the boys, what is sport to you, are wounds and death to us. When I consider the weakness, the folly, the pride, the vanity, the selfishness, the artifice, the low craft and mean cunning, the want of principle, the avarice, the unbounded ambition, the unfeeling cruelty of a majority of those (in all nations) who are allowed an aristocratical influence, and, on the other hand, the stupidity with which the more numerous multitude not only become their dupes, but even love to be taken in by their tricks, I feel a stronger disposition to weep at their destiny, than to laugh at their folly. But though we have agreed in one point, in words, it is not yet certain that we are perfectly agreed in sense. Fashion has introduced an indeterminate use of the word talents. Education, wealth, strength, beauty, stature, birth, marriage, graceful attitudes and motions, gait, air, complexion, physiognomy, are talents, as well as genius, science, and learning. Any one of these talents that in fact commands or influences two votes in society, gives to the man who possesses it the character of an aristocrat, in my sense of the word. Pick up the first hundred men you meet, and make a republic. Every man will have an equal vote; but when deliberations and discussions are opened, it will be found that twenty-five, by their talents, virtues being equal, will be able to carry fifty votes. Every one of these twenty-five is an aristocrat in my sense of the word; whether he obtains his one vote in addition to his own, by his birth, fortune, figure, eloquence, science, learning, craft, cunning, or even his character for good fellowship, and a bon vivant.

What gave Sir William Wallace his amazing aristocratical superiority? His strength. What gave Mrs. Clark her aristocratical influence—to create generals, admirals, and bishops? Her beauty. What gave Pompadour and Du Barry the power of making cardinals and popes? And I have lived for years in the hotel de Valentinois, with Franklin, who had as many virtues as any of them. In the investigation of the meaning of the word "talents," I could write 630 pages as pertinent as John Taylor's, of Hazlewood; but I will select a single example; for female aristocrats are nearly as formidable as males. A daughter of a green grocer walks the streets in London daily, with a basket of cabbage sprouts, dandelions, and spinage, on her head. She is observed by the painters to have a beautiful face, an elegant figure, a graceful step, and a debonair. They hire her to sit. She complies, and is painted by forty artists in a circle around her. The scientific Dr. William Hamilton outbids the painters, sends her to school for a genteel education, and marries her. This lady not only causes the triumphs of the Nile, Copenhagen, and Trafalgar, but separates Naples from France, and finally banishes the king and queen from Sicily. Such is the aristocracy of the natural talent of beauty. Millions of examples might be quoted from history, sacred and profane, from Eve, Hannah, Deborah, Susanna, Abigail, Judith, Ruth, down to Helen, Mrs. de Mainbenor, and Mrs. Fitzherbert. For mercy's sake do not compel me to look to our chaste States and territories to find women, one of whom let go would in the words of Holopherne's guards, deceive the whole earth.

The proverbs of Theognis, like those of Solomon, are observations on human nature, ordinary life, and civil society, with moral reflections on the facts. I quoted him as a witness of the fact, that there was as much difference in the races of men as in the breeds of sheep, and as a sharp reprover and censurer of the sordid, mercenary practice of disgracing birth by preferring gold to it. Surely no authority can be more expressly in point to prove the existence of inequalities, not of rights, but of moral, intellectual, and physical inequalities in families, descents and generations. If a descent from pious, virtuous, wealthy, literary, or scientific ancestors, is a letter of recommendation, or introduction in a man's favor, and enables him to influence only one vote in addition to his own, he is an aristocrat; for a democrat can have but one vote. Aaron Burr has 100,000 votes from the single circumstance of his descent from President Burr and President Edwards.

Your commentary on the proverbs of Theognis, reminded me of two solemn characters; the one resembling John Bunyan, the other Scarron. The one John Torrey, the other Ben Franklin. Torrey, a poet, an enthusiast, a superstitious bigot, once very gravely asked my brother, whether it would not be better for mankind if children were always begotten by religious motives only? Would not religion in this sad case have as little efficacy in encouraging procreation, as it has now in discouraging it? I should apprehend a decrease of population, even in our country where it increases so rapidly.

In 1775, Franklin made a morning visit at Mrs. Yard's, to Sam Adams and John. He was unusually loquacious. "Man, a rational creature!" said Franklin. "Come, let us suppose a rational man. Strip him of all his appetites, especially his hunger and thirst. He is in his chamber, engaged in making experiments, or in pursuing some problem. He is highly entertained. At this moment a servant knocks. 'Sir, dinner is on the table.' 'Dinner! pox! pough! but what have you for dinner?' 'Ham and chickens.' 'Ham, and must I break the chain of my thoughts to go down and gnaw a morsel of damned hog's arse? Put aside your ham; I will dine to-morrow.'" Take away appetite, and the present generation would not live a month, and no future generation would ever exist; and thus the exalted dignity of human nature would be annihilated and lost, and in my opinion the whole loss would be of no more importance than putting out a candle, quenching a torch, or crushing a fire-fly, if in this world we only have hope. Your distinction between natural and artificial aristocracy, does not appear to me founded. Birth and wealth are conferred upon some men as imperiously by nature as genius, strength, or beauty. The heir to honors, and riches, and power, has often no more merit in procuring these advantages, than he has in obtaining a handsome face, or an elegant figure. When aristocracies are established by human laws, and honor, wealth, and power are made hereditary by municipal laws and political institutions, then I acknowledge artificial aristocracy to commence; but this never commences till corruption in elections become dominant and uncontrollable. But this artificial aristocracy can never last. The everlasting envies, jealousies, rivalries, and quarrels among them; their cruel rapacity upon the poor ignorant people, their followers, compel them to set up Cæsar, a demagogue, to be a monarch, a master; pour mettre chacun à sa place. Here you have the origin of all artificial aristocracy, which is the origin of all monarchies. And both artificial aristocracy and monarchy, and civil, military, political, and hierarchical despotism, have all grown out of the natural aristocracy of virtues and talents. We, to be sure, are far remote from this. Many hundred years must roll away before we shall be corrupted. Our pure, virtuous, public-spirited, federative republic will last forever, govern the globe, and introduce the perfection of man; his perfectibility being already proved by Price, Priestley, Condorcet, Rousseau, Diderot, and Godwin. Mischief has been done by the Senate of the United States. I have known and felt more of this mischief, than Washington, Jefferson, and Madison, all together. But this has been all caused by the constitutional power of the Senate, in executive business, which ought to be immediately, totally, and essentially abolished. Your distinction between the Αριστοι and ψευδο αριστοι, will not help the matter. I would trust one as well as the other with unlimited power. The law wisely refuses an oath as a witness in his own case, to the saint as well as the sinner. No romance would be more amusing than the history of your Virginian and our New England aristocratical families. Yet even in Rhode Island there has been no clergy, no church, and I had almost said no State, and some people say no religion. There has been a constant respect for certain old families. Fifty-seven or fifty-eight years ago, in company with Colonel, Counsellor, Judge, John Chandler, whom I have quoted before, a newspaper was brought in. The old sage asked me to look for the news from Rhode Island, and see how the elections had gone there. I read the list of Wanbous, Watrous, Greens, Whipples, Malboues, &c. "I expected as much," said the aged gentleman, "for I have always been of opinion that in the most popular governments, the elections will generally go in favor of the most ancient families." To this day, when any of these tribes—and we may add Ellerys, Channings, Champlins, &c.,—are pleased to fall in with the popular current, they are sure to carry all before them.

You suppose a difference of opinion between you and me on the subject of aristocracy. I can find none. I dislike and detest hereditary honors, offices, emoluments, established by law So do you. I am for excluding legal, hereditary distinctions from the United States as long as possible. So are you. I only say that mankind have not yet discovered any remedy against irresistible corruption in elections to offices of great power and profit, but making them hereditary.

But will you say our elections are pure? Be it so, upon the whole; but do you recollect in history a more corrupt election than that of Aaron Burr to be President, or that of De Witt Clinton last year? By corruption here, I mean a sacrifice of every national interest and honor to private and party objects. I see the same spirit in Virginia that you and I see in Rhode Island and the rest of New England. In New York it is a struggle of family feuds—a feudal aristocracy. Pennsylvania is a contest between German, Irish and old England families. When Germans and Irish unite they give 30,000 majorities. There is virtually a white rose and a red rose, a Cæsar and a Pompey, in every State in this Union, and contests and dissensions will be as lasting. The rivalry of Bourbons and Noaillises produced the French revolution, and a similar competition for consideration and influence exists and prevails in every village in the world. Where will terminate the rabies agri? The continent will be scattered over with manors much larger than Livingston's, Van Rensselaers's, or Philips's; even our Deacon Strong will have a principality among you Southern folk. What inequality of talents will be produced by these land jobbers. Where tends the mania of banks? At my table in Philadelphia, I once proposed to you to unite in endeavors to obtain an amendment of the constitution prohibiting to the separate States the power of creating banks; but giving Congress authority to establish one bank with a branch in each State, the whole limited to ten millions of dollars. Whether this project was wise or unwise, I know not, for I had deliberated little on it then, and have never thought it worth thinking of since. But you spurned the proposition from you with disdain. This system of banks, begotten, brooded and hatched by Duer, Robert and Gouverneur Morris, Hamilton and Washington, I have always considered as a system of national injustice. A sacrifice of public and private interest to a few aristocratical friends and favorites. My scheme could have had no such effect. Verres plundered temples, and robbed a few rich men, but he never made such ravages among private property in general, nor swindled so much out of the pockets of the poor, and middle class of people, as these banks have done. No people but this would have borne the imposition so long. The people of Ireland would not bear Wood's half-pence. What inequalities of talent have been introduced into this country by these aristocratical banks! Our Winthrops, Winslows, Bradfords, Saltonstalls, Quinceys, Chandlers, Leonards, Hutchinsons, Olivers, Sewalls, &c., are precisely in the situation of your Randolphs, Carters, and Burwells, and Harrisons. Some of them unpopular for the part they took in the late revolution, but all respected for their names and connections; and whenever they fell in with the popular sentiments are preferred ceteris paribus, to all others. When I was young the summum bonum in Massachusetts was to be worth £10,000 sterling, ride in a chariot, be Colonel of a regiment of militia, and hold a seat in his Majesty's council. No man's imagination aspired to anything higher beneath the skies. But these plumbs, chariots, colonelships, and counsellorships, are recorded and will never be forgotten. No great accumulations of land were made by our early settlers. Mr. Baudoin, a French refugee, made the first great purchases, and your General Dearborne, born under a fortunate star, is now enjoying a large portion of the aristocratical sweets of them. As I have no amanuenses but females, and there is so much about generation in this letter that I dare not ask any of them to copy it, and I cannot copy it myself, I must beg of you to return it to me. Your old friend.

TO ——.

November 28, 1813.

I will not fatigue you, my dear Sir, with long and labored excuses for having been so tardy in writing to you; but I will briefly mention that the thousand hostile ships which cover the ocean render attempts to pass it now very unfrequent, and these concealing their intentions from all that they may not be known to the enemy, are gone before heard of in such inland situations as mine. To this, truth must add the torpidity of age as one of the obstacles to punctual correspondence.

Your letters of October 21 and November 15, 1811, and August 29, 1813, were duly received, and with that of November 15 came the MS. copy of your work on Economy. The extraordinary merit of the former volume had led me to anticipate great satisfaction and edification from the perusal of this, and I can say with truth and sincerity that these expectations were completely fulfilled, new principles developed, former ones corrected, or rendered more perspicuous, present us an interesting science, heretofore voluminous and embarrassed, now happily simplified and brought within a very moderate compass. After an attentive perusal, which enabled me to bear testimony to its worth, I took measures for getting it translated and printed in Philadelphia; the distance from which place prepared me to expect great and unavoidable delays. But notwithstanding my continual urgencies these have gone far beyond my calculations. In a letter of September 26th from the editor, in answer to one of mine, after urging in excuse the causes of the delay, he expresses his confidence that it would be ready by the last of October, and that period being now past, I am in daily expectation of hearing from him. As I write the present letter without knowing by what conveyance it may go, I am not without a hope of receiving a copy of the work in time to accompany this. I shall then be anxious to learn that better health and more encouraging circumstances enable you to pursue your plan through the two remaining branches of morals and legislation, which executed in the same lucid, logical and condensed style, will present such a whole as the age we live in will not before have received. Should the same motives operate for their first publication here, I am now offered such means, nearer to me, as promise a more encouraging promptitude in the execution. And certainly no effort should be spared on my part to ensure to the world such an acquisition. The MS. of the first work has been carefully recalled and deposited with me. That of the second, when done with, shall be equally taken care of.

If unmerited praise could give pleasure to a candid mind, I should have been highly exalted, in my own opinion, on the occasion of the first work. One of the best judges and best men of the age has ascribed it to myself; and has for some time been employed in translating it into French. It would be a gratification to which you are highly entitled, could I transcribe the sheets he has written me in praise, nay in rapture with the work; and were I to name the man, you would be sensible there is not another whose suffrage would be more encouraging. But the casualties which lie between us would render criminal the naming any one. In a letter which I am now writing him, I shall set him right as to myself, and acknowledge my humble station far below the qualifications necessary for that work; and shall discourage his perseverance in retranslating into French a work the original of which is so correct in its diction that not a word can be altered but for the worse; and from a translation, too, where the author's meaning has sometimes been illy understood, sometimes mistaken, and often expressed in words not the best chosen. Indeed, when the work, through its translation, becomes more generally known here, the high estimation in which it is held by all who become acquainted with it, encourage me to hope I may get it printed in the original. I sent a copy of it to the late President of William and Mary College of this State, who adopted it at once as the elementary book of that institution. From these beginnings it will spread and become a political gospel for a nation open to reason, and in a situation to adopt and profit by its results, without a fear of their leading to wrong.

I sincerely wish you all the health, comfort and leisure necessary to dispose and enable you to persevere in employing yourself so useful for present and future times, and I pray you to be assured you have not a more grateful votary for your benefactions to mankind, nor one of higher sentiments of esteem and affectionate respect.

JOHN ADAMS TO THOMAS JEFFERSON.

Quincy, December 3, 1813.

Dear Sir,—The proverbs of the old Greek poets are as short and pithy as any of Solomon or Franklin. Hesiod has several. His Αθανατους μὲν πρῶτα θεους νομω ως διακειται Τιμα. Honor the gods established by law. I know not how we can escape martyrdom without a discreet attention to this precept. You have suffered, and I have suffered more than you, for want of a strict observance of this rule.

There is another oracle of this Hesiod, which requires a kind of dance upon a tight rope and a slack rope too, in philosophy and theology: Πιστις δ' αρα ομως και απιστια ωλεσαν ανδρας. If believing too little or too much is so fatal to mankind, what will become of us all?

In studying the perfectability of human nature and its progress towards perfection in this world, on this earth, remember that I have met many curious and interesting characters.

About three hundred years ago, there appeared a number of men of letters, who appeared to endeavor to believe neither too little nor too much. They labored to imitate the Hebrew archers, who could shoot to an hair's breadth. The Pope and his church believed too much. Luther and his church believed too little. This little band was headed by three great scholars: Erasmus, Vives and Badens. This triumvirate is said to have been at the head of the republic of letters in that age. Had Condorcet been master of his subject, I fancy he would have taken more notice, in his History of the Progress of Mind, of these characters. Have you their writings? I wish I had. I shall confine myself at present to Vives. He wrote commentaries on the City of God of St. Augustine, some parts of which were censured by the Doctors of the Louvain, as too bold and too free. I know not whether the following passage of the learned Spaniard was among the sentiments condemned or not:

"I have been much afflicted," says Vives, "when I have seriously considered how diligently, and with what exact care, the actions of Alexander, Hannibal, Scipio, Pompey, Cæsar and other commanders, and the lives of Socrates, Plato, Aristotle and other philosophers, have been written and fixed in an everlasting remembrance, so that there is not the least danger they can ever be lost; but then the acts of the Apostles, and martyrs and saints of our religion, and of the affairs of the rising and established church, being involved in much darkness, are almost totally unknown, though they are of so much greater advantage than the lives of the philosophers or great generals, both as to the improvement of our knowledge and practice. For what is written of these holy men, except a very few things, is very much corrupted and defaced with the mixture of many fables, while the writer, indulging his own humor, doth not tell us what the saint did, but what the historian would have had him do. And the fancy of the writer dictates the life and not the truth of things." And again Vives says: "There have been men who have thought it a great piece of piety, to invent lies for the sake of religion."

The great Cardinal Barronius, too, confesses: "There is nothing which seems so much neglected to this day, as a true and certain account of the affairs of the church, collected with an exact diligence. And that I may speak of the more ancient, it is very difficult to find any of them who have published commentaries on this subject, which have hit the truth in all points."

Canus, too, another Spanish prelate of great name, says: "I speak it with grief and not by way of reproach, Laertius has written the lives of the philosophers with more ease and industry than the Christians have those of the saints. Suetonius has represented the lives of the Cæsars with much more truth and sincerity than the Catholics have the affairs (I will not say of the emperors) but even those of the martyrs, holy virgins and confessors. For they have not concealed the vice nor the very suspicions of vice, in good and commendable philosophers or princes, and in the worst of them they discover the very colors or appearances of virtue. But the greatest part of our writers either follow the conduct of their affections, or industriously feign many things; so that I, for my part, am very often both weary and ashamed of them, because I know that they have thereby brought nothing of advantage to the church of Christ, but very much inconvenience." Vives and Canus are moderns, but Arnobius, the converter of Lætantius, was ancient. He says: "But neither could all that was done be written, or arrive at the knowledge of all men—many of our great actions being done by obscure men and those who had no knowledge of letters. And if some of them are committed to letters and writings, yet even here, by the malice of the devils and men like them, whose great design and study is to intercept and ruin this truth, by interpolating or adding some things to them, or by changing or taking out words, syllables or letters, they have put a stop to the faith of wise men, and corrupted the truth of things."

Indeed, Mr. Jefferson, what could be invented to debase the ancient Christianism, which Greeks, Romans, Hebrews and Christian factions, above all the Catholics, have not fraudulently imposed upon the public? Miracles after miracles have rolled down in torrents, wave succeeding wave in the Catholic church, from the Council of Nice, and long before, to this day.

Aristotle, no doubt, thought his Ουτε πασι πιστευοντες, ουτε πασιν απιστουντες, very wise and very profound; but what is its worth? What man, woman or child ever believed everything or nothing? Oh! that Priestley could live again, and have leisure and means! An inquirer after truth, who had neither time nor means, might request him to search and re-search for answers to a few questions:

1. Have we more than two witnesses of the life of Jesus—Matthew and John?

2. Have we one witness to the existence of Matthew's gospel in the first century?

3. Have we one witness of the existence of John's gospel in the first century?

4. Have we one witness of the existence of Mark's gospel in the first century?

5. Have we one witness of the existence of Luke's gospel in the first century?

6. Have we any witness of the existence of St. Thomas' gospel, that is the gospel of the infancy in the first century?

7. Have we any evidence of the existence of the Acts of the Apostles in the first century?

8. Have we any evidence of the existence of the supplement to the Acts of the Apostles, Peter and Paul, or Paul and Tecle, in the first century?

Here I was interrupted by a new book, Chateaubriand's Travels in Greece, Palestine and Egypt, and by a lung fever with which the amiable companion of my life has been violently and dangerously attacked.

December 13th. I have fifty more questions to put to Priestley, but must adjourn them to a future opportunity.

I have read Chateaubriand with as much delight as I ever read Bunyan's Pilgrims' Progress, Robinson Crusoe's Travels, or Gulliver's, or Whitefield's, or Wesley's Life, or the Life of St. Francis, St. Anthony, or St. Ignatius Loyola. A work of infinite learning, perfectly well written, a magazine of information, but enthusiastic, bigoted, superstitious, Roman Catholic throughout. If I were to indulge in jealous criticism and conjecture, I should suspect that there had been an Œcuemenical counsel of Popes, Cardinals and Bishops, and that this traveller has been employed at their expense to make this tour, to lay a foundation for the resurrection of the Catholic Hierarchy in Europe.

Have you read La Harpe's Course de Literature, in fifteen volumes? Have you read St. Pierre's Studies of Nature?

I am now reading the controversy between Voltaire and Monotte.

Our friend Rush has given us for his last legacy, an analysis of some of the diseases of the mind.

Johnson said, "We are all more or less mad;" and who is or has been more mad than Johnson?

I know of no philosopher, or theologian, or moralist, ancient or modern, more profound, more infallible than Whitefield, if the anecdote I heard be true.

He began: "Father Abraham," with his hands and eyes gracefully directed to the heavens, as I have more than once seen him; "Father Abraham, who have you there with you? Have you Catholics?" "No." "Have you Protestants?" "No." "Have you Churchmen?" "No." "Have you Dissenters?" "No." "Have you Presbyterians?" "No." "Quakers?" "No." "Anabaptists?" "No." "Who have you there? Are you alone?" "No."

"My brethren, you have the answer to all these questions in the words of my text: 'He who feareth God and worketh righteousness, shall be accepted of Him.'"

Allegiance to the Creator and Governor of the Milky-Way, and the Nebulæ, and benevolence to all his creatures, is my Religion.

I am as ever.

TO BARON DE HUMBOLDT.

December 6, 1813.

My Dear Friend and Baron,—I have to acknowledge your two letters of December 20 and 26, 1811, by Mr. Correa, and am first to thank you for making me acquainted with that most excellent character. He was so kind as to visit me at Monticello, and I found him one of the most learned and amiable of men. It was a subject of deep regret to separate from so much worth in the moment of its becoming known to us.

The livraison of your astronomical observations, and the 6th and 7th on the subject of New Spain, with the corresponding atlasses, are duly received, as had been the preceding cahiers. For these treasures of a learning so interesting to us, accept my sincere thanks. I think it most fortunate that your travels in those countries were so timed as to make them known to the world in the moment they were about to become actors on its stage. That they will throw off their European dependence I have no doubt; but in what kind of government their revolution will end I am not so certain. History, I believe, furnishes no example of a priest-ridden people maintaining a free civil government. This marks the lowest grade of ignorance, of which their civil as well as religious leaders will always avail themselves for their own purposes. The vicinity of New Spain to the United States, and their consequent intercourse, may furnish schools for the higher, and example for the lower classes of their citizens. And Mexico, where we learn from you that men of science are not wanting, may revolutionize itself under better auspices than the Southern provinces. These last, I fear, must end in military despotisms. The different casts of their inhabitants, their mutual hatreds and jealousies, their profound ignorance and bigotry, will be played off by cunning leaders, and each be made the instrument of enslaving the others. But of all this you can best judge, for in truth we have little knowledge of them to be depended on, but through you. But in whatever governments they end they will be American governments, no longer to be involved in the never-ceasing broils of Europe. The European nations constitute a separate division of the globe; their localities make them part of a distinct system; they have a set of interests of their own in which it is our business never to engage ourselves. America has a hemisphere to itself. It must have its separate system of interests, which must not be subordinated to those of Europe. The insulated state in which nature has placed the American continent, should so far avail it that no spark of war kindled in the other quarters of the globe should be wafted across the wide oceans which separate us from them. And it will be so. In fifty years more the United States alone will contain fifty millions of inhabitants, and fifty years are soon gone over. The peace of 1763 is within that period. I was then twenty years old, and of course remember well all the transactions of the war preceding it. And you will live to see the epoch now equally ahead of us; and the numbers which will then be spread over the other parts of the American hemisphere, catching long before that the principles of our portion of it, and concurring with us in the maintenance of the same system. You see how readily we run into ages beyond the grave; and even those of us to whom that grave is already opening its quiet bosom. I am anticipating events of which you will be the bearer to me in the Elysian fields fifty years hence.

You know, my friend, the benevolent plan we were pursuing here for the happiness of the aboriginal inhabitants in our vicinities. We spared nothing to keep them at peace with one another. To teach them agriculture and the rudiments of the most necessary arts, and to encourage industry by establishing among them separate property. In this way they would have been enabled to subsist and multiply on a moderate scale of landed possession. They would have mixed their blood with ours, and been amalgamated and identified with us within no distant period of time. On the commencement of our present war, we pressed on them the observance of peace and neutrality, but the interested and unprincipled policy of England has defeated all our labors for the salvation of these unfortunate people. They have seduced the greater part of the tribes within our neighborhood, to take up the hatchet against us, and the cruel massacres they have committed on the women and children of our frontiers taken by surprise, will oblige us now to pursue them to extermination, or drive them to new seats beyond our reach. Already we have driven their patrons and seducers into Montreal, and the opening season will force them to their last refuge, the walls of Quebec. We have cut off all possibility of intercourse and of mutual aid, and may pursue at our leisure whatever plan we find necessary to secure ourselves against the future effects of their savage and ruthless warfare. The confirmed brutalization, if not the extermination of this race in our America, is therefore to form an additional chapter in the English history of the same colored man in Asia, and of the brethren of their own color in Ireland, and wherever else Anglo-mercantile cupidity can find a two-penny interest in deluging the earth with human blood. But let us turn from the loathsome contemplation of the degrading effects of commercial avarice.

That their Arrowsmith should have stolen your Map of Mexico, was in the piratical spirit of his country. But I should be sincerely sorry if our Pike has made an ungenerous use of your candid communications here; and the more so as he died in the arms of victory gained over the enemies of his country. Whatever he did was on a principle of enlarging knowledge, and not for filthy shillings and pence of which he made none from that work. If what he has borrowed has any effect it will be to excite an appeal in his readers from his defective information to the copious volumes of it with which you have enriched the world. I am sorry he omitted even to acknowledge the source of his information. It has been an oversight, and not at all in the spirit of his generous nature. Let me solicit your forgiveness then of a deceased hero, of an honest and zealous patriot, who lived and died for his country.