revenue of the Government, which is chiefly derived from duties on
imports from abroad, has been greatly reduced, whilst the appropriations
made by Congress at its last session for the current fiscal year are
very large in amount.

Under these circumstances a loan may be required before the close of
your present session; but this, although deeply to be regretted, would
prove to be only a slight misfortune when compared with the suffering
and distress prevailing among the people. With this the Government can
not fail deeply to sympathize, though it may be without the power to
extend relief.

It is our duty to inquire what has produced such unfortunate results and
whether their recurrence can be prevented. In all former revulsions the
blame might have been fairly attributed to a variety of cooperating
causes, but not so upon the present occasion. It is apparent that our
existing misfortunes have proceeded solely from our extravagant and
vicious system of paper currency and bank credits, exciting the people
to wild speculations and gambling in stocks. These revulsions must
continue to recur at successive intervals so long as the amount of the
paper currency and bank loans and discounts of the country shall be left
to the discretion of 1,400 irresponsible banking institutions, which
from the very law of their nature will consult the interest of their
stockholders rather than the public welfare.

The framers of the Constitution, when they gave to Congress the power
"to coin money and to regulate the value thereof" and prohibited the
States from coining money, emitting bills of credit, or making anything
but gold and silver coin a tender in payment of debts, supposed they had
protected the people against the evils of an excessive and irredeemable