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 Robert Hare 
 
 Proofs that Credit as Money 
 
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PROOFS 
 
 THAT 
 
 CREDIT AS MONEY, 
 
 IN A 
 
 « 
 
 TRULY FREE COUNTRY, 
 
 
 IS TO A 
 
 GREAT EXTENT 
 
 to <rom 
 
 BY ROBERT HARE, M. D. 
 
 Professor, Etc. Etc. 
 
 ABSTRACTED FROM A PAMPILLET PUBLISHED IN 1810, AND REVISED, 
 
 BY THE AUTHOR. 
 
 - 
 
 —© Ch w ■ 
 
 PifiaTrelpfa: 
 
 PRINTED BY JOHN C. CLARK, 
 
 No CO, Dock Street. 
 
 1834. 
 
HGrSr°t3 
 
 H2SI 
 
PREFACE. 
 
 It is well known that the vocation of the author, and his predominant taste for the 
 cultivation of science, are irreconcilable with political life. This circumstance, and 
 the fact that the opinions supported in this pamphlet were first published more than 
 twenty years ago, to obviate financial objections to the creation of a navy, must render 
 it evident that they originate neither in the desire of office, in bank influence, nor in 
 party spirit. In truth the sentiments with which the opinions in question were ori¬ 
 ginally associated, were too independent, to be relished by either of the prevailing 
 parties; and hence, although approved of by some distinguished men, the)' had only a 
 limited circulation. 
 
The following Essay is intended to prove, 
 
 That Credit is an original medium of commercial inter¬ 
 change, constituting in fact a species of money. 
 
 That “ paper credit” has been erroneously considered as 
 the representative of gold and silver money, although those 
 metals as the only satisfactory and accessible test of paper 
 money, are to a certain extent necessary to give it cur¬ 
 rency. 
 
 That while it is true that in this respect, and in some 
 others, gold and silver may perform services to which credit 
 is incompetent, it is equally demonstrable that credit may 
 avail under circumstances, in which the precious metals may 
 either be incompetent, or unattainable. 
 
 That credit is especially the money of the honest and 
 industrious , whether mechanics , traders , or cultivators of the 
 soil . 
 
 That Banks give an extension to the credit of men of small 
 capital , which enables them to deal with persons to whom 
 their credit would be unknown, and thus to acquire the 
 means of employing the labouring class. 
 
 That as state banks are useful in performing services 
 to which the credit of individuals is incompetent, so a na¬ 
 tional bank is advantageous in reaching cases to which, 
 state banks are incompetent. 
 
 That banks are useful in supplying a more convenient, 
 and less expensive currency than coin. 
 
 That credit not only enables the capital of one part of 
 our country, to promote the industry and improvement of 
 other parts, it also enables us by the sale of bank shares, 
 or certificates of state, or national, debt in foreign countries, 
 to enrich our country by all the difference between the pro¬ 
 fits of the capital thus obtained, and the interest paid to 
 the foreign stockholders. 
 
 That the blessings arising from the great mean of public 
 prosperity, which forms the subject of this essay, are de¬ 
 pendant on the competency, supremacy, and stability of the 
 laws. 
 
 That in this respect the employment of credit as a mean 
 of commercial interchange, has a happy influence in asso¬ 
 ciating the pecuniary interest of the great mass of the com¬ 
 munity, with the cause of good morals, public order, and 
 true liberty. 
 
ESSAY ON CREDIT, 
 
 AS MONEY. 
 
 
 Thc following' is conceived to be u simple, and obvious illustration 
 of the primitive operation of credit, as a mean of commercial inter¬ 
 change. A raw material, being sold on credit, in lieu of remaining 
 idle in the hands of the farmer, becomes in those of the manufacturer, 
 an useful article; and he is enabled to return to the farmer a better 
 price, and to furnish merchants or consumers, a supply larger and 
 cheaper than lie could have afforded without the assistance of his cre¬ 
 dit. In like manner the merchant or manufacturer, may advance to 
 farmers articles necessary for consumption, or implements servicea¬ 
 ble in agriculture; which otherwise had, for a time at least, remain¬ 
 ed unproductive of interest or profit, notwithstanding the detriment 
 resulting to cultivators from the want of them. 
 
 In the negotiations thus cited, each individual buys through the 
 medium of his credit, and the several persons concerned, may have 
 current accounts with each other, without any recurrence to coin, 
 unless as the received standard of value. In this case therefore, the 
 employment of credit, supersedes that of gold and silver, or any 
 other substantial medium of interchange ; and it may be considered 
 as performing the office of such a medium, in a limited degree. 
 
 It is also apparent from this familiar illustration, that the same 
 cpiantity of land, labour, or capital stock, may be rendered much 
 more productive with credit, than without it. The excess of benefit 
 thus gained, is fairly attributable to credit; and hence credit under 
 all its productive forms, should be comprised in any estimate of 
 wealth. For .as land, labour, and capital stock, are solely valuable 
 on account of their actual, or probable efficiency, credit, so far as it 
 increases this efficiency, must have equal pretensions to value. 
 
 Under a strict system of law, where the payment of debts is ri¬ 
 gorously enforced, credit, in its simple and primitive form, so far as 
 it answers the purpose of a medium of interchange, is preferable to 
 money. The man who enjoys the one, has nearly an equal facility 
 with him, who commands the other, in the purchase of merchandise, 
 or materials for manufacture. But the stimulus to industry, or exer¬ 
 tion, is very different in the two cases. The mechanic who has an 
 hundred dollars, can live without work so long as it lasts. He may 
 spend the whole, or a part, in his pleasures, or for his sustenance, and 
 
6 
 
 may work proportionally less. But the mechanic who can command 
 credit to the amount of an hundred dollars, has nearly the same ca¬ 
 pacity to earn money, as the other; but his privilege will not sustain 
 him in idleness, or dissipation. It can only he of use to him, through 
 his skill and industry; unless lie be so wicked as to become a swin¬ 
 dler, and is permitted by the law to swindle with impunity. 
 
 It may however be demanded, wherefore should not the money ob¬ 
 tained through the medium of industry and credit, equally facilitate 
 idleness or debauchery, as the same amount, when originally pos¬ 
 sessed. The answer is, that before any one can by such means earn 
 a large sum, his habits must receive a permanent bias, favourable to 
 economy and exertion. Experience shows, that the money obtain¬ 
 ed by inheritance or by fortuitous events, is very often squandered; 
 while that which has been procured by toil and care, is most frequent¬ 
 ly employed, or disbursed, with prudence or frugality. 
 
 The facility given to knaves and idlers, in their exactions from the 
 honest and industrious, is the greatest evil of credit: an evil which 
 can only be diminished by the most rigorous punishment of debtors, 
 who by an obvious misapplication of the property which they borrow, 
 prove themselves to be wanting in honesty. The rigid enforcement 
 of penalties against all who thus live upon the public, would tend to 
 throw all the efficient power of credit into the hands of those who 
 would make an honest use of it, who do not borrow, without a fair 
 prospect of profit, and arc necessarily industrious, that they may 
 guard against the evils of failure. 
 
 This digression has been made, in order to show, that those ill con¬ 
 sequences which at first sight appear to be the unavoidable concomitant 
 of the prevalence of credit, in a great measure result from defects in 
 the nature or execution of the laws; and that if these were better, and 
 more rigorously executed, the abuse of credit, would more rarely occur. 
 
 In fact there are no other means by which the advantages of capi¬ 
 tal, can be diffused permanently throughout any nation. For were 
 such a diffusion to be attempted, by a judicious donation of gold and 
 silver to every one who would employ the power which they confer, 
 both profitably for himself, and advantageously for the public; al¬ 
 though the immediate effects would be highly beneficial, in a few years 
 extravagance, idleness, or folly, on the one part—and economy, in¬ 
 dustry, and prudence, on the other, would cause the great mass of 
 capital, to be accumulated into the coffers of a minority. 
 
 The manufacturing or trading stock, which had been preserved by 
 the care, or exertion of the father, would in many cases be dissipated 
 through the sloth or extravagance of the son;—and the frugal and 
 industrious son, would as often be deprived by the indolent or extra¬ 
 vagant father, of that command of capital, wliich had been conferred 
 by his ancestors.—But credit being in great measure created by in¬ 
 dustry, skill, and integrity; the possessor of them, in every well re¬ 
 gulated society, will have a greater or less command of such portions 
 of the general stock or capital, as he can employ to so much greater 
 advantage than the possessors, as to afford them adequate compensa¬ 
 tion for the loan of it. It is of course requisite that his pretensions 
 to credit should be known to those, who may have the particular ar¬ 
 ticles which it may be bis interest to borrow, and their interest to 
 
7 
 
 lend. This last requisite however, in the ordinary course of affairs 
 must he frequently wanting. However great the credit of a man 
 with those who are acquainted with him, the number who may have 
 this acquaintance, must always he limited; and very often among this 
 number, that unemployed capital will not he found, which it may be 
 his interest to procure. Hence to give a more general efficiency to 
 the credit of individuals, banking institutions are established ; which 
 by the notoriety of their wealth and punctuality, obtain general credit; 
 and by their extensive means of information, arc enabled to estimate 
 the degree of confidence to which traders may be entitled. The 
 traders become responsible to the bank, and the bank to the commu¬ 
 nity, on receiving a compensation for the accommodation afforded, 
 in giving a general efficiency to the credit of those, who otherwise 
 could exercise it only w ithin a sphere comparatively narrow. 
 
 It must be sufficiently plain from the premises, that those who 
 are endowed with mercantile credit, enjoy a valuable qualification 
 or privilege in trade, when compared with those who have not this 
 endowment. Hut it often happens that those who are in the lat¬ 
 ter predicament are so situated, that they could employ credit to ad¬ 
 vantage; w hile those w ho can command it, have no direct opening 
 for its employment. It is not then surprising, that some mode should 
 have been devised, by w hich the credit of the one, should be made 
 efficient in the hands of the other. This has been effected by various 
 instruments of w riting, by w hich any individual, company, or nation, 
 can transfer for a certain time, any portion of that credit, which they 
 cannot directly employ. 
 
 The various papers, thus endowed w ith transferable credit, have 
 been designated by the generic term, paper credit. This, as I have be¬ 
 fore observed, has been deemed the mere representative, or substitute, 
 of gold and silver money; but from the preceding inquiry, it does not 
 appear that this supposition is warranted, since it has been shown, 
 that the principle to w hich the paper is indebted for its activity, may 
 exist, or spontaneously originate, under circumstances, in which the 
 1» •ecious metals do not exist, and cannot originate. 
 
 Transferable credit may be no less current than coin, as in the case 
 of bank checks or notes; or it may have a limited and sluggish cur¬ 
 rency, as in the case of mercantile notes, or bonds, bills, or certifi¬ 
 cates of stock. 
 
 In the case where it passes current, it answers the purpose of coin 
 in circulation. In the case where it has only a limited currency, it 
 takes the place of hoarded treasure. 
 
 In either of the forms just delineated, or that more simple and pri¬ 
 mitive form at first described, credit virtually constitutes a portion of 
 commercial capital. It may be said to he the offspring of capital. 
 This is not denied, so far as capital inspires confidence: but in this 
 respect, it only acts in common w ith all other sources of confidence. 
 In fact capital is not alw ays productive of credit; and the latter often 
 arises without it. We sometimes trust the poor honest man, in prefer¬ 
 ence to the wealthy rogue : and in a poor community, where morality 
 is strict, and the laws rigid, more credit will he in operation, than in 
 a rich community, where vice prevails , and the laws are ineffi¬ 
 cient . 
 
/ 
 
 8 
 
 But although credit may exist, it can have no efficiency without 
 capital It avails little that people are satisfied of the credit of a 
 dealer, if they have no capital to lend. Credit is therefore an ac¬ 
 celerating cause, not a primary source of wealth : and its efficiency is 
 regulated by the state of morality, the wisdom and certainty of the 
 laws, the amount of capital, and the field for its operation. It is not, 
 however, limited by the quantity of capital within the nation, when 
 there exists a free intercourse with other nations, where it abounds 
 in greater proportion to the field for employment. 
 
 In this we see the immense importance of fair dealing with foreign¬ 
 ers, and of affording them the greatest Legal facilities in the recovery of 
 their debts. Should the foreign purchasers of our bank, or national 
 stock, be at any time subjected to loss by the want of legislative steadi¬ 
 ness, or support; it will cause an injurious diminution in the efficiency 
 of our commercial credit, by limiting or reducing the amount of capital, 
 by which this credit is regulated. 
 
 It has already been shown that among individuals, credit as a me¬ 
 dium of commercial interchange, has a more beneficial operation than 
 money, in this important point: that the latter may be applied to the 
 support of idleness or pleasure, whereas the former can only be pro¬ 
 ductive through the medium of industry, and of course will incite the 
 possessor to be industrious; unless he be willing by employing it dis¬ 
 honestly, to incur the evils of legal punishment, of lost character, and 
 of lost credit. 
 
 Among nations, in a mode in some degree similar, credit as a me¬ 
 dium of commercial interchange, has the advantage, when compared 
 with gold and silver money. 
 
 The nation which abounds pre-eminently with those metals, will 
 not be industrious; but will buy of her neighbours, until her 
 share be reduced nearly to the general level. It is well known, 
 that such a superabundance destroyed the industry of Spain.* If 
 the abundance should increase throughout the world, coin would be 
 rendered less convenient by bearing less value in proportion to its 
 bulk; but its efficiency would not be increased. The effect of such a 
 depreciation is demonstrated in Hume’s Essay on Money. 
 
 The nation on the contrary, possessing credit as a medium of com¬ 
 mercial interchange, has that, which can only be of service, in afford¬ 
 ing facilities to domestic exertion: and the more it abounds, the more 
 are these facilities augmented. 
 
 It has been observed that the aggregate of national capital, is not 
 increased by paper credit; because if it forms an article on the credit 
 side of the accounts of one man, it forms an equal debit on the con¬ 
 trary side of the accounts of another.f But I answer, that although 
 the nominal aggregate of the commercial capital be not increased, 
 the efficiency of the whole, and consequently the real value is in¬ 
 creased; and that in estimating his capacity to grow rich, each in¬ 
 dividual may with propriety inquire, not only how much property 
 he has, and can employ profitably, but how much he can borrow. 
 
 See Montesquieu de L’Esprit des Loix ; Tone 2d, page 258. 
 t See Thornion’s Inquiry. 
 
9 
 
 and employ profitably; and that a greater power in the one respect, 
 may balance a lesser possession in the other. 
 
 Hence in a country where there are many individuals, who possess 
 this power to borrow, and to employ profitably; there will virtually 
 he more wealth than in a country where there are few such indivi- 
 
 w 
 
 duals; although the quantity of substantial capital, and the field of 
 profitable employment, should be equally great. The prevalence of 
 paper credit, demonstrates at once the existence and the activity of 
 this power to borrow, and profitably to employ; and it should of 
 course be taken into consideration in any comparative estimate of the 
 wealth of any two communities. For, though a portion of the active 
 credit in every community, will be employed to facilitate useless, 
 jCrauduIent, or losing transactions; yet, the general and permanent 
 employment of it, is a sufficient proof that the aggregate benefit much 
 exceeds the aggregate evil. It is by the excess of the former, over 
 the latter, that we must rate the value of credit; as we compute the 
 profits of stock, from the balance of profit and loss. It is not an ob¬ 
 jection to the value of credit, that it is partially productive of loss, or 
 of fraud. Substantial capital is often employed to the detriment of 
 the owner, and of the community; but this does not deprive capital in 
 the aggregate of a value, proportioned to its average profit. 
 
 If the trade of one nation be carried on bv credit, and that of ano- 
 ther be carried on by coin, there is no less reason for attaching value 
 to credit in the first instance, than/for attaching it to coin in the 
 last. 
 
 Any great extension or diffusion of the advantages of credit , de¬ 
 mands a high degree of security from internal disturbance , or exter¬ 
 nal dangers; and an improved state of trade , law , and morality .* 
 Now, when a nation from superiority in these advantages, is enabled 
 to perforin with credit, not only the greater part of those operations 
 which other nations perform with coin; but to enjoy from the activity 
 of this invisible principle of wealth, a diffusion of the advantages of 
 capital, and many well known conveniences or facilities which the 
 precious metals cannot afford; she is obviously justified in taking 
 this principle of wealth in all its active forms, into any computation 
 of comparative resources. For absurd as it would be to estimate 
 debts in themselves under any form, as a portion of wealth, they 
 ought nevertheless to be computed as so many demonstrations of the 
 beneficial activity of that credit, which in efficiency is proved to be 
 more than equivalent to gold. 
 
 The difficulty attendant on the conception that paper credit should 
 he comprised in an estimate of national capital, arises from the no¬ 
 tion, that the debt itself is the object of valuation; whereas the real 
 object of valuation, is the principle by which the debt is enabled to 
 
 * The simple fact, that any important part of the machinery by which paper credit 
 is supported, is made subordinate to the opinious of an individual, proves to be suffi¬ 
 cient to impair its efficacy. It has been alleged, that a system which is so dependent 
 upon contingencies, must be objectionable ; but I deem it advantageous that our pros¬ 
 perity should be of a nature so inconsistent with arbitrary power, that no violation of 
 the laws can take place, without affecting the welfare of the great mass of the com¬ 
 munity. 
 
 Under such circumstances, the multitude are made to feel a change, which otherwise 
 not being geneially perceived, might be less efficiently resisted. 
 
10 
 
 exist: and the latter is only computed, as the measure of the activity 
 of this principle. Hence, it is not an objection, that the paper is at 
 some period to he redeemed. The extinction of a note, is not at¬ 
 tended by an extinction of the principle to which it is indebted for ex¬ 
 istence; and accordingly a new note may be created like a phoenix, 
 differing in substance, but possessing the same principle of vitality. 
 
 An objection to credit as a medium of interchange, may be founded 
 on its liability to depreciation in moments of alarm, arising from 
 anarchy or invasion. This must undoubtedly at such periods, cause 
 great embarrassment in trade; and much loss to individuals who hold 
 large sums in paper, or transferable credit. But it is to be recollect¬ 
 ed, that the cost of credit originally is but little to the community at 
 large. Hence, although it should be annihilated, there would arise no 
 great national loss; unless in the temporary diminution of profit, re¬ 
 sulting from the stagnation of trade. But this stagnation in moments 
 of national danger, would in great measure ensue, although gold and 
 silver should be the medium employed; and at all events, the nation 
 is gainer by all the wealth, which may have accrued during the inter¬ 
 vening efficiency of credit. Should invasion actually take place, this 
 depreciation may cause an eventual saving: as instead of specie, the 
 plunderer would find both the private and public coffers filled with 
 paper, no longer endowed with the principle, to which it had owed 
 its value. 
 
 The retreat of the invaders, might be followed by a restoration of 
 credit; but not by a restitution of the gold and silver, or other sub¬ 
 stantial and moveable property, of which temporary success might 
 have given them the command. 
 
 The very active currency of bank checks and notes, is due to their 
 superiority over gold and silver money, in conveniency of form, weight 
 and bulk; and to the management of the banks; who, by keeping a 
 sum always ready to answer demands, in a great measure prevent 
 them, and thus extend, and confirm the general confidence in their 
 credit. In this case the expense of giving currency to credit, is mea¬ 
 sured by the interest of the sum kept unemployed in their vaults.-^ 
 
 Bonds, bills, notes, bank stock, or national certificates, owe their 
 more sluggish currency, to the payment of that interest, discount, or 
 dividend, which renders it desirable or satisfactory to many indivi¬ 
 duals, to keep them in preference to money; as they afford equal se¬ 
 curity against eventual want, and are productive of a revenue to the 
 holder. 
 
 * Agreeably to the statement made in Mr. Binney’s excellent speech, the amount of 
 debts, paid through domestic bills of exchange by the Bank of the United States in 
 one year, was more than two hundred and forty millions of dollars; which, at one dollar 
 and 20 cents per ounce, would in weight amount to twelve millions five hundred thou¬ 
 sand pounds. If to this aggregate were added all payments otherwise made, what an 
 addition to the labour of man and beast would ensue, if the same office were performed 
 by silver. It must be admitted, that the employment of gold would be much less 
 onerous. 
 
 It would, however, be impracticable, unless the advocates of a metallic currency could 
 have sufficient influence with the genius of Aladdin’s Lamp, to procure copious golden 
 showers ; and could afterwards induce our population to wear out their pockets in using 
 gold, instead of exchanging it for the produce of foreign labour, consequently render¬ 
 ed cheaper in comparison with domestic products. 
 
11 
 
 The amount of specie necessarily kept by the banks, to answer de¬ 
 mands, being very small compared witli the amount of their paper in 
 circulation ; tbc expense of supporting tbe currency of bank notes or 
 checks, is inconsiderable. That incurred in supporting the currency 
 of tbe national certificates, is balanced by a proper application of tbe 
 fund created by tbe sale of them. 
 
 tf 
 
 Tbe precious metals comprise many qualifications indispensable in 
 an efficient circulating medium, and which are collectively found in 
 no other substances. Hence so far as they are not superseded by 
 credit, commercial nations are universally necessitated to employ 
 them, as tbe medium of interchange. 
 
 When not among the productions of a country, the gold and silver 
 required for this purpose, can only be purchased by an equivalent 
 amount in the productions of agriculture or art; and when these 
 metals are among tbe productions of a country, they are rarely to be 
 procured without a degree of labour and expense, nearly equal to 
 their value. 
 
 But unless we subtract tbe comparatively trifling expense, of tbe 
 banks, and loan offices; or that incurred as above stated in support¬ 
 ing the currency of tbe national certificates, or tbe bank paper; trans¬ 
 ferable credit under either of these forms, constitutes a medium of in¬ 
 terchange, created without expenditure of labour, or advance of capi¬ 
 tal ; and may be created when that command of labour and capital, 
 which would be requisite to purchase any substitute, may be totally 
 out of tbc power of tbc nation. This inference is not hypothetical. 
 Three-fourths of tbe capital of tbe old national bank originally 
 consisted of national debt; yet upon this basis, was tbe credit found¬ 
 ed, which enabled that institution effectively to yield to tbe trade 
 of tbe United States, sixteen millions of dollars. 
 
 When the government, with the funds borrowed from foreign¬ 
 ers, purchases produce of tbe farmer or landholder, for defence 
 or improvement; tbe nation in tbc first place gains by tbe ex¬ 
 cess of tbe advantage resulting annually from tbc improvement or 
 defence, over tbe interest paid to tbc foreign creditor; and in tbe 
 second place, by tbc superior efficiency of tbe property borrowed, over 
 that which is consumed; or by the advantage of exchanging those 
 raw materials of which we have a superabundance, for articles of 
 which we are greatly in want. 
 
 Nearly similar are the advantages which are derived from the sale 
 of our bank stock in foreign coun tries . For though the proceeds of the 
 sale go into the coffers of the banks , the means of the nation are equally 
 increased; as it enables the banks to make greater advances , either to 
 the government , or to individuals . 
 
 At tbe establishment of every bank, tbe public may with propriety 
 claim a portion of tlie stock, sufficient to prevent that rise in value, 
 which causes to tbe projectors a gain, quite disproportionate to their 
 industry, or tbe capital winch they invest. This would prevent tbe 
 injurious multiplication of these institutions, and would constitute a 
 fair source of revenue; but it would be unjust and impolitic to tax, 
 and thus to depreciate bank stock, in tbe bands of those who may 
 have bought it after tbe rise has taken place. 
 
 Liability to this species of taxation will always render our stocks 
 
12 
 
 less saleable abroad. Foreign stockholders will not be willing to 
 share our burthens, incurred for objects by which they cannot be be¬ 
 nefited. 
 
 Enough has been said to demonstrate, that the poorer classes of 
 society are great gainers, if the capital obtained from wealthy citi¬ 
 zens, or foreigners through the public or bank credit, be employ¬ 
 ed in the execution of designs worthy of its value. In any event, 
 the poorer classes can have no reason to complain, as they can never 
 be called upon to pay more than that annual interest, which is so 
 trifling when compared with the annual advantage, if the capital ob¬ 
 tained by it, be invested in objects permanently beneficial. I say 
 permanently , because it does not appear correct to employ the means af¬ 
 forded by credit , in defraying the ordinary expenses of government. 
 This would in truth be a robbery of posterity ; and in order to avoid a 
 measure so replete with injustice , the public credit should only be re¬ 
 sorted to under circumstances , where the permanent character , or pros¬ 
 perity of the nation may be at stake. 
 
 I hope the reader of the preceding pages will concur with me, in 
 concluding, that as a mean of commercial interchange, credit is 
 more serviceable than gold and silver. Since, however, great 
 may be the quantity of these metals in a country, it does not follow 
 that they will reach the hands by which they would be most profit- . 
 ably employed. The command of them, is the exclusive attribute 
 of the wealthy, while the command of credit, is the universal attri¬ 
 bute of the honest, the skilful, and industrious. To employ the first 
 as a mean of wealth, requires the previous acquisition of wealth, or in 
 other words, that the effect should in some degree precede the cause. 
 To employ the last, only requires honesty, industry, and skill. In¬ 
 deed honesty of principle, is not requisite, where the custom of trade, 
 or the rigour of the law, renders a faithful payment of debts the most 
 profitable course. Prone in common with all substantial and heredi¬ 
 tary wealth, to subside into channels rather ample than numerous, 
 the precious metals flow through a country in large streams, which 
 carry out as much as they bring in, and contribute more to partial 
 magnificence, than to general fertility: while credit, springing up in 
 innumerable self-created rills, diffuses a fertilizing influence through¬ 
 out every region. 
 
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