We were laboring under a dropsical fulness of circulating medium. Nearly all of it is now called in by the banks, who have the regulation of the safety-valves of our fortunes, and who condense and explode them at their will. Lands in this State cannot now be sold for a year's rent; and unless our Legislature have wisdom enough to effect a remedy by a gradual diminution only of the medium, there will be a general revolution of property in this state.
About this quote
- What does it mean?
- Banks controlled the money supply, causing economic distress, and legislative action was needed to prevent property upheaval.
- In plain terms
- Banks tightened money, hurting property values, so leaders must act gently to fix it.
- What can you take from it?
- Regulate money supply to stabilize economy.
Where it applies
Putting it to work
Questions to consider
- Who controls the money supply?
- How do you stabilize a crisis?
Another view
Too much regulation can slow growth.
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