Robert Treat Paine Papers, Volume 3
Soon after the receipt of your agreable Favour of April 12th., I was under the Necessity of suspending a Correspondence with all my Friends, which I think would not have been the Case, had my Situation been on the Banks of a River, blessed with the finest of Air, & abounding with the most delicate Species of the finny Creation; this Part of my Epistle, I think you will be able to decypher without an Alphabet.
I am informed that You was a warm advocate for the regulating Act, & had I been honored with a Seat in your House, You would certainly have had an Addition of one to your Sect. True it is, that an Excess of Money whether in Specie or Bills of Credit, will lessen the comparative Value, 407and that this will appear by enhanced prices, but is equally true, that while the Spirit of Commerce exists in a State, it will be found expedient, if not indispensibly necessary, to limit the Prices of those Articles of Trade which are considered as Necessaries of Life, when a great Scarcity & lasting Scarcity takes Place; notwithstanding the Quantity of Money should not exceed, or be even equal, to the Sum required in the State, for a circulating Medium. Therefore the Reduction of the Quantity, & restraining Acts must go hand in Hand, or the purpose in my humble Opinion, of supporting the Credit of the Currency, will never be answered. I have the Misfortune to be on the Committee upon the proceedings of your late Convention, & a Report is now before Congress for sinking the Currency of each State, taxing the Continent largely, & confiscating the Estates of fugitives, & others who have forfeited the protection of the several States, for the Benefit of such States, but providing by Recommendation that such Estates should be sold & invested in Loan office Certificates of the Continent. The Committee will I hope in the next place propose a plan of general Regulation of prices from the Want of which your Act was before defeated. I have long expected to have seen a Duty layed by your State for the Benefit thereof on prize Goods of at least 5 per Ct.; It would give me Pleasure to hear of it tomorrow; & it is justifyed & encouraged by the Confederacy as adopted by Congress. The late Resolve for paying Interest, will, I think, bring in large Sums to the Loan offices; the Encouragement is great & the Lender will be benefited in proportion to the Appreciation or Depreciation of the Currency.
As the president will deliver this, it is unnecessary to give a Detail of Congress Matters, wch. You will receive from him by Wholesale. I congratulate You on the late Successes of our Troops in the North, & the Delaware & remain with much Esteem Sr. yours Sincerely,
P.S. I am now on the Lobby & Congress are upon a question relative to a Council of State wch. so hurries me as to prevent reading, much less adding to this.