Principles of Banks And Banking of Money As Coin And Paper With the Consequen

James Steuart Denham

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While parties are united by a common interest, all goes well: but interest divides, by the same principle that it unites.
\o sooner does a nation incur a balance against ttself, thtin exchangers set themselves to work to make a fortune, by conducting the operation of pay- ing it. They appear then in the light of political usurers to a spendthrift heir, who has no guardian. This guardian should be the bank, who upon such occasions (and upon such only) ought to interpose between the nation and he...r foreign creditors. This it may do. By constituting itself at once debtor for the whole balance, and by taking foreign exchange into its hand, until such time as it shall have dis- tributed the debt it has contracted for the nation, among those individuals who really owe it. This operation performed, exchange may be left to those 204 PRINCIPLES OF MONEY.
who make this branch their business, because then they will find no opportunity of combining either against the interest of the bank or of individuals.

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