“Individuals in Great Britain enjoy as high a degree of credit as can possibly exist, but confidence is more universal in the United States.”
Credit is the result of confidence; and if, as appears to be the case, the American confidence in each other will not procure credit, it is a very useless compliment passed between them. It is simply this—“I am certain that you are a very honest man, but notwithstanding I will not lend you a shilling.” Indeed. Mr Carey contradicts himself, for, two pages farther on, he says:—“The existence of the credit system is evidence of mutual confidence.”
I should like Mr Carey to answer one question.
What would have been the amount of the failures of the banks of America in 1836, if they had not suspended cash payments? It is very easy to carry on the banking business when, in defiance of their charters, the banks will give you nothing but their paper, and refuse you specie. Banks which will not pay bullion for their own notes are not very likely to fail, except in their covenant with the public. But it is of little use for Mr Carey to assert on the one hand, or for me to deny on the other. Every nation makes its own character with the rest of the world, and it is by other nations that the question between us must be decided. The question is then, “Is the credit of America better than that of England, in the intercourse of the two countries with each other, and with foreign nations?” Let the commercial world decide.
Volume Three—Chapter Three.
Remarks—Penitentiaries, etcetera.
Although, during my residence in the cities of the United States, I visited most of the public institutions, I have not referred to them at the time in my Diary, as they have been so often described by preceding travellers? I shall now, however, make a few remarks upon the penitentiary system.
I think it was Wilkes who said, that the very worst use to which you could put a man was to hang him; and such appears to be the opinion in America. That hanging does not prevent crime, where people are driven into it by misery and want, I believe; but it does prevent crime where people commit it merely from an unrestrained indulgence of their passions. This has been satisfactorily proved in the United States. At one time the murders in the city of New Orleans were just as frequent as in all the states contiguous to the Mississippi; but the population of the city determined to put an end to such scenes of outrage. The population of New Orleans is very different from that of the southern states in general, being composed of Americans from the eastern states, English merchants, and French creoles. Vigorous laws and an efficient police were established; and one of the southern planters, of good family and connexions, having committed a murder, was tried and condemned. To avoid the gallows, he committed suicide in prison. This system having been rigorously followed up, New Orleans has become perhaps the safest city in the Union; and now, not even a brawl is heard in those streets where, a few years back, murders occurred every hour of the day.