The Loyalists of Massachusetts and the Other Side of the American Revolution

by James Henry Stark

From the first he is set to deal with questions of finance; as early as June 3, 1737, he is appointed to wrestle with a tax bill, and before the end of the year he is settling a boundary dispute with New Hampshire, and it was a mark of confidence when in 1740 he was appointed, being then 29, to go to England to represent the case to men in power. A far more memorable service than this had already been entered upon by him, and was resumed upon his return in which he was thoroughly successful in spite of great difficulties, it also having a close relation with the coming into being of the United States.

New England was at this time cursed with an irredeemable paper currency. Democracies never appear to so poor advantage as in the management of finances, and no more conspicuous instance in point can be cited, than that of provincial New England, throughout the first half of the 18th century. The Assembly, the members of which were simply the mouthpieces of the towns, surrendered their private judgment and became submissive to the "Instruction" which they received at the time of their election, was uniformly by a large majority, in favor of an irredeemable paper currency. Before the enormous evils which early became apparent and constantly grew in magnitude, the Assembly was impotent. Widows and orphans, classes dependent on fixed incomes, were reduced to distress, creditors found themselves defrauded of their just dues, till almost nothing was left, a universal gambling spirit was promoted. The people saw no way to meet the evil but by new, and ever new issues of the wretched script, until with utter callousness of conscience, men repudiated contracts voluntarily entered upon, and recklessly discounted the resources of future generations by placing upon them the obligations their own shoulders should have borne. The action of the Council in which the higher class was represented was uniformly more wise, and honorable, than that of the lower House during this period of financial distress, and it is especially to be noted that King and Parliament threw their influence on the right side, and sought repeatedly to save the poor blind people from themselves. The right of the home government to interfere in colonial affairs was then never questioned. Massachusetts would dodge if she could, the government mandates, but the theories of a later time, that Parliament had no jurisdiction over sea and that the King, having granted the charter, had put it out of his power to touch the provincial policy, in these days found no expression.

The Revolution was now preparing, the Colonies were chafing under restrictions imposed beyond the ocean for their own benefit. It is now generally admitted, that this was one of the first causes of the Revolution, perhaps the most potent of all causes. In all this time of distress no figure is apparent so marked with traits of greatness as that of Thomas Hutchinson. All the Colonies were infected with the same craze, but no other man in America saw the way out. Franklin, level headed though he was, elaborately advocated paper money, turning a good penny in its manufacture.[104] The father of Samuel Adams was one of the directors of the iniquitous "Land Bank" and the part taken by Hutchinson in causing Parliament to close it, was what led to the undying hatred of Samuel Adams towards Hutchinson, and the Government. When "Instructions" were reported in Town Meeting, Hutchinson was immediately on his feet, and declared he would not observe them, there were immediately cries "Choose another Representative." This could not be done during the session; he consistently threw his influence on the hard money side, and so far lost popularity that he was dropped in 1739. He was, however, elected again in 1742, and was Speaker in 1746-7-8.

What saved the province from financial ruin at this time was the capture of Louisburg. This warlike enterprise of Shirley led the country to increase its debt to between two and three million dollars, but the paper money was so depreciated at the close of the war that £1,200 was equal to only £100 sterling. Parliament very generously voted to reimburse the Province for the expense it had gone to in this war, and voted to pay £183,649, 2s 7 1-2d sterling.

Mr. Hutchinson, who was then Speaker of the House of Representatives, considered this to be a most favorable opportunity for abolishing bills of credit, the source of so much iniquity, and for establishing a stable currency of gold and silver for the future. £2,200,000 would be outstanding in bills in the year 1749 £180,000 sterling at eleven for one, which was the rate at that time, would redeem all but £220,000. It was therefore proposed that Parliament should ship to the Province Spanish dollars, and apply same to redeem the bills, and that the remainder of the bills should be met by a tax on the year 1749. This would finish the bills. The Governor approved of the bill prepared by Mr. Hutchinson but when the Speaker laid the proposal before the House, it was received with a smile; for a long time the fight was hopeless, many weeks were spent in debating it.

The large class of debtors preferred paper to anything more solid. Others claimed that though the plan might have merit, the bills must be put an end to in a gradual way, a "fatal shock" would be felt by so sudden a return to a specie basis. When the vote was taken the bill was decisively rejected. The chance of escaping from bondage seemed to be irrecoverably gone. A motion to reconsider having been carried, the conviction overtook some men of influence, and the bill for a wonder passed. The Governor and Council were prompt to ratify, and while the people marvelled, it was done. The streets were filled with angry men and when it was reported that Hutchinson's home was on fire there were cries in the street "Curse him, let it burn." His fine home at Milton, a recent purchase, many thought should be protected by a guard. The infatuation was so great, the wish was often expressed that the ship bringing the treasure might sink. Many doubted whether the treasure would really be sent, and this uncertainty perhaps helped the adoption of the bill.

But the treasure came, seventeen trucks were required to cart from the ship to the Treasury, two hundred and seventeen chests of Spanish dollars, while ten trucks, conveyed one hundred casks of coined copper. At once a favorable change took place. There was no shock but of the pleasantest kind, a revulsion of popular feeling followed speedily, until Hutchinson, from being threatened at every street corner, became a thorough favorite. Twelve years after this time Hutchinson wrote, "I think I may be allowed to call myself the father of the present fixed medium." There is no doubt of it. He alone saw the way out of the difficulty, and nothing but his tact, and persistency, pushed the measure to success. This is admitted by his enemy, John Adams, who thirty years after Hutchinson's death said, "If I was the witch of Endor, I would wake the ghost of Hutchinson, and give him absolute power over the currency of the United States, and every part of it, provided always that he should meddle with nothing but the currency. As little as I revere his memory, I will acknowledge that he understood the subject of coin and commerce better than any man I ever knew in this country. He was a merchant, and there can be no scientific merchant, without a perfect knowledge of a theory of a medium of trade."[105] Hutchinson, in the third volume of his history of Massachusetts, remarks that the people of Massachusetts Bay were never more easy and happy, than in 1749 when, through the application of the Louisburg reimbursement to the extinction of the irredeemable bills, the currency was in an excellent condition. It excited the envy of the other colonies where paper was the principal currency.

In 1750 he was again elected to the Assembly and "he was praised as much for his firm" as he had before been abused for "his obstinate perseverance." He was made chairman of a commission to negotiate a treaty with the Indians of Casco Bay. He also settled the boundary question with Connecticut, and Rhode Island, as he had done previously with New Hampshire. Massachusetts became greatly the gainer by this settlement of its boundaries. The present boundaries of Massachusetts are those established by Hutchinson. In 1752 he was appointed Judge of Probate, and Justice of the Common Pleas, for the County of Suffolk. In the spring of 1754 he lost his wife. With her dying voice and with eyes fixed on him she uttered three words, "Best of husbands." He loved her tenderly; twenty years later, taking thought for her grave, as we shall see later on in this article (where his countrymen could not let her bones rest in peace, but they must desecrate her grave on Copps Hill.)

"In 1754 he was sent as delegate to the Convention held in Albany, for the purpose of Confederating the Colonies, the better to protect themselves from the French. Hutchinson and Franklin were the leading minds of the body. To these two the preparation of important papers was confided and plans made to prevent the 'French from driving the English into the sea.'"

In 1758 Hutchinson became Lieutenant Governor. The excellent financial condition produced by Hutchinson's measure ten years previous, still continued, and was made even better than before. Quebec had fallen, and Canada was conquered by the English, and the mother country, made generous by success, sent over large sums of money to reimburse the Colonies for the share they had taken in bringing about the brilliant success, the result was that the taxes became a burden of the lightest ever before known.