[Anonymous], A Letter to the Merchant in London to Whom is Directed a Printed Letter Relating to the Manufactory Undertaking, 27 February 1740

[Anonymous], A Letter to the Merchant in London to Whom is Directed a Printed Letter Relating to the Manufactory Undertaking, 27 February 1740

  • In response to Dr. Douglass’s letter – it’s amazing the lengths that some will go to to make the Manufacturing scheme to look as bad as possible by distorting every facet of it.
    • Most of the letter is just calling people names. Every word that he writes in his disjointed letter makes him look like an idiot & shows he has no idea what he’s talking about.
  • He calls those who have created the Bank as lazy, extravagant & duplicitous by creating a money that has no value, that it’s just a tool to allow issuers to avoid paying their debts for at least 20 years.
    • This scheme is a way for the province to build a stronger economy, which will likely take that amount of time to do. After 20 years of investment, the currency will be worth a lot, considering the projected growth the investment will cause.
    • Many of our initial investors & projectors are people who have spent the best part of a lifetime serving our province. How dare you call them such names?
    • Furthermore, there’s nothing that says that issuers of the money won’t be on the hook for at least 20 years or that the money has no determinant value. There is a schedule for value of redemption, starting low after 1 year & increasing as the years go on.
    • Merchants accepting this currency for payment don’t have to wait to turn around once their cargoes have been sold. They have the money in hand, rather than waiting around for someone to get around to paying them – a common problem in our parts.
      • Provincial bills backed by the colonial government run into the same problem. Why are they not exposed to the same amount of scandal?
    • The author rails on about the mortgages being used in these payments. Any bad investments would be bad no matter what form of money is used. Allowing the Bank to control how the payments are made according to a legal contract is no different than allowing any other bank establishing this schedule.
    • He also goes on about their use for payment for imports. What does he expect the importers to accept when BOE cash is not available because it is not responsive enough to the needs of the public for liquidity to pay their bills? Should we shut down commerce? Or establish a secondary form of payment?
    • We rely heavily on our predecessors to provide us with the roadmap for how to commerce.
    • I wish naysayers would look at this form of payment as they would look at paying bills in the form of bonds, with adequate protection & scheduling to benefit the recipient of the bond. It’s essentially buying goods with a legally enforceable contract to pay on schedule.
      • The directors of the Bank do not do as they please but work from a set of directives, all of which are subject to any local or Parliamentary laws set up to regulate such forms of commerce.
    • We at the bank accuse Dr.Douglass of poisoning the well of public opinion against us by playing on the fears of the citizens that their money will be no good because we are being accused of being fly-by-night con artists.
      • With any more invective from him, we’ll likely be thrown in jail for nothing other than being on the wrong side of largely misplaced public opinion.
    • Douglass is essentially accusing us of treason by coining our own money against the wishes of the King & Parliament. However, he provides no evidence at all for this claim except nasty words.
      • He also accuses us of putting fanciful ideas in the heads of the public that they ought not have like the rich are getting rich at the average man’s expense & that he should fight back through our “wicked” currency.
        • The flow of currency in our province is severely by outside sources. The average man does not have access to investment because he doesn’t have the connections to get the scare liquid cash. This is an attempt to provide the average man without connections with credit.
      • He’s also accusing us of promoting mod rule – by trying to get public opinion against the current monetary system, despite parliamentary laws & Whitehall regulations that are supposed to prevent that.
        • The public should not have to deal with arbitrary policies promoted in ignorance or malice by such ignorant fools like Dr. Douglass.
      • He accuses us of exposing the public to risk of invasion, famine & various other nonsensical & unlikely outcomes.
        • This is just to cause a panic in order to turn the public opinion against the Bank

Author: knowit68

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