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Letter Bk. IV
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Act of Parliament prohibits the Colony Legislatures from
making any Bills of Credit to be by them hereafter issued a
legal Tender It was not proposed to insert any Clause that
should make Ours a Tender in any payment whatever but as
they would have the same Bottom that the Bank Bills have in
England (the Fund on which they would be issued being
Bank-Stock more than equal to the nominal Value of the Bills
proposed to be issued here) it could scarcely be doubted but
they would support their own Credit, & indeed all the prin-
cipal people here, the Members of the two Houses & all the
Merchants would have been glad to receive such Bills accord-
ing to their nominal Value had an Act pass't for making the
Emission. The Reason I am so particular in giving you an
Account of what was proposed or talked of is that you may
submit the same to His Ldp's Consideration & advise me of
His Sentiments which I beg the favour of you to do as soon
as possible for I make no doubt but that as soon as the Dis-
pute about the passage of the Journal can be got over the
Assembly will be for carrying the Scheme into Execution &
for my own Part I see no Objection thereto, but am of Opinion
that an Emission of Bills of Credit on such a Bottom would at
this time be productive of many Advantages to the Province
& not likely to be prejudicial to any one. We should for the
purposes of Trade &c have the use of the whole Sum which
the Province has now a Right to draw out of the Bank, & at
the same time the Province would gain the Dividends of
Interest that should become due on such Sum in the Term of
Ten years. I have said above that for my own part I see no
Objection to the Scheme but as I have heard it said that Colo
Lloyd seem'd apprehensive that the Emission of Paper Money
might be a means of the little Specie now in Circulation here
being carried out of the Country I shall in Answer to that
Objection should it be made tho I cant suppose it will just
observe that the Plenty or Scarcely of Specie here depends
upon this whether upon the Whole the Ballance of Trade is
or is not against us for if we import more than our Exports
will pay for whether we have Paper Money or not we must
necessarily be drained of our Specie to pay the Ballance till
none remains, & if on the Contrary our Exports will do more
than pay for the Goods we import the Ballance will be brought
us in Specie. I have already hinted that there was a Dispute
this Session between the two Houses about the Passage of
the Journal which was not terminated & indeed I know not
when it will for the two Houses seem to entertain very
different Sentiments with respect to the Point that prevents
its passing, I mean whether the Clerk of the Council shall be
therein allowed his usual Salary or not & have taken their
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