Memoirs of John Adams Dix; comp. by his son, Morgan Dix.

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1MEMOIRS OF JOHN ADAMS DIX.

consequent financial distress occasioned by the action of the
President in withdrawing the government deposits from the
Bank of the United States at Philadelphia and placing them
in local State institutions. This measure, although resisted
by Congress, and even by the Secretary of the Treasury, was
pushed on by General Jackson, who preferred discharging his
Minister of Finance, and appointing another of his own mind,
to failure in carrying out his pet measure. The consequent
contraction of the currency, and the disasters to which it gave
rise, brought on a revulsion throughout the country, the people reproaching the national administration as the authors of
their distress. In the State of New York the evils referred
to were not so seriously felt as elsewhere, and the elections
of 1834 resulted in another victory for the Democratic party.
Their position, however, was rapidly becoming critical, confronted as they were by a powerful coalition of National Republicans and Antimasons. The candidate of the opposition
in 1834 was William HI. Seward; a man destined to achieve,
within a few years, a political triumph in the State of New
York, and subsequently to attain honorable as well as perilous
distinction in the trying years of the Civil War.
Governor Marcy, in his annual Message to the Legislature
in 1836, referred to the dangers to be anticipated from a spirit
of wild and reckless speculation which was then abroad. It
appears to have been the result of great national prosperity.
Our foreign credit was good, the products of agriculture commanded a high price, and, since nothing seemed easier than
to make money, every one hastened to grow rich. It is said
that the passion for speculation in stocks and real estate prevailed to an extent unknown in this country before that day.
Extravagant schemes of internal improvement were thrust
before the Legislature, who were clamorously besieged by the
demand for appropriations of the public money to carry them
into effect. In vain the Governor protested against pledging
the State credit in aid of public works until the Legislature
should have provided, by taxation or otherwise, for paying