88. A Defence of Paper Money (1724)
Burnet was governor of New York and New Jersey, and was later transferred to Massachusetts. This is a fair statement of the attitude of the colonists. — Bibliography : Palfrey, New England, IV, 497-526; Henry Phillips, Paper Currency ; A. McF. Davis, Provincial Banks ; Channing and Hart, Guide,§§ 105, 106.
I AM very sensible of the disadvantage I lye under in writing upon this argument, and the misfortune it is to any cause to have already appeared in an odious light, as I am but too well convinced is the case of paper money Acts in the Plantations, by your Lordships last words in your letter of the 17th of June — That Bills for encreasing of Paper money will meet with no encouragement — I hope your Lordships will not think it presumption in me even after this declaration to endeavor to give you a more favorable opinion of such Acts and if I go too far in this, it is owing to the encouragement your Lordships have given me by receiving what I have offered on all occasions in so kind a manner and admitting the best constructions that my weak Reasoning will bear
I have already in my letter of the 12th of May last used several Arguments to justify the Paper Act in New Jersey, and therein I observed how well the Bills of New York keep up their credit and the reasons why they have not fall'n in value as those of Carolina and New England and that under a good regulation these Acts are both of Service to the Trade of the Plantations and of great Britain, for which that I may not repeat I beg leave to refer to my said letter of the 12th of May last and desire your Lordships would again take into your consideration when you are to determine your opinion on this present Act. —
But there are many things there only hinted at which I shall now lay before your Lordships and in which I shall cheifly argue from what is to be gathered from experience in Great Britain itself from observing the nature of credit and the events it has under gone, and in this I hope I may be the more patiently heard because what experience I have was purchased at no very cheap rate
Credit ought to be supported if it is possible, both by reason and common opinion. Reason tho ever so strong will not always do alone in the Beginning if common opinion is against it but it will carry all before it at the long run : Common opinion or humor will generally do for a time without reason nay, against it But then it is often attended with vast mischeif and danger — Of this we have a fatal Instance in the
