o any other
object, had discovered itself at an early period, and had gained
strength with time. The state of the national treasury was calculated
to promote this disposition. It was empty, and could be replenished
only by taxes, which congress had not the power to impose; or by new
emissions of bills of credit, which the government had pledged the
public faith not to make, and which would rest for their redemption
only on that faith, which would be violated in the very act of their
emission. Under these circumstances, it required a degree of energy
seldom found, to struggle with surrounding difficulties for the
preservation of a general system, and to resist the temptation to
throw the nation at the feet of the states, in whom the vital
principle of power, the right to levy taxes, was exclusively vested.
While the continental currency preserved its value, this essential
defect of the constitution was, in some measure, concealed. The
facility with which money was obtained from the press, was a temporary
substitute for the command of the resources of the country. But when
this expedient failed, it was scarcely possible to advance a single
step, but under the guidance of the respective states.

[Sidenote: Financial regulations.]

Whatever might be the future effect of this system, it was
impracticable to bring it into immediate operation. The legislatures
of the several states, by whom it was to be adopted, and carried into
execution, were, many of them, not then in session; and were to meet
at different times through the ensuing spring. It was consequently to
be expected that great part of the summer would pass away before the
supplies to be raised by the measure, could be brought into use. In
the mean time, and until a new scheme of finance, which accompanied
the requisition of specific articles, should be tried, there was no
regular provision for the army. Bills to the amount of L100,000
sterling, payable at six months' sight, were drawn on Mr. Jay, and
others to the same amount, on Mr. Laurens, who were empowered to
negotiate loans in Europe. These bills were sold in small sums on
pressing occasions; and the loan offices remained open for the purpose
of borrowing from individuals.

This new scheme of finance was a second essay to substitute credit
unsupported by solid funds, and resting solely on the public faith,
for money.

The vast quantity of bills unavoidably emitted before the
establishment of regular gove