quivocally, that in the view of
that body the original creditors, and those who had become so by
assignment, had equal claims upon the nation.

After reasoning at great length against a discrimination between the
different creditors of the union, the secretary proceeded to examine
whether a difference ought to be permitted to remain between them and
the creditors of individual states.

Both descriptions of debt were contracted for the same objects, and
were in the main the same. Indeed, a great part of the particular
debts of the states had arisen from assumptions by them on account of
the union; and it was most equitable that there should be the same
measure of retribution for all. There were many reasons, some of which
were stated, for believing this would not be the case, unless the
state debts should be assumed by the nation.

In addition to the injustice of favouring one class of creditors more
than another which was equally meritorious, many arguments were urged
in support of the policy of distributing to all with an equal hand
from the same source.

After an elaborate discussion of these and some other points connected
with the subject, the secretary proposed that a loan should be opened
to the full amount of the debt, as well of the particular states, as
of the union.

The terms to be offered were,--

First. That for every one hundred dollars subscribed payable in the
debt, as well interest as principal, the subscriber should be entitled
to have two-thirds funded on a yearly interest of six per cent, (the
capital redeemable at the pleasure of government by the payment of the
principal) and to receive the other third in lands of the western
territory at their then actual value. Or,

Secondly. To have the whole sum funded at a yearly interest of four
per cent., irredeemable by any payment exceeding five dollars per
annum both on account of principal and interest, and to receive as a
compensation for the reduction of interest, fifteen dollars and eighty
cents, payable in lands as in the preceding case. Or,

Thirdly. To have sixty-six and two-thirds of a dollar funded at a
yearly interest of six per cent., irredeemable also by any payment
exceeding four dollars and two-thirds of a dollar per annum on account
both of principal and interest, and to have at the end of ten years
twenty-six dollars and eighty-eight cents funded at the like interest
and rate of redemption.

In addition to these propositions th