to be effected addresses itself to the discretion
of Congress as the trustee for the States, and its
exercise after the most beneficial manner is restrained
by nothing in the grants or in the Constitution so
long as Congress shall consult that equality in the
distribution which the compacts require. In the
present condition of some of the States the question
of distribution may be regarded as substantially a
question between direct and indirect taxation.
If the distribution be not made in some form or other,
the necessity will daily become more urgent with the
debtor States for a resort to an oppressive system
of direct taxation, or their credit, and necessarily
their power and influence, will be greatly diminished.
The payment of taxes after the most inconvenient and
oppressive mode will be exacted in place of contributions
for the most part voluntarily made, and therefore
comparatively unoppressive. The States are emphatically
the constituents of this Government, and we should
be entirely regardless of the objects held in view
by them in the creation of this Government if we could
be indifferent to their good. The happy effects
of such a measure upon all the States would immediately
be manifested. With the debtor States it would
effect the relief to a great extent of the citizens
from a heavy burthen of direct taxation, which presses
with severity on the laboring classes, and eminently
assist in restoring the general prosperity. An
immediate advance would take place in the price of
the State securities, and the attitude of the States
would become once more, as it should ever be, lofty
and erect. With States laboring under no extreme
pressure from debt, the fund which they would derive
from this source would enable them to improve their
condition in an eminent degree. So far as this
Government is concerned, appropriations to domestic
objects approaching in amount the revenue derived
from the land sales might be abandoned, and thus a
system of unequal, and therefore unjust, legislation
would be substituted by one dispensing equality to
all the members of this Confederacy. Whether
such distribution should be made directly to the States
in the proceeds of the sales or in the form of profits
by virtue of the operations of any fiscal agency having
those proceeds as its basis, should such measure be
contemplated by Congress, would well deserve its consideration.
Nor would such disposition of the proceeds of the
sales in any manner prevent Congress from time to time
from passing all necessary preemption laws for the
benefit of actual settlers, or from making any new
arrangement as to the price of the public lands which
might in future be esteemed desirable.