against

force, was entered into in New York, with CHAP. VII. the same zeal, with which it had been engaged 1713. in by New England. The treasury not being in a situation to supply the demands upon it, bills of credit to the amount of twenty thousand pounds were issued to defray the expense of the expedition; three thousand pounds were added by New Jersey; eight thousand pounds by Connecticut; and a considerable body of troops raised in the several colonies, destined for the attack of Montreal, marched under the Expedition command of mr. Nicholson to Wood creek; Montreal. from whence they had the mortification to return without rendering any service. The chagrin produced by this grievous disappointment, only stimulated the colonists to additional efforts to obtain from England a force sufficient to drive the French out of their possessions in North America. Colonel Schuyler, who possessed more than any other the confidence of the colony, and who was in a high degree sensible of the importance of uniting the whole northern part of this continent under the same sovereign; undertook, at his own expense, a voyage to England for the purpose of communicating more certainly to the ministry, his sentiments on this subject. To add to the impression, he took with him five Indian sachems, and was recommended to the royal attention by a resolution of the general assembly, expressive of the high opinion they entertained of his

CHAP. VIL merit. His representations had unquestionably 1713. considerable influence, in determining the ministry on the expedition, which was successfully carried on against Port Royal in 1710.

When sir Hovenden Walker sailed for Quebec in 1712 with the troops commanded by general Hill, mr. Nicholson at the head of four thousand men, raised in New York, Connecticut and New Jersey, again marched by the way of Albany and lake Champlain against Montreal; but having received intelligence of the wreck of some ships in the river St. Lawrence, and the consequent retreat of the fleet, events which enabled the governor of Canada to turn his whole force towards the lakes, he retired precipitately towards Albany. On this occasion, ten thousand pounds in bills of credit were emitted, and debts were contracted to a still greater amount.

It had been usual in several of the colonies to make handsome presents to their governors. This practice was supposed to have a material influence on their conduct, and to dispose them to conciliate the affections of their respective legislatures at the expense of their duty to the crown. In the apprehension of this ill consequence from such a custom, peremptory orders were given by queen Anne to the several governors, to receive no more presents, but to obtain acts fixing permanently their salaries at a sum named by herself. In some of the colo

1713.

of boundary

Massachus

Connecticut.

nies, this requisition of the crown was readily CHAP. VII. complied with, but in New York and Massachussetts, it experienced very great opposition. In the same year which restored peace to the Adjustment colonies, the long contested question of boun- line between dary between Massachussetts and Connecticut setts and was adjusted very much to the satisfaction of all parties. As settlements had been made by emigrants from the body of each province, before the line was established, it was apprehended that each had made grants of lands within the territory of the other. It was therefore agreed, that the towns already settled should remain under the same jurisdiction which had settled them, and that the party losing territory by this compromise should be compensated by a grant of vacant lands in some other place. It appeared from the report of the joint commissioners appointed to ascertain the matters in controversy, that 107,793 acres of land were due from Massachussetts. This quantity was conveyed to Connecticut, and sold by that province, principally for the support of Yale college. In the same year the contest respecting boundary with Rhode Island was also settled by agreement; Connecticut consenting to relinquish her claim to lands within the charter limits of each colony.

CHAPTER VIII.

Proceedings of the legislature of Massachussetts....Intrigues of the French among the Indians.... War with the savages....Peace....Points of controversy with the governor, decided in England against the house....Contests concerning the governor's salary.... Adjournment of the assembly to Salem....Contest concerning the salary terminated....Great depreciation of the paper currency ....Scheme for a land bank....Company dissolved by act of parliament....Governor Shirley arrives.... Review of transactions in New York.

1713. THE heavy expenses of Massachussetts, during the late war, had produced such large emissions of paper money, that gold and silver were entirely banished, and a very considerable depreciation had taken place. Exchange with England, and with all other countries, rose greatly above its ordinary rate, and this, instead of its being attributed to the true cause, was ascribed by many to the bad state of their trade.

The colony having now leisure for its domestic concerns, bestowed its attention on this interesting subject.

The first, a

Three parties were formed. very small one, actuated by the principle which always ought to govern, that honesty is the best policy, were in favour of calling in the paper money, and relying on the industry of the people to replace it with a circulating medium of greater stability.

The second, which was very numerous, had CHAP. VIII. projected a private bank. This bank was to 1713. issue bills of credit, which all the members of the company promised to receive as money, but at no certain value compared with gold and silver. It was not contemplated that specie should be deposited in the bank to redeem the notes as they might be offered, but that real estates, to a sufficient value, should be pledged as security that the company would perform its engagements.

The third party was in favour of a loan of bills from the government to any of the inhabitants, who would mortgage real estate for their repayment in a specified term of years, with interest payable annually, which interest was to be applied to the support of government.

The first party, being too insignificant in point of numbers to indulge a hope that its opinions might prevail, joined the third; and the whole province was nearly equally divided between a public and private bank.

1714.

At length, the party for the public bank prevailed in the general court, and fifty thousand pounds in bills of credit were issued and placed of the in the hands of trustees, to be lent for five of Massayears only, at five per cent. interest, one fifth part of the principal to be paid annually.

This scheme had no tendency to improve the commerce of the country; and governor Shute, who succeeded Dudley, on first meet

legislature

chussetts.