The Sun.
London, England, 1869-09-22 00:00:00

AMLEICAN SECRETARY OF WAR.

The death of Secretary Rawlins has caused very
general regret through the 'United States. He was 33
years of age, and died from an attack of inflammation. He
tlakipm_2t.spor parents in Illinois, and was only at

school for eight months. After working as a charcoal-
burner, he went to the bar. He was at one time opposed
to the war, but afterwards joined General Grant. He dis-
played great talents for military control, and was consi-
dered the most thorough Adjutant-General of the army
He understood all the working of large armies through the
military education which he gave himself. Whcn Grant
became President he appointed Rawlins his Secretary of
War. This was the only Cabinet appointment which
gave general satisfaction to the Republicans and Democrats.
During the short time General Rawlins conducted the affairs
of the army he-succeeded admirably. He was actuated
by the most conscientious motives, and his private cha-
racter corresponded with his public capacity. He left his
family . badly provided for, but subscriptions are
being raised at Washington to provide for their necessities.
The body of the deceased General was laid in state and
attended by military guards. A large number of persons
paid their respects to his memory on this sad occasion. It
is thought that his funeral will be one of the most solemn
and impressive ever witnessed in the city of Washing-
ton. The Mayor has issued a proclamation closing the
municipal offices, and it is expected that all business will
be suspended.

AMERICAN IIvDEBTEDNESS TO EUROPE

(From the Anglo-American Times.)

There has been much lamentation in America over
the disparity in value between the national exports
and imports, the excess of the latter being sup-
posed to lead to an accumulating interest-bearing
debt in the hands of foreigners. The subject has
led to discussion in Europe, as well as in the United
States, and it has not unfrequently been used as
a means to alarm the bondholders and the proprie-
tors of American Securities generally. From the Eng-
lish view the Republic is represented as a family living
on its capital, therefore bound soon to come to grief,
on which the debtors must, of course, be left out in
the cold ; hence the argument that it is not wise to
extend credit to the citizens of the United States.
In America the same view is taken, with this dif-
ference„ that-the foreigner is looked upon as ex-
changing gewgaws for substantial Securities, where-
by the veryvitals of the nation are consumed to pam-
per a luxurious class. Each side while regarding them-
selves as the victims arrive at the conclusion that the
United States, living beyond its means, must even-
tually become bankrupt. Yet, though this appears
so on the surface, it is but a superficial view, leading
to erroneous conclusions. That champagnes and
clarets, silks and laces, decorations, and objets de
luxe figure largely in the list of imports is true, and
we have no hesitation in saying that it will be a
bad day for the United States when they cease to
do so. The taste and ingenuity, the art and lite-
rature of nations should, and, we hope, must,
always be exchanged, as well as the luxuries they all
produce ; indeed, it would be difficult to draw the
line where an article passes from a necessity to a
Superfluity, where a silk should not take the place
of a gingham. Nor, in this narrow view of the
commercial exchanges, should it fail to be ob-
served that a great staple product of America,
largely exported to Europe, not only ends in
smoke, but leaves as a residue a deadly poison,
and Europe may well question whether she exports
to the United States any such pernicious luxury
as she receives in tobacco. But the tables of fi-
gures do not truthfully show the business between
the Continents ; and while we admit the growth
of American indebtedness to Europe, we believe
that the transactions which eventuate in this debt
are profitable to both, but more especially so to the
United States. All great financial transactions
between the countries are, as a rule, made up of a
multiplicity of small affairs between individuals ; so
that it becomes difficult to trace how the producer
of a bottle of champagne eventually receives pay-
ment in a United States Bond or in the stock of
a railway. In a young and fertile country, where
much land remains in a state of nature, money is
far more valuable than in the older centres of
commerce, where it has a tendency to accumulate
in unproductive heaps. The drift of this capital
always will be to the undeveloped country, where
it can be employed most profitably both to the owner
and borrower. The yearly accumulation of indebted-
ness of America to Europe is simply in obedience
to this law, and unless disturbed by a convulsion,
or an act of national dishonesty, the flow of Euro-
pean capital to America will go on increasing alike
to the benefit of both Continents. While using
the word " alike," it is not meant that each equally
benefits, for the gain to the United States is much
greater than to Europe, notwithstanding the bowls
of gloomy forebodings raised in the Republic.
Women who will wear French silks instead of the
cottons of Massachusetts ; men who will drink
French wines and wear English broad-cloths in-
stead of consuming the products of their country,
pay for them out of their own pockets, and, as a
rule, can afford to do so from their savings. The
money gathered for them by the storekeeper is fre-
quently remitted to France or England in the
shape of such bonds as sell best on the Bourses
of these countries ; but with these remittances are
likewise coupled the payments for railway iron,
andforvarietya goods put into work for the
development
of t fheocountry. The money received by
the storekeeper in payment for the foreign articles
remains in America, as a settlement has been made in
the shape of certificates of indebtedness, where the
cash is used in industrial and profitable works. Into
the transactions through which the bonds and stocks
reach European strong boxes, a consumption cer-
tainly enters of vanishing luxuries and gewgaws,
but the preponderance of the imports are of a sub-
stantial and improving character. For instance,
in the article of iron rails alone, for the first half
of this year there were exported from England to
the United States 168,348 tons. Besides the iron,
for many months a thousand men and women from
Europe daily landed in the Republic—people to lay
these rails, to populate and cultivate the waste
places over which the road passed. Poor though
they may be, each carried a small sum in hard
cash, which aggregated a vast influx of coin, to be
relied on by the United States as surely as on the
receipts from an income tax. Though the iron is
represented in official returns, and goes to swell
American indebtedness, the other, of infinitely
greater importance, remains unnoticed, and in the
face of this notorious fact we ask what is the real
value of the lamentations over tables which show
in appearance a balance in the commerce with
Europe against the United States, when the balance,
viewed even from the complainant's point of view,
is really in favour of the Republic ? If the bone
and sinew, as well as the savings, of Europe find
their way in large proportions to the United States,
astheynnioubtedly do, the question for the ruination-
theorists to consider is, what does Europe get in re-
turn? We answer dividends on successful ventures,
and interest on the national bonds Europeans pur-
chase from American citizens who prefer more pro-
fitable investments at home. In the latter case the
money loaned- to the Government is returned by a
foreigner for a citizen to carry out local and other
profitable works, or to develope a useful and pay-
ing business. In the former case the risk is nearly
all to Europe ; the gain, mostly to America. Cin-
cinnati, say, is desirous of constructing a railway
to Chattanooga, and Chattanooga to the sea, when
a sort of Mississippi would be opened through Ken-
tucky, Tennessee, and other States. if a main por-
tion of the capital be derived from Europe, and the
work be completed, in what position stand the
European proprietors ? Supposing the venture to
turn out very profitably, they will receive a good
interest on their money, and foreign indebtedness
will be increased, through the bundles of valuable
stock thus created. Supposing, however, that it
does not pay, that it has been financed out of exis-
tence, that it has been mismanaged and plundered,
or that it is through a country which it will take
long years to develope before it can become profit-
able ; then the European stockholder has simply lost
his money, although America has gained ; and it is
hopelessly gone, as he cannot extract from that road
the gold put into it. Yet the work remains; over
the rails run trains ; and Kentucky, Tennessee, and
ees u on
the Take,
c other
enterprise
multipliesa
tnod; hand,
ehteihne
aocuhansi
get
country
along
lgornege America.suthce:
Suppose
suc-
cessful
;traffic
a
ling becomes settled, when everything in the State
feels-the beneficial Influence while to the foreign

• creators of all this good comes only a small portion
L, of the surplus. But, suppose the case to be
the reverse ; that the undertaking does not pay
in what degree is America injured ? A work has
been constructed which has caused much money of
foreigners to be spread in the locality ; the railroad,
the canal are completed, and the inhabitants have
a new road or a new means of traffic brought to
their doors. If the conditions on which the money
was lent be not observed, what remedy have the
foreign mortgagees ? They cannot pack up the road
or canal as does a Punch-and-Judy showman, and
carry it away to where it would be more profitable;
there it must remain for the inhabitants to use, and
for the development of the country, whether it
greater portion of the Northern Island ; the former
is unquestionably the manly way, but the colony
unaided could not pursue it ; hence the neces-
sity of procuring the assistance of the home Govern-
ment. This is generally admitted by all writers ;
and sad experience has taught the New Zealanders
that their pride and impatience with the Imperial
officers which led them to reply to the despatches
of the British Ministers—" We decline to ray the
contingent asked ; remove your troops, and cease
to interfere in native affairs "—was more petulant
than prudent. The question of interest is whether
the Imperial Government will respond, for on it
hinges more or less the integrity of the British
Empire. The resolutions merely state the public
belief in affirming that the greater portion of the
Northern Island must be Abandoned, or that
England must thus far aid the colonists. If her
Majesty's Government declines this assistance, it
proclaims to the Empire that each portion—that is
every settlement of British emigrants comprised
within a Government--being practicallyindependent,
must rely on itself for defence, and maintain its own
progress and existence or become extinct. If a por-
tion of New Zealand has to be abandoned, and for
the first time in the history of the Anglo-Saxon race
it retires before the savage, under similar circum-
' stances the Cape will be abandoned, Australia, or
Canada. The connection, then, dissolves, and a
war wherein England engages must become the
signal for a general declaration of independence.
This argument is conclusive : "if England does
not adhere to us in our difficulty, it is not for us
to cleave to her in her difficulty; if she will make
no sacrifice for us, there is no reason why we should
for her ; and unless we declare our independence
our commerce will be cut to pieces by her enemies,
and our coasts ravaged by their ships." This is
practically the question involved ; hence it becomes
of world-wide interest ; for there is an evident
struggle in the English mind, and on the result
may hinge vast changes. From recent articles in
leading journals we perceive that the people are
becoming aroused to the importance of the quess
tion—Shall the empire on which the sun never sets
dissolve like snow on a hot day when he has attained
the meridian ? or, shall these widely separated pro-
vinces be welded together and held in a community
of interest and sympathy, scattered, yet united, and
amalgamated for offence and defence ? Many Eng-
lishmen believe the latter to be possible, and the
progress of science would have really made it so
had not the narrow insular prejudice to which we
have so frevently alluded not marred the great
destiny otherwise so certain. To these resolutions,
which have in some shape or other been embodied
by the New Zealand Ministry, and submitted to
her Majesty's Government, will come the practical
answer to the question. Mr. Wilson discusses it
from a fair, impartial standpoint. "I have used,"
he says, " the phrase ' home', for I have regarded
home," England,' and' mother country' as syno-
nymous, and while I continue to do that, I cannot
believe that all assistance will be denied. While
we call England home, I will not think so ill of her
Majesty's Ministers as to believe they can desert us
altogether." He argued that the great heart of the
English will not permit this, but force their will on
a reluctant Ministry,as they have often done before.
Nor would the investors of £15,000,000 of money sit
quietly and see it and them driven into the sea. On
the other hand, Mr. Wilson acknowledges that New
Zealand bad been petulant and absurdly proud ; the
colony had cost the mother country a great deal ;
she had been a troublesome child, and in reviewing
the connection this should not be overlooked. The
general feeling was, he admitted, that it was next to
useless to send Commissioners home, for that no as-
sistance would be given. Still the House was not in a
position to weigh accurately the circumstances under
which the measure would come before her Majesty's
Ministers. It is not now a mere New Zealand
question, but one of paramount Imperial interest,
into which other calculations than those affecting
the settlers must largely enter.
To the New Zealanders the question of success
or failure in crushing the native rebellion is that of
deepest interest. New Zealand consists of two
main islands—the Northern, about as large as Ire-
land, to which all these troubles are confined ; and
the Southern, or Middle, as it was erroneonsly
called, little less in extent than Great Britain,
which, till the late heavy fall in the price of wool and
these Maori wars, was among the most prosperous
and progressive of countries. Probably the Maories
do not number 30,000, while the settlers in the
Northern Island alone are twice as numerous. Nor
are the natives all open enemies, for many not only
profess friendship, but take service on the side of
the colonists. The difficulty of the war is three-
fold. (1.) The steep, mountainous, and densely
wooded character of the country, without roads, and
in a pure state of nature. (2.) The canfiguration of
the country, by which the natives hold the interior
lines of the island, operating at pleasure against the
settlements scattered along its outer rim on the coast.
(3.) The great bravery, intelligence, and warlike
qualities of the savages, which enable them to ap-
preciate and use to the utmost their advantages.
At the same time the Maories operate against two
main disadvantages ; the one is the want of ammu-
nition ; the other a constitutional unfitness for a
long-continued strain, together with the here-
ditary enmity of tribes. Maori intelligence has
taught them that, to war against the colonists
with a chance of success, they must unite, and
that the first step towards union is to arm one man
with authority ; hence, the King movement which
for years has shadowed lamentation and woe to the
settlers. The plan of operations conceived by
Gen. Cameron, but which fell through in the bicker-
ing and squabbling of the Imperial officers forming
one party ; of Bishop Selwyn and the missionaries
who constituted a second ; and of the colonists and
their government making a third, was to occupy the
centre of the island near Lake Taupo with a strong
force, when the key of the position hitherto held by
the Maories would be in the hands of her Majesty's
forces. Attempts were made to establish military
colonies as he proceeded, but with what result we
cannot tell. The true course is a broad, well-con-
structed military road across the island, with a
strong military settlement at Lake Taupo ; but this
the colony appears to be too weak to accomplish.
The Hon. Cracroft Wilson asserts that with 300
Maories he could keep the North Island in hot
water, plundering every place for three years, and
that it would take 3,000 well-appoiuted meu to
arrest them. He believes that an effectual check
could be given by a couple of well-commanded
Ghoorka regiments, backed by a British regiment
and the colonists. Indeed his proposition does not
widely differ from that of the Pall Mall Gazette,
which advocates the declaration by the Governor of
martial law extending over certain districts ; that
British and colonial troops should be placed in those
districts under a selected officer having absolute
power, and that that officer should be Colonel Gor-
don of the Boyal Engineers, well known by the
soubriquet of Chinese-Gordon, the man Who sup-
pressed the great rebellion in the Celestial King-
dom. There are no troops that Gordon would like
better to have, with officers who knew how to manage
them than Ghoorkas, and there would be no diffi-
culty if he wished to ally himself in that enterprise
with some of his old friends the Chinese. Indeed
New Zealand may rely on this fact that the opera-
tions most required are, axe, pick, and spade work,
and our own impression is that a good class of
Chinamen would be a most valuable acquisition.
The speech of the member for Christ Church will
have its effect in England as well as in New
Zealand, and if the rumour now circulating be true,
the Ministers of the colony have so far acted on it
that they have applied for a British contingent,
the colony to pay at the rate formerly named ;by
Mr, Cardwell.