The Sun.
London, England, 1859-04-12 00:00:00

On Friday next the Chancellor of the Exchequer
Will make his statement respecting the Foreign
relations of the country, and the Earl of MALMES-
"RY will also enter into full explanations in the
House of Lords on the same evening. Nothwith-
standing the announcement of the Pays of last even •
lug that "the difficulties which obstructed the
assembling of the Congress have been definitively
removed, and that the Powers have agreed on con-
ditions, under which they will disarm simultane-
ously, and that thereupon Austria had given in
her adhesion to the Congress, which would
meet in a few days," we fear that
the authentic information afforded to both
Rouses on Friday next will not be of quite so
satisfactory a character. Austria, unable, in the
most propitious times, to keep her expenditure
within her income—incapable of contracting a loan
On any Bourse or Exchange in Europe—is now in-
curring the most reckless expenditure, for which
she will have to pay heavily at some future time
Animated by an intense hatred of Piedmont, and an
inflexible resolution neither to conciliate her Italian
subjeets--who by treaty stipulations have been ,
handed over to her tender mercies—nor to abstain
from her unwarrantable interference with other
Italian Statess, she braves every danger rather
than concede what justice and policy alike demand.
FRANCIS JOSEPH is headstrong. He stands upon
his dignity, will " do what he likes with his own,"
and treats the remonstrances of other Sovereigns
with the most contemptuous indifference.
He wilin°t go into Congress unless Sardinia, in
the first instance, places herself at his mercy, and
cofnsent to become an Austrian
province, like each
o the other Italian States, in order to gratify his
pride and vanity- He
has troops assembled on
her fro • ntier ready
to invade her soil at a
moment's notice,
with ordnance
He has fortresses bristling
, on which he can retreat in the event
of any repulse, and find shelter from any pursuit.
Would he desire that the Piedmontese, abandoning
every manly attribute should seek protection in
their weak and defenceless condition, rather than
in the patriotic determination to struggle to the
last in defence of their native land and its free in-
stitutions ? Should reckons he do so, he unquestionably
without his host, and will be obliged to
meet the consequences of his grave mistake. But
he could not have supposed that any such result
was even passible. Ile had made up his mind for
war, and was determined to bring it about per fax
aut nefas.
But, although Austria is greatly to be censured
for her recent conduct, neither France nor Pied-
mont can be exonerated. It was Louis NAPOLEON,
who on the Ist day of the year hurled the first
firebraini
and VICTOR EMIL. ANITEL speedily fol-
lowed suit. Other nations do not bear " bluster
quite
and bunkum'' •
so well as England. We are
accustomed to the boastings of our transatlantic
cousins. We do not not think every ill-considered
word or sentence a casus Belli, or that the rashness
expenditure of blood
of a Monarch or his Minister is to produce a vast
and treasure by the people.
It would be well if, in the words or the ballad—
We should hav
" Those who mad the
quarrel weretla
e eILY men to fight."
objection to see a trian
duel between Loris NAPOLEON, rn , triangular
o
~cis
and Vic-ron EMMANUEL, but we JOSEPH,
certainly
do not
wish to see the peoples involved in the co '3. +
nor
to have the other nations of Europe dragged into
the vortex. " Quid quid delirant reges
plectuutur
achivi" is a time-honoured adage, and unfortunately
it is as well-founded at the present time as when
Troy was environed, and Greeks and Trojans met
in daily encounter outside its walls.

It seems more than probable that Sardinia
be the first sufferer—that she will he
made the cockpit in which France and Austria
will decide their mutual disputes and jealousies.
We regret that it should be so, far Sardinia was a
faithful and efficient ally in the Crimea. Her
gallant soltliers fought side by side with our own,
and gained the good will which unflinching
bravery and effective discipline is sure to receive.

B esides, we sympathise with her as a constitutional
kingdom, and although she could not quite so
firmly resist the demands of the EMPEROR of the
French with respect to the freedom of the press as
we were enabled to do, we must ascribe that
partially to her want of strength to resist the
gigantic force which he.could bring to bear against
her, and in some degree also to the hope of winning
him over to her designs against Austria, or at all
events to enter into an alliance offensive and de-
fensive, which would ensure a powerful protector
at all times, and under any circumstances.
Whatever may be the result, we trust that Great
Britain may keep herself out of the scrape, and
observe the most perfect neutrality. None of the
parties come into court with clean hands. None are
deserving of support which would lead to the ex-
penditure of English treasure, and, what is
far more important, of English blood. Of
course, Ministers will be willing to do all
in their power to avert the outbreak
of hostilities, or will be prepared at any moment to
mediate between the opposing parties, when media-
tion is possible, or when there is any probability of
its producing favourable results. But they must
not permit England either to be dragged or to drift
into war. Let the belligerents take their own
course if they will not listen to judicious and pru-
dent advice. But eight hundred millions of our
national debt stands forth as a gigantic monument
to warn us from unnecessarily intermeddling in
the affairs of other nations, or engaging in any
contest in which the honour or safety of our native
land are not in some degree concerned.

Now that the great Reform question is placed
for a time in abeyance, we seize the opportunity
for directing the attention of our readers to a
kindred subject of reform, which involves the
happiness and prosperity of all classes, high and
low, of her MAJESTY'S subjects.
It will be remembered that we gave a full report
of an admirable lecture recently delivered by Sir
A. ALISON, at the City Hall, Glasgow, at the
request of the Council of the United Trades, on
" The Currency Laws, and their effect on the Profits
of Trade and the Wages of Labour." We are
glad to find that this able exposition of the evils
of the present monetary system- has been widely
circulated throughout Scotland, and has attracted
the attention which it so amply merits.
It has, consequently, called forth a vituperative
and very flippant article from the City writer of
the limes, who took occasion, last week, to attack
Sir ARCHIBALD and the working classes of Glas-
gow, 3,000 of whom received his address with
warm acclamations of approbation.

The Times writer assails Sir ARCHIBALD as an
opponent of Free Trade. But whatever his opinion
on that question may be, Sir ARCHIBALD now
comes forward in a candid and manly manner to
express his views on things as they are. " I take
Free Trade," he says, " as the settled, fixed policy
of the country. I argue upon it as such ; and
what I say is this, that you must make your
currency laws similar in a certain degree to
your corn laws, or the country will be ruined."
But what right has the Times writer to call
himself a free trader ? He supports free trade in
corn and other commodities, but does he support
free trade in the most important of all things—
money ? Not at all. He supports the most
gigantic monopoly in the kingdom, that of
the Bank of England. He supports the ab-
surd monopoly which PEEL'S Bill of 1844
gave to the existing banks of issue, accord-
ing to which no other bank, however large
its capital, or respectable its partners, can issue a
single note, because it did not issue note's in 1844.
He supports a currency restricted, limited, con-
tracted, and monopolised in every possible way that
the perverted ingenuity of the money-mo ngers and
"hard calculators" could invent. Why, the Dutch
merchants in Sumatra, who were accustomed to
destroy half their "crop of spices in order to enhance
the value of the remainder, were better Fi •ee-traders
than the Times or the " hard calculators," who
deprive the country of half its money„ and then
grumble that even that portion is left to save the
nation from absolute bankruptcy ! We remember
well the howl of a disappointed usurer uttered by
the Times during the panic of 1857, when Govern-
ment interposed at the eleventh hour t o save the
nation from a state of barter, and enable the Chan-
cellor of the Exchequer to collect his tax es and pay
the dividends. Amidst the general con sternation
and ruin the " hard calculator" of the limes gave
utterance to sentiments such as these :—" Had
not," he said, " the Government letter appeared,
no doubt money would have been worth 20 or 30
per cent., owing to the general panic wb ich would
have been created." But, pity my ii isfortune !
says this patriotic Free-trader, Government
having, when gold leaves the country, restricted
the paper currency by act of Parliament, to such
an extent that in consequence I might have bought
" sugar, silk, and all sorts of articles at a
vast reduction," lo ! merely to k ave thou-
sands of merchants from unjust imin, hun-
dreds of thousands of working :men from
the poor-house, and the nation from bankruptcy, I,
the "hard calculator," am deprived of title results of
my "patient inquiry and reflection," and, after all,
cannot buy my " sugar, silk, and all sorts of articles"
at more than a trifle below their prime oust ! Here
is an enlightened political economist, a large-minded,
disinterested public instructor ! Can a ve wonder
that our friend the "hard calculator," NI hose mag-
nanimity is only to be equalled by his powers of
language, regards with wonder the heal rty enthu-
siasm and warm approval with which th a working
men of Glasgow hailed the nohle.spirited and states-
man-like exposition of their distinguished and
estimable neighbour and friend, Sir A RCHIBALD
ALISON, and fails to recognise in him " a particular
luminary or a good patriot."
The Times' objection to Currency Ref orm is the
very trite and worn-out sophism which has been
used in all ages by the supporters of ab tises. The
country, it says, has increased in "V ;ealth and
population under the existing currency -laws, there-
fore do nothing to amend or improve= them. We
should not notice such an argument :1;3 this, if we
did not find it adduced by many per sons besides
the Times, who are too indolent or E rcjudiced to
investigate the question of Currency Re form. What
the argument amounts to is just this : trade and
commerce have increased since Peel's Bill of 1819
was passed, therefore do nothing to :prevent a re-
currence of monetary crises and panics which
paralyses trade and lays common ce in ruins.
The population has increased /a rgely within
the last 40 years, therefore dc) nothing to
reform the evils of a monetary systi:.‘m, the direct
effects of which are to reduce grE at masses of
the
c.
population to a state of the
.-rr .atest distress
every few years.
It is quite true, . indeed, that siir.l! the termina-
tion of the
great French war this cot entry has made
rapid strides in e
• say that the civilisation
lisation and we 11th. But we
commencement of this great national
improvement
consequence of t, ie enlightened
sy•stem of currency which lir
intro-
duced in 1797. Ive
,a_v, ILLIE .21 PITT
our domestic circulation adequate to the wants of
k d then a pap a. currency for
the people, and capable of expansior t as expandino.
trade and commerce required. As. laxes were in-

creased to meet the exigencies of the war, the,cir-
eulating; paper medium was increased, so that ty a
proportionate rise of price in all commodities the
producer was enabled to recover from the consumer
his fair amount of taxation. The working man's
welfare is bound up with that of the producer ;
and, as every producer produces much more than
he consumes, it is the producer's interest to obtain
a good price for his products. If a man produce
100 articles, and consume 10, a fall in price on each
article of one shilling causes him to lose £5
and to save 10s. In a highly-taxed country a low
range of prices is, therefore, injurious to the pro-
ducer and to the working men whom he employs.
It is even more injurious to the working man than
to the master producer. For with low, unremu-
nerative prices the wages of the working men are
more than proportionably reduced, and thus the
tax which ought to fall on the consumer is ground
out of the working man. The paper money
system, which prevailed from 1797 to 1815, was
unaccompanied by the violent expansions and con-
tractions of the present system. The rate of dis-
count was, therefore, much more uniform, and the
monster evil of panics was unknown.
PEEL knew that it was impossible to return to
the obsolete and barbarous system of a metallic
currency. But in his Bill of 1819 he went as far
as he dared in this direction. He crippled and
fettered the enlightened and beneficial paper money
system, which he could not destroy. What have
been the results p We challenge the Times to prove
that the results have not been most disastrous: In
1816 the proposition made by the Bank to return to
cash payments,by contracting its issues, produced dis-
tress, which Mr. TIERNEY said "had never been
equalled in this country since the Norman con-
quest." In 1819, after the passing of PEEL'S Bill,
monstrous distress and ruin ensued. In 1825 came the
panic which swept away scores of banks and thou-
sands 'of merchants, and filled the country with
'pauperised operatives. The distress which con-
tinued through the succeeding years mainly led to
the passing of the Reform Bill. Then in 1837 and
1838 came great monetary pressures, with their
attendant evils. These evils PEEL admitted when
he introduced his bill in 1844 to prevent them. In
1847 the bill was put on its trial, and proved 4
decided and contemptible failure. The country
paid the price of the blundering statesmanship of
PEEL and OVERSTONE and the panic mongers. But
a most unexpected ally came to the rescue of the
bullionists. Gold was discovered in immense and un-
precedented quantities in California and Australia.
Now then, said the Peelites, there is an end of the
paper money system. Then in 1857 comes a mone-
tary crisis, if possible, worse than the former ones ;
and again is the ridiculous and impracticable Bank
Charter Act abrogated by the Minister's letter.
We are now only slowly emerging from the evil
consequences of the last panic, and the financial
difficulties which are pressing us on every side
must be attributed very considerably to the same

cause.

Now, it must be remembered, that during the
last forty years we have enjoyed an unusual pro-
portion of years of peace, that science has effected
infinitely more for the progress and prosperity of
the nation than ever occurred in a similar period,
that steam navigation has assisted to develop the
gigantic resources of our colonial possessions,
and railways at home hive given an impetus
to trade of which our forefathers could
not have formed the slightest conception.
Remembering these things, we say that there must
have been some extraordinary and fatal blunder in
modern statesmanship to counteract all these causes
of general and permanent prosperity. We agree
entirely with Sir A. ALISON that the currency
system is principally to blame for the distress,
ruin, crime, pauperism, and forced emigration, which
we have witnessed so often during the past forty
years. And we say, moreover, that the gleams of
prosperity which we have enjoyed are to be attri-
buted principally to PITT'S paper-money system,
which PEEL could not entirely subvert, though he
did his best to do so.

We think Sir AIICIIIBALD quite right in affirm-
ing that the future destiny of England depends on
the reformation of the existing most pernicious
system, and we hold his arguments to be as much
sounder than those of that " particular luminary,"
the Times' writer, as the instincts and aspirations
of the distinguished historian of modern Europe are
nobler than those of the usurer and the "hard
calculator."

We will add a few words relative to the Western
Bank of Scotland affair. The Times abuses Sir A.
ALISON as upholding a system of fraudulent bank-
ing. He does nothing of the kind. But he says,
very justly, that the Bank Charter Act, which
obliges the Bank of England, when gold flows into
the country, to make money so plentiful that it be-
comes a " drug" in the market, and discounts
decline to 11- and 2 per cent., does in effect tempt
men to speculation and foster overtrading and bad
banking. We have seen this in the gambling in
American mines, in the railway mania, and recently
in the proceedings of such institutions as the
British Bank of London, and the Western Bank of
Scotland. The great primary cause of the evil has
been, in all these instances, the same, and that
cause is the unwise, unjust, and ruinous monetary
system established by PEEL'S Acts of 1819 and
1844.

• s *
'4.ly
4f;"1, ••• Ifetz ,0111,k t
, Dip , 4 •i• ' uORO

THE SUN.
TUESDAY, APRIL 12, 1859.