Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1819-06-04
Ff'rom The FoSon FllNadian.
conn ERClai ATFAIiS

arising from the tc,iriou. capital thrown
milo lie money market, bl the Bank of
the United Siates meant Ibis ;;> a pc
neral propo. i'ion. applying Ia he county,
al large, but il mIghl hav" bccu prorer "a
have excepted The scc'ion of The United
States where small part OF that cauiiai,
comparatively, has been isSuct. Il naN
he added also, that The local Bauks here,
~ Philadelphia, New York, &c have
fallen INTO The same error, Ihough NOT !.
the same eXieu,; and that they have
loaned more tban the naiurai circula
ten Of the country could absorb and
employ, they also furnished means ~
obtaining Specie for The East India
Trade, 10 many who could not otherwise
have engaged in ii-Hence, where an
uniavorabie slate OF trade causes ge-
neral demand fer specie 10 be cXportcd
their gold and silver, (Which. a has BEEN
said, is the only criterion OF Bank ability
10 loan money Is reduced, aud they are
comrell' d 10 CT ] on ihei. debtors for paw
meni.-Money iuusi be oblaiuati, and in
orderto obtain II, The sellers ofgt>cds un-
dcrhld one another, and prices siC moi
Only low, but goods absolutely nsa!eaNlc
--aiid those who have Depended on the
Iaeks Tor capital, though solvent, arN Of
leo extremely embarrassed, and zurr,.-
tunes cannot gel the money, unless at a
great loss, 10 meet their debts. But Vet,
the Dank of the United States has Afford
Ell much greater encouragement 30 over
trade than any Of the State Banks be-
cause il has loaned lis capita i'm SECTIONS
ot ibe country, wberr il las ieen con-
Ner'ed into lands, houses, Plantations.
manufactures, steam boats, ard other
fixed capital, from which, il cannot. but
.stih Ike greatest difficulty, If al all. be
Withdrawn besides Increasing, 10 an
enormous degree, the money OF our great
staples. lar beyond their relative value,
compared With European prices. Tie
~ action OF this state OF affairs, is one
considerable cause of the embarrassment
and disir ss uow complained OF, greater
in The southern and ", Stern states than
here because mPrchanijze can more
easily be converted into specie, (cspecial-
" from exporting our mere handize. il
low, 10 foreign ports, ~ exchange for spe
cie, IfBoi 10 be bad hcre,) than can fixed
property.
On the second head, that our CONNER
ciai embarrassment is owing in some de
gree, TO a r. al decline OF our exports In Eu-
rope, little need be said. Those v no have
exported largely, and have sustained such
losses as TO become insolvent. must of
necessity fail; those who can sustain
these losses, and remain solvent must put
up with dimlnuiIOn of capital and be
content with the moderate profits, which
d regular trade, IN times of peace, gene
rally offers.
IN regard 10 the article of Cotton. the
very high prices il has maintained in
| Europe for some years, has undoubtedly
tended to increase the cultivate oi that
article in India and South America. In
| 1918, the imports into Great BItaln from
| the former, exceeded those of 1917. 70,
| l27 600 bags, and from Brazil, the Imports
| of Cotton into Great Britain ~ 1873. ex-
ceeded those of 1917 by $1,000 bales
| From the United States, III import ni
| 1918, exceeded that OF 1917, by 5000
bales. ] he average importation into
| Great Britain from all parts, in the years
! 1882 TO lSi inclusive, was about 2jO, 200
| bales annually in 1915 and 1916. $40, COO
| bales /; 1917, 400, 900 bales 1913, 6GS. 900
! bales. This statement, taken from HE
| Circular of an intelligent merchant in Ii
| verpOol, shrws great increase IN tie
! production Of The article Of Cotton
throughout the world, aud may lead 10
| The inference that the present supply cx
ceens ilic present demand, aud that as II
has fora period OF yeas maintained higl
price, II may now for period Of years
be expected 10 lie al a l0w price, unless
political or oticr unforeseen events, " hlCl
caunoi enter into The calculations If mer
camille men, should iui"r'eue, to conirOn
The operations OF general causes.
The lbird cause assigned Tor the Pre-
sent embarrassed stale Of lie ,ommprct
| Of The United States. is that the Indi
Trade, now, Or Of late, tic prinripa
braucii OF the trade OF This country, i
carried on viii, specie II is moi the trad
itself TO places beyond ihe Cape OF Goo,
Hope, which is injurious io tie eOunirS
bat IT'S unnatural exieIi. 1.-THE channel
OF the natural commerce Of couniry ~
all II he'd, (aud by Tie natural cOmmt &C
! mean tbe exchange ot its surplus pv,
duce aud manufactures, for The surfii