Virginia free press. (Charlestown, Va. [W. Va.]) 1832-1916, 1837-09-14

wing a, correct conclusions. Encour-
aged by the firm belief OF this truth.
proceed To state nay views, so far a.
may b. necessary 90 clear under
standing OF the remedies | feel IL nv
duty 20 propose, and OF the reasons BY
which have been led to recommend
them.
The history Of trade in the United
States for the last three or four years,
affords the most convincing evidence
that our present condition is chiefly 10
be attributed TO over-action in all the
departments Of business an over-ac-
ton deriving. perhaps, its first impul.
SEES from antecedent causes, but stimu-
lated 10 its destructive consequences
by excessive issues Of bank paper, and
by other facilities for the acquisition and
enlargement Of credit. Al the com
mencement Of the year 1891. the bank
ing capital of the United States, in
GLIDING that of the national bank then
existing. amounted To about two hun
dred millions of dollars; the bank
notes then IN circulation 20 about nine
ty-6ve millions, and the loans and dis
count OF the banks TO three hundred
and twcnty-four millions. Between
that time and the first of January, 1876
being the latest period to which accu-
rate accounts have been received, our
banking capital was increased to more
than two hundred and fny-one mill
ions; our paper circulation 10 more
than one hundred and forty millions,
and the loans and discounts to more than
four hundred and fifty seven millions.
: To this vast increase are 10 be added
the many millions of credit, acquired
by means Of foreign loans, contracted
by the States and State institutions,
and above all by the lavish accommo-
dations extended by foreign dealers to
our merchants.
The consequences Of this redundant
ty of credit, and of the spirit of reck-
less speculation engcndercd by it, were
foreign debt contracted by our citi-
zcns, estimated in March last al more
than thirty millions OF dollars the ex-
tension to traders in the interior o. our
country Of credits for supplies, greatly
beyond the wants Of the people; the
investment Of thirty-nine and a hall
millions of dollars in unproductive
public lands, in the years lS:}5 and
1896, whilst IN the preceding year the
sales amounted to oaly four aud hall
millions the creation Of debts, to an
almost countless amount, for real eS-
tate in existing or anticipated cities and
4 villages, equal unproduciive, and al
prices now seen 10 have been greatly
disproportiona'e TO their real value -
the expenditure Of immense sums il
Improvements which, in many cases
have been found to be rrinously i'm.
provident the diversion TO other pur
suits Of much Of the labor that shoulC
have been applied to agriculture, there.
by contributing TO the expenditure o
large sums in the importation Of graft
from European expenditure which
amounting in 1884 10 about two hun
dred and fifty thousand dollars, was, il
the frs: two quarters Of the prescn
year. increased 10 more than two mill
ions Of dollars and finally, withou
enumerating other injurious results
the rapid growth among all classes, anC
especially in our great commercia
towns. Of luxurious habits. founded
too often on merely fancied wealth
and detrimental alike TO the industry
the resources, and the morals Of on
people.
II was so impossible that such
state Of things could long continue
: that the prospect Of revulsion Vas pre-
sent 10 tho minds Of considerable mel
before il actually came. None, how
ever, had correctly anticipated its Sc
verify. A concurrence Of eircum
stances inadequate Of themselves {,
produce such widespread and calami
tous endorsements, tended so great,
. TO aggravats them, that .hey cannot b,
! overlooked in considering their history
, Among these may be mentioned a
/. most prominent, the loss Of capital sus
tanned by our commercial emporium ii
, the fire Of December, lS3o-a loss, th
! effects Of which were moderated at ,h
time, because postponed for a seaso
by the great facilities OF credit then eN
, isting; the disturbing effects, ia on
. commercial cities, Of the transfers q
= the public moneys required by the De
= posite law Of June, 1885; aud th
measures adopted by the foreign cred
, Itors Of our merchants to reduce ihei
. debts, and 10 withdraw from the Unite
D States large portion Of our specie.
! However unwilling any Of our citizen
, may heretofore have been 10 assign .
. these causes the chief insirumenialit
, IN producing the present state Of thing
{ the developments subsequently made
and the actual condition Of other com
. meTeial countries, must, as Il seems I
{ me, dispel all remaining doubts upo
, the subject. II has since apPesre
. that evils, similar 10 those suffered b
ourselves, have been experienced ;
. Great Britain on the continent. and
/ indeed. ihrsughou; the commerce.
. world add that in other countries, &
= veil az 10 o6f own, they have bee
. uniformly preceded by an undue en-
] augmented ne boundaries Of trade =
, prompted. AZ with us, by unprecedenI